Exhibit - 10 ii Reimbursement Agreements The Fund reimburses officers and directors not affiliated with the Investment Adviser to compensate for travel expenses associated with performance of their duties. A total of $3,168 was paid in this regard in...

                                Exhibit - 10 ii



                           Reimbursement Agreements


The Fund reimburses officers and directors  not affiliated  with the  Investment
Adviser to compensate for travel expenses  associated with performance  of their
duties.  A total  of $3,168 was  paid in this regard  in 1998.  The Valley Forge
Management Corp. reimbursed the Fund for this entire  amount as  the expense was
incurred.

The Fund does not now, and has no plans to compensate officers and directors who
are affiliated with the Investment Advisor  except indirectly through payment of
the management fee.