SCHEDULE 14A INFORMATION

      Proxy Statement Pursuant to Section 14(a) of The Securities Exchange
                                   Act of 1934
                                (Amendment No. )

Filed by Registrant  [ ]
Filed by a Party other than the Registrant  [X]

Check the appropriate box:
[ ]  Preliminary Proxy Statement
[ ]  Confidential, for Use of the Commission Only (as permitted by
     Rule 14a-6(e)(2))
[ ]  Definitive Proxy Statement
[ ]  Definitive Additional Materials
[X]  Soliciting Material Pursuant to Section 240.14a-11(c) or Section 240.14a-12

                          FRANKLIN CAPITAL CORPORATION
 -------------------------------------------------------------------------------
                (Name of Registrant as specified in its charter)

                 AULT GLAZER & COMPANY INVESTMENT MANAGEMENT LLC
 -------------------------------------------------------------------------------

    (Name of Person(s) Filing Proxy Statement if other than the Registrant)
               Payment of Filing Fee (Check the appropriate box):

[X]  No fee required.

[ ]  Fee computed on table below per Exchange Act Rules 14a-6(i)(4) and 0-11.

     1)   Title of each class of securities to which transaction applies:

     2)   Aggregate number of securities to which transaction applies:

     3)   Per unit price or other underlying value of transaction computed
          pursuant to Exchange Act Rule 0-11 (Set forth the amount on which the
          filing fee is calculated and state how it was determined):

     4)   Proposed maximum aggregate value of transaction:

     5)   Total fee paid:

[ ]  Fee paid previously with preliminary materials.

[ ]  Check box if any part of the fee is offset as provided by Exchange Act Rule
     0-11(a)(2) and identify the filing for which the offsetting fee was paid
     previously. Identify the previous filing by registration number, or the
     Form or Schedule and the date of its filing.


                               Page 1 of 17 pages



     1)   Amount Previously Paid:

     2)   Form, Schedule or Registration Statement No.:

     3)   Filing Party:

     4)   Date Filed:


                               Page 2 of 17 pages



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                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549



                                  SCHEDULE 13D
                    Under the Securities Exchange Act of 1934
                               (Amendment No. 4)*


                             Franklin Capital Corp.
________________________________________________________________________________
                                (Name of Issuer)


                          Common Stock, $1.00 par value
________________________________________________________________________________
                           (Title of Class Securities)


                                    35252P105
 _______________________________________________________________________________
                                 (CUSIP Number)


                        Lynne Silverstein (310) 752-1442
                Ault Glazer & Company Investment Management LLC,
             100 Wilshire Blvd, 15th Floor, Santa Monica, CA 90401
________________________________________________________________________________

           (Name, Address and Telephone Number of Person Authorized to
                       Receive Notices and Communications


                                  June 1, 2004
________________________________________________________________________________
             (Date of Event Which Requires Filing of this Statement)


If the filing person has previously filed a statement on Schedule 13G to report
the acquisition that is the subject of this Schedule 13D, and is filing this
schedule because of Sections 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check
the following box. |_|

Note: Schedules filed in paper format shall include a signed original and five
copies of the schedule, including all exhibits. See Section 240.13d-7 for other
parties to whom copies are to be sent.

*The remainder of this cover page shall be filled out for a reporting person's
initial filing on this form with respect to the subject class of securities, and
for any subsequent amendment containing information which would alter the
disclosure provided in a prior cover page.

The information required in the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the Securities Exchange Act of
1934 ("Act") or otherwise subject to the liabilities of that section of the Act
but shall be subject to all other provisions of the Act (however, see the
Notes).



Potential persons who are to respond to the collection of information contained
in this form are not required to respond unless the form displays a current
valid OMB control number.


                               Page 3 of 17 pages



CUSIP No.  35252P105

    1.  Name of Reporting Persons.
        I.R.S. Identification Nos. of above persons (entities only).

        Ault Glazer & Company Investment Management LLC

--------------------------------------------------------------------------------

    2.  Check the Appropriate Box if a Member of a Group (See Instructions)

        (a)|_|..................................................................
              ------------------------------------------------------------------

        (b)|_|..................................................................
              ------------------------------------------------------------------
--------------------------------------------------------------------------------

    3.  SEC Use Only............................................................
                    ------------------------------------------------------------
--------------------------------------------------------------------------------

    4.  Source of Funds (See Instructions) OO...................................
                                           -------------------------------------
--------------------------------------------------------------------------------

    5.  Check if Disclosure of Legal Proceeding Is Required Pursuant to Items
        2(d) or 2(e)............................................................
                    ------------------------------------------------------------
--------------------------------------------------------------------------------

    6.  Citizenship or Place of Organization     Delaware.......................
                                              ----------------------------------
--------------------------------------------------------------------------------

                 7.    Sole Voting Power       329,727..........................
                                          --------------------------------------
Number of        ---------------------------------------------------------------
Shares           8.    Shared Voting Power        0.............................
Beneficially                                ------------------------------------
Owned by Each    ---------------------------------------------------------------
Reporting        9.    Sole Dispositive Power     329,727.......................
Person With:                                   ---------------------------------
                 ---------------------------------------------------------------
                 10.   Shared Dispositive Power       ..........................
                                                --------------------------------
--------------------------------------------------------------------------------

    11. Aggregate Amount Beneficially Owned by Each Reporting Person    329,727.
                                                                      ----------

    12. Check if the Aggregate Amount in Row (11) Excludes Certain Shares
        (See Instructions)     .................................................
                               -------------------------------------------------

    13. Percent of Class Represented by Amount in Row (11)     32.32%...........
                                                            --------------------
--------------------------------------------------------------------------------

    14. Type of Reporting Person (See Instructions)
--------------------------------------------------------------------------------

        IA......................................................................
--------------------------------------------------------------------------------

   .............................................................................
--------------------------------------------------------------------------------

   .............................................................................
--------------------------------------------------------------------------------

   .............................................................................
--------------------------------------------------------------------------------

   .............................................................................
--------------------------------------------------------------------------------

   .............................................................................
--------------------------------------------------------------------------------

   .............................................................................
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                               Page 4 of 17 pages



CUSIP No.  35252P105

    1.  Name of Reporting Persons.
        I.R.S. Identification Nos. of above persons (entities only).

        Milton C. Ault, III

--------------------------------------------------------------------------------

    2.  Check the Appropriate Box if a Member of a Group (See Instructions)

        (a)|_|..................................................................
              ------------------------------------------------------------------

        (b)|_|..................................................................
              ------------------------------------------------------------------
--------------------------------------------------------------------------------

    3.  SEC Use Only............................................................
                    ------------------------------------------------------------
--------------------------------------------------------------------------------

    4.  Source of Funds (See Instructions) OO...................................
                                           -------------------------------------
--------------------------------------------------------------------------------

    5.  Check if Disclosure of Legal Proceeding Is Required Pursuant to Items
        2(d) or 2(e)............................................................
                    ------------------------------------------------------------
--------------------------------------------------------------------------------

    6.  Citizenship or Place of Organization     USA............................
                                              ----------------------------------
--------------------------------------------------------------------------------

                 7.    Sole Voting Power       329,727..........................
                                          --------------------------------------
Number of        ---------------------------------------------------------------
Shares           8.    Shared Voting Power        0.............................
Beneficially                                ------------------------------------
Owned by Each    ---------------------------------------------------------------
Reporting        9.    Sole Dispositive Power     329,727.......................
Person With:                                   ---------------------------------
                 ---------------------------------------------------------------
                 10.   Shared Dispositive Power      0..........................
                                                --------------------------------
--------------------------------------------------------------------------------

    11. Aggregate Amount Beneficially Owned by Each Reporting Person    329,727.
                                                                      ----------

    12. Check if the Aggregate Amount in Row (11) Excludes Certain Shares
        (See Instructions)     .................................................
                               -------------------------------------------------

    13. Percent of Class Represented by Amount in Row (11)     32.32%...........
                                                            --------------------
--------------------------------------------------------------------------------

    14. Type of Reporting Person (See Instructions)
--------------------------------------------------------------------------------

        IN/HC...................................................................
--------------------------------------------------------------------------------

   .............................................................................
--------------------------------------------------------------------------------

   .............................................................................
--------------------------------------------------------------------------------

   .............................................................................
--------------------------------------------------------------------------------

   .............................................................................
--------------------------------------------------------------------------------

   .............................................................................
--------------------------------------------------------------------------------

   .............................................................................
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                               Page 5 of 17 pages



                                                                   Page 6 of 17


Item 1     Security and Issuer

           This statement relates to the Class A Common Stock, $1.00 par value
           ("Common Stock"), issued by Franklin Capital Corp. ("FCC"), a
           Delaware Corporation. The address of the principal executive offices
           of FCC is 450 Park Avenue, 29th Floor, New York, New York 10022.

Item 2     Identity and Background

           Name: Ault Glazer & Company Investment Management LLC ("Adviser")
           Place of Organization: Delaware
           Principal Business: Investment Adviser
           Address: 100 Wilshire Blvd., 15th Floor, Santa Monica, CA 90401
           Criminal Proceedings: None
           Applicable Civil, Judicial or Administrative Proceedings: None

           Name: Milton C. Ault, III ("Ault")
           Address: 100 Wilshire Blvd., 15th Floor, Santa Monica, CA 90401
           Criminal Proceedings: None
           Applicable Civil, Judicial or Administrative Proceedings: None
           Citizenship: United States

           Ault is the controlling and managing member of Adviser. Adviser's
           beneficial ownership of the Common Stock is direct as a result of
           Adviser's discretionary authority to buy, sell and vote shares of
           such Common Stock for its investment advisory clients. Ault's
           beneficial ownership of the Common Stock is indirect as a result of
           Ault's control of Adviser.

Item 3     Source and amount of Funds or other Consideration

           The aggregate amount of funds used by Adviser to purchase FCC shares
           of Common Stock was approximately $1,454,261. Such amount was derived
           from advisory client accounts.

Item 4     Purpose of Transaction

           The Reporting Persons continue to have concerns regarding the ability
           and willingness of current FCC management to maximize shareholder
           value. Adviser intends to recommend that FCC management work with
           Adviser to unlock what Adviser believes to be the true shareholder
           value of FCC. The Adviser has requested that FCC's incumbent Board
           resign immediately and that a slate of new independent Board members
           to be selected by Adviser replace the resigning Board members.
           Adviser may also attempt to effect one or more of the following
           changes: an extraordinary corporate transaction (which could include
           the sale or spinoff of one or more of FCC's business lines); a change
           in the present Board of Directors or management of FCC; a sale or
           transfer of a material amount of assets of FCC; a material change in
           the


                               Page 6 of 17 pages



                                                                   Page 7 of 17


           present capitalization or dividend policy of FCC, and a class of
           equity securities of FCC becoming eligible for termination of
           registration pursuant to Section 12(g)(4) of the Securities Exchange
           Act of 1934.

           Subject to availability at prices deemed favorable, the Reporting
           Persons may acquire additional shares of Common Stock of FCC from
           time to time in the open market, in privately negotiated transactions
           or otherwise. The Reporting Persons may dispose of shares of Common
           Stock of FCC from time to time in the open market, in privately
           negotiated transactions or otherwise.

           Although the foregoing represents the range of activities presently
           contemplated by the Reporting Persons with respect to FCC and the
           Common Stock, it should be noted that the possible activities of the
           Reporting Persons are subject to change at any time

           Except as set forth above, the Reporting Persons has no present plans
           or intentions that relate to or that would result in any of the
           transactions described in clauses (a) through (j) of Item 4 of
           Schedule 13D.


Item 5     Interest in Securities of the Issuer

           (a) As of May 27, 2004, the Reporting Persons directly or indirectly
           beneficially owned 329,727 shares, or 32.32%, of Common Stock of FCC
           (the percentage of the shares of Common Stock owned is based on
           1,020,100 shares of Common Stock outstanding as of March 9, 2004, as
           reported by FCC in its Form 10-Q filed on March 30, 2004).

               (1) Adviser owned 329,727 shares (32.32%)

               (2) Ault owned 329,727 shares (32.32%)

           (b) The responses of the Reporting Persons to Items 7 through 11 of
           the portions of the cover page of this Schedule 13D which relate to
           beneficial ownership of shares of the Common Stock are incorporated
           herein by reference.

           (c) A list of transactions in the past 60 days.






-----------------------------------------------------------------------------------------
      Party                Date         Amount Bought    Price per Share    Where & How
                                           (Sold)                            Effected

-----------------------------------------------------------------------------------------
                                                                
Adviser                      05/27/04         (100)           5.140        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/26/04         (100)           5.220        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/26/04         (500)           5.090        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/26/04         (500)           5.060        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/26/04         (600)           5.040        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/26/04        (1,400)          5.030        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/19/04         (500)           5.100        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/19/04         (500)           5.500        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/19/04         (400)           5.510        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/19/04         (100)           5.700        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/18/04         (100)           6.710        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/18/04         (400)           6.750        Open market
-----------------------------------------------------------------------------------------






                                                              Page 8 of 17 pages






-----------------------------------------------------------------------------------------
      Party                Date         Amount Bought    Price per Share    Where & How
                                           (Sold)                            Effected

-----------------------------------------------------------------------------------------
                                                                
Adviser                      05/18/04         (500)           6.850        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          800            5.300        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          200            5.800        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          200            5.810        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04         2,400           5.940        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          800            5.950        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          400            5.980        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04         1,000           6.000        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04         1,000           6.150        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04         1,000           6.250        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          200            6.300        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          200            6.450        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04         1,000           6.500        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          400            6.550        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          400            6.665        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          300            6.700        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          200            6.740        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04         2,000           6.750        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04         1,000           6.850        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04        33,500          6.8909        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04         1,000           6.900        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          400            6.940        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04         1,000           6.950        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          400            7.360        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          500            7.400        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          200            7.850        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          800            7.900        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          100            8.700        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/17/04          900            8.750        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/14/04         1,000          3.9041        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/14/04         3,000          4.3933        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/14/04          200            4.930        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/14/04          400            4.970        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/14/04          300            4.990        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/14/04         8,100           5.000        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/14/04          200            5.100        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/14/04          100            5.150        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/14/04        35,000          5.5036        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/14/04          500            5.650        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/14/04          200            5.780        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/14/04         1,000           5.830        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/14/04         1,800           5.900        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/14/04          700            5.910        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/14/04         2,300           5.950        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04          100            2.970        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         2,100           2.980        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04        13,000           3.000        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04          100            3.050        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,500           3.100        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04          100            3.150        Open market
-----------------------------------------------------------------------------------------






                                                              Page 9 of 17 pages






-----------------------------------------------------------------------------------------
      Party                Date         Amount Bought    Price per Share    Where & How
                                           (Sold)                            Effected

-----------------------------------------------------------------------------------------
                                                                
Adviser                      05/13/04          100            3.190        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04          600            3.200        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04          100            3.300        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         2,200           3.500        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,000           3.530        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,000           3.600        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04          300            3.650        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         6,000           3.730        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,000           3.850        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,000           3.970        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         3,000           3.990        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         5,900           4.000        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04        11,600           4.100        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,000           4.220        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,000           4.240        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04          200            4.250        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04          800            4.300        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,000           4.360        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,200           4.400        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04          800            4.450        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,200           4.650        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,000           4.690        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         2,100           4.700        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         2,000           4.710        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,200           4.750        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,600           4.800        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,000           4.880        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,500           4.900        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04          200            4.950        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         6,400           5.000        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,000           5.010        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,500           5.050        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,600           5.100        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04          200            5.120        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         1,500           5.200        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         2,300           5.250        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         2,500           5.260        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04          300            5.270        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04          300            5.280        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         3,100           5.290        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         2,800           5.300        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         3,700           5.350        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04        10,000           5.400        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04        13,500          5.4148        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04          900            5.450        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04          700            5.480        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/13/04         2,627           5.500        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04          200            1.580        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04          400            1.620        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04          400            1.700        Open market
-----------------------------------------------------------------------------------------






                                                             Page 10 of 17 pages






-----------------------------------------------------------------------------------------
      Party                Date         Amount Bought    Price per Share    Where & How
                                           (Sold)                            Effected

-----------------------------------------------------------------------------------------
                                                                
Adviser                      05/12/04          400            1.780        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04          200            1.790        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04          200            1.820        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,300           2.400        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04          100            2.450        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         2,000           2.500        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04          200            2.520        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04          800            2.600        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,000           2.700        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04          500            2.750        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04          500            2.800        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,000           2.900        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,400           3.400        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04          200            3.500        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04          400            3.510        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,700           3.600        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04          400            3.700        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04          500            3.730        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,000           3.740        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,000           3.750        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,000           3.800        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         2,000           3.810        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,500           3.850        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04          500            3.950        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,200           4.050        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         5,000           4.100        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,000           4.200        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,000           4.220        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,000           4.240        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,000           4.250        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         3,000           4.300        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         2,000           4.350        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,800           4.400        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,000           4.420        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         3,200           4.480        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,000           4.500        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         4,000           4.600        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         2,900           4.700        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,600           4.800        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         1,000           4.820        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04        (1,000)          3.850        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         (500)           3.950        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         (600)           4.000        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04        (2,400)          4.100        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         (700)           4.200        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04        (1,000)          4.230        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04        (2,500)          4.250        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         (500)           4.350        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04        (2,000)          4.900        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04        (1,000)          5.150        Open market
-----------------------------------------------------------------------------------------






                                                             Page 11 of 17 pages






-----------------------------------------------------------------------------------------
      Party                Date         Amount Bought    Price per Share    Where & How
                                           (Sold)                            Effected

-----------------------------------------------------------------------------------------
                                                                
Adviser                      05/12/04        (1,000)          5.250        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04        (2,000)          5.350        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04        (1,000)          5.500        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04        (1,000)          5.550        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         (400)           5.850        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         (600)           6.000        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04         (300)           4.320        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04        24,100          3.8654        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/12/04        30,300          4.0266        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/11/04          500           1.3000        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/11/04         4,500          1.4000        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/11/04        20,000          1.5000        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/11/04          200           1.1500        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/11/04          600           1.2000        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/11/04          400           1.2500        Open market
-----------------------------------------------------------------------------------------
Adviser                      05/11/04          500           1.4500        Open market
-----------------------------------------------------------------------------------------



           (d)        Not Applicable

           (e)        Not Applicable

Item 6     Contracts, Arrangements, Understandings or Relationships with Respect
           to Securities of the Issuer

           Ault controls and manages the Adviser who makes voting and
           dispositive decisions for its investment advisory clients.

Item 7     Material to Be Filed as Exhibits

           Exhibit A:  Joint Filing Agreement Pursuant to Rule 13d-1

           Exhibit B:  Confidentiality Agreement

After reasonable inquiry and to the best of my knowledge and belief, I certify
that the information set forth in this statement is true, complete and correct.


Date:  June 1, 2004

                                      Ault Glazer & Company Investment
                                      Management LLC

                                      /s/ Milton C. Ault
                                      ------------------------------------------
                                      Milton C. Ault, III, Managing Member

                                      Milton C. Ault, III

                                      /s/ Milton C. Ault
                                      ------------------------------------------





                                                             Page 12 of 17 pages


                                    EXHIBIT A
                                    ---------

                  Joint Filing Agreement Pursuant to Rule 13d-1
                  ---------------------------------------------

This agreement is made pursuant to Rule 13d-1(k)(1) under the Securities and
Exchange Act of 1934 (the "Act") by and among the parties listed below, each
referred to herein as a "Joint Filer." The Joint Filers agree that a statement
of beneficial ownership as required by Sections 13(g) or 13(d) of the Act and
the Rules thereunder may be filed on each of their behalf on Schedule 13G or
Schedule 13D, as appropriate, and that said joint filing may thereafter be
amended by further joint filings. The Joint Filers state that they each satisfy
the requirements for making a joint filing under Rule 13d-1.

Dated:  June 1, 2004

                                      Ault Glazer & Company Investment
                                      Management LLC

                                      /s/ Milton C. Ault
                                      ------------------------------------------
                                      Milton C. Ault, III, Managing Member

                                      Milton C. Ault, III

                                      /s/ Milton C. Ault
                                      ------------------------------------------




                                                             Page 13 of 17 pages


                                    EXHIBIT B
                                    ---------

                            Confidentiality Agreement
                            -------------------------

STRICTLY CONFIDENTIAL
---------------------

May 19, 2004

Franklin Capital Corp.
450 Park Avenue
New York, New York 10022

Attention:     Stephen L. Brown
               Chairman and Chief Executive Officer

Dear Mr. Brown:

As you are aware,  Franklin  Capital Corp.  ("Franklin"),  and Ault Glazer & Co.
Investment  Management,  LLC  ("Ault  Glazer,"  and  Franklin  and Ault  Glazer,
collectively,  the "Parties") desire to discuss a business opportunity of mutual
interest (the "Transaction"). In order for Ault Glazer to assess the feasibility
of the  Transaction,  Franklin  intends  to  disclose  (in  such  capacity,  the
"Disclosing  Party") to Ault Glazer (in such capacity,  the  "Receiving  Party")
certain information that it deems confidential or proprietary. As a condition to
such disclosure, Franklin and Ault Glazer hereby agree as follows:

Confidentiality of Evaluation Materials:  As a condition to the Disclosing Party
furnishing the Receiving  Party with  Evaluation  Material (as defined below) of
the  Disclosing  Party,  the  Receiving  Party  agrees to treat  the  Evaluation
Material of the  Disclosing  Party in  accordance  with the  provisions  of this
agreement.  As used herein,  the term  "Evaluation  Material" of the  Disclosing
Party means any information  concerning the Disclosing  Party which is furnished
to the Receiving Party or any of its directors, officers, employees, affiliates,
agents or  advisors  (including,  without  limitation,  attorneys,  accountants,
consultants,   bankers,  financial  advisors  and  any  representatives  of  its
advisors)  (collectively,  "Representatives")  by or on behalf of the Disclosing
Party, after the date of this letter and regardless of the manner in which it is
furnished,  together  with  analyses,  compilations,  studies,  notes,  or other
documents or records (including extracts or reproductions,  in whole or in part)
prepared by or for the Receiving Party and or its  Representatives to the extent
that such analyses,  compilations,  studies, notes, documents or records contain
or  otherwise  reflect  or  are  generated  from  such  information.   The  term
"Evaluation  Material"  does not  include  information  which (i) as of the date
hereof is, or later  becomes  generally  available to the public other than as a
result of a disclosure by the Receiving Party or its Representatives, (ii) as of
the date hereof is, or later  becomes  available to the  Receiving  Party or its
Representatives   from  a  source  other  than  the  Disclosing   Party  or  its
Representatives,  provided  that  such  source  is not  reasonably  known by the
Receiving  Party  or  its  Representatives  to  be  bound  by a





                                                             Page 14 of 17 pages

confidentiality agreement with the Disclosing Party or otherwise prohibited from
transmitting the information to the Receiving Party or its  Representatives by a
contractual,  legal or  fiduciary  obligation,  (iii) was within  the  Receiving
Party's or its Representative's possession prior to its being furnished by or on
behalf of the  Disclosing  Party,  as evidenced by the Receiving  Party's or its
Representative's  internal  documentation,  provided  that  the  source  of such
information   was  not   reasonably   known  by  the  Receiving   Party  or  its
Representatives  to be bound by a confidentiality  agreement with the Disclosing
Party or otherwise prohibited from transmitting the information to the Receiving
Party or its Representatives by a contractual, legal or fiduciary obligation, or
(iv) is required by law or administrative or legal proceeding to be disclosed by
the Receiving Party, provided,  that the Receiving Party complies with the other
terms and conditions of this agreement before disclosing any Evaluation Material
of the Disclosing Party.

Restrictions  on Disclosure and Use: The Receiving  Party hereby agrees that the
Evaluation  Material of the Disclosing Party will be kept  confidential and will
be used solely for the purpose of  evaluating  a possible  Transaction,  and not
used for any commercial or other purpose, and that such Evaluation Material will
be kept confidential by the Receiving Party and its  Representatives;  provided,
however,  that (i) such  Evaluation  Material may be disclosed to the  Receiving
Party's  Representatives  who need to know such  information  for the purpose of
evaluating the Transaction (it being understood that such Representatives  shall
have been informed by the Receiving  Party of the  confidential  and proprietary
nature of the  Evaluation  Material,  advised of this  agreement  and shall have
agreed to be bound by the  provisions  hereof),  and (ii) any disclosure of such
Evaluation  Material  may be made  by the  Receiving  Party  if,  prior  to such
disclosure,  the Disclosing Party consents in writing to such disclosure and the
disclosure  is  consistent  with the terms of such  consent.  In any event,  the
Receiving  Party shall be responsible for any breach of this agreement by any of
its  Representatives  and  agrees,  at its sole  cost and  expense,  to take all
commercially reasonable measures to restrain its Representatives from prohibited
or  unauthorized  disclosure or use of the  Evaluation  Material.  The Receiving
Party further  agrees that the  Evaluation  Material that is in written or other
tangible  form shall not be copied or  reproduced  at any time without the prior
written  consent  of  the  Disclosing  Party,  except  for  distribution  to its
Representatives  in  accordance  with  and  subject  to the  provisions  of this
agreement.

In addition, except as required by law or stock exchange rule, each Party agrees
that,  without the prior  written  consent of the other Party,  it will not, and
will use commercially  reasonable efforts to cause its  Representatives  not to,
disclose to any person or entity (i) the existence of this agreement,  (ii) that
discussions or negotiations are taking place concerning a possible  Transaction,
or (iii) any terms,  conditions or other facts with respect to any such possible
Transaction, including the status thereof.

In the  event  that  the  Receiving  Party is  requested  or  required  (by oral
questions,  interrogatories,  requests for  information or documents,  subpoena,
civil  investigative  demand,  other  process,  or  otherwise)  to disclose  any
Evaluation  Material of the





                                                             Page 15 of 17 pages


Disclosing  Party,  it will  provide the  Disclosing  Party with prompt  written
notice of any such request or requirement (and if such request or requirement is
in written form, a copy thereof) so that the Disclosing Party may timely seek an
appropriate  protective  order or waive  compliance  with the provisions of this
agreement.  If,  failing  the entry of a  protective  order or the  receipt of a
waiver  hereunder,   a  Receiving  Party  or  any  of  its  Representatives  are
nonetheless  legally compelled to disclose Evaluation Material of the Disclosing
Party, it may disclose only that portion of the Evaluation  Material which it is
legally  compelled to disclose and will  exercise  reasonable  efforts to obtain
assurance  that  confidential  treatment will be accorded to that portion of the
Evaluation Material which is being disclosed.  In any event, the Receiving Party
will not  oppose  action  by the  Disclosing  Party  to  obtain  an  appropriate
protective order or other reliable assurance that confidential treatment will be
accorded the Evaluation Material of the Disclosing Party.

Standstill: In consideration of Ault Glazer being furnished Evaluation Materials
of Franklin,  and in view of the fact that the Evaluation  Materials may consist
and will consist of confidential,  non-public and proprietary information,  Ault
Glazer  agrees  that,  for a  period  of ten  (10)  days  from  the date of this
agreement,  without  the  prior  authorization  of the  Board  of  Directors  of
Franklin, it will not, directly or indirectly,  alone or in concert with others:
(i)  acquire,  offer or agree to acquire,  or announce an  intention  to acquire
beneficial ownership of (except and only to the extent that such announcement is
required by law or stock exchange rule) any securities of Franklin, or rights or
options to acquire the same; (ii) acquire, offer or agree to acquire or announce
an intention to acquire (except and only to the extent that such announcement is
required by law or stock exchange  rule) any material  assets of the other Party
or any subsidiary of the other Party,  (iii) make, or in any way  participate in
any "solicitation" of "proxies" to vote or "consents" (as such terms are used in
the rules and regulations of the Securities and Exchange Commission), or seek to
advise or  influence  any  person or entity  with  respect  to the voting of any
voting  securities of the other Party;  (iv) initiate or support any stockholder
proposal with respect to the other Party; (v) make any public  statements and/or
announcement  with  respect  to, or submit a proposal  for, or offer of (with or
without conditions) any extraordinary  transaction  involving the other Party or
its  securities,  material  assets or  business  or any  subsidiary  or division
thereof,  or of any successor  thereto or any controlling  person thereof;  (vi)
seek or propose to influence or control the other Party's  management,  board of
directors,   policies  or  affairs;  (vii)  disclose  any  intention,   plan  or
arrangement  inconsistent with the foregoing; or (viii) take any action that, in
the reasonable  judgment of the other Party, may require the other Party to make
a public announcement concerning any of the foregoing.

No Warranty:  The Receiving Party  understands and acknowledges that any and all
information  contained in the  Evaluation  Material of the  Disclosing  Party is
being provided without any representation or warranty, express or implied, as to
the accuracy or  completeness  of the  Evaluation  Material,  on the part of the
Disclosing Party or its Representatives. The Receiving Party further agrees that
the Disclosing Party or its Representatives  shall not have any liability to the
Receiving  Party or any of its  Representatives  resulting  from the use of this
Evaluation Material.  It is understood that





                                                             Page 16 of 17 pages


the scope of any  representations  and warranties to be given by each Party will
be  negotiated  along with other terms and  conditions in arriving at a mutually
acceptable  form of definitive  agreement for a Transaction  should  discussions
progress to such a point.

Ownership  and  Return  of the  Evaluation  Material:  All  Evaluation  Material
disclosed  by the  Disclosing  Party is and shall  remain  the  property  of the
Disclosing  Party.  No later than five business days after being so requested by
the Disclosing Party, the Receiving Party shall return or destroy all Evaluation
Material of the Disclosing  Party.  Except to the extent the Receiving  Party is
advised by counsel such  destruction  may prohibited by law, the Receiving Party
will also  return to the  Disclosing  Party or  destroy  all  written  material,
memoranda,  notes, copies,  excerpts and other writings or recordings whatsoever
prepared  by it or its  Representatives  based  upon,  containing  or  otherwise
reflecting  any  Evaluation  Material.  Any  destruction  of materials  shall be
verified  in a writing  signed by a duly  authorized  officer  of the  Receiving
Party.  Notwithstanding  the foregoing,  the Receiving  Party may retain one (1)
copy of the Evaluation Materials,  archived by its legal department, as a record
of the disclosures made hereunder for the purpose of determining its obligations
hereunder.

No  Obligation:  Each Party agrees that unless and until a definitive  agreement
regarding a Transaction has been executed, neither Party will be under any legal
obligation of any kind  whatsoever  with respect to such a Transaction by virtue
of this agreement  except for the matters  specifically  agreed to herein.  Each
Party further reserves the right, in its sole discretion,  to reject any and all
proposals made by the other Party or any of its Representatives with regard to a
Transaction,  to terminate  discussions  and  negotiations  at any time,  and to
conduct any process for a transaction involving such Party as it may determine.

Governing Law;  Jurisdiction:  This agreement shall be governed and construed in
accordance  with the laws of the State of New York,  regardless of the laws that
might otherwise govern under applicable  principles of conflicts of law thereof.
Each Party agrees, on behalf of itself and its Representatives, to submit to the
jurisdiction of any court of competent  jurisdiction located in the State of New
York to resolve any dispute  relating to this  agreement  and waive any right to
move to dismiss or  transfer  any such  action  brought in any such court on the
basis of any objection to personal jurisdiction or venue.

Term: Except as otherwise set forth herein, this agreement shall expire ten (10)
days from the date hereof;  it being  understood that any such expiration  shall
not affect in any way any liability or obligation  that either Party may have to
the other for a breach of this agreement.

This agreement may be executed by facsimile signature and in counterparts,  each
of which shall be deemed to be an  original,  but all of which shall  constitute
one and the same agreement.





                                                             Page 17 of 17 pages


Please confirm that the foregoing is in accordance  with your  understanding  of
our agreement by signing and returning to us a copy of this letter.

Very truly yours,

Ault Glazer & Co. Investment Management, LLC

By:     /s/  Milton C. Ault, III
        -------------------------------------------
        Mr. Milton "Todd" C. Ault, III
        Manager

Accepted and agreed as of the date first written above:

Franklin Capital Corp.

By:     /s/ Stephen D. Brown
        -------------------------------------------
        Mr. Stephen L. Brown
        Chairman and Chief Executive Officer