Besides his pornography interests, Mr Mackay has been involved...

Besides his pornography interests, Mr Mackay has been involved with failed speculative stockmarket plays in the US. To protect investors, the US Securities and Exchange Commission (SEC) suspended Sure Trace Security in August 2005, citing the accuracy of public information regarding its technology sales.

Sure Trace had made a number of major contract announcements which had not become actual, revenue-generating contracts.

After Sure Trace was delisted by the SEC, it spun out True Product ID as a company to conduct technology joint ventures in China.

The other Mackay company involved in the ERG deal, Globe Staff Consulting -- also spun out of Sure Trace -- had its business registration revoked by the SEC for failing to file reports on October 20 last year after it had announced the ERG deal but before ERG announced the deal.

http://www.australianit.news.com.au/story/0,24897,21017138-15316,00.html

Mr Mackay had set up Sure Trace Asia (now True Product ID Technology of Hong Kong) while he was chairman of Sure Trace Security, and he transferred two-thirds of the company to an associate, the former English football star Steve McManaman.

In November 2005, a Utah court had ordered that Sure Trace pay former director Tien May Lau $US600,000 in damages after Ms Tien May had lent $US200,000 to the company.

Mr Mackay was also chief executive of the now defunct internet gaming company World Gaming. While Mr Mackay was CEO, World Gaming's principal assets were sold to Chisel Media, of which Mr Mackay was a major shareholder. The payment was never received.

A source told The Australian that ERG had been warned about Mr Mackay's colourful history before it struck the deal.