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EDGAR FILINGS

Year 2006 / December 5

FREESTAR TECHNOLOGY CORPORATION (FSRT.OB)

Sale of Equity

ITEM 3.02 UNREGISTERED SALES OF EQUITY SECURITIES.

On September 27, 2005, the Company sold 8,333,333 restricted shares of common stock to one investor for $1,000,000 cash ($0.12 per share). These shares were actually issued on October 13, 2005 and November 18, 2005.

This sale was undertaken under Regulation S under the Securities Act of 1933, as amended.

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