UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
(Amendment No. 2)
GENERAL EMPLOYMENT ENTERPRISES, INC.
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(Name of Issuer)
Common Stock
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(Title of Class of Securities)
369730106
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(CUSIP Number)
Sarah C. Cunningham, Esq.
Covington & Burling
One Front Street, 35th Floor
San Francisco, CA 94111
Telephone: (415) 591-7051
Facsimile: (415) 955-6551
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(Name, Address and Telephone Number of Person
Authorized to Receive Notices and Communications)
December 27, 2006
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(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 Rule 13d-1(e), 13d-1(f) or 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 Rule 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 disclosures provided in a prior cover page.
The information required on 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).
CUSIP No. 369730106
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1. Names of Reporting Persons.
I.R.S. Identification Nos. of above persons (entities only).
Daniel Zeff
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2. Check the Appropriate Box if a Member of a Group (See
Instructions)
(a) [X]
(b) [ ]
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3. SEC Use Only
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4. Source of Funds (See Instructions) N/A
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5. Check if Disclosure of Legal Proceedings Is Required Pursuant
to Items 2(d) or 2(e) [ ].
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6. Citizenship or Place of Organization United States
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Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With
7. Sole Voting Power 513,580
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8. Shared Voting Power None
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9. Sole Dispositive Power 513,580
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10. Shared Dispositive Power None
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11. Aggregate Amount Beneficially Owned by
Each Reporting Person 513,580
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12. Check if the Aggregate Amount in Row (11) Excludes Certain
Shares (See Instructions) [ ]
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13. Percent of Class Represented by Amount in Row (11) 10.0%
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14. Type of Reporting Person (See Instructions)
IN
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CUSIP No. 369730106
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1. Names of Reporting Persons. I.R.S. Identification Nos. of
above persons (entities only).
Spectrum Galaxy Fund Ltd.
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2. Check the Appropriate Box if a Member of a Group (See
Instructions)
(a) [X]
(b) [ ]
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3. SEC Use Only
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4. Source of Funds (See Instructions) WC
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5. Check if Disclosure of Legal Proceedings Is Required Pursuant
to Items 2(d) or 2(e) [ ].
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6. Citizenship or Place of Organization British Virgin Islands
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Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With
7. Sole Voting Power 303,246
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8. Shared Voting Power None
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9. Sole Dispositive Power 303,246
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10. Shared Dispositive Power None
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11. Aggregate Amount Beneficially Owned by Each
Reporting Person 303,246
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12. Check if the Aggregate Amount in Row (11) Excludes Certain
Shares (See Instructions) [ ]
--------------------------------------------------------------------------------
13. Percent of Class Represented by Amount in Row (11) 5.9%
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14. Type of Reporting Person (See Instructions) CO
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CUSIP No. 369730106
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1. Names of Reporting Persons. I.R.S. Identification Nos. of
above persons (entities only).
Zeff Capital Partners I, L.P.
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2. Check the Appropriate Box if a Member of a Group (See
Instructions)
(a) [X]
(b) [ ]
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3. SEC Use Only
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4. Source of Funds (See Instructions) WC
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5. Check if Disclosure of Legal Proceedings Is Required Pursuant
to Items 2(d) or 2(e) [ ].
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6. Citizenship or Place of Organization Delaware
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Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With
7. Sole Voting Power 210,334
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8. Shared Voting Power None
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9. Sole Dispositive Power 210,334
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10. Shared Dispositive Power None
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11. Aggregate Amount Beneficially Owned by Each
Reporting Person 210,334
--------------------------------------------------------------------------------
12. Check if the Aggregate Amount in Row (11) Excludes Certain
Shares (See Instructions) [ ]
--------------------------------------------------------------------------------
13. Percent of Class Represented by Amount in Row (11) 4.1%
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14. Type of Reporting Person (See Instructions) PN
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CUSIP No. 369730106
--------------------------------------------------------------------------------
1. Names of Reporting Persons. I.R.S. Identification Nos. of
above persons (entities only).
Zeff Holding Company, LLC
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2. Check the Appropriate Box if a Member of a Group (See
Instructions)
(a) [X]
(b) [ ]
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3. SEC Use Only
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4. Source of Funds (See Instructions) N/A
--------------------------------------------------------------------------------
5. Check if Disclosure of Legal Proceedings Is Required Pursuant
to Items 2(d) or 2(e) [ ].
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6. Citizenship or Place of Organization Delaware
--------------------------------------------------------------------------------
Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With
7. Sole Voting Power 210,334
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8. Shared Voting Power None
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9. Sole Dispositive Power 210,334
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10.
Shared Dispositive Power None
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11. Aggregate Amount Beneficially Owned by Each Reporting
Person 210,334
--------------------------------------------------------------------------------
12. Check if the Aggregate Amount in Row (11) Excludes Certain
Shares (See Instructions) [ ]
--------------------------------------------------------------------------------
13. Percent of Class Represented by Amount in Row (11) 4.1%
--------------------------------------------------------------------------------
14. Type of Reporting Person (See Instructions) OO
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SCHEDULE 13D
This Amendment No. 2 amends and supplements that statement on Schedule
13D originally filed with the Securities and Exchange Commission on September
28, 2005 (the "Original Filing"), as amended on October 10, 2005 (the "First
Amended Filing"), by Zeff Holding Company, LLC, a Delaware limited liability
company ("Holding"), Zeff Capital Partners, I, L.P. , a Delaware limited
partnership ("Capital"), Spectrum Galaxy Fund Ltd., a company incorporated in
the British Virgin Islands ("Spectrum") and Daniel Zeff, an individual ("Zeff")
(Holding, Capital, Spectrum and Zeff are hereinafter collectively referred to as
the "Reporting Persons") related to the common stock (the "Common Stock") of
General Employment Enterprises, Inc. (the "Company"), a Illinois corporation.
Item 4. Purpose of Transaction.
Item 4 of the Original Filing is hereby amended and supplemented by
adding the following thereto:
The Reporting Persons plan to nominate a person for election as a
director of the Company at the next annual meeting of the shareholders and to
cumulate votes in connection with the election. Pursuant to the Bylaws of the
Company, the Reporting Persons have submitted a notice to the Secretary of the
Company setting forth the information required for such a notice. The notice is
attached hereto as Exhibit 2.
The Reporting Persons may acquire additional Common Stock of the
Company or dispose of Common Stock of the Company at any time and 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, the scope of possible activities is subject to change.
Except as set forth above, the Reporting Persons do not have any
present plans or proposals which relate to or would result in any of the action
described in paragraphs (a) through (j) of Item 4 of Schedule 13D.
Item 5. Interest in Securities of the Issuer.
(a) The aggregate percentage of the outstanding shares of Common
Stock reported owned by each Reporting Person is based upon
5,148,265 shares of Common Stock outstanding as of October 31,
2006, as reported in the Company's Form 10-KSB for fiscal year
ended September 30, 2006.
As of the close of business on December 28, 2006:
(i) Spectrum beneficially owns 303,246 shares of Common
Stock constituting approximately 5.9% of the shares
of Common Stock outstanding;
(ii) Capital beneficially owns 210,334 shares of Common
Stock constituting approximately 4.1% of the shares
of Common Stock outstanding;
(iii) Holding beneficially owns 210,334 shares of Common
Stock held by Capital, of which Holding is the
general partner, constituting approximately 4.1% of
the shares of Common Stock outstanding; and
(iv) Mr. Zeff beneficially owns 513,580 shares of Common
Stock comprised of 303,246 shares of Common Stock
held by Spectrum (Mr. Zeff provides discretionary
investment management services to Zeff Capital
Offshore Fund, a class of shares of Spectrum) and
210,334 shares of Common Stock held by Capital (Mr.
Zeff is the sole manger of Capital's general
partner), in total constituting approximately 10.0%
of the shares of Common Stock outstanding;
(b) Spectrum has the sole power to vote or to direct the vote and
to dispose or to direct the disposition of the 303,246 shares
of Common Stock reported herein as being beneficially owned by
it, which power is exercisable by Mr. Zeff as investment
manager. Capital has the sole power to vote or to direct the
vote and to dispose or to direct the disposition of the
210,334 shares of Common Stock reported herein as being
beneficially owned by it, which power is exercisable by Mr.
Zeff as the sole manager of Holding, Capital's general
partner.
(c) Set forth below is a description of all reportable
transactions in shares of Common Stock that have been effected
by the Reporting Person during the past 60 days.
None.
(d) No other person has the right to receive or the power to
direct the receipt of dividends from, or the proceeds from the
sale of, the Common Stock.
Item 7. Material to be Filed as Exhibits.
Exhibit 1: Joint Filing Agreement, dated as of December 29, 2006, by
and among the Reporting Persons.
Exhibit 2: Letter dated December 27, 2006, from Capital to the Company.
SIGNATURES
After reasonable inquiry and to the best of their knowledge and behalf, the
undersigned certify that the information set forth in this statement is true,
complete and correct.
Dated: December 29, 2006
/s/ Daniel Zeff
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Daniel Zeff
ZEFF HOLDING COMPANY, LLC
By: /s/ Daniel Zeff
-------------------
Name: Daniel Zeff
Title: Manager
ZEFF CAPITAL PARTNERS I, L.P.
By: Zeff Holding Company, LLC,
as general partner
By: /s/ Daniel Zeff
-------------------
Name: Daniel Zeff
Title: Manager
SPECTRUM GALAXY FUND LTD.
By: /s/ Dion R. Friedland
-------------------------
Name: Dion R. Friedland
Title: Director
Exhibit 1
Joint Filing Agreement
In accordance with Rule 13d-1(k) under the Securities Exchange Act of
1934, as amended, the undersigned hereby agree to the joint filing on
behalf of each of them of a statement on Schedule 13D (including this
Amendment No. 2 thereto) with respect to the Common Stock of General
Employment Enterprises, Inc., and that this Agreement be included as an
Exhibit to such joint filing. This Agreement may be executed in any
number of counterparts all of which taken together shall constitute one
and the same instrument.
In witness hereof, the undersigned hereby executed this Agreement this
29th day of December, 2006.
/s/ Daniel Zeff
-------------------------------
Daniel Zeff
ZEFF HOLDING COMPANY, LLC
By: /s/ Daniel Zeff
-------------------
Name: Daniel Zeff
Title: Manager
ZEFF CAPITAL PARTNERS I, L.P.
By: Zeff Holding Company, LLC,
as general partner
By: /s/ Daniel Zeff
-------------------
Name: Daniel Zeff
Title: Manager
SPECTRUM GALAXY FUND LTD.
By: /s/ Dion R. Friedland
-------------------------
Name: Dion R. Friedland
Title: Director
Exhibit 2
Letter dated December 27, 2006
Zeff Capital Partners I, L.P.
50 California Street, Suite 1500
San Francisco, CA 94941
December 27, 2006
Corporate Secretary
General Employment Enterprises, Inc.
One Tower Lane Suite 2200
Oakbrook Terrace, IL 60181
Dear Corporate Secretary,
This letter serves as notice of Zeff Capital Partners I, L.P.'s intent
to appear in person or by proxy and nominate Andrew Dailey for election as a
director of General Employment Enterprises, Inc. ("General Employment") at the
next annual meeting of the shareholders and to cumulate its votes in the
election. As a former industry analyst, executive and advisor to technology
companies and Fortune 500 CIOs, Mr. Dailey would add valuable industry insights
and relationships to General Employment's Board of Directors. Mr. Dailey's
address is: 14 Vista Real, Mill Valley, California 94941.
Zeff Capital Partners I, L.P., a Delaware limited partnership
("Capital") will nominate Mr. Dailey to the Board of Directors on behalf of
Daniel Zeff, an individual ("Zeff"), who beneficially owns the shares of General
Employment held by Capital. The address of the principal business and principal
office of each of Capital and Zeff is 50 California Street, Suite 1500, San
Francisco, California 94111.
Capital beneficially owns 210,334 shares of Common Stock of General
Employment ("Common Stock"). Spectrum Galaxy Fund Ltd., a Company incorporated
in the British Virgin Islands ("Spectrum") beneficially owns 303,246 shares of
Common Stock of General Employment. (Mr. Zeff provides discretionary investment
management services to Zeff Capital Offshore Fund, a class of shares of
Spectrum).
None of Capital, Spectrum nor Zeff have any material interest in
proposing Mr. Dailey to the Board of Directors of General Employment.
Capital and Zeff have no arrangements or understandings with Mr. Dailey
or any other persons pursuant to which the nomination is to be made.
The following additional information regarding Mr. Dailey would be
required to be included in a proxy statement filed in accordance with the proxy
rules of the SEC had the nominee been nominated by the Board of Directors of
General Employment:
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Legal Proceedings Mr. Dailey is not a party adverse to General Employment or its subsidiaries in any
material proceedings, nor does Mr. Dailey have a material interest adverse to
General Employment or its subsidiaries.
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Identification Mr. Dailey is 37 years old. He does not hold any positions or offices with
General Employment.
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Family Relationships Mr. Dailey does not have any family relationships with any directors or executive
officers of General Employment.
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Business Experience From 2001-2002, Mr. Dailey was head of US research for Hagstromer & Qviberg, a
Scandinavian investment bank. In 2002, he joined Jetstream Group, a technology
management consulting firm assisting Fortune 500 companies with sourcing software,
services and offshoring. In 2004, Mr. Dailey became a partner at Headlands
Advisors, a strategic investment and advisory firm focused on the technology
sector. He was a Founder of Arborex, a supply chain management software company,
and served as a director of ezlogin.com (sold to 724 Solutions). Mr. Dailey is
currently self-employed. None of the Mr. Dailey's listed former employers is a
parent, affiliate or subsidiary of General Employment.
Mr. Dailey has not held any directorships with registered companies or registered
investment companies.
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Involvement in Legal Proceedings Mr. Dailey has not been involved in any legal proceedings within the past five years
that are material to an evaluation of the ability or integrity of Mr. Dailey to
become a director of General Employment.
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Transactions with Management and Mr. Dailey was a party to no transactions involving General Employment since the
Others beginning of General Employment's last fiscal year, in which the amount involved
exceeded $60,000.
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Indebtedness of Management Mr. Dailey has not been indebted to General Employment at any time since the
beginning of General Employment's last fiscal year, in an amount in excess of
$60,000.
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Certain Business Relationships Mr. Dailey has not been involved in certain business relationships involving
General Employment (as described in Item 404(b) of Regulation S-K).
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Mr. Dailey's consent to serve as a director of General Employment is
attached to this notice letter as Exhibit A.
Exhibit 2
Please promptly confirm in writing that General Employment deems this
notice sufficient to nominate Mr. Dailey for election at the next annual
meeting.
Sincerely,
/s/ Daniel Zeff
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Daniel Zeff
ZEFF CAPITAL PARTNERS I, L.P.
By: Zeff Holding Company, LLC,
as general partner
By: /s/ Daniel Zeff
---------------
Name: Daniel Zeff
Exhibit 2
Exhibit A
Consent to Serve as Director
I, Andrew Dailey, do hereby confirm that if I am elected as a director
of General Employment Enterprises, Inc., an Illinois corporation, I will serve
as a director to said corporation.
It witness hereof, the undersigned hereby executed this consent this
26th day of December, 2006.
/s/ Andrew Dailey
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Andrew Dailey
14 Vista Real
Mill Valley, California 94941