Exhibit 10(ax) FIFTH AMENDMENT OF CONSULTING AGREEMENT DATED SEPTEMBER 30, 2002 BETWEEN NCT GROUP, INC. AND ACME ASSOCIATES, INC. Dated November 3, 2003 WHEREAS, a Consulting Agreement was entered into between NCT Group, Inc. (hereinafter referred to as the "Company") and Acme Associates, Inc. (hereinafter referred to as "Consultant") which commenced on September 30, 2002 (the "Agreement"); and WHEREAS, it is the desire of the parties hereto to amend the Agreement because of substantial additional consulting services to be provided by Consultant. NOW THEREFORE, in consideration of the mutual promises contained herein, it is agreed as follows: 1. Paragraph 2, Duties of Consultant, shall be amended to add the following: "In addition to the above consulting services, Consultant will provide consulting services in the nature of tax advice." 2. Paragraph 5, Equity for Services, shall be amended to add the following: "The Company hereby grants the Consultant an additional five year (5) stock option in the Company's common stock for 2,000,000 shares of the Company's common stock at the price per share of $.045, which was the closing price as of November 3, 2003. The foregoing options will vest immediately and will be part of the Stock Option Agreement to be created by the Company. The shares underlying this option will be registered by the Company with the next registration statement filed by the Company. This option has 1 been approved by the Board of Directors. All previous options as amended shall continue to be in full force and effect." 3. All other terms and conditions of the Agreement, except as modified herein, are hereby ratified, confirmed and are in full force and effect between the parties. AGREED & ACCEPTED: NCT GROUP, INC. ACME ASSOCIATES, INC. Consultant /s/ Michael J. Parrella /s/ Morton Salkind --------------------------------- -------------------------- By: Michael J. Parrella By: Morton Salkind Chairman & C.E.O. President 2