FORBEARANCE AGREEMENT

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Exhibit 10.6

                              FORBEARANCE AGREEMENT

     THIS FORBEARANCE  AGREEMENT  ("Forbearance  Agreement") made as of this 6th
day of January,  2007, between SUPERIOR GALLERIES,  INC., a Delaware corporation
(the "Borrower") and STANFORD INTERNATIONAL BANK LTD., a company organized under
the laws of Antigua (the "Lender").

                              W I T N E S S E T H :

     WHEREAS,  pursuant to a Commercial Loan and Security  Agreement  originally
dated October 1, 2003, as amended as of March 29, 2005 and as further amended on
April 7, 2006,  Stanford  Financial Group Company  ("SFG") has provided  certain
credit facilities to Borrower (the "Loan Agreement").  On November 30, 2004, the
Lender was assigned all of SFG's right, title and interest in the Loan Agreement
and the promissory note issued thereunder.

     WHEREAS, pursuant to the Loan Agreement, Borrower has executed that certain
Commercial  Note  originally  dated  March 29, 2005 in the  principal  amount of
$10,850,000  (as the same now  exists or may  hereafter  be  amended,  restated,
replaced,  renewed, extended,  supplemented,  substituted or otherwise modified,
collectively, the "Note"); and

     WHEREAS, the Borrower hereby  acknowledges,  confirms and agrees that it is
in  default  of its  obligations  under the Loan  Agreement  and the Note and it
continues to be unable to perform its  obligations  thereunder,  which  defaults
continue  to exist  and  which  Lender  has  suffered  to exist  (the  "Existing
Defaults"), and as a result of the Existing Defaults, the Lender is entitled, as
of the date hereof, to exercise any and all of its rights and remedies under the
Loan  Agreement,  the Note,  applicable law or otherwise to realize upon certain
collateral (the  "Collateral")  and to collect the  obligations  owing to Lender
under the Loan Agreement and the Note; and

     WHEREAS,  in connection with the transactions  contemplated by that certain
Amended and Restated  Agreement and Plan of Merger and  Reorganization,  of even
date herewith,  by and among DGSE Companies,  Inc., a Nevada  corporation,  DGSE
Merger  Corp.,  a  Delaware  corporation,   the  Borrower  and  the  Lender,  as
stockholder agent (the "Merger Agreement"),  the Borrower has requested that the
Lender  forbear  for a limited  period of time from  exercising  its  rights and
remedies under the Loan Agreement and the Note; and

     WHEREAS, the Lender has advised the Borrower that the Lender will not waive
the Existing  Defaults  and desires to preserve the rights and remedies  arising
under  the  Loan  Agreement  and  the  Note as a  result  of the  existence  and
continuance of the Existing Defaults; and

     WHEREAS,  subject to the terms and conditions set forth herein,  Lender has
agreed to accommodate the request of the Borrower to forbear from exercising the
rights and  remedies of the Lender under the Loan  Agreement  and the Note for a
limited period of time.

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     NOW THEREFORE,  in consideration  of the mutual covenants  contained herein
and other good and valuable consideration,  the receipt and sufficiency of which
are  hereby  acknowledged,  the  parties  agree that the  foregoing  preliminary
statements are true and correct and further agree as follows:

                                    AGREEMENT
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     1. Recitals.  Each party hereto agrees that the foregoing recitals are true
and correct and are hereby incorporated herein by this reference.

     2. Acknowledgment of Outstanding Obligations. Borrower hereby acknowledges,
confirms and agrees that as of the date hereof,  the Borrower is indebted to the
Lender in the  aggregate  principal  amount of  $8,732,987.96,  plus accrued and
unpaid interest and plus all costs, fees,  commissions,  expenses and other sums
and  charges  due and owing to the  Lender  under the Note,  including,  without
limitation,  all costs and expenses  (including  attorneys'  fees and  expenses)
incurred  by Lender (all of the  foregoing  is  collectively  referred to as the
"Existing Debt"). The Borrower hereby acknowledges,  confirms and agrees that as
of the date hereof,  the  Existing  Debt is due and owing by the Borrower to the
Lender  without  offset,   defense  or  counterclaim  of  any  kind,  nature  or
description whatsoever.

     3. Binding Effect of Note. The Borrower hereby  acknowledges,  confirms and
agrees that: (a) the Loan Agreement,  the Note and each of the loan documents to
which  Borrower is a party has been duly  executed and  delivered to the Lender,
and is in full  force  and  effect  as of the date  hereof;  (b) the  covenants,
agreements and  obligations of Borrower  contained in or incurred under the Loan
Agreement,  the Note and each of the loan documents constitutes the legal, valid
and binding  obligations  of Borrower,  are  enforceable  against  Borrower,  in
accordance with the respective terms and conditions thereof, and Borrower has no