On July 31, 2008, at about 1438 eastern daylight time, an amateur built Velocity 173RG, N269VE, was substantially damaged when it impacted a marsh area during climb out from the St. Augustine Airport (SGJ), St. Augustine, Florida. The commercial certificated pilot, and his passenger, also a certificated commercial pilot, were killed. The local flight was operated as a personal flight under the provisions of 14 Code of Federal Regulations (CFR) Part 91, and no flight plan was filed. Visual meteorological conditions prevailed at the time of the accident. In a statement made to a Federal Aviation Administration (FAA) inspector by the SGJ tower controller, it was revealed that after the airplane became airborne it made a hard left turn prior to the runway departure end. At that point it appeared to level out momentarily, and then made another hard left turn, impacting a marsh northeast of the SGJ very high frequency omni directional range (VOR). The controller also stated that no "MAYDAY" transmission was received prior to the accident. A witness to the accident reported that the aircraft was "For Sale" and the purpose of the flight was a demonstration to a prospective buyer, who was the passenger. Reportedly, the aircraft was previously tied down outside, on the general aviation ramp at SGJ, and had been inactive for an undetermined extended period of time prior to the accident flight. He watched as the airplane became airborne, ascending normally. At an altitude of about 50 feet the engine lost power and began to surge. The airplane leveled off, began banking to the left, and impacted the ground northeast of the VOR. The pilot, age 51, held a commercial pilot certificate with ratings for instrument airplane single engine land. His certificate was updated on March 21, 1997. He held a second-class medical certificate issued on January 3, 2007, with limitations for corrective lenses. According to the pilot's most recent medical application, he logged a total flight time of 1,200 hours. The pilot's logbooks were not recovered for review. The two-seat, low-wing, retractable gear airplane, serial number DM0269, was certified in 2007. It was powered by a Lycoming IO-360-C1F6, 200-horsepower engine and equipped with a three bladed MT-Propeller USA model P25NE. Review of the aircraft maintenance logbook records showed that a conditional inspection was completed on March 1, 2007, at a tachometer reading of 170.7 hours, and an airframe total time of 170.7 hours. The on scene examination was conducted by a FAA inspector and a representative from Textron Lycoming. All major structural components and flight control surfaces were located at the wreckage site. The airplane was fragmented, and the debris field extended over 100 feet. All flight control surface push and pull tubes were located at the site, but flight control continuity could not be established because of impact damage. The frontal area of the airplane including the cockpit was fragmented and submerged in water. The rear portion of the fuselage including the engine and propeller remained together as an assembly. Two of the three blades of the propeller were damaged at the tips. The airplane was recovered from the marsh area to facilitate an examination of the airframe and engine. The engine crankshaft was rotated by hand and continuity of the crankshaft, camshaft, valve train, and accessory drives was established. All four cylinders produced compression when the engine crankshaft was rotated. A lighted bore scope was used to examine the internal top end components, and no preimpact anomalies were revealed. At the conclusion of the engine examination no evidence of any preimpact mechanical failure or malfunction was identified which would have prevented the engine from developing power prior to the accident. In addition, no evidence of fuel contamination was identified in the fuel lines and components aft of the firewall. The Office of the Medical Examiner, District 23, St. Augustine, Florida, conducted the postmortem examination of the pilot, on August 1, 2008. The reported cause of death was blunt force trauma. Forensic toxicology was performed on specimens from the pilot by the Federal Aviation Administration Bioaeronautical Sciences Research Laboratory, Oklahoma City, Oklahoma. The toxicology report stated no ethanol was detected in the liver or muscle, and no drugs were detected in the liver.