**CHINA
      SKY ONE MEDICAL, INC.**


**Finance
      Committee Charter**





(Adopted
      by the Board of Directors on February 22, 2008, by written unanimous
      consent) ****





**I.**  **Membership**





The
      Finance Committee (the "Committee") of the Board of Directors ("Board") of
      China
      Sky One Medical, Inc. (the “Company") shall consist of not less than three nor
      more than five members of the Board. Each Committee member shall be appointed
      by
      the Board and shall serve until a successor shall be appointed by the Board.
      In
      the event any member of the Committee shall cease to be a director of the
      Company, the vacancy thus created shall be either filled by the Board or, at
      the
      Board's discretion, left unfilled. The Board shall designate one of the
      Committee members as chairman ("Chairman") who shall preside over meetings
      of
      the Committee and report Committee actions to the Board.





**II.**  **Meetings
      and Other Actions**





The
      Committee shall hold meetings on a regularly scheduled basis and as necessary.
      Meetings shall be scheduled at the direction of the Chairman, or as requested
      by
      any Committee member. As deemed necessary by the Committee, members of the
      Finance Committee, Directors of the non-utility subsidiaries of the Company,
      and
      other individuals shall attend Committee meetings.





A
      majority of the members of the Committee shall constitute a quorum for the
      transaction of business. Meetings shall be held at the principal offices of
      the
      Company or as directed by the Chairman.





The
      Company's Secretary shall keep, or appoint an appropriate employee of the
      Company to keep, regular minutes of all Committee proceedings. The minutes
      of
      each meeting shall be reviewed and approved by legal counsel and the Chairman.
      The approved minutes shall become a permanent corporate record maintained by
      the
      Company's Secretary. Unless otherwise provided in this Charter, the meetings
      and
      any other actions of the Committee shall be governed by the provisions of the
      Bylaws of the Company applicable to meetings and actions of the Board, and
      the
      Committee shall have all of the authority of the Board in fulfilling its duties
      and responsibilities except as limited by said applicable provisions of the
      Bylaws of the Company.





**III.**  **Duties
      and Responsibilities**





The
      Committee shall have the following duties and responsibilities:





(1)
            Review
                the financial planning process of the Company and the subsidiaries
                of the
                Company;








China
      Sky
      One Medical, Inc.


Finance
      Committee Charter


Page
      2




(2)
            Review
                at least annually the financial structure of the Company and the
                subsidiaries of the Company;





(3)
            Review
                at least annually the investment outlook for the Company and the
                subsidiaries of the Company; and





(4)
            Perform
                such additional functions as are necessary or prudent to fulfill
                the
                Committee's duties and responsibilities.