EXHIBIT 10.62

     STOCK  OPTION  AGREEMENT  made  as of the  4th day of  June,  2001  between
NATIONAL  MEDICAL  HEALTH  CARD  SYSTEMS,  INC.,  a New  York  corporation  (the
"Company"), and Tery Baskin (the "Optionee").

     WHEREAS,  the  Optionee  is an  employee  of the  Company  or a  subsidiary
thereof;

     WHEREAS,  the  Company  desires to provide to the  Optionee  an  additional
incentive to promote the success of the Company;

     NOW,  THEREFORE,  in  consideration  of the  foregoing,  the Company hereby
grants to the Optionee  (the  "Grant")  the right and option to purchase  Common
Shares of the Company under and pursuant to the terms and conditions of the 1999
Stock Option Plan (the "Plan") and upon and subject to the  following  terms and
conditions:

     1. GRANT OF OPTION. The Company hereby grants to the Optionee the right and
option (the "Option") to purchase up to Fifteen Thousand  (15,000) Common Shares
of the Company (the "Option Shares") during the following periods:

          (a) All or any part of Five  Thousand  (5,000)  Common  Shares  may be
     purchased during the period commencing June 4, 2002 and terminating at 5:00
     P.M. on June 4, 2006 (the "Expiration Date").

          (b) All or any part of Five  Thousand  (5,000)  Common  Shares  may be
     purchased  during the period  commencing on June 4, 2003 and terminating at
     5:00 P.M. on the Expiration Date.

          (c) All or any part of Five  Thousand  (5,000)  Common  Shares  may be
     purchased  during the period  commencing on June 4, 2004 and terminating at
     5:00 P.M. on the Expiration Date.

     2.  NATURE OF OPTION.  Such  Options  to  purchase  the  Option  Shares are
intended to meet the requirements of Section 422 of the Internal Revenue Code of
1986, as amended, relating to "incentive stock options".

     3. EXERCISE PRICE. The exercise price of each of the Option Shares shall be
Five Dollars and no cents($5.00) (the "Option Price"). The Company shall pay all
original issue or transfer taxes on the exercise of the Option.

     4. EXERCISE OF OPTIONS.  The Option shall be exercised in  accordance  with
the provisions of the Plan. As soon as  practicable  after the receipt of notice
of exercise (in the form annexed  hereto as Exhibit A) and payment of the Option
Price by check  in an  amount  at  least  equal to the par  value of the  Common
Shares,  together  with a  recourse  promissory  note in an amount  equal to the
balance of the  exercise  price or as otherwise  provided  for in the Plan,  the
Company shall tender to the Optionee  certificates issued in the Optionee's name
evidencing the number of Option Shares indicated in the notice of exercise.

     5. CAPITAL ADJUSTMENT.

          (a) If the  Company  is merged or  consolidated  with or into  another
     corporation  where  the  Company  is  not  the  survivor,  there  shall  be
     substituted  for the  Shares  issuable  upon  exercise  of the  outstanding
     Options  an  appropriate  number of shares  of each  class of stock,  other
     securities or other assets of the merged or consolidated  corporation which
     were  distributed  to the  shareholders  of the  Company in respect of such
     Shares; provided,  however, that the Option may be exercised in full by the
     Optionee as of the effective  date of any such merger or  consolidation  of
     the  Company  without  regard to the  installment  exercise  provisions  of
     Paragraph 1, by the Optionee giving notice in writing to the Company of his
     intention to so exercise.

          (b) If the Company is  liquidated  or dissolved  then all  outstanding
     portions of the Option may be  exercised  in full by the Optionee as of the
     effective  date of any  such  liquidation  or  dissolution  of the  Company
     without regard to the  installment  exercise  provisions of Paragraph 1, by
     the Optionee giving notice in writing to the Company of his intention to so
     exercise.

          (c) If the  outstanding  Shares of Common  Stock  shall at any time be
     changed or  exchanged  by  declaration  of a stock  dividend,  stock split,
     combination or exchange of shares, recapitalization, extraordinary dividend
     payable in stock of a corporation  other than the Company,  or otherwise in
     cash,  or any other  like event by or of the  Company,  and as often as the
     same shall occur, then the number, class and kind of Shares subject to this
     Option and the Option  Price for such  Shares  shall be  appropriately  and
     equitably  adjusted so as to maintain  the  proportionate  number of Shares
     without  changing  the  aggregate  Option  Price;  provided,   however,  no
     adjustment  shall be made by reason  of the  distribution  of  subscription
     rights on outstanding stock.

     6. CHANGE IN CONTROL.  In the event of a Change in Control (as  hereinafter
defined),  any Options granted hereunder which have not vested as of the date of
the Change in Control  shall  automatically  vest on such date.  For purposes of
this Agreement, the term "Change in Control" shall mean:

          (a) the  transfer,  through  one  transaction  or a series of  related
     transactions,  either  directly  or  indirectly,  or  through  one or  more
     intermediaries,  of beneficial  ownership (within the meaning of Rule 13d-3
     promulgated  under the  Securities  Exchange Act of 1934) of 50% or more of
     either the then  outstanding  Common Shares or the combined voting power of
     the Company's then outstanding voting securities entitled to vote generally
     in the election of directors,  or the last of any series of transfers  that
     results in the transfer of beneficial ownership (within the meaning of Rule
     13d-3 promulgated under the Securities Exchange Act of 1934) of 50% or more
     of either the then  outstanding  Common Shares or the combined voting power
     of the  Company's  then  outstanding  voting  securities  entitled  to vote
     generally in the election of directors;

          (b)  approval  by the  stockholders  of the  Company  of a  merger  or
     consolidation,  with respect to which persons who were the  stockholders of
     the  Company  immediately  prior to such  merger or  consolidation  do not,
     immediately  thereafter,  own more than 50% of the combined voting power of
     the merged or consolidated  company's then outstanding  voting  securities,
     entitled to vote generally, in the election of directors or with respect to
     a  liquidation  or  dissolution  of  the  Company  or  the  sale  of all or
     substantially all of the assets of the Company;

          (c) the  transfer,  through  one  transaction  or a series of  related
     transactions, of more than 50% of the assets of the Company, or the last of
     any series of  transfers  that  results in the transfer of more than 50% of
     the  assets  of  the  Company.   For  purposes  of  this   paragraph,   the
     determination  of what  constitutes  more  than  50% of the  assets  of the
     Company shall be determined based on the most recent  financial  statements
     prepared by the Company's independent accountants; or (d) during any fiscal
     year,  individuals who at the beginning of such year  constituted the board
     of directors of the Company (the "Board") and any new director or directors
     whose  election  by the Board was  approved  by a vote of a majority of the
     directors  then still in office who either were  directors at the beginning
     of the year or whose  election or nomination for election was previously so
     approved, cease for any reason to constitute a majority thereof.

     7. TRANSFERABILITY. The Option shall not be transferable other than by will
or the laws of descent and  distribution  and,  during the Optionee's  lifetime,
shall not be exercisable by any person other than the Optionee.

     8.  INCORPORATION  BY REFERENCE.  The terms and  conditions of the Plan are
hereby incorporated by reference and made a part hereof.

     9. NOTICES.  Any notice or other  communication  given  hereunder  shall be
deemed  sufficient  if in writing and hand  delivered or sent by  registered  or
certified mail, return receipt  requested,  addressed to the Company,  26 Harbor
Park Drive,  Port Washington,  New York 11050,  Attention:  Secretary and to the
Optionee at the address  indicated  below.  Notices shall be deemed to have been
given on the date of hand  delivery  or  mailing,  except  notices  of change of
address, which shall be deemed to have been given when received.

     10. BINDING  EFFECT.  This Agreement shall be binding upon and inure to the
benefit  of the  parties  hereto  and their  respective  legal  representatives,
successors and assigns.

     11. ENTIRE AGREEMENT. This Agreement,  together with the Plan, contains the
entire  understanding  of the parties  hereto with respect to the subject matter
hereof and may be modified only by an instrument executed by the party sought to
be charged.


<PAGE>



     IN WITNESS WHEREOF,  the parties have executed this Agreement as of the day
and year first above written.

                                  NATIONAL MEDICAL HEALTH CARD
                                  SYSTEMS, INC.



                                  By:

                                  /s/Tery Baskin
                                  Signature of Optionee

                                  Tery Baskin
                                  Name of Optionee

                                  2 Live Oaks Court, Little Rock, AR 72223
                                  Address of Optionee
<PAGE>
                                    EXHIBIT A

                   NATIONAL MEDICAL HEALTH CARD SYSTEMS, INC.
                              OPTION EXERCISE FORM

     The undersigned hereby irrevocably elects to exercise the Option dated June
4, 2001, to the extent of purchasing  Common Shares of National  Medical  Health
Card  Systems,  Inc. The  undersigned  hereby makes payment or covenants to make
payment for such Common Shares  pursuant to Section 13(b) of the Plan in payment
therefor.


                                              Tery Baskin
                                              Name of Optionee

                                              Signature of Optionee

                                              Address of Holder

                                              Date