Document:

EXHIBIT 10.11

                                ESCROW AGREEMENT

            THIS ESCROW AGREEMENT (this "Agreement") is made and entered into as
of March 17, 2004 by INSTAPAY SERVICES INC., a Utah corporation (the "Company");
CORNELL CAPITAL PARTNERS,  LP, a Delaware limited  partnership (the "Investor");
and BUTLER GONZALEZ LLP (the "Escrow Agent").

                                   BACKGROUND

            WHEREAS,  the Company and the Investor  have entered into an Standby
Equity  Distribution  Agreement (the "Standby  Equity  Distribution  Agreement")
dated as of the date hereof,  pursuant to which the Investor  will  purchase the
Company's  Common Stock,  par value $.001 per share (the "Common  Stock"),  at a
price per share  equal to the  Purchase  Price,  as that term is  defined in the
Standby  Equity  Distribution  Agreement,  for an aggregate  price of up to Five
Million Dollars ($5,000,000). The Standby Equity Distribution Agreement provides
that on each Advance Date the  Investor,  as that term is defined in the Standby
Equity Distribution Agreement, shall deposit the Advance pursuant to the Advance
Notice in a segregated escrow account to be held by Escrow Agent and the Company
shall deposit shares of the Company's Common Stock,  which shall be purchased by
the Investor as set forth in the Standby Equity Distribution Agreement, with the
Escrow  Agent,  in order to  effectuate  a  disbursement  to the  Company of the
Advance by the Escrow Agent and a disbursement  to the Investor of the shares of
the Company's  Common Stock by Escrow Agent at a closing to be held as set forth
in the Standby Equity Distribution Agreement (the "Closing").

            WHEREAS,  Escrow Agent has agreed to accept,  hold, and disburse the
funds  and  the  shares  of the  Company's  Common  Stock  deposited  with it in
accordance with the terms of this Agreement.

            WHEREAS,  in order to  establish  the  escrow of funds and shares to
effect the provisions of the Standby Equity Distribution Agreement,  the parties
hereto have entered into this Agreement.

            NOW  THEREFORE,  in  consideration  of the  foregoing,  it is hereby
agreed as follows:

      1. Definitions. The following terms shall have the following meanings when
used herein:

            a. "Escrow  Funds" shall mean the Advance funds  deposited  with the
Escrow Agent pursuant to this Agreement.

            b. "Joint Written Direction" shall mean a written direction executed
by the  Investor  and the Company  directing  Escrow  Agent to disburse all or a
portion  of the  Escrow  Funds or to take or  refrain  from  taking  any  action
pursuant to this Agreement.

            c.  "Common  Stock  Joint  Written  Direction"  shall mean a written
direction executed by the Investor and the Company directing  Investor's Counsel
to disburse all or a portion of the shares of the  Company's  Common Stock or to
refrain from taking any action pursuant to this Agreement.

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      2. Appointment of and Acceptance by Escrow Agent.

            a. The Investor and the Company hereby appoint Escrow Agent to serve
as Escrow Agent  hereunder.  Escrow Agent hereby accepts such  appointment  and,
upon receipt by wire transfer of the Escrow Funds in  accordance  with Section 3
below,  agrees to hold,  invest and disburse the Escrow Funds in accordance with
this Agreement.

            b. The Investor and the Company  hereby  appoint the Escrow Agent to
serve as the holder of the shares of the  Company's  Common Stock which shall be
purchased by the Investor. The Escrow Agent hereby accepts such appointment and,
upon receipt via D.W.A.C or the  certificates  representing of the shares of the
Company's  Common Stock in accordance  with Section 3 below,  agrees to hold and
disburse  the  shares of the  Company's  Common  Stock in  accordance  with this
Agreement.

            c. The Company hereby  acknowledges that the Escrow Agent is counsel
to the Investor in connection with the transactions  contemplated and referenced
herein.  The  Company  agrees  that  in the  event  of any  dispute  arising  in
connection  with this Escrow  Agreement  or  otherwise  in  connection  with any
transaction or agreement  contemplated and referenced  herein,  the Escrow Agent
shall be permitted  to continue to  represent  the Investor and the Company will
not seek to disqualify such counsel.

      3. Creation of Escrow Account/Common Stock Account.

            a. On or prior to the date of this  Agreement the Escrow Agent shall
establish  an escrow  account  for the deposit of the Escrow  Funds  entitled as
follows:  Instapay Systems,  Inc/Cornell Capital Partners, LP. The Investor will
wire funds to the account of the Escrow Agent as follows:

BANK:                             Wachovia, N.A. of New Jersey

ROUTING #:                        031201467

ACCOUNT #:                        2020000659170

NAME ON ACCOUNT:                  Butler Gonzalez LLP as Escrow Agent

NAME ON SUB-ACCOUNT:              Instapay Systems Inc/Cornell Capital Partners,
                                  LP Escrow account

            b. On or prior to the date of this  Agreement the Escrow Agent shall
establish an account for the D.W.A.C. of the shares of Common Stock. The Company
will D.W.A.C.  shares of the Company's Common Stock to the account of the Escrow
Agent as follows:

BROKERAGE FIRM:                               Crown Financial Group
CLEARING HOUSE:                               Fiserv
ACCOUNT #:                                    56797702

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DTC #:                                        0632
NAME ON ACCOUNT:                              Butler Gonzalez LLP Escrow Account

      4. Deposits  into the Escrow  Account.  The Investor  agrees that it shall
promptly  deliver all monies for the  payment of the Common  Stock to the Escrow
Agent for deposit in the Escrow Account.

      5. Disbursements from the Escrow Account.

            a.  At  such  time as  Escrow  Agent  has  collected  and  deposited
instruments  of payment in the total amount of the Advance and has received such
Common Stock via D.W.A.C from the Company which are to be issued to the Investor
pursuant to the Standby Equity  Distribution  Agreement,  the Escrow Agent shall
notify the Company and the Investor. The Escrow Agent will continue to hold such
funds  until the  Investor  and  Company  execute  and  deliver a Joint  Written
Direction  directing  the Escrow Agent to disburse the Escrow Funds  pursuant to
Joint  Written  Direction  at which time the Escrow  Agent shall wire the Escrow
Funds to the Company.  In disbursing  such funds,  Escrow Agent is authorized to
rely upon such Joint Written Direction from Company and may accept any signatory
from  the  Company  listed  on the  signature  page  to this  Agreement  and any
signature from the Investor that Escrow Agent already has on file.  Simultaneous
with delivery of the executed  Joint  Written  Direction to the Escrow Agent the
Investor  and Company  shall  execute and deliver a Common  Stock Joint  Written
Direction to the Escrow Agent  directing the Escrow Agent to release via D.W.A.C
to the Investor the shares of the  Company's  Common  Stock.  In releasing  such
shares of Common Stock the Escrow Agent is  authorized  to rely upon such Common
Stock Joint Written Direction from Company and may accept any signatory from the
Company  listed on the signature  page to this  Agreement and any signature from
the Escrow Agent has on file.

            In the event the  Escrow  Agent does not  receive  the amount of the
Advance  from the  Investor or the shares of Common Stock to be purchased by the
Investor  from the  Company,  the Escrow  Agent shall notify the Company and the
Investor.

            In the event that the Escrow Agent has not received the Common Stock
to be purchased by the  Investor  from the Company,  in no event will the Escrow
Funds be released to the  Company  until such shares are  received by the Escrow
Agreement.  For purposes of this Agreement, the term "Common Stock Certificates"
shall mean Common Stock  certificates to be purchased pursuant to the respective
Advance Notice pursuant to the Standby Equity Distribution Agreement.

      6. Deposit of Funds. The Escrow Agent is hereby  authorized to deposit the
wire transfer proceeds in the Escrow Account.

      7. Suspension of Performance: Disbursement Into Court.

            a.  Escrow  Agent.  If at any time,  there  shall  exist any dispute
between the Company and the Investor with respect to holding or  disposition  of
any portion of the Escrow Funds or the Common Stock or any other  obligations of
Escrow Agent  hereunder,  or if at any time Escrow Agent is unable to determine,

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to Escrow Agent's sole  satisfaction,  the proper  disposition of any portion of
the  Escrow  Funds  or  Escrow  Agent's  proper  actions  with  respect  to  its
obligations hereunder, or if the parties have not within thirty (30) days of the
furnishing  by Escrow  Agent of a notice of  resignation  pursuant  to Section 9
hereof,  appointed a successor Escrow Agent to act hereunder,  then Escrow Agent
may, in its sole discretion, take either or both of the following actions:

                  i.  Suspend  the   performance  of  any  of  its   obligations
(including  without  limitation any disbursement  obligations) under this Escrow
Agreement  until  such  dispute or  uncertainty  shall be  resolved  to the sole
satisfaction  of  Escrow  Agent  or  until a  successor  Escrow  Agent  shall be
appointed (as the case may be); provided however, Escrow Agent shall continue to
invest the Escrow Funds in accordance with Section 8 hereof; and/or

                  ii. Petition (by means of an interpleader  action or any other
appropriate method) any court of competent  jurisdiction in any venue convenient
to Escrow Agent, for  instructions  with respect to such dispute or uncertainty,
and to the  extent  required  by law,  pay into  such  court,  for  holding  and
disposition in accordance with the instructions of such court, all funds held by
it in the Escrow Funds,  after deduction and payment to Escrow Agent of all fees
and expenses  (including  court costs and attorneys'  fees) payable to, incurred
by, or expected to be incurred by Escrow Agent in connection with performance of
its duties and the exercise of its rights hereunder.

                  iii. Escrow Agent shall have no liability to the Company,  the
Investor,  or any person with respect to any such  suspension of  performance or
disbursement  into  court,  specifically  including  any  liability  or  claimed
liability that may arise, or be alleged to have arisen, out of or as a result of
any delay in the  disbursement of funds held in the Escrow Funds or any delay in
with respect to any other action required or requested of Escrow Agent.

      8.  Investment of Escrow Funds.  The Escrow Agent shall deposit the Escrow
Funds in a non-interest bearing money market account.

            If Escrow  Agent has not received a Joint  Written  Direction at any
time that an  investment  decision  must be made,  Escrow  Agent may  retain the
Escrow Fund, or such portion thereof, as to which no Joint Written Direction has
been received, in a non-interest bearing money market account.

      9.  Resignation and Removal of Escrow Agent.  Escrow Agent may resign from
the performance of its duties  hereunder at any time by giving thirty (30) days'
prior written notice to the parties or may be removed, with or without cause, by
the parties,  acting jointly,  by furnishing a Joint Written Direction to Escrow
Agent,  at any time by the  giving of ten (10)  days'  prior  written  notice to
Escrow Agent as provided  herein below.  Upon any such notice of  resignation or
removal,  the  representatives  of the  Investor and the Company  identified  in
Sections 13a.(iv) and 13b.(iv),  below, jointly shall appoint a successor Escrow
Agent  hereunder,  which  shall be a  commercial  bank,  trust  company or other
financial  institution  with  a  combined  capital  and  surplus  in  excess  of
$10,000,000.00.  Upon the  acceptance  in writing of any  appointment  of Escrow
Agent hereunder by a successor  Escrow Agent,  such successor Escrow Agent shall
thereupon succeed to and become vested with all the rights,  powers,  privileges
and duties of the retiring Escrow Agent,  and the retiring Escrow Agent shall be
discharged  from  its  duties  and  obligations under this Escrow Agreement, but

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shall not be  discharged  from any  liability  for actions taken as Escrow Agent
hereunder  prior  to  such   succession.   After  any  retiring  Escrow  Agent's
resignation or removal,  the provisions of this Escrow  Agreement shall inure to
its  benefit as to any  actions  taken or omitted to be taken by it while it was
Escrow  Agent under this  Escrow  Agreement.  The  retiring  Escrow  Agent shall
transmit all records pertaining to the Escrow Funds and shall pay all funds held
by it in the Escrow Funds to the successor Escrow Agent,  after making copies of
such records as the retiring  Escrow Agent deems  advisable and after  deduction
and payment to the retiring  Escrow  Agent of all fees and  expenses  (including
court costs and  attorneys'  fees)  payable to,  incurred  by, or expected to be
incurred by the retiring  Escrow Agent in connection with the performance of its
duties and the exercise of its rights hereunder.

      10. Liability of Escrow Agent.

            a. Escrow Agent shall have no liability or  obligation  with respect
to the Escrow  Funds  except  for Escrow  Agent's  willful  misconduct  or gross
negligence.  Escrow Agent's sole  responsibility  shall be for the  safekeeping,
investment, and disbursement of the Escrow Funds in accordance with the terms of
this  Agreement.  Escrow Agent shall have no implied duties or  obligations  and
shall not be charged with  knowledge or notice or any fact or  circumstance  not
specifically  set forth herein.  Escrow Agent may rely upon any instrument,  not
only as to its due  execution,  validity and  effectiveness,  but also as to the
truth and  accuracy of any  information  contained  therein,  which Escrow Agent
shall in good faith  believe to be genuine,  to have been signed or presented by
the person or parties  purporting to sign the same and conform to the provisions
of this  Agreement.  In no event shall  Escrow  Agent be liable for  incidental,
indirect, special, and consequential or punitive damages. Escrow Agent shall not
be obligated to take any legal action or commence any  proceeding  in connection
with the Escrow  Funds,  any account in which Escrow Funds are  deposited,  this
Agreement  or the  Standby  Equity  Distribution  Agreement,  or to  appear  in,
prosecute  or defend  any such  legal  action or  proceeding.  Escrow  Agent may
consult legal counsel  selected by it in the event of any dispute or question as
to construction of any of the provisions hereof or of any other agreement or its
duties  hereunder,  or relating to any dispute  involving any party hereto,  and
shall  incur no  liability  and shall be fully  indemnified  from any  liability
whatsoever  in acting in  accordance  with the opinion or  instructions  of such
counsel.  The Company and the Investor jointly and severally shall promptly pay,
upon  demand,  the  reasonable  fees and expenses of any such counsel and Escrow
Agent is hereby  authorized  to pay such fees and  expenses  from  funds held in
escrow.

            b. The Escrow Agent is hereby authorized, in its sole discretion, to
comply with orders  issued or process  entered by any court with  respect to the
Escrow  Funds,  without  determination  by the  Escrow  Agent  of  such  court's
jurisdiction  in the matter.  If any portion of the Escrow  Funds is at any time
attached,  garnished  or  levied  upon  under any  court  order,  or in case the
payment, assignment, transfer, conveyance or delivery of any such property shall
be stayed or enjoined by any court order,  or in any case any order  judgment or
decree shall be made or entered by any court affecting such property or any part
thereof, then and in any such event, the Escrow Agent is authorized, in its sole
discretion, to rely upon and comply with any such order, writ judgment or decree
which it is advised by legal counsel  selected by it,  binding upon it,  without
the need for appeal or other action;  and if the Escrow Agent  complies with any
such  order,  writ,  judgment  or  decree,  it shall not be liable to any of the
parties  hereto  or to any other  person or entity by reason of such  compliance
even though such order,  writ judgment or decree may be  subsequently  reversed,
modified, annulled, set aside or vacated.

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      11.  Indemnification of Escrow Agent. From and at all times after the date
of this  Agreement,  the parties  jointly and severally,  shall,  to the fullest
extent  permitted by law and to the extent provided  herein,  indemnify and hold
harmless Escrow Agent and each director, officer, employee,  attorney, agent and
affiliate of Escrow Agent (collectively,  the "Indemnified Parties") against any
and all actions,  claims (whether or not valid), losses,  damages,  liabilities,
costs  and  expenses  of  any  kind  or  nature  whatsoever  (including  without
limitation  reasonable  attorney's  fees,  costs and  expenses)  incurred  by or
asserted against any of the Indemnified  Parties from and after the date hereof,
whether direct, indirect or consequential,  as a result of or arising from or in
any way relating to any claim,  demand,  suit, action, or proceeding  (including
any inquiry or  investigation) by any person,  including without  limitation the
parties to this Agreement,  whether  threatened or initiated,  asserting a claim
for any legal or  equitable  remedy  against  any  person  under any  statute or
regulation, including, but not limited to, any federal or state securities laws,
or under any common law or  equitable  cause or  otherwise,  arising  from or in
connection with the negotiation,  preparation, execution, performance or failure
of performance of this Agreement or any transaction contemplated herein, whether
or not any such  Indemnified  Party is a party to any such action or proceeding,
suit or the target of any such inquiry or investigation; provided, however, that
no  Indemnified  Party  shall  have the right to be  indemnified  hereunder  for
liability finally determined by a court of competent jurisdiction, subject to no
further  appeal,  to have resulted  solely from the gross  negligence or willful
misconduct  of such  Indemnified  Party.  If any such  action or claim  shall be
brought or asserted against any Indemnified  Party, such Indemnified Party shall
promptly notify the Company and the Investor  hereunder in writing,  and the and
the Company  shall  assume the defense  thereof,  including  the  employment  of
counsel and the payment of all expenses.  Such  Indemnified  Party shall, in its
sole discretion,  have the right to employ separate counsel (who may be selected
by such  Indemnified  Party in its sole  discretion)  in any such  action and to
participate and to participate in the defense thereof, and the fees and expenses
of such  counsel  shall  be paid by such  Indemnified  Party,  except  that  the
Investor  and/or the  Company  shall be required to pay such fees and expense if
(a) the Investor or the Company agree to pay such fees and expenses,  or (b) the
Investor  and/or the Company  shall fail to assume the defense of such action or
proceeding or shall fail, in the sole discretion of such  Indemnified  Party, to
employ counsel  reasonably  satisfactory  to the  Indemnified  Party in any such
action or proceeding,  (c) the Investor and the Company are the plaintiff in any
such  action or  proceeding  or (d) the named or  potential  parties to any such
action or proceeding  (including any potentially impleaded parties) include both
Indemnified  Party the Company and/or the Investor and  Indemnified  Party shall
have been  advised  by  counsel  that  there may be one or more  legal  defenses
available to it which are different from or additional to those available to the
Company or the  Investor.  The  Investor  and the  Company  shall be jointly and
severally  liable to pay fees and expenses of counsel  pursuant to the preceding
sentence, except that any obligation to pay under clause (a) shall apply only to
the party so agreeing.  All such fees and expenses payable by the Company and/or
the Investor pursuant to the foregoing  sentence shall be paid from time to time
as incurred,  both in advance of and after the final  disposition of such action
or claim.  The  obligations  of the parties under this section shall survive any
termination of this  Agreement,  and  resignation or removal of the Escrow Agent
shall be independent of any obligation of Escrow Agent.

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      12.  Expenses  of Escrow  Agent.  Except as set  forth in  Section  11 the
Company shall  reimburse  Escrow Agent for all of its  reasonable  out-of-pocket
expenses,  including  attorneys' fees, travel expenses,  telephone and facsimile
transmission  costs,  postage  (including  express mail and  overnight  delivery
charges),  copying  charges  and the like as  outlined  in  Section  12.4 of the
Standby  Equity  Distribution  Agreement  dated  the  date  hereof.  All  of the
compensation  and  reimbursement  obligations set forth in this Section shall be
payable by the Company,  upon demand by Escrow  Agent.  The  obligations  of the
Company under this Section shall survive any  termination  of this Agreement and
the resignation or removal of Escrow Agent.

      13. Warranties.

            a. The Investor makes the following  representations  and warranties
to the Escrow Agent and Investor's Counsel:

                  i. The  Investor  has full power and  authority to execute and
deliver this Agreement and to perform its obligations hereunder.

                  ii. This  Agreement  has been duly  approved by all  necessary
action of the Investor,  including any necessary approval of the limited partner
of the Investor, has been executed by duly authorized officers of the Investor's
general partner, enforceable in accordance with its terms.

                  iii. The execution,  delivery, and performance of the Investor
of this Agreement will not violate,  conflict with, or cause a default under the
agreement  of  limited  partnership  of  the  Investor,  any  applicable  law or
regulation,  any  court  order or  administrative  ruling or degree to which the
Investor  is a  party  or any of its  property  is  subject,  or any  agreement,
contract, indenture, or other binding arrangement.

                  iv.  Mark A.  Angelo  has been  duly  appointed  to act as the
representative  of  Investor  hereunder  and has full  power  and  authority  to
execute,  deliver, and perform this Agreement,  to execute and deliver any Joint
Written Direction,  to amend,  modify, or waive any provision of this Agreement,
and to take any and all other  actions as the  Investor's  representative  under
this Agreement, all without further consent or direction form, or notice to, the
Investor or any other party.

                  v. No party other than the parties hereto have, or shall have,
any lien, claim or security interest in the Escrow Funds or any part thereof. No
financing  statement  under  the  Uniform  Commercial  Code  is on  file  in any
jurisdiction claiming a security interest in or describing (whether specifically
or generally) the Escrow Funds or any part thereof.

                  vi. All of the  representations and warranties of the Investor
contained  herein are true and  complete  as of the date hereof and will be true
and complete at the time of any disbursement from the Escrow Funds.

            b. The Company makes the following representations and warranties to
Escrow Agent and, the Investor:

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                  i.  The  Company  is a  corporation  duly  organized,  validly
existing, and in good standing under the laws of the State of Utah, and has full
power and  authority  to execute and deliver this  Agreement  and to perform its
obligations hereunder.

                  ii. This  Agreement  has been duly  approved by all  necessary
corporate action of the Company,  including any necessary  shareholder approval,
has been executed by duly  authorized  officers of the Company,  enforceable  in
accordance with its terms.

                  iii. The execution,  delivery,  and performance by the Company
of this Escrow  Agreement is in accordance with the Standby Equity  Distribution
Agreement  and will not violate,  conflict  with,  or cause a default  under the
certificate  of  incorporation  or bylaws of the Company,  any applicable law or
regulation,  any  court  order or  administrative  ruling or decree to which the
Company  is a  party  or any of  its  property  is  subject,  or any  agreement,
contract, indenture, or other binding arrangement.

                  iv.  Harry  Hargens  has  been  duly  appointed  to act as the
representative  of the Company  hereunder  and has full power and  authority  to
execute,  deliver, and perform this Agreement,  to execute and deliver any Joint
Written Direction, to amend, modify or waive any provision of this Agreement and
to take all other actions as the Company's  Representative under this Agreement,
all without  further consent or direction from, or notice to, the Company or any
other party.

                  v. No party other than the  parties  hereto  shall  have,  any
lien,  claim or security  interest in the Escrow Funds or any part  thereof.  No
financing  statement  under  the  Uniform  Commercial  Code  is on  file  in any
jurisdiction claiming a security interest in or describing (whether specifically
or generally) the Escrow Funds or any part thereof.

                  vi. All of the  representations  and warranties of the Company
contained  herein are true and  complete  as of the date hereof and will be true
and complete at the time of any disbursement from the Escrow Funds.

      14. Consent to Jurisdiction  and Venue. In the event that any party hereto
commences  a  lawsuit  or other  proceeding  relating  to or  arising  from this
Agreement,  the parties  hereto agree that the United States  District Court for
the District of New Jersey shall have the sole and exclusive  jurisdiction  over
any  such   proceeding.   If  all  such  courts  lack  federal   subject  matter
jurisdiction,  the parties agree that the Superior Court Division of New Jersey,
Chancery  Division of Hudson County shall have sole and exclusive  jurisdiction.
Any of these  courts  shall be proper  venue for any such  lawsuit  or  judicial
proceeding and the parties hereto waive any objection to such venue. The parties
hereto consent to and agree to submit to the  jurisdiction  of any of the courts
specified  herein  and agree to accept the  service of process to vest  personal
jurisdiction over them in any of these courts.

      15. Notice.  All notices and other  communications  hereunder  shall be in
writing and shall be deemed to have been validly served, given or delivered five
(5) days after deposit in the United States mail, by certified  mail with return
receipt requested and postage prepaid,  when delivered  personally,  one (1) day
delivery to any overnight courier, or when transmitted by facsimile transmission
and addressed to the party to be notified as follows:

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If to Investor, to:         Cornell Capital Partners, LP
                            101 Hudson Street - Suite 3606
                            Jersey City, New Jersey 07302
                            Attention: Mark Angelo
                            Facsimile: (201) 985-8266

If to Escrow Agent, to:     Butler Gonzalez LLP
                            1000 Stuyvesant Avenue - Suite 6
                            Union, New Jersey 07083
                            Attention:  David Gonzalez, Esq.
                            Facsimile: (908) 810-0973

If to Company, to:          Instapay Systems Inc.
                            98 Shoreline Way
                            Hampton, GA 30228
                            Attention:  Harry Hargens, President
                            Telephone:  (770) 471-4944
                            Facsimile:  (770) 471-5686

With a copy to:             Kirkpatrick & Lockhart LLP
                            201 South Biscayne Boulevard - Suite 2000
                            Miami, FL 33131-2399
                            Attention:  Clayton E. Parker, Esq.
                            Telephone:  (305) 539-3300
                            Facsimile:  (305) 358-7095

      Or to such other  address as each party may  designate  for itself by like
notice.

      16.  Amendments  or  Waiver.  This  Agreement  may  be  changed,   waived,
discharged or terminated  only by a writing  signed by the parties of the Escrow
Agent.  No delay or omission by any party in  exercising  any right with respect
hereto  shall  operate  as  waiver.  A waiver on any one  occasion  shall not be
construed as a bar to, or waiver of, any right or remedy on any future occasion.

      17.  Severability.  To the  extent  any  provision  of this  Agreement  is
prohibited  by  or  invalid  under  applicable  law,  such  provision  shall  be
ineffective  to  the  extent  of  such  prohibition,   or  invalidity,   without
invalidating the remainder of such provision or the remaining provisions of this
Agreement.

      18.  Governing Law. This Agreement  shall be construed and  interpreted in
accordance  with the internal laws of the State of Utah without giving effect to
the conflict of laws principles thereof.

      19. Entire  Agreement.  This Agreement  constitutes  the entire  Agreement
between the parties relating to the holding, investment, and disbursement of the
Escrow Funds and sets forth in their entirety the  obligations and duties of the
Escrow Agent with respect to the Escrow Funds.

                                       9
<PAGE>

      20. Binding Effect.  All of the terms of this  Agreement,  as amended from
time to time,  shall be binding upon, inure to the benefit of and be enforceable
by the respective heirs, successors and assigns of the Investor, the Company, or
the Escrow Agent.

      21.  Execution  of  Counterparts.  This  Agreement  and any Joint  Written
Direction  may be  executed  in  counter  parts,  which when so  executed  shall
constitute one and same agreement or direction.

22.  Termination.  Upon the  first to occur of the  termination  of the  Standby
Equity  Distribution  Agreement dated the date hereof or the disbursement of all
amounts in the Escrow  Funds and Common  Stock into court  pursuant to Section 7
hereof,  this Agreement  shall  terminate and Escrow Agent shall have no further
obligation or liability  whatsoever with respect to this Agreement or the Escrow
Funds or Common Stock.

                  [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

<PAGE>

            IN WITNESS  WHEREOF the parties  have  hereunto  set their hands and
seals the day and year above set forth.

                                               INSTAPAY SYSTEMS, INC.

                                               By: /s/ Harry Hargens
                                                  ------------------------------
                                               Name:  Harry Hargens
                                               Title: President

                                               CORNELL CAPITAL PARTNERS, LP

                                               By:    Yorkville Advisors, LLC
                                               Its:   General Partner

                                               By: /s/ Mark A. Angelo
                                                  ------------------------------
                                               Name:  Mark A. Angelo
                                               Title: Portfolio Manager

                                               BUTLER GONZALEZ LLP

                                               By: /s/ David Gonzalez
                                                  ------------------------------
                                               Name:  David Gonzalez, Esq.
                                               Title: Partner

                                       11EXHIBIT 10.12

                   POS NETWORKS MERCHANT SPONSORSHIP AGREEMENT

This POS NETWORKS  MERCHANT  SPONSORSHIP  AGREEMENT (the "Agreement") is entered
into as of this 1st day of March, 2003, by and between Carrollton Bank a banking
corporation ("Bank") and Kryptosima LLC, a Georgia Limited Liability Corporation
("Correspondent").  Capitalized  terms used, but not otherwise  defined,  in the
Agreement have the meanings  assigned to those terms in the Networks'  Operating
Rules, as such rules may be amended from time to time (the "Operating Rules").

                                    RECITALS

A) Bank is a principal  in  Networks,  as defined  below.  "Networks"  operate a
telecommunications  and  processing  system ("POS  System")  which,  among other
things,   effectuates   the   switching,   processing   and  settlement  of  (i)
point-of-sale  transactions ("POS Transactions') and (ii) POS scrip transactions
("Scrip  Transactions") and, collectively with POS Transactions for the purchase
of goods and services from participating retail merchants  ("Merchants") through
the use of the  Networks'  POS  Cards.  "Networks"  shall  mean the POS  Systems
operated by NYCE, PULSE, STAR, TRANSALLIANCE,  INTERLINK,  MAESTRO, AFFN, ALASKA
OPTION,  SHAZAM and any other  operators of POS Systems as the parties may agree
upon in writing from time to time.

B)  Correspondent  desires to deploy and service  (or cause to be  deployed  and
serviced)  terminals  ("POS  Terminals")  used to transmit POS  Transactions  at
Merchant  locations within the Networks'  Primary  Marketing Area, and to switch
process  and/or  settle  POS  Transactions  generated  by these  POS  Terminals.
Correspondent desires to connect these terminals to the Networks. In some cases,
devices will be deployed to consumers'  homes,  to enable debit  transactions to
pay  for  purchases  at  Internet   Merchants  web  sites.   Internet   merchant
transactions will be permitted only for cards bearing the logos of networks that
allow such transactions.

C) Correspondent  is not eligible for membership in Networks.  Correspondent ( )
is a certified POS Processor with Networks ("Certified Processor") or (X) is not
a Certified  Processor,  but acts as an  intermediary  between  Merchants and an
independent entity which is a Certified Processor.

D) Networks  permit POS  Transactions  generated by POS Terminals  which are not
deployed and  serviced by a POS Member or Affiliate to be processed  through the
Networks;  provided a POS Member or  Affiliate  sponsors  the  Merchant at whose
place of business the POS Terminal is located as a "Merchant" of the Networks.

E)  Correspondent  desires to have Bank sponsor its Merchants  into the Networks
("Sponsored Merchants").

F) Bank is willing to sponsor Correspondent's Merchants into Networks subject to
all of the terms and conditions of this Agreement, including,  specifically that
Correspondent  assume,  as to the  Sponsored  Merchants,  all of the  duties and
obligations of Bank to Networks, its Members, Affiliates and Processors.

                                    AGREEMENT

In   consideration   of  the   foregoing,   and  for  other  good  and  valuable
consideration,  the receipt  and  sufficiency  of which is hereby  acknowledged,
Correspondent and Bank agree as follows:

I) Representations and Warranties. Correspondent represents and warrants to Bank
as follows:

         A) Corporate Power and Authority.  Correspondent  is a corporation duly
organized,  validly existing and in good standing under the laws of the State of
Georgia;  is  authorized  to  do  business  and  is  in  good  standing  in  the
jurisdictions  in which its  property  or the  conduct of its  business  legally
requires such authorization; and has full power and authority to enter into this
Agreement and to perform its obligations hereunder. The execution, delivery, and
performance of this Agreement by  Correspondent  has been duly authorized by all

<PAGE>

necessary  action and does not and will not (i)  require the consent or approval
of  Correspondent's  shareholders or partners;  (ii) contravene  Correspondent's
organizational   documents;   (iii)  violate,   or  cause  injunction,   decree,
determination,   or  award   presently  in  effect   having   applicability   to
Correspondent;  (iv) result in the breach of, or constitute a default under, any
indenture  or  loan  or  credit  agreement  or any  other  agreement,  lease  or
instrument  to which result in, or require,  the creation or  imposition  of any
lien, charge or other encumbrance of any nature whatsoever, upon or with respect
to any of the properties now owned or hereafter acquired by Correspondent.

         B) Legally Enforceable Agreement. This Agreement has been duly executed
and delivered by Correspondent and is the legal,  valid, and binding  obligation
of Correspondent, enforceable against Correspondent in accordance with its terms
except  to the  extent  that  such  enforcement  may be  limited  by  applicable
bankruptcy,  insolvency,  and other  similar laws  affecting  creditors'  rights
generally.

         C)  Operating  Rules.   Prior  to  the  execution  of  this  Agreement,
Correspondent  has  received  and  reviewed  a full  and  complete  copy  of the
Operating Rules.

         D)  Financial  Statement   Certification.   All  financial   statements
furnished by  Correspondent  to Bank are correct and complete and fairly present
the financial  condition of Correspondent  for the fiscal period in question all
in  accordance  with  generally  accepted  accounting  principals   consistently
applied. The financial statements published to the SEC by correspondent's parent
company,  InstaPay  and  available  online are correct and  complete  and fairly
represent  InstaPay's  financial  condition.  Since the date of the most  recent
financial  statements  delivered to Bank,  neither the business,  properties nor
condition  (financial or other) of  Correspondent or InstaPay has been adversely
affected in any material way.

II) Duties of Correspondent.

         A) Merchant Agreements. Correspondent shall, from time to time, install
(or  provide  for the  installation  of)  POS  Terminals  in  retail  and  other
establishments  pursuant to written  agreements  with  Sponsored  Merchants (the
"Merchant  Agreements").  Such Merchant Agreements shall be in form satisfactory
and substance  satisfactory to Bank, shall contain at least the substance of the
provisions of the Operating  Rules and shall obligate the Sponsored  Merchant to
abide by the Operating Rules.  Correspondent  shall be responsible for effecting
any necessary and  appropriate  amendments to the Merchant  Agreements  that may
become necessary as a result of subsequent amendments to the Operating Rules. In
the  event a  Sponsored  Merchant  refused  to  consent  to any such  amendment,
Correspondent  shall notify Bank prior to the effective date of the amendment to
the Operating Rules and upon such notice such Sponsored Merchant shall be deemed
terminated from participation in Networks.
The  Merchant  Agreements  may contain  such other terms and  conditions  as are
mutually agreed upon between any Sponsored Merchant and Correspondent; provided,
however,  that such  additional  terms and  conditions  do not conflict with any
provisions of this Agreement or the Operating Rules.

         B) Requests for Sponsorship of Merchants.  Correspondent  shall request
Bank to sponsor  Merchants by completing  and  forwarding to Bank such forms and
other  documents as may be required by Networks for enrollment of such Merchants
and a copy of the applicable  Merchant  Agreement (all such forms and documents,
collectively the "Enrollment Forms").

         C) Compliance With Operating  Rules.  Correspondent  agrees to abide by
the Operating Rules and all applicable laws,  rules and  regulations,  as all of
the  foregoing may be amended from time to time.  Notwithstanding  the fact that
Bank may from time to time provide  Correspondent  with copies of the  Operating
Rules or  amendments  thereto,  Correspondent  shall be solely  responsible  for
keeping itself apprised of amendments and changes to the Operating Rules.

         D) Notices to Bank. Correspondent shall deliver to Bank within 48 hours
of receipt by Correspondent a copy of all notices or correspondence  (other than
routine updates,  correspondence  and notices sent to all Certified  Processors)
that it  receives  from (i)  Networks,  (ii) the  Networks'  Switch,  (iii)  any
federal, state or local governmental  authority,  or (iv) any third party, which
in any way  relates  to any  Sponsored  Merchant,  Correspondent's  status  as a
Certified  Processor,  or this Agreement.  In the event  Correspondent  is not a
Certified  Processor,   Correspondent  shall  cause  its  independent  Certified
Processor to comply with the  provisions  of this  Section II, D.  Correspondent
shall also notify Bank promptly in the event any Sponsored  Merchant violates or
fails to comply with its Merchant  Agreement with  Correspondent,  terminates it
Merchant Agreement with  Correspondent or has its Merchant Agreement  terminated
by Correspondent.  Likewise,  Correspondent  shall notify Bank promptly,  in the
event its independent  Certified  Processor for any reason ceases to be approved
by Networks,  violates or fails to comply with its agreement with Correspondent,

<PAGE>

terminates its agreement with Correspondent or has such agreement  terminated by
Correspondent.

         E) Use of  Bank's  Name.  Neither  Correspondent  nor  its  independent
Certified  Processor  shall use Bank's  name or logo for any  reason,  or use or
refer to Bank in any advertisements, sales, presentations or marketing materials
without the express prior written consent of Bank.  Correspondent may accurately
describe its relationship with Bank in response to questions and in its dealings
with Sponsored Merchants.

         F) POS Processor Agreement.  If Correspondent is a Certified Processor,
Correspondent  shall enter into a POS  Processor  Agreement  with  Networks  the
Operating  Rules  and  shall  comply  with  the  terms  thereof.   In  addition,
Correspondent  shall use its best efforts to maintain itself in good standing as
a  Certified  Processor.  If  Correspondent  utilized an  independent  Certified
Processor,  such Certified  Processor shall enter into a POS Processor Agreement
with Networks as herein  provided and  Correspondent  shall cause such Certified
Processor  to  comply  with the  Operating  Rules  and use its best  efforts  to
maintain itself in good standing as a Certified Processor.

         G) Audits and  Financial  Statements.  Correspondent  shall  furnish to
Bank, as soon as available,  and in any event within ninety (90) days of the end
of each fiscal year, consolidated balance sheets of Correspondent and its parent
InstaPay as of the end of such fiscal year and consolidated statements of income
and retained  earnings and statements of changes in financial  position for such
fiscal  year,  all in  reasonable  detail and all  prepared in  accordance  with
generally accepted accounting  principles  consistently applied, and reviewed by
an accountant  acceptable to Bank.  Timely filing by InstaPay of its  financials
with  SEC  as  part  of its  public  company  reporting  requirements  shall  be
considered to fulfill this requirement.
If  Correspondent  is not a financial  institution  or  affiliate of a financial
holding   company   subject  to  an  examination   by  regulatory   authorities,
Correspondent  shall, at its own expense, be subject to an as needed or required
by ATM Network periodic examination and audit of all its functions in connection
with its switching,  processing and settlement of POS Transactions for Sponsored
Merchants, at such frequency as Bank deems appropriate, by independent certified
public accountants satisfactory to Bank. The scope of such examination and audit
shall meet such  standards as may be prescribed by Bank, and the results of such
examination and audit shall be made available to Bank.

III) Duties of Bank.  Subject to all of the provisions  contained  herein,  Bank
agrees to sponsor into  Networks,  and shall use its best efforts to remain as a
member of those Networks, all of the Merchants as Correspondent may request from
time to time;  provided,  that Bank,  in its absolute  discretion  may refuse to
sponsor any Merchant  requested by  Correspondent.  With respect to any Merchant
accepted by Bank for sponsorship, Bank shall promptly (and in no case later than
5 Business  Days  after its  receipt of the  Enrollment  Forms for a  particular
Merchant) complete and execute the applicable  Enrollment Forms,  forwarding the
original  Enrollment Forms to Networks and photocopies thereof to Correspondent.
For  purposes  of this  Agreement  "Business  Day" shall mean any day other than
Saturday, Sunday or a "holiday".

IV)  Fees.  For each  Sponsored  Merchant,  Correspondent  agrees  to pay Bank a
transaction fee for each POS Transaction  which is transmitted by  Correspondent
through the Network, as provided in Annex "A" attached hereto. Such fees will be
calculated by Correspondent  for each calendar month and will be due and payable
by  Correspondent  to Bank no later  than  the  15th  day of the next  following
calendar  month.  (Example,  September  transactions  will be paid no later than
October 15th).  All payments  shall be made in the manner  provided in Annex "A"
attached  hereto and shall be proceeded  or  accompanied  by a detailed  written
statement  setting forth all  applicable  POS  Transactions.  In addition to the
transaction  fees outlined above,  Correspondent  shall pay, or immediately upon
demand,  reimburse Bank for any and all fees and charges which may be imposed on
Bank,  Correspondent or any independent Certified Processor from time to time by
Networks,  which in any way relate to this Agreement, the Sponsored Merchants or
the POS Transactions.

V) Settlement.  All settlement,  funding and  adjustments  for all  Transactions
generated  by  Sponsored  Merchants  shall be  handled by  Correspondent  or its
independent  Certified  Processor in accordance with the Operating  Rules.  Bank
will  instruct   Networks  to  settle  all  such  Transactions  as  directed  by
Correspondent.

VI) Liability and Indemnification.

         A)  Correspondent's  Liability.  Correspondent  shall  be  jointly  and
severally  liable  with  each  Sponsored  Merchant  for  each  of the  Sponsored
Merchant's  obligations and liabilities under the applicable  Merchant Agreement
and for any  Claims (as  hereinafter  defined)  which,  in any way  directly  or
indirectly,  relate to,  result from or arise out of, any  Sponsored  Merchant's

<PAGE>

violation  of, or failure to comply with,  the  Operating  Rules.  Correspondent
acknowledges  and  agrees  that it is  responsible  for any and all  obligations
related  to the  operation  of the  POS  Terminals  under  the  Operating  Rules
(including connection to the Network).

         B) Bank's Liability.  Bank shall be responsible only for performing the
services  expressly provided for in this Agreement and Bank undertakes no duties
other than those expressly  provided herein.  Without limiting the generality of
the foregoing,  Bank shall not be responsible  for: (i) the acts or omissions of
Correspondent,  any Sponsored Merchant,  any independent  Certified Processor or
any  of  their  representatives,  employees  or  agents  or  any  other  person,
including,  without  limitation,  Networks,  any Member,  Affiliate or any other
Processor,  and no such person or entity  shall be deemed  Bank's  agent for any
purpose whatsoever;  or (ii) breach of its duties hereunder,  to the extent such
breach  was  caused  by  legal  constraint,   interruption  in  transmission  or
communication facilities,  equipment failure, war, riot, fire, floor, earthquake
or other natural disaster, strike, emergency or other circumstance beyond Bank's
control.

         C) Indemnification.  Correspondent agrees to indemnify, defend and hold
harmless  Bank  and its  legal  representatives,  successors,  assigns,  agents,
employees, officers, directors, shareholders, subsidiaries, parent corporations,
sister   corporations   and   affiliates,   and  each  of  them   (collectively,
"indemnities") from and against any and all liabilities, demand, rights (whether
contingent, accrued, inchoate or otherwise), disbursements, including reasonable
legal fees and expenses, of whatsoever kind and nature (collectively  "Claims"),
imposed on, incurred by or asserted  against,  any indemnities which in any way,
directly or  indirectly,  relate to, result from or arise out of: (i) any breach
of any representation,  warranty or covenant of Correspondent  contained in this
Agreement; (ii) any act or omission of Correspondent's,  any Sponsored Merchant,
or any other person or entity; (iii) Correspondent's any Sponsored Merchants' or
any independent  Certified  Processor's violation of, or failure to comply with,
the Operating  Rules or the Merchant  Agreements,  and (iv) any Claim of a third
party,  directly or  indirectly,  relating to,  resulting from or arising out of
this  Agreement  or Bank's  sponsorship  of any  Sponsored  Merchant as provided
herein (including, without limitation, any Claim for indemnification by Networks
or any member,  Affiliate or Processor pursuant to the Operating Rules). Without
limiting the generality of the foregoing,  Correspondent  shall indemnify,  hold
harmless and defend the Bank,  Networks and any member,  Affiliate or Processor,
from and against all claims,  losses, costs, damages,  liabilities,  or expenses
(including  reasonable  attorneys'  fees) that are suffered as a result of a POS
Transaction or attempted POS  Transaction  and arise out of any of the events or
causes listed in the Operating Rules.

         D)  Limitation  on  Liability.  In no  event  shall  any  party to this
agreement be liable under any theory of tort,  contract,  strict  liability,  or
other  legal or  equitable  theory for any lost  profits,  exemplary,  punitive,
special, incidental,  indirect or consequential damages, each of which is hereby
excluded by agreement of the parties regardless of whether or not such party has
been advised of the possibility of such damages.

VII) Term and Termination.

      A)    Term. This Agreement shall have a term commencing on the date hereof
            and continuing in effect until terminated in accordance herewith.

      B)    Termination of Agreement. This Agreement may be terminated by either
            party hereto upon thirty days prior written notice to the other.  In
            addition,  Bank may terminate  this Agreement  immediately  upon the
            happening of any of the following events:

            1)    Correspondent  fails to make any  payment due  hereunder  when
                  due;

            2)    Correspondent fails to perform or comply with any of the other
                  terms and  conditions  of this  Agreement  and fails to remedy
                  same with  fifteen days after  receipt of written  notice from
                  Bank thereof;

            3)    Any of Correspondent's  representations or warranties shall be
                  false as of the date made;

            4)    Correspondent  makes a general  assignment  for the benefit of
                  its  creditors,  or  becomes  the  subject  of  a  bankruptcy,
                  receivership, conservatorship or similar proceeding;

            5)    Correspondent   suffers  a  material  adverse  change  in  its
                  condition (financial or otherwise) after the date hereof;

            6)    Any federal or state  regulatory  agency with  authority  over
                  Bank requires, or request in writing, that Bank terminate this
                  Agreement.

            7)    The Board of  Directors  of Bank  determines  that the  Bank's
                  continued  performance of this Agreement  would  constitute an
                  unsafe and unsound banking practice;

<PAGE>

            8)    Bank terminates its membership in Networks,  or its membership
                  is terminated,  or this Agreement or any aspect thereof, is to
                  be  deemed  by the  Board of  Directors  of  Networks  to be a
                  material  violation of the  Operating  Rules;  or In the event
                  Correspondent  is a  Certified  Processor,  its status as such
                  ceases,  for  any  reason,  and  in  the  event  Correspondent
                  utilizes an independent  Certified  Processor,  such Certified
                  Processor ceases for any reason to be approved by Networks' or
                  Correspondent's  relationship  with such  Certified  Processor
                  expires or terminates for any reason.

No termination effected pursuant to this Section VII (B) shall affect the rights
and duties of either party under this  Agreement  under Section VI hereof,  with
respect to  obligations  incurred,  or Claims  arising out of acts or  omissions
which occurred, prior to the termination date.

      C)    Termination   of  Sponsored   Merchant.   Bank  may   terminate  its
            sponsorship of any Sponsored Merchant immediately upon the happening
            of any of the following events:

            1)    Such Sponsored  Merchant  suffers a material adverse change in
                  its condition (financial or otherwise) after the date hereof;

            2)    Such Sponsored  Merchant  violates or fails to comply with the
                  terms  and  conditions  of  its  Merchant   Agreement  or  The
                  Operating Rules;

            3)    Such Sponsored Merchant terminates its Merchant Agreement with
                  Correspondent  or such  Merchant  Agreement is  terminated  by
                  Correspondent or;

            4)    Bank,  in  its  absolute   discretion,   determines  that  the
                  continued  sponsorship of any Sponsored  Merchant exposes Bank
                  to potential claims.

Termination  shall  become  effective  upon the  receipt  of  written  notice by
Correspondent  and,  upon such receipt,  Correspondent  shall  immediately  take
whatever  actions  are  necessary  to  ensure  that such  Merchant  is unable to
initiate POS Transactions through the Network.

VIII) Confidentiality. Bank and Correspondent each agrees to retain in strictest
confidence all files, printed materials,  trade secrets,  customer  information,
produce  information  and any other  information  of  whatever  nature,  whether
written or  otherwise,  disclosed  or  communicated  to it by the other party in
connection  with  the  terms  and  conditions  of  this   Agreement,   and  said
confidential  information  shall not be  disclosed to any other person or entity
without  express prior written  consent of the other party unless the disclosure
is required by Network or any law. Such information may,  however,  be disclosed
to any consultants,  auditors, or attorneys employed by a party, or as required,
to regulatory authorities, or to a party's employees or others in a confidential
relationship with that party who must have access to such information,  and then
only to the extent necessary. Bank and Correspondent each agree that information
is not confidential  which (a) is already known at the time it is obtained;  (b)
is or become  publicly known through no wrongful act of the party  obtaining it;
or (c) is received from a third party without  restriction and without breach of
this Agreement.

IX) Miscellaneous.

         A) Governing Law. This Agreement  shall be governed by and construed in
accordance with the laws of the State of Maryland and the Operating Rules.

         B) Amendments;  Waivers.  This Agreement may be amended only by writing
signed by all of the parties hereto.  Course of dealing,  implication or failure
or a delay in exercising any of parties rights and remedies hereunder, shall not
effect any amendment or modification of this Agreement or the waiver of any such
rights.

         C)   Counterparts.   This   Agreement   may  be  executed  in  multiple
counterparts,  each of which shall  constitute  an original  hereof,  and all of
which taken together shall constitute one and the same agreement.

         D) Entire Agreement. This Agreement and the Operating Rules contain the
entire  agreement  of the parties  and  supersede  any prior or  contemporaneous
written or oral agreements between the parties. In the event that this Agreement
or any  portion  hereof,  conflicts  with the  Operating  Rules or any  terms or
provisions  of  this  Agreement.  There  are  no  representations,   warranties,
agreements, arrangements, or understandings, oral or written between the parties
relating to the subject matter of this Agreement  which are not fully  expressed
herein,  or in the  Operating  Rules.  The  parties  agree that the  traditional
formulation  of the parol evidence rule (whereby  extrinsic  evidence may not be
used to vary or contradict the unambiguous terms of a document that represents a
final and complete  expression of the parties' agreement) shall govern in action
or proceeding that my ensue concerning this Agreement.

         E) Notices.  Except as otherwise expressly provided herein, any written
notice or  communication  required or permitted to be given under this Agreement
may be  personally  served,  telecopied,  telexed or sent by United States or by

<PAGE>

express  carrier,  and shall be deemed to have been received  when  delivered in
person,  upon receipt of telecopy of telex,  or five business days after deposit
in the United States mail,  registered or  certified,  with postage  prepaid and
properly addressed.  For purposes of this Agreement all notices shall be sent to
the address and  telecopy  and telex number set forth below each parties name on
the signature pages hereto.

         F) Nonassignability. Correspondent may not assign this Agreement or its
rights and  obligation  hereunder to any other person  without  Banks's  express
prior  written  consent,  provided,  however,   correspondent  may  assign  this
agreement  to an entity  controlled  directly  or  indirectly  by  Correspondent
without the prior written consent of Bank.

         G) No Third Party  Beneficiaries.  This Agreement shall be binding upon
and inure to the  benefit  of the  parties  hereto  and their  respective  legal
representative, successors and assigns. This Agreement is not for the benefit of
any  other  person,   and  no  other  person  shall  have  any  rights   against
Correspondent or Bank hereunder.

         H) Headings. Headings are used in this Agreement for reference purposes
only and shall not be deemed a part of this Agreement.

         I) Severability.  If any clause, sentence or other provision or portion
of this Agreement shall for any reason become illegal,  null or void, or be held
by any court of competent  jurisdiction to illegal,  null or void, the remaining
portions of this Agreement shall remain in full force and effect.

         J)  Further  Assurances.  The  parties  hereto  from time to time after
execution of this Agreement,  without further  consideration,  shall execute and
deliver,  as  appropriate,  such  documents  and  take  such  actions  as may be
reasonably  necessary  or proper to carry out and  consummate  the  transactions
contemplated by this Agreement.

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed
as of the date first above written by their duly authorized officers.

"CORRESPONDENT"                             "BANK"
Kryptosima LLC                              Carrollton Bank
98 Shoreline Way                            1589 Sulphur Spring Road
Hampton, Georgia 30228                      Suite 101
                                            Baltimore, Maryland 21227

BY: ____________________________            BY: __________________________
    Harry Hargens                               Gary M. Jewell
    President                                   Senior Vice-President
                                                Retail Delivery Group

                                            Phone #: (410) 737-7492
                                            Fax #:   (410) 536-7394

<PAGE>

                                    ANNEX "A"

                       INDIRECT MERCHANT SPONSORSHIP FEES

Monthly Fees:

         $.0075 per approved transaction transmitted through the Network.

         Minimum Monthly Fee:  $500.00

"EXTERNAL PROCESSOR FEES WILL BE BILLED AT COST"

      Payment in the form of an ACH debit to your  designated  DDA, with listing
of the transactions shall be remitted no later than the 15th business day of the
following month for transactions during the prior month.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00067-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00067-of-00352.parquet"}]]