Document:

EXHIBIT  10.9
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                             SUBSCRIPTION AGREEMENT
                             ----------------------

Dear  Subscriber:

     You (the "Subscriber") hereby agree to purchase, and Endovasc Ltd., Inc., a
Nevada  corporation  (the  "Company")  hereby agrees to issue and to sell to the
Subscriber, Secured 8% Convertible Notes (the "Notes") convertible in accordance
with the terms thereof into shares of the Company's $.001 par value common stock
(the  "Company  Shares")  for  the  aggregate  consideration as set forth on the
signature  page  hereof  ("Purchase  Price").  The  form  of Convertible Note is
annexed hereto as Exhibit A.  (The Company Shares included in the Securities (as
hereinafter defined) are sometimes referred to herein as the "Shares" or "Common
Stock").  (The  Notes,  the  Company  Shares,  Common  Stock  Purchase  Warrants
("Warrants") issuable to the recipients identified on Schedule B hereto, and the
Common Stock issuable upon exercise of the Warrants are collectively referred to
herein  as,  the  "Securities").  Upon  acceptance  of  this  Agreement  by  the
Subscriber,  the  Company  shall  issue  and  deliver to the Subscriber the Note
against  payment,  by  federal  funds  wire  transfer  of  the  Purchase  Price.

          The  following  terms and conditions shall apply to this subscription.

          1.  Subscriber's  Representations  and  Warranties.  The  Subscriber
              ----------------------------------------------
hereby represents and warrants to and agrees with the Company that:

               (a)  Information  on  Company.  The Subscriber has been furnished
                    ------------------------
with  the  Company's  Form 10-KSB for the year ended June 30, 2000 as filed with
the  Securities  and  Exchange  Commission  (the "Commission") together with all
subsequently  filed forms 10-QSB, and other publicly available filings made with
the  Commission  (hereinafter  referred  to  as the "Reports"). In addition, the
Subscriber  has  received from the Company such other information concerning its
operations,  financial  condition  and  other  matters  as  the  Subscriber  has
requested  in  writing, and considered all factors the Subscriber deems material
in deciding on the advisability of investing in the Securities (such information
in  writing  is  collectively,  the  "Other  Written  Information").

               (b)  Information on Subscriber.  The Subscriber is an "accredited
                    -------------------------
investor", as such term is defined in Regulation D promulgated by the Commission
under the Securities Act of 1933, as amended (the "1933 Act"), is experienced in
investments  and  business matters, has made investments of a speculative nature
and  has  purchased  securities  of  United  States  publicly-owned companies in
private placements in the past and, with its representatives, has such knowledge
and  experience  in  financial,  tax and other business matters as to enable the
Subscriber  to utilize the information made available by the Company to evaluate
the merits and risks of and to make an informed investment decision with respect
to  the  proposed  purchase,  which  represents  a  speculative  investment. The
Subscriber  has  the authority and is duly and legally qualified to purchase and
own  the  Securities. The Subscriber is able to bear the risk of such investment
for  an indefinite period and to afford a complete loss thereof. The information
set  forth  on  the  signature page hereto regarding the Subscriber is accurate.

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               (c)  Purchase  of Note.  On the Closing Date, the Subscriber will
                    -----------------
purchase  the  Note  for its own account and not with a view to any distribution
thereof.

               (d)  Compliance  with  Securities Act. The Subscriber understands
                    --------------------------------
and  agrees  that the Securities have not been registered under the 1933 Act, by
reason  of  their  issuance  in a transaction that does not require registration
under  the  1933  Act  (based in part on the accuracy of the representations and
warranties  of  Subscriber  contained  herein), and that such Securities must be
held  unless  a  subsequent  disposition  is registered under the 1933 Act or is
exempt  from  such  registration.

               (e)  Company Shares Legend. The Company Shares, and the shares of
                    ---------------------
Common  Stock  issuable  upon  the  exercise  of  the  Warrants,  shall bear the
following  legend:

          "THE  SHARES  REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED
          UNDER  THE SECURITIES ACT OF 1933, AS AMENDED. THESE SHARES MAY NOT BE
          SOLD,  OFFERED  FOR SALE, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF AN
          EFFECTIVE  REGISTRATION  STATEMENT  UNDER  SUCH  SECURITIES  ACT OR AN
          OPINION OF COUNSEL REASONABLY SATISFACTORY TO ENDOVASC LTD., INC. THAT
          SUCH  REGISTRATION  IS  NOT  REQUIRED."

               (f)  Warrants  Legend.  The Warrants shall bear the following
                    ----------------
legend:

          "THIS  WARRANT  AND  THE  COMMON SHARES ISSUABLE UPON EXERCISE OF THIS
          WARRANT  HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS
          AMENDED.  THIS WARRANT AND THE COMMON SHARES ISSUABLE UPON EXERCISE OF
          THIS  WARRANT  MAY  NOT  BE  SOLD,  OFFERED  FOR  SALE,  PLEDGED  OR
          HYPOTHECATED  IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT AS
          TO  THIS  WARRANT  UNDER  SAID ACT OR AN OPINION OF COUNSEL REASONABLY
          SATISFACTORY  TO  ENDOVASC  LTD.,  INC.  THAT SUCH REGISTRATION IS NOT
          REQUIRED."

               (g)  Note  Legend.  The  Note  shall bear the following legend:
                    ------------

          "THIS NOTE AND THE COMMON SHARES ISSUABLE UPON CONVERSION OF THIS NOTE
          HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED.
          THIS  NOTE AND THE COMMON SHARES ISSUABLE UPON CONVERSION OF THIS NOTE
          MAY  NOT  BE  SOLD,  OFFERED  FOR SALE, PLEDGED OR HYPOTHECATED IN THE
          ABSENCE  OF  AN EFFECTIVE REGISTRATION STATEMENT AS TO THIS NOTE UNDER
          SAID  ACT OR AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO ENDOVASC
          LTD.,  INC.  THAT  SUCH  REGISTRATION  IS  NOT  REQUIRED."

               (h)  Communication of Offer.  The  offer  to sell  the Securities
                    ----------------------
was  directly  communicated  to  the  Subscriber.  At no time was the Subscriber
presented with or solicited by any leaflet, newspaper or magazine article, radio
or  television  advertisement,  or  any  other  form  of  general advertising or
solicited  or  invited  to  attend  a  promotional  meeting  otherwise  than  in
connection  and  concurrently  with  such  communicated  offer.

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               (i)  Correctness of Representations.  The  Subscriber  represents
                    ------------------------------
that the foregoing representations and warranties are true and correct as of the
date  hereof  and, unless the Subscriber otherwise notifies the Company prior to
the  Closing  Date (as hereinafter defined), shall be true and correct as of the
Closing  Date.  The  foregoing  representations and warranties shall survive the
Closing  Date.

          2.   Company  Representations  and Warranties.  The Company represents
               ----------------------------------------
and warrants to and agrees with the Subscriber that:

               (a)  Due  Incorporation. The Company and each of its subsidiaries
                    ------------------
is a corporation duly organized, validly existing and in good standing under the
laws  of  the  respective  jurisdictions  of  their  incorporation  and have the
requisite corporate power to own their properties and to carry on their business
as  now  being  conducted.  The  Company  and  each  of its subsidiaries is duly
qualified  as  a  foreign  corporation to do business and is in good standing in
each  jurisdiction  where the nature of the business conducted or property owned
by  it  makes  such  qualification  necessary, other than those jurisdictions in
which  the failure to so qualify would not have a material adverse effect on the
business,  operations  or prospects or condition (financial or otherwise) of the
Company.

               (b)  Outstanding  Stock.  All  issued and  outstanding  shares of
                    ------------------
capital  stock  of  the  Company  and  each  of  its  subsidiaries has been duly
authorized  and  validly  issued  and  are  fully  paid  and  non-assessable.

               (c)  Authority;  Enforceability.  This  Agreement  has  been duly
                    --------------------------
authorized,  executed  and  delivered  by the Company and is a valid and binding
agreement  enforceable  in  accordance  with  its  terms, subject to bankruptcy,
insolvency,  fraudulent transfer, reorganization, moratorium and similar laws of
general  applicability  relating to or affecting creditors' rights generally and
to  general  principles  of equity; and the Company has full corporate power and
authority  necessary to enter into this Agreement and to perform its obligations
hereunder  and all other agreements entered into by the Company relating hereto.

               (d)  Additional Issuances. There are no outstanding agreements or
                    --------------------
preemptive  or similar rights affecting the Company's common stock or equity and
no  outstanding  rights,  warrants  or  options  to  acquire,  or  instruments
convertible  into  or  exchangeable  for,  or  agreements or understandings with
respect  to  the sale or issuance of any shares of common stock or equity of the
Company  or  other  equity  interest  in any of the subsidiaries of the Company,
except  as  described  in  the  Reports  or  Other  Written  Information.

               (e)  Consents.  No  consent,  approval, authorization or order of
                    --------
any  court,  governmental  agency or body or arbitrator having jurisdiction over
the  Company,  or  any  of  its  affiliates,  the  NASD, NASDAQ or the Company's
Shareholders  is  required  for  execution  of  this  Agreement,  and  all other
agreements  entered  into  by  the  Company relating thereto, including, without
limitation  issuance  and  sale  of  the  Securities, and the performance of the
Company's  obligations  hereunder.

               (f)  No Violation or Conflict.  Assuming  the representations and
                    ------------------------
warranties  of  the  Subscriber  in  Paragraph  1  are  true and correct and the
Subscriber  complies  with  its  obligations  under  this Agreement, neither the
issuance and sale of the Securities nor the performance of its obligations under
this  Agreement  and  all  other agreements entered into by the Company relating
thereto  by  the  Company  will:

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                    (i)  violate,  conflict  with,  result  in a  breach  of, or
constitute  a  default (or an event which with the giving of notice or the lapse
of  time  or  both would be reasonably likely to constitute a default) under (A)
the certificate of incorporation, charter or bylaws of the Company or any of its
affiliates,  (B)  to  the Company's knowledge, any decree, judgment, order, law,
treaty,  rule,  regulation  or determination applicable to the Company or any of
its  affiliates  of any court, governmental agency or body, or arbitrator having
jurisdiction over the Company or any of its affiliates or over the properties or
assets  of  the  Company  or  any  of its affiliates, (C) the terms of any bond,
debenture,  note  or any other evidence of indebtedness, or any agreement, stock
option or other similar plan, indenture, lease, mortgage, deed of trust or other
instrument  to  which  the Company or any of its affiliates is a party, by which
the Company or any of its affiliates is bound, or to which any of the properties
of  the  Company  or  any  of its affiliates is subject, or (D) the terms of any
"lock-up" or similar provision of any underwriting or similar agreement to which
the  Company,  or  any  of  its  affiliates  is  a  party;  or

                    (ii)  result  in  the  creation  or  imposition of any lien,
charge  or  encumbrance upon the Securities or any of the assets of the Company,
or  any  of  its  affiliates.

               (g)     The  Securities.  The  Securities  upon  issuance:
                       ---------------

                    (i)  are,  or  will  be, free  and  clear  of  any  security
interests,  liens,  claims  or  other encumbrances, subject to restrictions upon
transfer  under  the  1933  Act  and  State  laws;

                    (ii)  have been, or will be, duly and validly authorized and
on the date of issuance and on the Closing Date, as hereinafter defined, and the
date  the Note is converted, and the Warrants are exercised, the Securities will
be  duly  and  validly  issued,  fully paid and nonassessable (and if registered
pursuant  to  the  1933  Act,  and  resold pursuant to an effective registration
statement  will  be  free trading and unrestricted, provided that the Subscriber
complies  with  the  Prospectus  delivery  requirements);

                    (iii)  will not have been issued or sold in violation of any
preemptive  or  other  similar  rights  of  the holders of any securities of the
Company;  and

                    (iv)  will  not  subject  the  holders  thereof  to personal
liability  by  reason  of  being  such  holders.

               (h)  Litigation.  There  is  no pending or, to the best knowledge
                    ----------
of  the Company, threatened action, suit, proceeding or investigation before any
court,  governmental  agency or body, or arbitrator having jurisdiction over the
Company, or any of its affiliates that would affect the execution by the Company
or  the  performance by the Company of its obligations under this Agreement, and
all  other  agreements  entered  into  by the Company relating hereto. Except as
disclosed  in  the Reports or Other Written Information, there is no pending or,
to  the  best  knowledge  of the Company, threatened action, suit, proceeding or
investigation  before  any  court,  governmental  agency  or body, or arbitrator
having  jurisdiction  over  the  Company,  or  any  of  its  affiliates.

               (i)  Reporting Company.  The  Company  is a publicly-held company
                    -----------------
subject  to  reporting  obligations  pursuant  to  Sections  15(d) and 13 of the
Securities  Exchange Act of 1934, as amended (the "1934 Act") and has a class of
common  shares  registered  pursuant  to  Section  12(g)  of  the  1934 Act. The
Company's  common  stock  is  trading  on the NASD Over-The-Counter Market ("OTC
Market").  Pursuant to the provisions of the 1934 Act, the Company has filed all
reports  and other materials required to be filed thereunder with the Securities
and  Exchange  Commission during the preceding twelve months except as set forth
in  the  Reports.

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<PAGE>
               (j)  No  Market Manipulation. The Company has not taken, and will
                    -----------------------
not  take,  directly  or  indirectly,  any  action  designed  to,  or that might
reasonably  be  expected to, cause or result in stabilization or manipulation of
the price of the common stock of the Company to facilitate the sale or resale of
the  Securities  or  affect  the  price  at  which the Securities may be issued.

               (k)  Information  Concerning  Company.   The  Reports  and  Other
                    --------------------------------
Written Information contain all material information relating to the Company and
its  operations  and  financial  condition  as  of  their respective dates which
information is required to be disclosed therein. Since the date of the financial
statements  included in the Reports, and except as modified in the Other Written
Information,  there  has  been  no  material  adverse  change  in  the Company's
business,  financial  condition  or  affairs  not  disclosed in the Reports. The
Reports  and  Other Written Information do not contain any untrue statement of a
material  fact or omit to state a material fact required to be stated therein or
necessary  to  make  the  statements  therein  not  misleading.

               (l)  Dilution.  The  number of Shares issuable upon conversion of
                    --------
the Note may increase substantially in certain circumstances, including, but not
necessarily limited to, the circumstance wherein the trading price of the Common
Stock declines prior to conversion of the Note. The Company's executive officers
and  directors  have  studied  and fully understand the nature of the Securities
being  sold hereby and recognize that they have a potential dilutive effect. The
board  of  directors  of  the  Company has concluded, in its good faith business
judgment,  that  such  issuance  is  in  the  best interests of the Company. The
Company  specifically  acknowledges that its obligation to issue the Shares upon
conversion  of the Note and exercise of the Warrants is binding upon the Company
and enforceable, except as otherwise described in this Subscription Agreement or
the  Note,  regardless  of  the dilution such issuance may have on the ownership
interests  of  other  shareholders  of  the  Company.

               (m)  Stop Transfer.  The  Securities are restricted securities as
                    -------------
of  the  date  of  this  Agreement. The Company will not issue any stop transfer
order or other order impeding the sale and delivery of the Securities, except as
may  be  required  by  federal  securities  laws.

               (n)  Defaults.  Neither  the  Company nor any of its subsidiaries
                    --------
is  in  violation  of  its  Certificate  of Incorporation or ByLaws. Neither the
Company  nor  any of its subsidiaries is (i) in default under or in violation of
any other material agreement or instrument to which it is a party or by which it
or any of its properties are bound or affected, which default or violation would
have  a  material adverse effect on the Company, (ii) in default with respect to
any  order  of any court, arbitrator or governmental body or subject to or party
to  any  order of any court or governmental authority arising out of any action,
suit  or  proceeding  under  any  statute  or  other  law  respecting antitrust,
monopoly, restraint of trade, unfair competition or similar matters, or (iii) to
its  knowledge  in  violation  of  any  statute,  rule  or  regulation  of  any
governmental  authority  which violation would have a material adverse effect on
the  Company.

               (o)  No  Integrated Offering.  To the best of its knowledge after
                    -----------------------
due  inquiry  with  regulatory  authorities, neither the Company, nor any of its
affiliates,  nor  any  person  acting  on  its  or their behalf, has directly or
indirectly  made  any offers or sales of any security or solicited any offers to
buy  any  security  under  circumstances  that  would  cause the offering of the
Securities  pursuant  to this Agreement to be integrated with prior offerings by
the  Company for purposes of the 1933 Act or any applicable stockholder approval
provisions,  including,  without  limitation, under the rules and regulations of
the  NASD  OTC  Market,  as  applicable,  nor  will  the  Company  or any of its
affiliates  or  subsidiaries  take  any  action  or  steps  that would cause the
offering  of  the  Securities  to  be  integrated  with  other  offerings.

               (p)  No General Solicitation. Neither the Company, nor any of its
                    -----------------------
affiliates,  nor to its knowledge, any person acting on its or their behalf, has
engaged  in  any form of general solicitation or general advertising (within the
meaning  of  Regulation D under the Act) in connection with the offer or sale of
the  Securities.

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<PAGE>
               (q)  Listing. The Company's Common Stock is listed for trading on
                    -------
the  NASD OTC Market and satisfies all requirements for the continuation of such
listing.  The  Company has not received any notice that its common stock will be
delisted  from  the  NASD  OTC Market or that the Common Stock does not meet all
requirements  for  the  continuation  of  such  listing.

               (r)  No Undisclosed Liabilities.  The  Company has no liabilities
                    --------------------------
or  obligations  which are material, individually or in the aggregate, which are
not  disclosed  in  the  Reports and Other Written Information, other than those
incurred  in  the ordinary course of the Company's businesses since December 31,
2000  and  which,  individually  or  in  the  aggregate, would not reasonably be
expected to have a material adverse effect on the Company's financial condition.

               (s)  No  Undisclosed Events or Circumstances.  Since December 31,
                    ---------------------------------------
2000,  no  event  or  circumstance  has  occurred  or exists with respect to the
Company  or  its  businesses,  properties,  prospects,  operations  or financial
condition,  that,  under  applicable  law,  rule  or regulation, requires public
disclosure or announcement prior to the date hereof by the Company but which has
not  been  so  publicly  announced  or  disclosed  in  the  Reports.

               (t)  Capitalization. The authorized and outstanding capital stock
                    --------------
of  the  Company  as  of the date of this Agreement and the Closing Date are set
forth on Schedule 2 hereto. Except as set forth in the Reports and Other Written
Information,  there  are  no  options,  warrants,  or  rights  to  subscribe to,
securities, rights or obligations convertible into or exchangeable for or giving
any  right  to  subscribe for any shares of capital stock of the Company. All of
the outstanding shares of Common Stock of the Company have been duly and validly
authorized  and  issued  and  are  fully  paid  and  nonassessable.

               (u)  Correctness  of Representations. The Company represents that
                    -------------------------------
the foregoing representations and warranties are true and correct as of the date
hereof  in  all  material  respects,  will be true and correct as of the Closing
Date,  and,  unless  the  Company otherwise notifies the Subscriber prior to the
Closing  Date,  shall  be  true  and  correct in all material respects as of the
Closing  Date.  The  foregoing  representations and warranties shall survive the
Closing  Date.

          3.     Regulation D Offering.  This Offering is being made pursuant to
                 ---------------------
the exemption from the registration provisions of the Securities Act of 1933, as
amended,  afforded  by  Rule  506 of Regulation D promulgated thereunder. On the
Closing  Date, the Company will provide an opinion acceptable to Subscriber from
the  Company's  legal  counsel  opining  on the availability of the Regulation D
exemption  as  it relates to the offer and issuance of the Securities. A form of
the  legal  opinion is annexed hereto as Exhibit C. The Company will provide, at
the Company's expense, such other legal opinions in the future as are reasonably
necessary  for  the  conversion  of  the  Note  and  exercise  of  the Warrants.

          4.     Reissuance  of  Securities.  The  Company  agrees  to  reissue
                 --------------------------
certificates  representing  the  Securities  without  the  legends  set forth in
Sections 1(e) and 1(f) above at such time as (a) the holder thereof is permitted
to  and  disposes  of such Securities pursuant to Rule 144(d) and/or Rule 144(k)
under  the  1933  Act  in  the opinion of counsel reasonably satisfactory to the
Company, or (b) upon resale subject to an effective registration statement after
the  Securities  are  registered  under  the  1933  Act.  The  Company agrees to
cooperate  with  the  Subscriber in connection with all resales pursuant to Rule
144(d)  and  Rule  144(k)  and  provide  legal  opinions necessary to allow such
resales  provided  the  Company and its counsel receive all reasonably requested
written  representations from the Subscriber and selling broker, if any.  If the
Company  fails  to  remove  any  legend as required by this Section 4 (a "Legend
Removal  Failure"),  then  beginning  on the tenth (10th) day following the date
that  the  Subscriber  has requested the removal of the legend and delivered all
items  reasonably  required  to  be  delivered  by  the  Subscriber, the Company
continues  to  fail  to  remove  such  legend,  the  Company  shall  pay to each

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Subscriber  or  assignee  holding  shares subject to a Legend Removal Failure an
amount  equal to one percent (1%) of the Purchase Price of the shares subject to
a  Legend  Removal  Failure  per day that such failure continues.  If during any
twelve  (12) month period, the Company fails to remove any legend as required by
this Section 4 for an aggregate of thirty (30) days, each Subscriber or assignee
holding  Securities  subject  to  a  Legend  Removal Failure may, at its option,
require  the Company to purchase all or any portion of the Securities subject to
a  Legend  Removal  Failure  held  by such Subscriber or assignee at a price per
share  equal  to  120%  of  the  applicable  Purchase  Price.

          5.     Redemption.  The Company  may not redeem the Securities without
                 ----------
the  consent  of  the  holder  of  the  Securities except as otherwise described
herein.

          6.     Fees/Warrants.
                 -------------

               (a)  The  Company shall pay to counsel to the Subscriber its fees
of $4,000 for services rendered to Subscribers in connection with this Agreement
and  the  other Subscription Agreements for aggregate subscription amounts of up
to  $200,000  (the  "Offering").  The  Company will pay the escrow agent for the
Offering  a fee of $750. The Company will pay to the Fund Managers identified on
Schedule B hereto a cash fee in the amount of: ten percent (10%) of the Purchase
Price  ("Fund  Manager's  Fee")  and of the actual cash proceeds received by the
Company  in  connection  with  the exercise of the Warrants issued in connection
with the Offering ("Warrant Exercise Compensation"). The Fund Manager's Fee must
be  paid  each  Closing  Date with respect to the Notes issued on such date. The
Warrant  Exercise  Compensation  must be paid to the Fund Managers identified on
Schedule  B  hereto,  within  ten  (10)  days of receipt of the Warrant exercise
"Purchase  Price"  (as defined in the Warrant). The Fund Manager's Fee and legal
fees  will  be payable out of funds held pursuant to a Funds Escrow Agreement to
be  entered  into  by  the  Company,  Subscriber  and  an  Escrow  Agent.

               (b)  The  Company  will also issue and deliver to the Subscribers
(sometimes  referred to as "Subscribers"), Warrants in the amounts designated on
Schedule  B hereto in connection with the Initial Offering. A form of Warrant is
annexed  hereto  as Exhibit D. The per share "Purchase Price" of Common Stock as
defined  in  the Warrant shall be equal to the lesser of (i) 120% of the average
of  the three lowest closing prices of the Common Stock as reported by Bloomberg
Financial  for  the  Pink  Sheets,  the NASD OTC Bulletin Board, NASDAQ SmallCap
Market,  NASDAQ  National  Market,  American  Stock  Exchange, or New York Stock
Exchange (each of the foregoing the "Principal Market"), or such other principal
market  or  exchange where the Common Stock is listed or traded for the ten (10)
trading  days  preceding  but not including the Closing Date or (ii) 120% of the
average  of  the  three lowest closing prices of the Common Stock as reported by
Bloomberg  Financial  on  the Principal Market for the ten trading days prior to
but  not including the date the Warrant is exercised. The Warrants designated on
Schedule  B  hereto  must  be  delivered to the Subscribers on the Closing Date.
Failure  to  timely  deliver  the Warrant Exercise Compensation, the Warrants or
Fund Manager's Fee shall be an Event of Default as defined in Article III of the
Note.

               (c)  The  Fund  Manager's  Fee, legal fees and escrow agent's fee
will  be  paid  to  the  Fund  Managers  and  attorneys  only when, as, and if a
corresponding subscription amount is released from escrow to the Company and out
of  the  escrow  proceeds.  All  the  representations,  covenants,  warranties,
undertakings, remedies, liquidated damages, indemnification, rights in Section 9
hereof,  and  other rights but not including registration rights made or granted
to  or for the benefit of the Subscriber are hereby also made and granted to the
Subscribers in respect of the Warrants and Company Shares issuable upon exercise
of  the  Warrants.

                                       24
<PAGE>
              (d)  The  Company on the one hand, and the Subscriber on the other
hand,  agree to indemnify the other against and hold the other harmless from any
and  all liabilities to any other persons claiming brokerage commissions or fund
manager's  fees except as identified on Schedule B hereto on account of services
purported  to  have  been  rendered  on  behalf  of  the  indemnifying  party in
connection  with  this  Agreement  or  the  transactions contemplated hereby and
arising  out  of such party's actions. Except as set forth on Schedule B hereto,
the Company represents that there are no other parties entitled to receive fees,
commissions,  or  similar  payments in connection with the offering described in
the  Subscription  Agreement.

          7.   Covenants of the Company.  The  Company covenants and agrees with
               ------------------------
the Subscriber  as  follows:

               (a)  The  Company  will  advise the Subscriber, promptly after it
receives notice of issuance by the Securities and Exchange Commission, any state
securities  commission or any other regulatory authority of any stop order or of
any  order  preventing  or  suspending  any  offering  of  any securities of the
Company,  or  of  the suspension of the qualification of the Common Stock of the
Company  for  offering  or  sale  in  any jurisdiction, or the initiation of any
proceeding  for  any  such  purpose.

               (b)  The Company shall promptly secure the listing of the Company
Shares,  and  Common  Stock issuable upon the exercise of the Warrants upon each
national  securities exchange, or automated quotation system, if any, upon which
shares  of Common Stock are then listed (subject to official notice of issuance)
and  shall  maintain  such  listing  so long as any other shares of Common Stock
shall be so listed. The Company will maintain the listing of its Common Stock on
a  Principal  Market,  and  will  comply  in  all  respects  with  the Company's
reporting,  filing  and  other  obligations  under  the  bylaws  or rules of the
National  Association  of  Securities  Dealers  ("NASD")  and such exchanges, as
applicable.  The  Company  will  provide the Subscriber copies of all notices it
receives  notifying  the  Company  of the threatened and actual delisting of the
Common  Stock  from  any  Principal  Market.

               (c)  The  Company shall notify the SEC, NASD and applicable state
authorities,  in accordance with their requirements, if any, of the transactions
contemplated  by  this  Agreement, and shall take all other necessary action and
proceedings  as  may  be  required  and  permitted  by  applicable law, rule and
regulation, for the legal and valid issuance of the Securities to the Subscriber
and  promptly  provide  copies  thereof  to  Subscriber.

               (d)  Until  at least two (2) years after the effectiveness of the
Registration  Statement  on  Form  SB-2  or  such  other  Registration Statement
described  in  Section  10.1(iv)  hereof,  the Company will (i) cause its Common
Stock to continue to be registered under Sections 12(b) or 12(g) of the Exchange
Act, (ii) comply in all respects with its reporting and filing obligations under
the  Exchange  Act,  (iii)  comply  with  all  reporting  requirements  that  is
applicable  to  an  issuer with a class of Shares registered pursuant to Section
12(g)  of the Exchange Act, and (iv) comply with all requirements related to any
registration  statement  filed  pursuant to this Agreement. The Company will not
take any action or file any document (whether or not permitted by the Act or the
Exchange  Act or the rules thereunder) to terminate or suspend such registration
or  to terminate or suspend its reporting and filing obligations under said Acts
until  the  later  of  (y)  two (2) years after the actual effective date of the
Registration  Statement  on  Form  SB-2  or  such  other  Registration Statement
described  in  Section  10.1(iv)  hereof, or (z) the sale by the Subscribers and
Warrant  Recipients  of  all  the  Company Shares and Securities issuable by the
Company  pursuant  to  this  Agreement.  Until  at least two (2) years after the
Warrants  have  been exercised, the Company will use its commercial best efforts
to  continue  the listing of the Common Stock on the OTC Market, and will comply
in all respects with the Company's reporting, filing and other obligations under
the  bylaws  or  rules  of  the  NASD  and  NASDAQ.

                                       25
<PAGE>
               (e)  The  Company  undertakes  to  use  the  proceeds  of  the
Subscriber's  funds for the purposes set forth on Schedule 7(e) hereto. Purchase
Price  may  not  and  will  not  be  used  to  pay debt or non-trade obligations
outstanding  on  or after the Closing Date. A deviation from the use of proceeds
set  forth  on  Schedule  7(e) of more than 10% per item or more than 20% in the
aggregate  shall  be  deemed  a  material  breach  of  the Company's obligations
hereunder.

               (f)  The  Company  undertakes to use its best efforts to acquire,
within  three  months  of the Closing Date, at a commercially reasonable cost, a
standard  officers and directors errors and omissions liability insurance policy
covering  the  transactions  contemplated  in  this  Agreement.

               (g)  The Company undertakes to reserve pro rata on behalf of each
holder  of  a Note or Warrant, from its authorized but unissued Common Stock, at
all  times  that Notes or Warrants remain outstanding, a number of Common Shares
equal  to  not  less than 200% of the amount of Common Shares necessary to allow
each  such  holder to be able to convert all such outstanding Notes, at the then
applicable  Conversion Price and one Common Share for each Common Share issuable
upon  exercise  of  the  Warrants.

          8.  Covenants of the Company and Subscriber Regarding Indemnification.
              -----------------------------------------------------------------

               (a) The Company agrees to indemnify, hold harmless, reimburse and
defend Subscriber, Subscriber's officers, directors, agents, affiliates, control
persons,  and  principal  shareholders,  against  any  claim,  cost,  expense,
liability,  obligation,  loss or damage (including reasonable legal fees) of any
nature, incurred by or imposed upon Subscriber or any such person which results,
arises out of or is based upon (i) any misrepresentation by Company or breach of
any  warranty  by  Company  in  this  Agreement  or in any Exhibits or Schedules
attached hereto, or other agreement delivered pursuant hereto; or (ii) after any
applicable  notice  and/or cure periods, any breach or default in performance by
the  Company  of  any  covenant  or  undertaking  to be performed by the Company
hereunder,  or  any  other agreement entered into by the Company and Subscribers
relating  hereto.

               (b)  Subscriber agrees to indemnify, hold harmless, reimburse and
defend the Company and each of the Company's officers and directors at all times
against  any  claim,  cost,  expense,  liability,  obligation,  loss  or  damage
(including reasonable legal fees) of any nature, incurred by or imposed upon the
Company or any such person which results, arises out of or is based upon (i) any
misrepresentation  by  Subscriber  in  this  Agreement  or  in  any  Exhibits or
Schedules attached hereto, or other agreement delivered pursuant hereto; or (ii)
after  any  applicable  notice  and/or  cure  periods,  any breach or default in
performance  by  Subscriber  of  any  covenant or undertaking to be performed by
Subscriber  hereunder,  or  any  other agreement entered into by the Company and
Subscribers  relating  hereto.

               (c)  The  procedures set forth in Section 10.6 shall apply to the
indemnifications  set  forth  in  Sections  8(a)  and  8(b)  above.

          9.1.  Conversion  of  Note.
                --------------------

               (a)  Upon the conversion of the Note or part thereof, the Company
shall,  at  its  own  cost and expense, take all necessary action (including the
issuance  of  an opinion of counsel) to assure that the Company's transfer agent
shall  issue  stock  certificates  in the name of Subscriber (or its nominee) or
such  other  persons as designated by Subscriber and in such denominations to be
specified  at  conversion  representing  the  number  of  shares of common stock
issuable  upon  such conversion. The Company warrants that no instructions other
than  these instructions have been or will be given to the transfer agent of the
Company's Common Stock and that the Shares will be unlegended, free-trading, and
freely  transferable,  and  will  not contain a legend restricting the resale or
transferability  of  the  Company  Shares  provided  the  Shares  are being sold
pursuant  to  an effective registration statement covering the Shares to be sold
or  are  otherwise  exempt  from  registration  when  sold.

                                       26
<PAGE>
               (b)  Subscriber  will give notice of its decision to exercise its
right  to  convert  the  Note  or  part  thereof  by telecopying an executed and
completed  Notice  of  Conversion  (as  defined  in the Note) to the Company via
confirmed  telecopier  transmission.  The  Subscriber  will  not  be required to
surrender  the  Note  until the Note has been fully converted or satisfied. Each
date  on which a Notice of Conversion is telecopied to the Company in accordance
with  the  provisions hereof shall be deemed a Conversion Date. The Company will
or  cause the transfer agent to transmit the Company's Common Stock certificates
representing  the  Shares issuable upon conversion of the Note to the Subscriber
via  express  courier  for  receipt by such Subscriber within three (3) business
days  after  receipt  by  the Company of the Notice of Conversion (the "Delivery
Date").  A  Note  representing  the balance of the Note not so converted will be
provided  to  the  Subscriber,  if requested by Subscriber. To the extent that a
Subscriber elects not to surrender a Note for reissuance upon partial payment or
conversion,  the  Subscriber  hereby indemnifies the Company against any and all
loss or damage attributable to a third-party claim in an amount in excess of the
actual  amount  then  due  under  the  Note.

               (c)  The  Company understands that a delay in the delivery of the
Shares  in  the  form  required  pursuant  to Section 9 hereof, or the Mandatory
Redemption  Amount  described in Section 9.2 hereof, beyond the Delivery Date or
Mandatory  Redemption  Payment  Date  (as  hereinafter  defined) could result in
economic  loss  to  the  Subscriber.  As compensation to the Subscriber for such
loss,  the  Company  agrees  to  pay  late  payments  to the Subscriber for late
issuance  of  Shares  in  the  form  required  pursuant to Section 9 hereof upon
Conversion  of  the  Note or late payment of the Mandatory Redemption Amount, in
the  amount  of  $100  per  business  day  after  the Delivery Date or Mandatory
Redemption  Payment Date, as the case may be, for each $10,000 of Note principal
amount  being converted or redeemed. The Company shall pay any payments incurred
under  this  Section in immediately available funds upon demand. Furthermore, in
addition  to any other remedies which may be available to the Subscriber, in the
event  that the Company fails for any reason to effect delivery of the Shares by
the  Delivery Date or make payment by the Mandatory Redemption Payment Date, the
Subscriber  will  be  entitled  to  revoke all or part of the relevant Notice of
Conversion  or  rescind  all  or  part  of the notice of Mandatory Redemption by
delivery of a notice to such effect to the Company whereupon the Company and the
Subscriber  shall  each  be  restored  to their respective positions immediately
prior to the delivery of such notice, except that late payment charges described
above  shall  be  payable through the date notice of revocation or rescission is
given  to  the  Company.

               (d)  Nothing  contained  herein  or  in  any document referred to
herein  or  delivered  in  connection  herewith  shall be deemed to establish or
require  the  payment  of  a  rate of interest or other charges in excess of the
maximum  permitted  by applicable law. In the event that the rate of interest or
dividends  required  to  be  paid  or other charges hereunder exceed the maximum
permitted  by such law, any payments in excess of such maximum shall be credited
against  amounts  owed by the Company to the Subscriber and thus refunded to the
Company.

          9.2.     Mandatory Redemption.  In the event the Company is prohibited
                   --------------------
from  issuing  Shares,  or fails to timely deliver Shares on a Delivery Date, or
upon  the  occurrence of an Event of Default (as defined in the Note) or for any
reason  other  than pursuant to the limitations set forth in Section 9.3 hereof,
then  at  the  Subscriber's election, the Company must pay to the Subscriber ten
(10)  business  days after request by the Subscriber or on the Delivery Date (if
requested  by the Subscriber) a sum of money determined by multiplying up to the
outstanding  principal  amount of the Note designated by the Subscriber by 130%,
together  with  accrued  but  unpaid  interest  thereon  ("Mandatory  Redemption

                                       27
<PAGE>
Payment").  The  Mandatory Redemption Payment must be received by the Subscriber
on  the same date as the Company Shares otherwise deliverable or within ten (10)
business  days after request, whichever is sooner ("Mandatory Redemption Payment
Date"). Upon receipt of the Mandatory Redemption Payment, the corresponding Note
principal  and  interest  will  be  deemed  paid  and  no  longer  outstanding.

          9.3.     Maximum Conversion.  The Subscriber shall not be  entitled to
                   ------------------
convert  on  a  Conversion  Date that amount of the Note in connection with that
number  of shares of Common Stock which would be in excess of the sum of (i) the
number  of  shares  of Common Stock beneficially owned by the Subscriber and its
affiliates  on  a Conversion Date, and (ii) the number of shares of Common Stock
issuable upon the conversion of the Note with respect to which the determination
of  this  provision  is  being  made on a Conversion Date, which would result in
beneficial  ownership by the Subscriber and its affiliates of more than 4.99% of
the  outstanding  shares of Common Stock of the Company on such Conversion Date.
For  the  purposes  of  the  provision  to  the  immediately preceding sentence,
beneficial ownership shall be determined in accordance with Section 13(d) of the
Securities  Exchange  Act  of 1934, as amended, and Regulation 13d-3 thereunder.
Subject  to  the  foregoing,  the  Subscriber  shall not be limited to aggregate
conversions  of  only  4.99%.  The Subscriber may void the conversion limitation
described  in this Section 9.3 upon 75 days prior written notice to the Company.
The  Subscriber  may  allocate  which  of  the  equity  of  the  Company  deemed
beneficially  owned  by  the  Subscriber  shall  be included in the 4.99% amount
described  above  and  which  shall  be  allocated  to  the  excess above 4.99%.

          9.4.  Injunction - Posting of Bond. In the event a Subscriber shall
                ----------------------------
elect  to  convert a Note or part thereof, the Company may not refuse conversion
based on any claim that such Subscriber or any one associated or affiliated with
such  Subscriber  has  been  engaged  in  any violation of law, or for any other
reason,  unless,  an  injunction  from  a  court,  on notice, restraining and or
enjoining  conversion  of  all  or  part of said Note shall have been sought and
obtained  and the Company posts a surety bond for the benefit of such Subscriber
in  the  amount  of  130%  of  the  amount  of the Note, which is subject to the
injunction,  which  bond  shall  remain  in  effect  until  the  completion  of
arbitration/litigation of the dispute and the proceeds of which shall be payable
to  such  Subscriber  to  the  extent  Subscriber  obtains  judgment.

          9.5.  Buy-In.  In  addition  to  any  other  rights  available  to the
                ------
Subscriber,  if  the  Company  fails  to  deliver  to the Subscriber such shares
issuable  upon  conversion  of  a Note by the Delivery Date and if ten (10) days
after  the Delivery Date the Subscriber purchases (in an open market transaction
or  otherwise)  shares  of  Common Stock to deliver in satisfaction of a sale by
such  Subscriber  of the Common Stock which the Subscriber anticipated receiving
upon  such  conversion  (a  "Buy-In"), then the Company shall pay in cash to the
Subscriber  (in  addition  to  any  remedies  available  to  or  elected  by the
Subscriber)  the  amount  by  which  (A)  the  Subscriber's total purchase price
(including  brokerage  commissions,  if  any)  for the shares of Common Stock so
purchased exceeds (B) the aggregate principal and/or interest amount of the Note
for which such conversion was not timely honored, together with interest thereon
at  a rate of 15% per annum, accruing until such amount and any accrued interest
thereon  is  paid  in full (which amount shall be paid as liquidated damages and
not  as  a  penalty).  For example, if the Subscriber purchases shares of Common
Stock having a total purchase price of $11,000 to cover a Buy-In with respect to
an  attempted  conversion  of  $10,000  of  note  principal and/or interest, the
Company  shall  be  required  to  pay the Subscriber $1,000, plus interest.  The
Subscriber  shall  provide  the  Company  written  notice indicating the amounts
payable  to  the  Subscriber  in  respect  of  the  Buy-In.

         9.6   Adjustments.  The Conversion  Price and amount of Shares issuable
               -----------
upon  conversion  of  the  Notes and Put Notes shall be adjusted consistent with
customary  anti-dilution  adjustments.

          10.1.  Registration Rights.  The Company hereby  grants  the following
                 -------------------
registration  rights  to  holders  of  the  Securities.

                                       28
<PAGE>
                    (i)  On  one occasion, for a period commencing 60 days after
the  Closing  Date,  but  not  later  than  three  years  after the Closing Date
("Request  Date"),  the Company, upon a written request therefor from any record
holder  or  holders  of  more  than 50% of the aggregate of the Company's Shares
issued  and  issuable  upon  Conversion of the Notes (the Common Stock issued or
issuable  upon conversion of the Notes or issuable by virtue of ownership of the
Note,  being, the "Registrable Securities"), shall prepare and file with the SEC
a registration statement under the Act covering the Registrable Securities which
are  the  subject  of  such  request, unless such Registrable Securities are the
subject of an effective registration statement. In addition, upon the receipt of
such request, the Company shall promptly give written notice to all other record
holders  of the Registrable Securities that such registration statement is to be
filed  and  shall  include in such registration statement Registrable Securities
for  which  it  has  received  written requests within 10 days after the Company
gives  such written notice. Such other requesting record holders shall be deemed
to have exercised their demand registration right under this Section 10.1(i). As
a  condition  precedent  to  the inclusion of Registrable Securities, the holder
thereof  shall  provide  the  Company  with  such  information  as  the  Company
reasonably  requests.  The  obligation of the Company under this Section 10.1(i)
shall  be  limited  to  one  registration  statement.

                    (ii)  If the Company at any time proposes to register any of
its securities under the Act for sale to the public, whether for its own account
or  for  the  account  of other security holders or both, except with respect to
registration  statements  on  Forms  S-4,  S-8 or another form not available for
registering  the  Registrable  Securities  for  sale to the public, provided the
Registrable Securities are not otherwise registered for resale by the Subscriber
or  Holder  pursuant  to  an effective registration statement, each such time it
will  give  at  least  30 days' prior written notice to the record holder of the
Registrable  Securities  of  its intention so to do. Upon the written request of
the  holder, received by the Company within 20 days after the giving of any such
notice  by  the  Company,  to  register  any  of the Registrable Securities, the
Company  will  cause  such Registrable Securities as to which registration shall
have  been  so requested to be included with the securities to be covered by the
registration  statement  proposed  to be filed by the Company, all to the extent
required  to  permit the sale or other disposition of the Registrable Securities
so  registered  by  the holder of such Registrable Securities (the "Seller"). In
the  event  that any registration pursuant to this Section 10.1(ii) shall be, in
whole  or  in  part,  an  underwritten  public  offering  of common stock of the
Company,  the  number of shares of Registrable Securities to be included in such
an  underwriting may be reduced by the managing underwriter if and to the extent
that  the  Company  and  the underwriter shall reasonably be of the opinion that
such inclusion would adversely affect the marketing of the securities to be sold
by  the  Company  therein;  provided, however, that the Company shall notify the
Seller  in  writing  of  any  such  reduction.  Notwithstanding  the  foregoing
provisions,  or Section 10.4 hereof, the Company may withdraw or delay or suffer
a  delay  of  any  registration  statement  referred to in this Section 10.1(ii)
without  thereby  incurring  any  liability  to  the  Seller.

                    (iii)  If,  at the time any written request for registration
is  received  by  the  Company  pursuant  to  Section  10.1(i),  the Company has
determined  to  proceed with the actual preparation and filing of a registration
statement  under the 1933 Act in connection with the proposed offer and sale for
cash  of  any  of  its  securities  for  the Company's own account, such written
request  shall  be deemed to have been given pursuant to Section 10.1(ii) rather
than  Section  10.1(i),  and the rights of the holders of Registrable Securities
covered  by  such  written  request  shall  be  governed  by  Section  10.1(ii).

                    (iv)  The  Company  shall file with the Commission within 20
days  after  the  Closing  Date  (the  "Filing  Date"),  and  use its reasonable
commercial  efforts  to  cause  to  be declared effective Form SB-2 registration
statement  (or  such other form that it is eligible to use) in order to register
the  Registrable  Securities  for  resale  and  distribution  under the Act. The
registration statement described in this paragraph must be declared effective by
the  Commission  within  60  days  of  the  Closing  Date  (as  defined  herein)
("Effective  Date").  The Company will register not less than a number of shares
of  Common  Stock  in the aforedescribed registration statement that is equal to

                                       29
<PAGE>
300%  of  the  Company  Shares issuable at the Conversion Price that would be in
effect  on the Closing Date or the date of filing of such registration statement
(employing  the  Conversion  Price  which  would result in the greater number of
Shares),  assuming  the  conversion  of  100%  of  the  Notes.  The  Registrable
Securities  shall  be  reserved and set aside exclusively for the benefit of the
Subscriber,  and  not  issued,  employed  or  reserved for anyone other than the
Subscriber.  Such  registration statement will be promptly amended or additional
registration  statements  will  be promptly filed by the Company as necessary to
register  additional  Company  Shares  to  allow the public resale of all Common
Stock  included  in  and  issuable  by  virtue of the Registrable Securities. No
securities of the Company other than the Registrable Securities will be included
in  the  registration  statement  described  in  this  Section  10.1(iv).

          10.2.  Registration  Procedures.   If  and  whenever  the  Company  is
                 ------------------------
required  by  the  provisions hereof to effect the registration of any shares of
Registrable  Securities  under  the  Act,  the Company will, as expeditiously as
possible:

               (a) prepare and file with the Commission a registration statement
with  respect  to  such  securities  and  use  its  best  efforts  to cause such
registration  statement  to  become  and  remain effective for the period of the
distribution  contemplated thereby (determined as herein provided), and promptly
provide  to  the  holders  of  Registrable  Securities ("Sellers") copies of all
filings  and  Commission  letters  of  comment;

               (b)  prepare  and  file  with  the Commission such amendments and
supplements to such registration statement and the prospectus used in connection
therewith  as  may  be  necessary  to keep such registration statement effective
until the latest of: (i) twelve months after the latest Maturity Date of a Note;
(ii)  thirty  months  after  the  Closing Date; or (iii) until such registration
statement  has been effective for a period of not less than 270 days, and comply
with  the  provisions  of  the Act with respect to the disposition of all of the
Registrable Securities covered by such registration statement in accordance with
the  Seller's  intended  method  of  disposition  set forth in such registration
statement  for  such  period;

               (c)  furnish  to the Seller, and to each underwriter if any, such
number  of  copies  of  the  registration  statement and the prospectus included
therein  (including  each preliminary prospectus) as such persons reasonably may
request  in  order  to  facilitate  the  public sale or their disposition of the
securities  covered  by  such  registration  statement;

               (d)  use  its  best  efforts  to register or qualify the Seller's
Registrable  Securities  covered  by  such  registration  statement  under  the
securities  or  "blue  sky"  laws of such jurisdictions as the Seller and in the
case  of  an  underwritten  public  offering,  the  managing  underwriter  shall
reasonably  request,  provided, however, that the Company shall not for any such
purpose  be  required  to  qualify  generally  to transact business as a foreign
corporation  in  any  jurisdiction where it is not so qualified or to consent to
general  service  of  process  in  any  such  jurisdiction;

               (e)  list the Registrable Securities covered by such registration
statement  with any securities exchange on which the Common Stock of the Company
is  then  listed;

               (f) immediately notify the Seller and each underwriter under such
registration  statement  at  any  time  when  a  prospectus  relating thereto is
required  to  be delivered under the Act, of the happening of any event of which
the  Company has knowledge as a result of which the prospectus contained in such
registration  statement,  as  then  in effect, includes an untrue statement of a
material fact or omits to state a material fact required to be stated therein or
necessary  to  make  the  statements  therein  not  misleading  in  light of the
circumstances  then  existing;

                                       30
<PAGE>
               (g)  make available for inspection by the Seller, any underwriter
participating  in  any distribution pursuant to such registration statement, and
any  attorney,  accountant or other agent retained by the Seller or underwriter,
all  publicly available, non-confidential financial and other records, pertinent
corporate  documents  and  properties  of  the  Company, and cause the Company's
officers,  directors  and  employees  to  supply  all  publicly  available,
non-confidential  information  reasonably  requested by the seller, underwriter,
attorney,  accountant  or  agent in connection with such registration statement.

          10.3.  Provision  of  Documents.
                 ------------------------

               (a)  At  the  request  of  the  Seller,  provided  a  demand  for
registration  has  been  made  pursuant  to  Section  10.1(i)  or  a request for
registration  has  been  made  pursuant  to  Section  10.1(ii),  the Registrable
Securities  will  be included in a registration statement filed pursuant to this
Section  10.

               (b)  In  connection  with each registration hereunder, the Seller
will  furnish  to  the  Company  in  writing such information and representation
letters with respect to itself and the proposed distribution by it as reasonably
shall  be  necessary  in  order to assure compliance with federal and applicable
state  securities laws. In connection with each registration pursuant to Section
10.1(i)  or  10.1(ii)  covering an underwritten public offering, the Company and
the Seller agree to enter into a written agreement with the managing underwriter
in  such  form and containing such provisions as are customary in the securities
business  for  such an arrangement between such underwriter and companies of the
Company's  size  and  investment  stature.

          10.4.  Non-Registration  Events.  The Company and the Subscriber agree
                 ------------------------
that the Seller will suffer damages if any registration statement required under
Section  10.1(i)  or  10.1(ii)  above  is not filed within 30 days after written
request  by  the  Holder  and not declared effective by the Commission within 90
days after such request (or the Filing Date and Effective Date, respectively, in
reference  to  the  Registration  Statement  on  Form  SB-2  or  such other form
described in Section 10.1(iv)), and maintained in the manner and within the time
periods  contemplated  by  Section  10  hereof,  and it would not be feasible to
ascertain  the  extent  of  such damages with precision. Accordingly, if (i) the
Registration  Statement  described  in Sections 10.1(i) or 10.1(ii) is not filed
within  30  days  of  such  written request, or is not declared effective by the
Commission  on  or prior to the date that is 90 days after such request, or (ii)
the  registration statement on Form SB-2 or such other form described in Section
10.1(iv)  is not filed on or before the Filing Date or not declared effective on
or  before  the  sooner  of  the Effective Date, or within five business days of
receipt  by  the  Company of a written or oral communication from the Commission
that  the  registration  statement  described  in  Section  10.1(iv) will not be
reviewed,  or  (iii)  any  registration statement described in Sections 10.1(i),
10.1(ii)  or 10.1(iv) is filed and declared effective but shall thereafter cease
to  be  effective  (without  being  succeeded  immediately  by  an  additional
registration  statement filed and declared effective) for a period of time which
shall  exceed 30 days in the aggregate per year but not more than 20 consecutive
calendar  days  (defined  as  a  period  of  365 days commencing on the date the
Registration  Statement  is  declared effective) (each such event referred to in
clauses  (i),  (ii)  and  (iii)  of this Section 10.4 is referred to herein as a
"Non-Registration  Event"),  then,  for  so  long as such Non-Registration Event
shall  continue,  the  Company shall pay, at the Subscriber's option, in cash or
stock  at  the applicable Conversion Price, as Liquidated Damages to each holder
of  any  Registrable Securities an amount equal to two percent (2%) per month or
part  thereof  during  the  pendency  of  such  Non-Registration  Event,  of the
principal  of  the  Notes issued in connection with the Offering, whether or not
converted,  then  owned of record by such holder or issuable as of or subsequent
to  the  occurrence of such Non-Registration Event. Payments to be made pursuant
to  this  Section  10.4  shall  be due and payable within five (5) business days
after demand in immediately available funds. In the event a Mandatory Redemption
Payment  is  demanded  from the Company by the Holder pursuant to Section 9.2 of
this  Subscription  Agreement,  then  the  Liquidated  Damages described in this
Section  10.4  shall  no  longer  accrue  on  the  portion of the Purchase Price
underlying  the Mandatory Redemption Payment, from and after the date the Holder

                                       31
<PAGE>
receives  the  Mandatory  Redemption  Payment.  It  shall  also  be  deemed  a
Non-Registration  Event if at any time a Note is outstanding, there is less than
125%  of  the amount of Common Shares necessary to allow full conversion of such
Note  at the then applicable Conversion Price registered for unrestricted resale
in  an  effective  registration  statement.

          10.5.  Expenses.  All  expenses  incurred  by the Company in complying
                 --------
with  Section  10,  including,  without  limitation, all registration and filing
fees,  printing  expenses,  fees  and  disbursements  of counsel and independent
public  accountants  for  the  Company,  fees and expenses (including reasonable
counsel  fees)  incurred  in  connection with complying with state securities or
"blue  sky"  laws, fees of the National Association of Securities Dealers, Inc.,
transfer  taxes,  fees of transfer agents and registrars, and costs of insurance
are  called  "Registration  Expenses".  All  underwriting  discounts and selling
commissions applicable to the sale of Registrable Securities, including any fees
and  disbursements  of  any  special  counsel to the Seller, are called "Selling
Expenses".  The Seller shall pay the fees of its own additional counsel, if any.
The  Company  will  pay  all  Registration  Expenses  in  connection  with  the
registration statement under Section 10. All Selling Expenses in connection with
each  registration  statement  under Section 10 shall be borne by the Seller and
may  be apportioned among the Sellers in proportion to the number of shares sold
by  the  Seller  relative  to  the number of shares sold under such registration
statement  or  as  all  Sellers  thereunder  may  agree.

          10.6.  Indemnification  and  Contribution.
                 ----------------------------------

               (a)  In the event of a registration of any Registrable Securities
under  the  Act  pursuant  to  Section  10,  the Company will indemnify and hold
harmless  the  Seller,  each officer of the Seller, each director of the Seller,
each  underwriter  of  such  Registrable  Securities  thereunder  and each other
person,  if  any,  who controls such Seller or underwriter within the meaning of
the  1933  Act,  against  any  losses,  claims, damages or liabilities, joint or
several,  to  which  the  Seller,  or such underwriter or controlling person may
become  subject  under  the  Act  or  otherwise, insofar as such losses, claims,
damages or liabilities (or actions in respect thereof) arise out of or are based
upon  any  untrue  statement  or  alleged  untrue statement of any material fact
contained  in any registration statement under which such Registrable Securities
was  registered under the Act pursuant to Section 10, any preliminary prospectus
or  final  prospectus contained therein, or any amendment or supplement thereof,
or  arise  out  of  or  are based upon the omission or alleged omission to state
therein  a  material fact required to be stated therein or necessary to make the
statements  therein  not  misleading,  and  will reimburse the Seller, each such
underwriter  and  each  such  controlling person for any legal or other expenses
reasonably  incurred  by  them in connection with investigating or defending any
such  loss,  claim,  damage,  liability  or  action; provided, however, that the
Company  shall  not  be liable to the Seller to the extent that any such damages
arise  out  of  or  are  based  upon an untrue statement or omission made in any
preliminary prospectus if (i) the Seller failed to send or deliver a copy of the
final  prospectus  delivered  by  the Company to the Seller with or prior to the
delivery  of  written  confirmation  of  the  sale  by  the Seller to the person
asserting  the  claim  from  which such damages arise, (ii) the final prospectus
would  have  corrected such untrue statement or alleged untrue statement or such
omission  or alleged omission, or (iii) to the extent that any such loss, claim,
damage  or  liability  arises  out  of  or  is based upon an untrue statement or
alleged  untrue  statement or omission or alleged omission so made in conformity
with information furnished by any such Seller, or any such controlling person in
writing  specifically  for  use  in  such  registration statement or prospectus.

               (b)  In  the  event  of  a registration of any of the Registrable
Securities  under  the Act pursuant to Section 10, the Seller will indemnify and
hold  harmless  the  Company,  and each person, if any, who controls the Company
within  the  meaning  of  the  Act,  each  officer  of the Company who signs the
registration  statement, each director of the Company, each underwriter and each
person  who  controls any underwriter within the meaning of the Act, against all
losses,  claims,  damages or liabilities, joint or several, to which the Company
or  such officer, director, underwriter or controlling person may become subject
under  the  Act  or  otherwise,  insofar  as  such  losses,  claims,  damages or
liabilities  (or  actions in respect thereof) arise out of or are based upon any
untrue  statement  or alleged untrue statement of any material fact contained in
the  registration  statement  under  which  such  Registrable  Securities  were
registered  under  the Act pursuant to Section 10, any preliminary prospectus or

                                       32
<PAGE>
final  prospectus  contained therein, or any amendment or supplement thereof, or
arise out of or are based upon the omission or alleged omission to state therein
a  material  fact  required  to  be  stated  therein  or  necessary  to make the
statements  therein not misleading, and will reimburse the Company and each such
officer,  director,  underwriter  and  controlling person for any legal or other
expenses  reasonably  incurred  by  them  in  connection  with  investigating or
defending  any such loss, claim, damage, liability or action, provided, however,
that  the  Seller  will  be liable hereunder in any such case if and only to the
extent  that any such loss, claim, damage or liability arises out of or is based
upon  an  untrue  statement  or  alleged untrue statement or omission or alleged
omission  made in reliance upon and in conformity with information pertaining to
such  Seller,  as  such,  furnished  in  writing  to  the Company by such Seller
specifically for use in such registration statement or prospectus, and provided,
further, however, that the liability of the Seller hereunder shall be limited to
the  gross  proceeds  received  by  the  Seller  from  the  sale  of Registrable
Securities  covered  by  such  registration  statement.

               (c)  Promptly  after receipt by an indemnified party hereunder of
notice  of  the  commencement  of any action, such indemnified party shall, if a
claim in respect thereof is to be made against the indemnifying party hereunder,
notify  the indemnifying party in writing thereof, but the omission so to notify
the indemnifying party shall not relieve it from any liability which it may have
to  such  indemnified party other than under this Section 10.6(c) and shall only
relieve  it from any liability which it may have to such indemnified party under
this  Section  10.6(c),  except  and  only if and to the extent the indemnifying
party  is  prejudiced by such omission. In case any such action shall be brought
against  any indemnified party and it shall notify the indemnifying party of the
commencement thereof, the indemnifying party shall be entitled to participate in
and,  to  the  extent it shall wish, to assume and undertake the defense thereof
with  counsel satisfactory to such indemnified party, and, after notice from the
indemnifying  party  to  such indemnified party of its election so to assume and
undertake  the  defense  thereof,  the indemnifying party shall not be liable to
such  indemnified  party  under  this  Section  10.6(c)  for  any legal expenses
subsequently  incurred  by such indemnified party in connection with the defense
thereof other than reasonable costs of investigation and of liaison with counsel
so  selected,  provided,  however,  that,  if  the defendants in any such action
include  both  the  indemnified  party  and  the  indemnifying  party  and  the
indemnified  party  shall have reasonably concluded that there may be reasonable
defenses  available  to  it  which  are  different  from  or additional to those
available to the indemnifying party or if the interests of the indemnified party
reasonably  may  be  deemed  to  conflict with the interests of the indemnifying
party,  the  indemnified  parties  shall  have  the right to select one separate
counsel  and  to  assume such legal defenses and otherwise to participate in the
defense  of  such action, with the reasonable expenses and fees of such separate
counsel and other expenses related to such participation to be reimbursed by the
indemnifying  party  as  incurred.

               (d)  In  order  to provide for just and equitable contribution in
the  event  of joint liability under the Act in any case in which either (i) the
Seller,  or  any  controlling  person  of  the  Seller,  makes  a  claim  for
indemnification  pursuant  to  this Section 10.6 but it is judicially determined
(by the entry of a final judgment or decree by a court of competent jurisdiction
and  the expiration of time to appeal or the denial of the last right of appeal)
that  such  indemnification may not be enforced in such case notwithstanding the
fact  that  this Section 10.6 provides for indemnification in such case, or (ii)
contribution  under  the  Act  may  be  required  on  the  part of the Seller or
controlling  person  of the Seller in circumstances for which indemnification is
provided  under  this Section 10.6; then, and in each such case, the Company and
the  Seller  will  contribute  to  the  aggregate  losses,  claims,  damages  or
liabilities  to  which  they  may be subject (after contribution from others) in
such  proportion  so  that  the  Seller  is  responsible  only  for  the portion
represented  by  the percentage that the public offering price of its securities
offered  by the registration statement bears to the public offering price of all
securities  offered  by such registration statement, provided, however, that, in
any  such  case, (y) the Seller will not be required to contribute any amount in
excess  of  the  public  offering  price  of  all  such securities offered by it
pursuant  to  such registration statement; and (z) no person or entity guilty of
fraudulent  misrepresentation  (within  the meaning of Section 10(f) of the Act)
will be entitled to contribution from any person or entity who was not guilty of
such  fraudulent  misrepresentation.

                                       33
<PAGE>
          10.7.    Underwriter  Liability.  Nothing contained  in this Agreement
                   ----------------------
or any document delivered herewith shall require or imply that the Subscriber is
or  be  an  Underwriter as defined in the 1933 Act of 1934 Act, nor a "statutory
underwriter."  The Subscriber shall not be required to take any action or assume
any  liability  or  obligation  which  would  or  could  impose  Underwriter  or
"statutory  underwriter"  status  or  liability  on  the  Subscriber.

          11.     Offering Restrictions.  Except (i) as disclosed in the Reports
                  ---------------------
or  Other  Written Information prior to the date of this Subscription Agreement,
and (ii) stock or stock options granted to employees or directors of the Company
pursuant  to  a  plan which has been approved by the shareholders of the Company
(these  exceptions  hereinafter  referred  to  as the "Excepted Issuances"), the
Company  will  not issue any equity, convertible debt or other securities, prior
to  the  expiration  of a period equal to the later of (x) 270 days during which
the  registration  statement  described  in  Section  10.1(iv)  above  has  been
effective, or (y) 12 months after the Closing Date, other than with respect to a
bona  fide  business  acquisition  of  or by the Company. The Excepted Issuances
(other  than  (i)  above)  may be issued during the above described time periods
provided such securities are not transferable until after a time period equal to
one  year  during which the registration statement described in Section 10.1(iv)
above  has  been  effective.

          12.     Future  Financing.  The  Subscriber  has  agreed to provide an
                  ------------------
additional  $200,000  in  financing to the Company prior to the effectiveness of
the  Company's  Registration  Statement  on  Form  SB-2  to be filed pursuant to
Section  10.1  (iv)  hereof.

          13.     Miscellaneous.
                  -------------

               (a)  Notices.  All  notices or other communications given or made
                    -------
hereunder  shall  be  in  writing  and  shall  be personally delivered or deemed
delivered the first business day after being telecopied (provided that a copy is
delivered  by  first class mail) to the party to receive the same at its address
set forth below or to such other address as either party shall hereafter give to
the  other  by  notice  duly  made under this Section: (i) if to the Company, to
Endovasc  Ltd.,  Inc.,  15001  Walden  Road, Suite 108, Montgomery, Texas 77356,
telecopier  number:  (936)  582-8250, with a copy by telecopier only to: Gregory
Sichenzia,  Esq.,  135  West  50th  Street, New York, New York 10020, telecopier
number:  (212) 664-7329, and (ii) if to the Subscriber, to the name, address and
telecopy  number  set  forth  on  the  signature  page  hereto,  with  a copy by
telecopier only to Daniel M. Laifer, Esq., 135 West 50th Street, Suite 1700, New
York,  New  York  10020,  telecopier  number:  (212)  541-4434.

               (b)  Closing.  The  consummation of the transactions contemplated
                    -------
herein  shall take place at the offices of Daniel M. Laifer, Esq., 135 West 50th
Street,  Suite  1700,  New  York,  New  York 10020, upon the satisfaction of all
conditions to Closing set forth in this Agreement. The closing date shall be the
date  that subscriber funds representing the net amount due the Company from the
Purchase  Price  are  transmitted  by wire transfer to the Company (the "Closing
Date").

               (c)  Entire  Agreement; Assignment. This Agreement represents the
                    ------------------------------
entire  agreement  between the parties hereto with respect to the subject matter
hereof  and  may be amended only by a writing executed by both parties. No right
or  obligation  of  either  party  shall be assigned by that party without prior
notice  to  and  the  written  consent  of  the  other  party.

               (d)  Execution.  This  Agreement  may  be  executed  by facsimile
                    ---------
transmission,  and  in  counterparts,  each of which will be deemed an original.

                                       34
<PAGE>
               (e)  Law  Governing  this  Agreement.  This  Agreement  shall  be
                    -------------------------------
governed  by  and construed in accordance with the laws of the State of New York
without  regard to principles of conflicts of laws. Any action brought by either
party  against  the  other  concerning  the  transactions  contemplated  by this
Agreement  shall  be  brought  only  in  the  state courts of New York or in the
federal  courts  located  in  the  state  of  New  York.  Both  parties  and the
individuals  executing  this  Agreement  and  other  agreements on behalf of the
Company  agree  to  submit to the jurisdiction of such courts and waive trial by
jury. The prevailing party shall be entitled to recover from the other party its
reasonable  attorney's  fees  and costs. In the event that any provision of this
Agreement  or any other agreement delivered in connection herewith is invalid or
unenforceable  under  any applicable statute or rule of law, then such provision
shall  be  deemed  inoperative  to the extent that it may conflict therewith and
shall  be  deemed modified to conform with such statute or rule of law. Any such
provision  which  may  prove  invalid  or  unenforceable under any law shall not
affect  the  validity or enforceability of any other provision of any agreement.

               (f)  Specific  Enforcement,  Consent to Jurisdiction. The Company
                    -----------------------------------------------
and  Subscriber acknowledge and agree that irreparable damage would occur in the
event  that  any  of  the  provisions  of  this  Agreement were not performed in
accordance  with  their  specific  terms  or  were  otherwise  breached.  It  is
accordingly  agreed  that  the  parties  shall  be  entitled to an injunction or
injunctions  to prevent or cure breaches of the provisions of this Agreement and
to  enforce  specifically the terms and provisions hereof or thereof, this being
in  addition  to any other remedy to which any of them may be entitled by law or
equity.  Subject  to  Section  13(e)  hereof, each of the Company and Subscriber
hereby  waives, and agrees not to assert in any such suit, action or proceeding,
any  claim  that it is not personally subject to the jurisdiction of such court,
that  the suit, action or proceeding is brought in an inconvenient forum or that
the venue of the suit, action or proceeding is improper. Nothing in this Section
shall  affect  or limit any right to serve process in any other manner permitted
by  law.

               (g) Confidentiality. The Company agrees that it will not disclose
                   ---------------
publicly  or privately the identity of the Subscriber unless expressly agreed to
in  writing  by  the  Subscriber  or  only  to  the  extent  required  by  law.

               (h)  Automatic  Termination.  This  Agreement shall automatically
                    ----------------------
terminate without any further action of either party hereto if the Closing shall
not  have  occurred  by  the  tenth  (10th) business day following the date this
Agreement  is  accepted  by  the  Subscriber.

                      [THIS SPACE INTENTIONALLY LEFT BLANK]

                                       35
<PAGE>
     Please  acknowledge your acceptance of the foregoing Subscription Agreement
by  signing  and returning a copy to the undersigned whereupon it shall become a
binding  agreement  between  us.

                                               ENDOVASC  LTD.,  INC.
                                               A  Nevada  Corporation

                                               By:
                                                  ------------------------------
                                                  Name:
                                                  Title:

                                               Dated: September   , 2001
                                                                --

ATTEST:

By:
   --------------------------------

--------------------------------------------------------------------------------

Purchase  Price:  $200,000.00
                  -----------

Warrants:   100,000

ACCEPTED:  Dated  as  of  September  __,  2001

THE  KESHET  FUND  L.P.  -  Subscriber
A  New  York  limited  partnership
135  West  50th  Street,  Suite  1700
New  York,  NY  10020
Fax:  212-541-4434

By:
   ---------------------------------

                                       36
<PAGE>
                      SCHEDULE B TO SUBSCRIPTION AGREEMENT
                      ------------------------------------

---------------------------     ---------------------------------------------

FUND MANAGER                                     FUND MANAGER'S
                                    FEES AND WARRANT EXERCISE COMPENSATION
---------------------------     ---------------------------------------------
KESHET MANAGEMENT LIMITED       10% Fund Manager's Fees and Warrant Exercise
Ragnall House, 18 Peel Road     Compensation  payable  in connection with
Douglas, Isle of Man            investment and warrant exercise by The Keshet
1M1 4L2, United Kingdom         Fund  L.P.  for  which  Keshet  Management
Fax: 011-44-1624-661594         Limited is the Fund Manager.
---------------------------     ---------------------------------------------

  No warrants will be issued in connection with this offering.

                                       37
<PAGE>Exhibit 10.0
                                  ------------

                                WARRANT AGREEMENT

         WARRANT AGREEMENT, dated as of August 24, 2001, between LASIK America,
Inc., a Nevada corporation (the "Company"), and Dr. Howard P. Silverman, the
Chief Executive Officer and President of the Company ("Silverman").

                              W I T N E S S E T H:

         1. Issue. The Company shall issue to Silverman a certificate (the
"Warrant Certificate") dated as of the date hereof providing Silverman, and any
subsequent assignee or transferee of Silverman, with the right to purchase, at
any time, commencing six months after the date that the Company's registration
statement filed on Form SB-2 with the U.S. Securities and Exchange Commission
becomes effective ("Effective Date"), until 5:30 p.m., New York time, five (5)
years from the Effective Date, 125,000 shares of Common Shares of the Company
(the "Warrant Shares") (subject to adjustment as provided in Section 10 hereof),
at an exercise price (subject to adjustment as provided in Section 10 hereof) of
$7.20 per Common Share.

         2. Warrant Certificate. The Warrant Certificate to be delivered
pursuant to this Agreement shall be in the form set forth as an Exhibit,
attached hereto and made a part hereof, with such appropriate insertions,
omissions, substitutions and other variations as are required or permitted by
this Agreement.

         3. Exercisability of Warrants. The Warrants shall be exercisable at any
time commencing six months after the Effective Date, until 5:30 p.m., New York
time, five (5) years after the Effective Date.

         4. Procedure for Exercise of Warrants.

                   4.1 Cash Exercise. The Warrants are exercisable at an
         aggregate initial exercise price per Common Share set forth in Section
         8 hereof payable by certified check or official bank check in New York
         Clearing House funds. Upon surrender of a Warrant Certificate with the
         annexed Form of Election to Purchase duly executed, together with
         payment of the Exercise Price (as hereinafter defined) for the Warrant
         Shares purchased, at the Company's principal offices in Albuquerque,
         New Mexico (presently located at 6646 Indian School Road, N.E.,
         Albuquerque, New Mexico), Silverman shall be entitled to receive a
         certificate for the Warrant Shares so purchased. The purchase rights
         represented by the Warrant Certificate are exercisable at the option of
         Silverman, in whole or in part (but not as to fractional Common Shares
         underlying the Warrants). In the case of the purchase of less than all
         the Warrant Shares purchasable under the Warrant Certificate, the
         Company shall cancel said Warrant Certificate upon the surrender
         thereof and shall execute and deliver a new Warrant Certificate of like
         tenor for the balance of the Warrant Shares purchasable thereunder.

                                        1
<PAGE>
                  4.2 Cashless Exercise. In addition to the exercise of all or a
         portion of the Warrants by the payment of the Exercise Price in cash or
         check as set forth in Section 4.1 above, and in lieu of any such
         payment, Silverman has the right to exercise the Warrants, in full or
         in part, by surrendering the Warrant Certificate with the annexed Form
         of Election to Purchase duly executed, in exchange for the number of
         Common Shares equal to the product of (x) the number of Common Shares
         as to which the Warrants are being exercised multiplied by (y) a
         fraction, the numerator of which is the Current Market Price of the
         Common Shares (as defined below) less the Exercise Price then in effect
         and the denominator of which is the Current Market Price.

                  4.3 Current Market Price. The term "Current Market Price"
         shall mean (i) if the Shares are traded in the over-the-counter market
         or on the National Association of Securities Dealers, Inc. Automated
         Quotations System ("NASDAQ"), the average per Share closing bid prices
         on the 20 consecutive trading days immediately preceding the date of
         exercise, as reported by NASDAQ or an equivalent generally accepted
         reporting service, or (ii) if the Shares are traded on a national
         securities exchange, the average for the 20 consecutive trading days
         immediately preceding the exercise date of the daily per Share closing
         prices on the principal stock exchange on which the Shares are listed,
         as the case may be. The closing price referred to in clause (ii) above
         shall be the last reported sales price or, if no such reported sale
         takes place on such day, the average of the reported closing bid and
         asked prices, in either case on the national securities exchange on
         which the Shares are then listed.

         5. Issuance of Certificate. Upon the exercise of the Warrants, the
issuance of a certificate for Warrant Shares (or Other Securities) shall be made
forthwith (and in any event within five (5) business days thereafter) without
charge to Silverman including, without limitation, any tax which may be payable
in respect of the issuance thereof, and such certificate shall (subject to the
provisions of Sections 6 and 9 hereof) be issued in the name of, or in such
names as may be directed by Silverman; provided, however, that the Company shall
not be required to pay any tax which may be payable in respect of any transfer
involved in the issuance and delivery of any such certificate in a name other
than that of Silverman and the Company shall not be required to issue or deliver
such certificate unless or until the person or persons requesting the issuance
thereof shall have paid to the Company the amount of such tax or shall have
established to the satisfaction of the Company that such tax has been paid. The
Warrant Certificate and the certificate representing the Warrant Shares (or
Other Securities) shall be executed on behalf of the Company by the manual or
facsimile signature of the then present Chairman or Vice Chairman of the Board
of Directors or President or any Vice President of the Company under its
corporate seal reproduced thereon, attested to by the manual or facsimile
signature of the then present Secretary or any Assistant Secretary of the
Company. The Warrant Certificate shall be dated the date of execution by the
Company upon initial issuance, division, exchange, substitution or transfer.

         6. Transfer of Warrants. Silverman, by his acceptance hereof, covenants
and agrees that the Warrants are being acquired as an investment and not with a
view to the distribution thereof. The Warrants may be sold, transferred,
assigned, hypothecated or otherwise disposed of, in whole or in part, without
restriction, subject to compliance with applicable securities laws.

                                        2
<PAGE>
         7. Redemption of Warrant.

                  7.1 Commencing on the date which is six months after the
         Effective Date, Redemption Date, the Company may, on 30 days' prior
         written notice, redeem all the Warrants at ten cents ($.10) per
         Warrant, PROVIDED, HOWEVER, that before any such call for redemption of
         Warrants can take place, the average closing bid price for the Common
         Stock as reported by the Over-the-Counter Electronic Bulletin Board
         maintained by the NASD, if the Common Stock is not then traded on any
         national securities exchange shall have equaled or exceeded $9.00 per
         share for any twenty (20) trading days prior to the date on which the
         notice contemplated by (b) and (c) below is given (subject to
         adjustment in the event of any stock splits or other similar events as
         provided in Section 9 hereof).

                  7.2 In case the Company shall exercise its right to redeem all
         of the Warrants, it shall give or cause to be given notice to the
         Registered Holders of the Warrants, by mailing to such Registered
         Holders a notice of redemption, first class, postage prepaid, at their
         last address as shall appear on the records of the Warrant Agent. Any
         notice mailed in the manner provided here shall be conclusively
         presumed to have been duly given whether or not the Registered Holder
         receives such notice. Not less than four (4) trading days prior to the
         mailing to the Registered Holders of the Warrants of the notice of
         redemption, the Company shall deliver or cause to be delivered to the
         representative of the underwriters, a similar notice telephonically and
         confirmed in writing together with a list of the Registered Holders
         (including their respective addresses and number of Warrants
         beneficially owned) to whom such notice of redemption has been or will
         be given.

                    7.3 The notice of redemption shall specify (i) the
         redemption price, (ii) the Redemption Date, which shall in no event be
         less than thirty (30) days after the date of mailing of such notice,
         (iii) the place where the Warrant Certificate shall be delivered and
         the redemption price shall be paid, and (iv) that the right to exercise
         the Warrant shall terminate at 5:30 p.m. (New York time) on the
         business day immediately preceding the date fixed for redemption. No
         failure to mail such notice nor any defect therein or in the mailing
         thereof shall affect the validity of the proceedings for such
         redemption except as to a holder (a) to whom notice was not mailed or
         (b) whose notice was defective. An affidavit of the Warrant Agent or
         the Secretary or Assistant Secretary of the Company that notice of
         redemption has been mailed shall, in the absence of fraud, be prima
         facie evidence of the facts stated therein.

                  7.4 Any right to exercise a Warrant shall terminate at 5:30
         p.m. (New York time) on the business day immediately preceding the
         Redemption Date. The redemption price payable to the Registered Holders
         shall be mailed to such persons at their addresses of record.

         8. Exercise Price.

                  8.1 Initial and Adjusted Exercise Price. Except as otherwise
         provided in Section 9 hereof, the initial exercise price of each

                                        3
<PAGE>
         Warrant shall be the price set forth in Section 1 hereof per Warrant
         Share issued hereunder. The adjusted exercise price shall be the price
         which shall result from time to time from any and all adjustments of
         the initial exercise price in accordance with the provisions of Section
         9 hereof.

                  8.2 Exercise Price. The term "Exercise Price" herein shall
         mean the initial exercise price or the adjusted exercise price,
         depending upon the context.

         9. Registration Under the Securities Act of 1933. As of the date
hereof, the Warrants, the Warrant Shares and any of the other securities
issuable upon exercise of the Warrants have not been registered under the
Securities Act of 1933, as amended (the "Act"). Upon exercise, in whole or in
part, of the Warrants, a certificate representing the Warrant Shares underlying
the Warrants, and any of the other securities issuable upon exercise of the
Warrants (collectively, the "Warrant Securities") shall bear the following
legend unless such Warrant Shares previously have been registered under the Act
in accordance with the terms hereof: THE SECURITIES REPRESENTED BY THIS
CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS
AMENDED ("ACT"), AND MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO (i) AN
EFFECTIVE REGISTRATION STATEMENT UNDER THE ACT, (ii) TO THE EXTENT APPLICABLE,
RULE 144 UNDER THE ACT (OR ANY SIMILAR RULE UNDER THE ACT RELATING TO THE
DISPOSITION OF SECURITIES), OR (iii) AN OPINION OF COUNSEL, IF SUCH OPINION
SHALL BE REASONABLY SATISFACTORY TO COUNSEL TO THE ISSUER, THAT AN EXEMPTION
FROM REGISTRATION UNDER THE ACT IS AVAILABLE.

         10. Adjustments to Exercise Price and Number of Securities. The
Exercise Price and, in some cases, the number of Warrant Shares purchasable upon
the exercise of the Warrants, shall be subject to adjustment from time to time
upon the occurrence of certain events described in this Section 10.

                  10.1 Subdivision or Combination of Common Shares and Common
         Share Dividend. In case the Company shall at any time subdivide its
         outstanding Common Shares into a greater number of Common Shares or
         declare a dividend upon its Common Shares payable solely in Common
         Shares, the Exercise Price in effect immediately prior to such
         subdivision or declaration shall be proportionately reduced, and the
         number of Warrant Shares issuable upon exercise of the Warrants shall
         be proportionately increased. Conversely, in case the outstanding
         Common Shares of the Company shall be combined into a smaller number of
         Common Shares, the Exercise Price in effect immediately prior to such
         combination shall be proportionately increased, and the number of
         Warrant Shares issuable upon exercise of the Warrants shall be
         proportionately reduced.

                  10.2 Notice of Adjustment. Promptly after adjustment of the
         Exercise Price or any increase or decrease in the number of Warrant
         Shares purchasable upon the exercise of this Warrant, the Company shall
         give written notice thereof, by first class mail, postage prepaid,
         addressed to Silverman of this Warrant at the address shown on the
         books of the Company. The notice shall be signed by the Company's chief
         financial officer and shall state (i) the effective date of the
         adjustment and the Exercise Price resulting from such adjustment and

                                        4
<PAGE>
         (ii) the increase or decrease, if any, in the number of Common Shares
         purchasable at such price upon the exercise of this Warrant, setting
         forth in reasonable detail the method of calculation and the facts upon
         which such calculation is based.

                  10.3 Other Notices. If at any time: (a) the Company shall
         declare any cash dividend upon its Common Shares; (b) the Company shall
         declare any dividend upon its Common Shares payable in securities
         (other than a dividend payable solely in Common Shares) or make any
         special dividend or other distribution to Silverman of its Common
         Shares; (c) there shall be any consolidation or merger of the Company
         with another corporation, or a sale of all or substantially all of the
         Company's assets to another corporation; or (d) there shall be a
         voluntary or involuntary dissolution, liquidation or winding-up of the
         Company; then, in any one or more of said cases, the Company shall
         give, by certified or registered mail, postage prepaid, addressed to
         Silverman of this Warrant at the address of Silverman as shown on the
         books of the Company, (i) at least 15 days' prior written notice of the
         date on which the books of the Company shall close or a record shall be
         taken for such dividend, distribution or subscription rights or for
         determining rights to vote in respect of any such dissolution,
         liquidation or winding-up; (ii) at least 10 days' prior written notice
         of the date on which the books of the Company shall close or a record
         shall be taken for determining rights to vote in respect of any such
         reorganization, reclassification, consolidation, merger or sale, and
         (iii) in the case of any such reorganization, reclassification,
         consolidation, merger, sale, dissolution, liquidation or winding-up, at
         least 15 days' written notice of the date when the same shall take
         place. Any notice given in accordance with clause (i) above shall also
         specify, in the case of any such dividend, distribution or option
         rights, the date on which shall be entitled thereto. Any notice given
         in accordance with clause (iii) above shall also specify the date on
         which Silverman shall be entitled to exchange his Common Shares for
         securities or other property deliverable upon such reorganization,
         reclassification, consolidation, merger, sale, dissolution, liquidation
         or winding-up, as the case may be. If Silverman does not exercise this
         Warrant prior to the occurrence of an event described above, except as
         provided in Sections 10.1 and 10.5, then Silverman shall not be
         entitled to receive the benefits accruing to existing holders of the
         Common Shares in such event.

                  10.4 Changes in Common Shares. In case at any time the Company
         shall be a party to any transaction (including, without limitation, a
         merger, consolidation, sale of all or substantially all of the
         Company's assets or recapitalization of the Common Shares) in which the
         previously outstanding Common Shares shall be changed into or exchanged
         for different securities of the Company or common stock or other
         securities of another corporation or interests in a non-corporate
         entity or other property (including cash) or any combination of any of
         the foregoing (each such transaction being herein called the
         "Transaction" and the date of consummation of the Transaction being
         herein called the "Consummation Date"), then, as a condition of the
         consummation of the Transaction, lawful and adequate provisions shall
         be made so that Silverman, upon the exercise hereof at any time on or

                                        5
<PAGE>
         after the Consummation Date, shall be entitled to receive, and this
         Warrant shall thereafter represent the right to receive, in lieu of the
         Common Shares issuable upon such exercise prior to the Consummation
         Date, the highest amount of securities or other property to which
         Silverman would actually have been entitled upon the consummation of
         the Transaction if Silverman had exercised such Warrant immediately
         prior thereto. The provisions of this Section 10.5 shall similarly
         apply to successive Transactions.

         11. Exchange and Replacement of Warrant Certificate. The Warrant
Certificate is exchangeable without expense, upon the surrender thereof by
Silverman at the principal executive office of the Company, for a new Warrant
Certificate of like tenor and date representing in the aggregate the right to
purchase the same number of Warrant Shares in such denominations as shall be
designated by Silverman thereof at the time of such surrender. Upon receipt by
the Company of evidence reasonably satisfactory to it of the loss, theft,
destruction or mutilation of the Warrant Certificate, and, in case of loss,
theft or destruction, of indemnity or security reasonably satisfactory to it,
and reimbursement to the Company of all reasonable expenses incidental thereto,
and upon surrender and cancellation of the Warrants, if mutilated, the Company
will make and deliver a new Warrant Certificate of like tenor, in lieu thereof.

         12. Elimination of Fractional Interests. The Company shall not be
required to issue certificates representing fractions of Common Shares upon the
exercise of the Warrants, nor shall it be required to issue scrip or pay cash in
lieu of fractional interests, it being the intent of the parties that all
fractional interests shall be eliminated by rounding any fraction up to the
nearest whole number of Common Shares or Other Securities.

         13. Reservation of Securities. The Company shall at all times reserve
and keep available out of its authorized Common Shares, solely for the purpose
of issuance upon the exercise of the Warrants, such number of Common Shares or
Other Securities as shall be issuable upon the exercise thereof. The Company
covenants and agrees that, upon exercise of the Warrants and payment of the
Exercise Price therefore, all Common Shares or Other Securities issuable upon
such exercise shall be duly and validly issued, fully paid, non-assessable and
not subject to the preemptive rights of any holder of Common Shares.

         14. Notices to Warrant Holder. Nothing contained in this Agreement
shall be construed as conferring upon the holder by virtue of his holding the
Warrant the right to vote or to consent or to receive notice as a holder of
Common Shares in respect of any meetings of such holders for the election of
directors or any other matter, or as having any rights whatsoever as such a
shareholder of the Company.

         15. Notices. All notices, requests, consents and other communications
hereunder shall be in writing and shall be deemed to have been duly made and
sent when delivered, or mailed by registered or certified mail, return receipt
requested: (a) If to Silverman, to the address of Silverman as shown on the
books of the Company; or (b) If to the Company, to the address set forth in
Section 4 hereof or to such other address as the Company may designate by notice
to the Silverman.

                                        6

<PAGE>
         16. Supplements and Amendments. The Company and Silverman may from time
to time supplement or amend this Agreement in order to cure any ambiguity, to
correct or supplement any provision contained herein which may be defective or
inconsistent with any provisions herein, or to make any other provisions in
regard to matters or questions arising hereunder which the Company and Silverman
may deem necessary or desirable.

         17. Successors.   All the covenants and provisions of this Agreement
shall be binding upon and inure to the benefit of the Company, Silverman and
their respective successors and assigns hereunder.

         18. Termination.   This Agreement shall terminate at the close of
business on the tenth anniversary of the issuance of the Warrants.

         19. Governing Law. This Agreement and the Warrant Certificate issued
hereunder shall be deemed to be a contract made under the laws of the State of
Nevada and for all purposes shall be construed in accordance with the laws of
the State of Nevada without giving effect to the rules of the State of Nevada
governing the conflicts of laws.

         20. Entire Agreement; Modification. This Agreement contains the entire
understanding between the parties hereto with respect to the subject matter
hereof and may not be modified or amended except by a writing duly signed by the
party against whom enforcement of the modification or amendment is sought.

         21. Severability.   If any provision of this Agreement shall be held to
be invalid or unenforceable, such invalidity or unenforceability shall not
affect any other provision of this Agreement.

         22. Captions.   The caption headings of the Sections of this Agreement
are for convenience of reference only and are not intended, nor should they be
construed as, a part of this Agreement and shall be given no substantive effect.

         23. Benefits of this Agreement. Nothing in this Agreement shall be
construed to give to any person or corporation other than the Company and
Silverman any legal or equitable right, remedy or claim under this Agreement;
and this Agreement shall be for the sole and exclusive benefit of the Company
and Silverman.

         24. Counterparts.   This Agreement may be executed in any number of
counterparts and each of such counterparts shall for all purposes be deemed to
be an original, and such counterparts shall together constitute but one and the
same instrument.

                                        7

<PAGE>
         IN WITNESS WHEREOF, the parties hereto have caused this Warrant
Agreement to be duly executed, as of the day and year first above written.

LASIK AMERICA, INC.

By:_______________________________
     Robert Helmer, Chief Operating Officer

ACCEPTED AND AGREED TO: HOLDER

-----------------------------------------
Name: Address: Social Security/Tax I.D. No.:
Howard P. Silverman

                                        8

<PAGE>
                          [FORM OF WARRANT CERTIFICATE]

         THE WARRANTS REPRESENTED BY THIS CERTIFICATE AND THE OTHER SECURITIES
ISSUABLE UPON EXERCISE THEREOF MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO (i)
AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933, AS AMENDED
(THE "ACT") (ii) TO THE EXTENT APPLICABLE, RULE 144 UNDER THE ACT (OR ANY
SIMILAR RULE UNDER THE ACT RELATING TO THE DISPOSITION OF SECURITIES), OR (iii)
AN OPINION OF COUNSEL, IF SUCH OPINION SHALL BE REASONABLY SATISFACTORY TO
COUNSEL FOR THE ISSUER, THAT AN EXEMPTION FROM REGISTRATION UNDER THE ACT IS
AVAILABLE. EXERCISABLE FROM THE EFFECTIVE DATE UNTIL 5:30 P.M., NEW YORK TIME,
FIVE YEARS (5) AFTER THE EFFECTIVE DATE.

                               WARRANT CERTIFICATE

         This Warrant Certificate certifies that or his/her registered assigns
("Holder"), is the registered Holder of 125,000 Warrants to purchase initially
at any time commencing six months after the Effective Date, until 5:30 p.m. New
York time, five (5) years after the Effective Date ("Expiration Date"), up to
125,000 fully-paid and non-assessable shares of common stock, par value $.001
per share ("Common Shares") of LASIK AMERICA, INC., a Nevada corporation (the
"Company"), at an initial exercise price, subject to adjustment in certain
events (the "Exercise Price"), equal to $7.20 per Common Share, upon surrender
of this Warrant Certificate and payment of the initial exercise price at an
office or agency of the Company, but subject to the conditions set forth herein
and in the Warrant Agreement dated as of the date hereof between the Company and
Silverman (the "Warrant Agreement"). Payment of the Exercise Price shall be made
by certified check or official bank check in New York Clearing House funds
payable to the order of the Company, unless exercise is made pursuant to Section
4.2 of the Warrant Agreement. No Warrant may be exercised after 5:30 p.m., New
York time, on the Expiration Date, at which time all Warrants evidenced hereby,
unless exercised prior thereto, shall thereafter be void. The Warrants evidenced
by this Warrant Certificate are part of a duly authorized issue of Warrants
issued pursuant to a certain Warrant Agreement, which Warrant Agreement is
hereby incorporated by reference in and made a part of this instrument and is
hereby referred to for a description of the rights, limitation of rights,
obligations, duties and immunities thereunder of the Company and the Holder (the
word "Holder" meaning the registered Holder) of the Warrants. The Warrant
Agreement provides that upon the occurrence of certain events, the Exercise
Price and the type and/or number of the Company's securities issuable thereupon
may, subject to certain conditions, be adjusted. In such event, the Company
will, at the request of the Holder, issue a new Warrant Certificate evidencing
the adjustment in the Exercise Price and the number and/or type of securities
issuable upon the exercise of the Warrants; provided, however, that the failure
of the Company to issue such new Warrant Certificate shall not in any way
change, alter, or otherwise impair, the rights of the Holder as set forth in the
Warrant Agreement. Upon due presentment for registration of transfer of this
Warrant Certificate at an office or agency of the Company, a new Warrant
Certificate or Warrant Certificates of like tenor and evidencing in the
aggregate a like number of Warrants shall be issued to the transferee(s) in
exchange for this Warrant Certificate, subject to the limitations provided

                                        9

<PAGE>
herein and in the Warrant Agreement, without any charge except for any tax or
other governmental charge imposed in connection with such transfer. Upon the
exercise of less than all of the Warrants evidenced by this Certificate, the
Company shall forthwith issue to the Holder hereof a new Warrant Certificate
representing such number of unexercised Warrants. The Company may deem and treat
the registered Holder(s) hereof as the absolute owner(s) of this Warrant
Certificate (notwithstanding any notation of ownership or other writing hereon
made by anyone), for the purpose of any exercise hereof, and of any distribution
to the Holder(s) hereof, and for all other purposes, and the Company shall not
be affected by any notice to the contrary. All terms used in this Warrant
Certificate which are defined in the Warrant Agreement shall have the meanings
assigned to them in the Warrant Agreement.

         IN WITNESS WHEREOF, the Company has caused this Warrant Certificate to
be duly executed.

Dated as of August 24, 2001.

LASIK AMERICA, INC.

------------------------------------
By:  Robert S. Helmer
     Chief Operating Officer

                                       10

<PAGE>
                         [FORM OF ELECTION TO PURCHASE]

         The undersigned hereby irrevocably elects to exercise the right,
represented by this Warrant Certificate, to purchase _______ Common Shares and
herewith tenders in payment for such securities a certified check or official
bank check payable in New York Clearing House Funds to the order of LASIK
AMERICA, INC. in the amount of $_____, all in accordance with the terms of
Section 4 of the Warrant Agreement dated as of ____________, 2001, between LASIK
AMERICA, INC. and the undersigned (or its assignor). The undersigned requests
that a certificate for such securities be registered in the name of __________
whose address is __________ and that such Certificate be delivered to whose
address is _________.

Dated:

Signature _________________________________
(Signature must conform in all respects to name of Holder as specified on the
face of the Warrant Certificate.) (Insert Social Security or Other Identifying
Number of Holder)

                              [FORM OF ASSIGNMENT]

       (To be executed by the registered Holder if such Holder desires to
transfer the Warrant Certificate.)

         FOR VALUE RECEIVED ________________ hereby sells, assigns and transfers
unto (Please print name and address of transferee) this Warrant Certificate,
together with all right, title and interest therein, and does hereby irrevocably
constitute and appoint Attorney, to transfer the within Warrant Certificate on
the books of the within-named Company, with full power of substitution.

Dated: ________________

Signature:________________________          SSN:__________________________
(Signature must conform in all respects to name of Holder as specified on the
face of the Warrant Certificate.) (Insert Social Security or Other Identifying
Number of Assignee)

                                       11

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