Document:

WARRANT TO PURCHASE COMMON STOCK
                              (CONVERSION WARRANTS)

THIS WARRANT AND THE SHARES ISSUABLE HEREUNDER HAVE BEEN ACQUIRED FOR INVESTMENT
AND  NOT FOR DISTRIBUTION, AND HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT
OF  1933, AS AMENDED NEITHER THE WARRANT NOR THE SHARES MAY BE SOLD, PLEDGED, OR
OTHERWISE  TRANSFERRED  WITHOUT AN EFFECTIVE REGISTRATION THEREOF UNDER SUCH ACT
OR  PURSUANT TO RULE 144 OR AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO THE
COMPANY  AND  ITS  COUNSEL  THAT SUCH REGISTRATION IS NOT REQUIRED. THIS WARRANT
MUST  BE  SURRENDERED  TO  THE  COMPANY  OR  ITS  TRANSFER  AGENT AS A CONDITION
PRECEDENT  TO THE SALE, PLEDGE OR OTHER TRANSFER OF ANY INTEREST IN THIS WARRANT
OR  THE  SHARES  ISSUABLE  HEREUNDER.

Issuer:  Invicta Group Inc.
Class of Stock: Common Stock
Issue Date: April 27, 2004
Expiration Date: April 27, 2007

     THIS  WARRANT  TO  PURCHASE  COMMON  STOCK is being issued pursuant to that
certain Securities Purchase Agreement dated as of the date hereof (the "Purchase
Agreement") between Invicta Group Inc., a Nevada corporation (the "Company") and
Golden  Gate  Investors,  Inc.  ("Holder").

1.1     Warrants.  The  Company  hereby  grants  to Holder the right to purchase
        --------
3,000,000 shares of the Company's Common Stock (the "Shares" or "Warrant Shares.
For  avoidance  of  doubt,  this  Warrant  may be exercised concurrently with or
subsequent  to the issuance of a Conversion Notice under the Debenture. The date
that  the  Holder  issues  a  Conversion Notice under the Debenture is hereafter
referred  to  as  the  "Conversion Date." Defined terms not defined herein shall
have  the  meanings ascribed to them in the Debenture or the Purchase Agreement.
Holder  agrees  that,  beginning  in  the  first  full  calendar month after the
Registration  Statement  is  declared  effective,

Holder  will exercise at least 5%, but no more than 15% (such 15% maximum amount
to  be  cumulative  from  the  Deadline),  of  the  Warrants per calendar month,
provided  that  the Common Shares are available, registered and freely tradable.
If  Holder  exercises  more  than  5% of the Warrants in any calendar month, the
excess  over  5%  shall  be  credited  against the next month's minimum exercise
amount.  The  15%  monthly maximum amount shall not be applicable if the Current
Market  Price  of  the  Common  Stock  at anytime during the applicable month is
higher than the Current Market Price of the Common Stock on the Closing Date. In
the event Holder does not exercise at least 5% of the Warrants in any particular
calendar  month,  Holder  shall  not  be  entitled  to  collect  interest on the
Debenture  for  that  month.

This  Warrant  shall  expire  and Holder shall no longer be able to purchase the
Warrant  Shares  on  April  ___,  2007.

                                    ARTICLE 2
                                    EXERCISE
                                    --------

2.1     Method  of  Exercise.  Holder  may exercise this Warrant by delivering a
        --------------------
duly  executed  Warrant Notice of Exercise in substantially the form attached as
Appendix  1  to  the  principal  office  of  the  Company.
-----------

2.2     Delivery  of  Certificate  and  New Warrant.  As promptly as practicable
        -------------------------------------------
after  the  receipt of the Warrant Notice of Exercise, but in any event not more
than  three  (3) Business Days after the Company's receipt of the Warrant Notice
of  Exercise,  the  Company  shall  issue  the Shares and cause to be mailed for
delivery  by  overnight  courier,  or  if  a Registration Statement covering the
Shares  has  been  declared  effective  by  the  SEC  cause to be electronically
transferred,  to  Holder  a certificate representing the Shares acquired and, if
this  Warrant  has  not  been fully exercised and has not expired, a new Warrant
substantially  in the form of this Warrant representing the right to acquire the
portion  of  the  Shares  not  so  acquired.

2.3     Replacement of Warrants.  On receipt of evidence reasonably satisfactory
        -----------------------
to  the  Company  of  the loss, theft, destruction or mutilation of this Warrant
and,  in  the  case  of  loss, theft or destruction, on delivery of an indemnity
agreement  reasonably  satisfactory in form and amount to the Company or, in the
case  of  mutilation, or surrender and cancellation of this Warrant, the Company
at its expense shall execute and deliver, in lieu of this Warrant, a new warrant
of  like  tenor.

2.4     Exercise  Price.  The  Exercise  Price  of  this  Warrant  shall  $1.00.
        --------------

2.5     Cashless  Exercise.  Notwithstanding anything to  the contrary contained
        ------------------
in  this  Warrant,  if  the  resale  of the Warrant Shares by Holder is not then
registered  pursuant to an effective Registration Statement, upon the expiration
of  one  year from the Issue Date, this Warrant may be exercised by presentation
and  surrender of this Warrant to the Company at its principal executive offices
with  a  written  notice  of  Holder's  intention to effect a cashless exercise,
including  a  calculation  of  the number of shares of Common Stock to be issued
upon such exercise in accordance with the terms hereof ( a "Cashless Exercise").
In  the  event  of  a Cashless Exercise, in lieu of paying the Exercise Price in
cash,  Holder  shall  surrender this Warrant for that number of shares of Common
Stock  determined  by  multiplying  the  number  of  Warrant  Shares to which it
otherwise  would  be entitled by a fraction, the numerator of which shall be the
difference  between  the then current Market Price per share of the Common Stock
and  the  Exercise Price, and the denominator or which shall be the then current
Market  Price  per  share  of  Common  Stock.

                                    ARTICLE 3
                            ADJUSTMENT TO THE SHARES
                            ------------------------

     The  number of Shares purchasable upon the exercise of this Warrant and the
Exercise  Price  shall  be  subject  to  adjustment  from  time to time upon the
occurrence  of  certain  events,  as  follows:

3.1     Reclassification.  In  case  of  any  reclassification  or  change  of
        ----------------
outstanding securities of the class issuable upon exercise of this Warrant then,
and in any such case, the Holder, upon the exercise hereof at any time after the
consummation of such reclassification or change, shall be entitled to receive in
lieu  of each Share theretofore issuable upon exercise of this Warrant, the kind
and  amount of shares of stock, other securities, money and/or property received
upon such reclassification or change by a holder of one Share. The provisions of
this  Section  2.1  shall  similarly  apply  to  successive reclassifications or
changes.

3.2     Subdivision  or Combination of Shares.  If the Company at any time while
        -------------------------------------
this  Warrant  remains  outstanding and unexpired shall subdivide or combine its
Shares,  the  Exercise Price shall be proportionately decreased in the case of a
subdivision  or  increased  in  the  case  of  a  combination.

3.3     Stock Dividends.  If  the  Company, at any  time  while  this Warrant is
        ---------------
outstanding  shall  pay a dividend with respect to its Shares payable in Shares,
or  make  any  other  distribution  of Shares with respect to Shares (except any
distribution  specifically  provided  for in Section 2.1 and Section 2.2 above),
then  the Exercise Price shall be adjusted, effective from and after the date of
determination  of  shareholders  entitled  to  received  such  dividend  or
distribution,  to  that  price  determined  by multiplying the Exercise Price in
effect  immediately  prior  to such date of determination by a fraction, (a) the
numerator  of  which shall be the total number of Shares outstanding immediately
prior  to  such dividend or distribution, and (b) the denominator of which shall
be  the  total  number  of Shares outstanding immediately after such dividend or
distribution.

3.4     Non-Cash Dividends.  If  the  Company at any time while this Warrant  is
        ------------------
outstanding  shall  pay  a dividend with respect to Shares payable in securities
other  than Shares or other non-cash property, or make any other distribution of
such  securities  or  property  with  respect to Shares (except any distribution
specifically  provided  for  in  Section  2.1  and Section 2.2 above), then this
Warrant  shall represent the right to acquire upon exercise of this Warrant such
securities  or  property  which  a  holder of Shares would have been entitled to
receive upon such dividend or distribution, without the payment by the Holder of
any  additional  consideration  for  such  securities  or  property.

3.5     Effect of Reorganization and Asset Sales.  If any (i) reorganization  or
        ----------------------------------------
reclassification of the Common Stock (ii) consolidation or merger of the Company
with  or  into another corporation, or (iii) sale or all or substantially all of
the  Company's operating assets to another corporation followed by a liquidation
of the Company (any such transaction shall be referred to herein as an "Event"),
is  effected  in such a way that holders of common Stock are entitled to receive
securities  and/or  assets  as  a  result  of  their Common Stock ownership, the
Holder,  upon exercise of this Warrant, shall be entitled to receive such shares
of  stock securities or assets which the Holder would have received had it fully
exercised  this  Warrant on or prior the record date for such Event. The Company
shall  not merge into or consolidate with another corporation or sell all of its
assets  to  another  corporation  for  a  consideration  consisting primarily of
securities  of  such corporation, unless the successor or acquiring corporation,
as  the  case may be, shall expressly assume the due and punctual observance and
performance  of  each  and  every  covenant  and condition of this Warrant to be
performed  or observed by the Company and all of the obligations and liabilities
hereunder,  subject  to  such  modification as shall be necessary to provide for
adjustments  which  shall  be  as  nearly  equivalent  as  practicable  to  the
adjustments  provided  for  in  this  Section  2. The foregoing provisions shall
similarly  apply  to  successive  mergers,  consolidations  or  sales of assets.

3.6     Adjustment  of  Number  of Shares.  Upon each adjustment in the Exercise
        ---------------------------------
Price,  the  number  of Shares shall be adjusted, to the nearest whole share, to
the  product  obtained  by  multiplying  the  number  of  Shares,  purchasable
immediately prior to such adjustment by a fraction, the numerator of which shall
be  the  Exercise Price immediately prior to such adjustment and the denominator
of  which  shall  be  the  Exercise  Price  immediately  thereafter.

3.7     No  Impairment.  The  Company shall not, by amendment of its articles of
        --------------
incorporation  or  through  a reorganization, transfer of assets, consolidation,
merger, dissolution, issue, or sale of securities or any other voluntary action,
avoid  or  seek to avoid the observance or performance of any of the terms to be
observed  or performed under this Warrant by the Company, but shall at all times
in  good  faith assist in carrying out all of the provisions of this Warrant and
in  taking  all  such  action  as  may be reasonably necessary or appropriate to
protect  Holder's  rights hereunder against impairment. If the Company takes any
action  affecting  its Common Stock other than as described above that adversely
affects Holder's rights under this Warrant, the Exercise Price shall be adjusted
downward  and  the number of Shares issuable upon exercise of this Warrant shall
be  adjusted  upward  in such a manner that the aggregate Exercise Price of this
Warrant  is  unchanged.

3.8     Fractional  Shares.  No  fractional  Shares  shall  be issuable upon the
        ------------------
exercise of this Warrant, and the number of Shares to be issued shall be rounded
down  to  the  nearest  whole  Share.

3.9     Certificate  as  to  Adjustments.  Upon  any  adjustment of the Exercise
        --------------------------------
Price,  the  Company,  at its expense, shall compute such adjustment and furnish
Holder  with  a  certificate  of  its Chief Financial Officer setting forth such
adjustment  and  the  facts  upon  which  such adjustment is based.  The Company
shall,  upon  written  request,  furnish  Holder a certificate setting forth the
Exercise  Price  in  effect  upon the date thereof and the series of adjustments
leading  to  such  Exercise  Price.

3.10    No Rights of Shareholders.  This  Warrant does not entitle Holder to any
        -------------------------
voting  rights  or any other rights as a shareholder of the Company prior to the
exercise  of  Holder's  right  to  purchase  Shares  as  provided  herein.

                                    ARTICLE 4
                  REPRESENTATIONS AND COVENANTS OF THE COMPANY
                  --------------------------------------------

4.1     Representations  and  Warranties.  The  Company  hereby  represents  and
        --------------------------------
warrants  to Holder that all Shares which may be issued upon the exercise of the
purchase  right  represented  by  this  Warrant,  shall,  upon issuance, be duly
authorized,  validly  issued, fully paid and nonasessable, and free of any liens
and  encumbrances.

4.2     Notice  of  Certain  Events.  If the Company proposes at any time (a) to
        ---------------------------
declare  any  dividend  or  distribution upon its Common Stock, whether in cash,
property, stock, or other securities and whether or not a regular cash dividend;
(b)  to offer for subscription pro rata to the holders of any class or series of
its stock any additional shares of stock of any class or series or other rights;
(c)  to  effect any reclassification or recapitalization of Common Stock; (d) to
merge  or  consolidate  with  or  into  any  other  corporation, or sell, lease,
license,  or  convey  all  or  substantially all of its assets, or to liquidate,
dissolve or wind up; or (e) offer holders of registration rights the opportunity
to  participate  in  an underwritten public offering of the Company's securities
for  cash,  then,  in  connection  with  each such event, the Company shall give
Holder  (1)  at least 20 days prior written notice of the date on which a record
will  be  taken  for  such  dividend,  distribution, or subscription rights (and
specifying  the  date  on  which  the  holders  of Common Stock will be entitled
thereto)  or  for  determining rights to vote, if any, in respect of the matters
referred  to in (c) and (d) above; (2) in the case of the matters referred to in
(c)  and  (d)  above  at least 20 days prior written notice of the date when the
same  will  take  place  (and specifying the date on which the holders of Common
Stock  will  be  entitled to exchange their Common Stock for securities or other
property  deliverable upon the occurrence of such event); and (3) in the case of
the  matter referred to in (e) above, the same notice as is given to the holders
of  such  registration  rights.

4.3     Information Rights.  So long as Holder holds this Warrant and/or any  of
        ------------------
the  Shares,  the  Company  shall  deliver to Holder (a) promptly after mailing,
copies of all notices or other written communications to the shareholders of the
Company,  (b)  within ninety (90) days of their availability, the annual audited
financial  statements of the Company certified by independent public accountants
of  recognized  standing,  and  (c) within forty-five (45) days after the end of
each  fiscal  quarter  or  each  fiscal year, the Company's quarterly, unaudited
financial  statements.

4.4     Reservation of Warrant Shares.  The Company  has reserved and will  keep
        -----------------------------
available,  out  of the authorized and unissued shares of Common Stock, the full
number  of  shares  sufficient  to  provide  for  the  exercise of the rights of
purchase  represented  by  this  Warrant.

4.5     Registration Rights. If Holder exercises this Warrant and purchases some
        -------------------
or  all  of  the  Shares, Holder shall have the Registration Rights set forth in
that  certain  Registration  Rights  Agreement  executed concurrently therewith.

                                    ARTICLE 5
                  REPRESENTATIONS AND COVENANTS OF THE HOLDER
                  -------------------------------------------

5.1     Private  Issue.  Holder  understands  (i)  that the Shares issuable upon
        --------------
exercise  of  Holder's  rights contained in the Warrant are not registered under
the  Act  or qualified under applicable state securities laws on the ground that
the  issuance  contemplated  by the Warrant will be exempt from the registration
and qualifications requirements thereof, and (ii) that the Company's reliance on
such  exemption  is  predicated  on  Holder's  representations set forth in this
Article  5.

5.2     Financial  Risk.  Holder  has such knowledge and experience in financial
        ---------------
and  business matters as to be capable of evaluating the merits and risks of its
investment  and  has  the  ability to bear the economic risks of its investment.

5.3     Risk of No Registration.  Holder  understands  that  if the Company does
        -----------------------
not  register with the Securities and Exchange Commission pursuant to Section 12
of  the  Act,  or  file  reports  pursuant  to  Section 15(d), of the Securities
Exchange  Act  of 1934 (the "1934 Act"), or if a registration statement covering
the  securities  under  the Act is not in effect when it desires to sell (i) the
right  to  purchase  Shares pursuant to the Warrant, or (ii) the Shares issuable
upon  exercise  of  the  right  to  purchase,  it  may  be required to hold such
securities  for  an  indefinite  period.

5.4     Accredited Investor.  Holder  is  an "accredited investor," as such term
        -------------------
is defined in Regulation D promulgated pursuant to the Act.

                                    ARTICLE 6
                                  MISCELLANEOUS
                                  -------------

6.1     Term.  This Warrant is exercisable, in whole or in part, at any time and
        ----
from  time  to  time  on  or  after  the  Conversion  Date  and on or before the
Expiration  Date  set  forth  above.

6.2     Compliance  with  Securities  Laws on Transfer.  This Warrant may not be
        ----------------------------------------------
transferred  or  assigned in whole or in part without compliance with applicable
federal  and  state  securities  laws  by  the  transferor  and  the  transferee
(including,  without  limitation,  the  delivery  of  investment  representation
letters and legal opinions reasonably satisfactory to the Company, as reasonably
requested  by  the  Company). The Company shall not require Holder to provide an
opinion  of  counsel  if  the  transfer  is  to  an  affiliate  of  Holder.

6.3     Transfer  Procedure.  Holder shall have the right without the consent of
        ------------------
the  Company  to  transfer  or  assign  in whole or in part this Warrant and the
Shares  issuable  upon exercise of this Warrant. Holder agrees that unless there
is  in  effect  a  registration  statement  under  the Act covering the proposed
transfer of all or part of this Warrant, prior to any such proposed transfer the
Holder  shall  give written notice thereof to the Company (a "Transfer Notice").
Each Transfer Notice shall describe the manner and circumstances of the proposed
transfer  in  reasonable  detail  and,  if  the  company  so  requests, shall be
accompanied by an opinion of legal counsel, in a form reasonably satisfactory to
the  Company,  to  the effect that the proposed transfer may be effected without
registration  under the Act; provided that the Company will not require opinions
of  counsel  for  transactions  involving transfers to affiliates or pursuant to
Rule  144  promulgated  by the Securities and Exchange Commission under the act,
except  in  unusual  circumstances.

6.4     Notices, etc. All notices and other communications required or permitted
        ------------
hereunder  shall  be  in  writing  and shall be delivered personally, or sent by
telecopier  machine or by a nationally recognized overnight courier service, and
shall  be deemed given when so delivered personally, or by telecopier machine or
overnight  courier  service  as  follows:

if  to  the  Company,  to:

Invicta  Group  Inc.
9553  Harding  Avenue,  Suite  301
Miami  Beach,  FL  33154
Telephone:     305-866-6525
Facsimile:

if  to  the  Holder,  to:

Golden  Gate  Investors,  Inc.
7817  Herschel  Avenue,  Suite  200
La  Jolla,  CA  92037
Telephone:     858-551-8789
Facsimile:     858-551-8779

or at such other address as the Company shall have furnished to the Holder. Each
such  notice  or other communication shall for all purposes of this agreement be
treated  as  effective  or  having  been  given  when  delivered  if  delivered
personally,  or,  if  sent  by  mail, at the earlier of its receipt or five days
after  the  same has been deposited in a regularly maintained receptacle for the
deposit  of  the  United  States  mail,  addressed  and  mailed  as  aforesaid.

6.5     Counterparts.  This  agreement  may  be  executed  in  any  number  of
        ------------
counterparts,  each  of  which shall be enforceable against the parties actually
executing  such  counterparts,  and  all  of which together shall constitute one
instrument.  Facsimile  execution  shall  be  deemed  originals.

6.6     Waiver.  This  Warrant  and  any  term  hereof  may  be changed, waived,
        ------
discharged  or  terminated  only by an instrument in writing signed by the party
against  which  enforcement  of such change, waiver, discharge or termination is
sought.

6.7     Attorneys  Fees.  In  the  event  of  any  dispute  between the  parties
        ---------------
concerning  the  terms  and  provisions of this Warrant, the party prevailing in
such  dispute  shall  be  entitled  to  collect  from  the other party all costs
incurred  in  such  dispute,  including  reasonable  attorneys  fees.

6.8     Governing Law; Jurisdiction.  This Warrant  shall  be  governed  by  and
        ---------------------------
construed in accordance with the laws of the State of California, without giving
effect  to its principles regarding conflicts of law. Each of the parties hereto
consents to the jurisdiction of the federal courts whose districts encompass any
part  of  the  City  of San Diego or the state courts of the State of California
sitting  in  the  City of San Diego in connection with any dispute arising under
this  Warrant  and  hereby  waives,  to the maximum extent permitted by law, any
objection including any objection based on forum non conveniens, to the bringing
of  any  such  proceeding  in  such  jurisdictions.

6.9     Remedies.  The  Company  acknowledges  that  a  breach  by  it  of  its
        --------
obligations  hereunder  will  cause irreparable harm to the Holder, by vitiating
the  intent  and  purpose  of  the transactions hereby. Accordingly, the Company
acknowledges  that  the remedy at law for a breach of its obligations under this
Warrant  will  be  inadequate and agrees, in the event of a breach or threatened
breach  by  the Company of the provisions of this Warrant, that the Holder shall
be  entitled,  in  addition to all other available remedies at law or in equity,
and  in  addition  to  the  penalties  assessable  herein,  to  an injunction or
injunctions  restraining, preventing or curing any breach of this Warrant and to
enforce  specifically  the terms and provisions hereof, without the necessity of
showing  economic  loss  and  without any bond or other security being required.

     IN  WITNESS  WHEREOF,  the  parties hereto have duly caused this Warrant to
Purchase  Common  Stock  to  be  executed  and delivered on the date first above
written.

Invicta Group Inc.                         Golden Gate Investors, Inc.
By:    __________________________          By:    _________________________

Title: __________________________          Title: _________________________

<PAGE>

                                   APPENDIX 1
                           WARRANT NOTICE OF EXERCISE
                           --------------------------

1.   The  undersigned hereby elects to purchase _____ shares of the Common Stock
     of  Invicta  Group  Inc.  pursuant  to the terms of the Warrant to Purchase
     Common  Stock  issued  by  Invicta  Group  Inc.  on  April  ___,  2004.
2.   Please  issue a certificate or certificates representing said shares in the
     name  of  the  undersigned  or  in  such  other name as is specified below:

                              _____________________

                              _____________________

                              _____________________
                               (Name and Address)

3.   The  undersigned  makes  the  representations  and  covenants  set forth in
     Article  5  of  the  Warrant  to  Purchase  Common  Stock.

___________________________
(Signature)
___________________________
(Date)REGISTRATION RIGHTS AGREEMENT

     Registration Rights Agreement dated as of April 27, 2004 (this "AGREEMENT")
by  and  between  Invicta  Group  Inc.,  a  Nevada  corporation,  with principal
executive  offices  located  at  9553  Harding  Avenue,  Suite 301, Miami Beach,
Florida  33154  (the  "COMPANY"),  and Golden Gate Investors, Inc. (the "INITIAL
INVESTOR").

     WHEREAS,  upon  the  terms  and subject to the conditions of the Securities
Purchase  Agreement  dated  as of even date herewith, by and between the Initial
Investor  and the Company (the "SECURITIES PURCHASE AGREEMENT"), the Company has
agreed  to  issue  and sell to the Initial Investor a Convertible Debenture (the
"DEBENTURE") of the Company in the aggregate principal amount of $300,000 which,
upon  the  terms  of  and  subject  to  the  conditions  contained  therein,  is
convertible into shares of the Company's Common Stock (the "COMMON STOCK") ; and

     WHEREAS,  to  induce  the  Initial  Investor  to  execute  and  deliver the
Securities Purchase Agreement, the Company has agreed to provide with respect to
the  Common Stock issued upon conversion of the Debenture and the Warrant Shares
certain  registration  rights  under  the  Securities  Act;

     NOW,  THEREFORE,  in consideration of the premises and the mutual covenants
contained  herein,  the  parties  hereto,  intending to be legally bound, hereby
agree  as  follows:

1.     Definitions

(A)  As  used  in  this  Agreement, the following terms shall have the meanings:
(1)  "AFFILIATE" of any specified Person means any other Person who directly, or
     indirectly  through  one  or  more  intermediaries,  is  in  control of, is
     controlled  by, or is under common control with, such specified Person. For
     purposes  of this definition, control of a Person means the power, directly
     or  indirectly,  to  direct  or  cause  the direction of the management and
     policies  of  such  Person  whether  by  contract,  securities ownership or
     otherwise; and the terms "CONTROLLING" and "CONTROLLED" have the respective
     meanings  correlative  to  the  foregoing.
(2)  "CLOSING  DATE"  means  the  date  of  this  Agreement.
(3)  "COMMISSION"  means  the  Securities  and  Exchange  Commission.
(4)  "EXCHANGE  ACT"  means the Securities Exchange Act of 1934, as amended, and
     the  rules  and  regulations  of  the Commission thereunder, or any similar
     successor  statute.
(5)  "INVESTOR"  means  each  of  the  Initial  Investor  and  any transferee or
     assignee  of  Registrable Securities which agrees to become bound by all of
     the  terms  and  provisions  of this Agreement in accordance with Section 8
     hereof.
(6)  "PERSON"  means any individual, partnership, corporation, limited liability
     company,  joint  stock  company,  association,  trust,  unincorporated
     organization,  or  a government or agency or political subdivision thereof.
(7)  "PROSPECTUS"  means  the  prospectus  (including,  without  limitation, any
     preliminary  prospectus  and  any  final  prospectus filed pursuant to Rule
     424(b)  under  the  Securities Act, including any prospectus that discloses
     information  previously  omitted  from  a  prospectus  filed  as part of an
     effective  registration  statement  in  reliance  on  Rule  430A  under the
     Securities  Act)  included  in  the  Registration  Statement, as amended or
     supplemented  by any prospectus supplement with respect to the terms of the
     offering  of  any  portion  of  the  Registrable  Securities covered by the
     Registration  Statement and by all other amendments and supplements to such
     prospectus,  including  all  material  incorporated  by  reference  in such
     prospectus and all documents filed after the date of such prospectus by the
     Company  under  the  Exchange  Act  and  incorporated by reference therein.
(8)  "PUBLIC  OFFERING"  means  an  offer registered with the Commission and the
     appropriate state securities commissions by the Company of its Common Stock
     and  made  pursuant  to  the  Securities  Act.
(9)  "REGISTRABLE SECURITIES" means the Common Stock issued or issuable (i) upon
     conversion  or redemption of the Debenture, (ii) exercise of the Conversion
     Warrants (iii) pursuant to the terms and provisions of the Debenture or the
     Securities  Purchase  Agreement,  (iv) in connection with any distribution,
     recapitalization,  stock-split,  stock  adjustment or reorganization of the
     Company;  provided,  however,  a  share of Common Stock shall cease to be a
               --------   -------
     Registrable  Security for purposes of this Agreement when it no longer is a
     Restricted  Security.
(10) "REGISTRATION  STATEMENT"  means  a  registration  statement of the Company
     filed  on  an  appropriate  form under the Securities Act providing for the
     registration  of,  and  the  sale  on  a continuous or delayed basis by the
     holders  of,  all  of the Registrable Securities pursuant to Rule 415 under
     the  Securities Act, including the Prospectus contained therein and forming
     a  part  thereof,  any  amendments  to  such  registration  statement  and
     supplements  to  such  Prospectus,  and  all exhibits to and other material
     incorporated  by  reference  in such registration statement and Prospectus.
(11) "RESTRICTED  SECURITY"  means  any  share  of  Common  Stock  issued  upon
     conversion  or redemption of the Debenture or Warrant except any such share
     that  (i)  has  been  registered  pursuant  to  an  effective  registration
     statement under the Securities Act and sold in a manner contemplated by the
     prospectus  included  in  such  registration  statement,  (ii)  has  been
     transferred  in compliance with the resale provisions of Rule 144 under the
     Securities  Act  (or  any  successor  provision thereto) or is transferable
     pursuant  to  paragraph  (k)  of  Rule 144 under the Securities Act (or any
     successor  provision thereto) or (iii) otherwise has been transferred and a
     new  share  of  Common Stock not subject to transfer restrictions under the
     Securities  Act  has  been  delivered  by  or  on  behalf  of  the Company.
(12) "SECURITIES  ACT"  means  the  Securities  Act of 1933, as amended, and the
     rules  and  regulations  of  the  Commission  thereunder,  or  any  similar
     successor  statute.
(B)  All  capitalized  terms  used  and  not  defined herein have the respective
     meaning  assigned  to  them  in  the  Securities  Purchase Agreement or the
     Debenture.

2.     Registration
       ------------
(A)  FILING  AND  EFFECTIVENESS  OF  REGISTRATION  STATEMENT.  The Company shall
     prepare  and file with the Commission as soon as practicable a Registration
     Statement  relating to the offer and sale of the Registrable Securities and
     shall  use  its  best  efforts  to  cause  the  Commission  to declare such
     Registration  Statement  effective  under the Securities Act as promptly as
     practicable  but  in  no  event  later than the Deadline (as defined in the
     Debenture).  The Company shall promptly (and, in any event, no more than 24
     hours  after  it  receives  comments from the Commission), notify the Buyer
     when  and  if  it  receives  any  comments  from  the  Commission  on  the
     Registration  Statement  and  promptly  forward a copy of such comments, if
     they  are  in  writing,  to the Buyer. At such time after the filing of the
     Registration  Statement  pursuant  to  this  Section 2(A) as the Commission
     indicates,  either  orally  or  in writing, that it has no further comments
     with  respect  to  such  Registration  Statement  or  that it is willing to
     entertain  appropriate  requests  for acceleration of effectiveness of such
     Registration  Statement,  the Company shall promptly, and in no event later
     than  two  (2)  business  days  after  receipt  of such indication from the
     Commission,  request  that the effectiveness of such Registration Statement
     be accelerated within forty-eight (48) hours of the Commission's receipt of
     such  request.  The  Company  shall  notify the Initial Investor by written
     notice  that such Registration Statement has been declared effective by the
     Commission  within  24  hours  of  such  declaration  by  the  Commission.
(B)  ELIGIBILITY FOR USE OF FORM S-3 OR AN SB-2. The Company agrees that at such
     time  as  it  meets  all  the  requirements  for  the use of Securities Act
     Registration  Statement  on  Form S-3 or SB-2 and it shall file all reports
     and  information required to be filed by it with the Commission in a timely
     manner  and  take  all such other action so as to maintain such eligibility
     for  the  use  of  such  form.
(C)  ADDITIONAL  REGISTRATION  STATEMENT.  In the event the Current Market Price
     declines  to  a  price  per  share  the result of which is that the Company
     cannot  satisfy  its  conversion obligations to Initial Investor hereunder,
     the  Company  shall,  to the extent required by the Securities Act (because
     the  additional shares were not covered by the Registration Statement filed
     pursuant  to  Section  2(a)),  as  reasonably  determined  by  the  Initial
     Investor, file an additional Registration Statement with the Commission for
     such  additional number of Registrable Securities as would be issuable upon
     conversion  of  the  Debenture (the "ADDITIONAL REGISTRABLE SECURITIES") in
     addition  to  those previously registered. The Company shall, to the extent
     required  by  the  Securities  Act, as reasonably determined by the Initial
     Investor,  prepare and file with the Commission not later than the 30th day
     thereafter, a Registration Statement relating to the offer and sale of such
     Additional  Registrable  Securities and shall use its best efforts to cause
     the  Commission  to declare such Registration Statement effective under the
     Securities  Act as promptly as practicable but not later than the Deadline.
     The  Company  shall  not  include  any other securities in the Registration
     Statement  relating  to  the  offer and sale of such Additional Registrable
     Securities.
(D)  (i)  If  the Company proposes to register any of its warrants, Common Stock
     or any other shares of common stock of the Company under the Securities Act
     (other  than  a  registration  (A)  on  Form S-8 or S-4 or any successor or
     similar  forms,  (B) relating to Common Stock or any other shares of common
     stock of the Company issuable upon exercise of employee share options or in
     connection  with any employee benefit or similar plan of the Company or (C)
     in  connection  with  a  direct  or  indirect acquisition by the Company of
     another  Person  or  any transaction with respect to which Rule 145 (or any
     successor  provision) under the Securities Act applies), whether or not for
     sale  for  its  own  account,  it  will each such time, give prompt written
     notice  at  least  20  days  prior  to  the  anticipated filing date of the
     registration  statement  relating  to  such  registration to each Investor,
     which notice shall set forth such Investor's rights under this Section 2(D)
     and  shall  offer  such  Investor  the  opportunity  to  include  in  such
     registration  statement  such  number  of  Registrable  Securities  as such
     Investor  may request. Upon the written request of any Investor made within
     10  days  after the receipt of notice from the Company (which request shall
     specify  the number of Registrable Securities intended to be disposed of by
     such  Investor),  the  Company  will  use  its  best  efforts to effect the
     registration  under  the  Securities Act of all Registrable Securities that
     the  Company  has  been  so  requested to register by each Investor, to the
     extent requisite to permit the disposition of the Registrable Securities so
     to be registered; provided, however, that (A) if such registration involves
                       --------
     a  Public  Offering,  each Investor must sell its Registrable Securities to
     any  underwriters selected by the Company with the consent of such Investor
     on the same terms and conditions as apply to the Company and (B) if, at any
     time  after  giving  written  notice  of  its  intention  to  register  any
     Registrable  Securities  pursuant  to  this  Section  2  and  prior  to the
     effective  date of the registration statement filed in connection with such
     registration,  the  Company  shall determine for any reason not to register
     such  Registrable Securities, the Company shall give written notice to each
     Investor  and,  thereupon,  shall be relieved of its obligation to register
     any  Registrable  Securities  in  connection  with  such  registration. The
     Company's  obligations  under this Section 2(D) shall terminate on the date
     that the registration statement to be filed in accordance with Section 2(A)
     is declared effective by the Commission. (ii) If a registration pursuant to
     this  Section  2(D) involves a Public Offering and the managing underwriter
     thereof  advises  the  Company  that,  in its view, the number of shares of
     Common  Stock  that the Company and the Investors intend to include in such
     registration  exceeds the largest number of shares of Common Stock that can
     be  sold  without  having  an  adverse  effect on such Public Offering (the
     "MAXIMUM  OFFERING  SIZE"),  the  Company will include in such registration
     only  such  number of shares of Common Stock as does not exceed the Maximum
     Offering  Size, and the number of shares in the Maximum Offering Size shall
     be  allocated  among  the  Company,  the Investors and any other sellers of
     Common  Stock  in  such Public Offering ("THIRD-PARTY SELLERS"), first, pro
     rata  among  the  Investors until all the shares of Common Stock originally
     proposed  to  be offered for sale by the Investors have been allocated, and
     second,  pro  rata  among  the Company and any Third-Party Sellers, in each
     case  on  the  basis  of  the  relative  number  of  shares of Common Stock
     originally  proposed to be offered for sale under such registration by each
     of  the Investors, the Company and the Third-Party Sellers, as the case may
     be.  If  as  a result of the proration provisions of this Section 2(D)(ii),
     any  Investor is not entitled to include all such Registrable Securities in
     such  registration,  such  Investor  may  elect  to withdraw its request to
     include  any  Registrable  Securities in such registration. With respect to
     registrations  pursuant  to  this  Section  2(D),  the number of securities
     required  to  satisfy  any  underwriters'  over-allotment  option  shall be
     allocated  among  the Company, the Investors and any Third Party Seller pro
     rata  on  the  basis  of the relative number of securities offered for sale
     under  such registration by each of the Investors, the Company and any such
     Third  Party  Sellers  before  the  exercise of such over-allotment option.

3.     Obligations of the Company
       --------------------------
     In  connection  with  the  registration  of the Registrable Securities, the
Company  shall:

(A)  Promptly  (i)  prepare  and  file  with  the  Commission  such  amendments
     (including  post-effective  amendments)  to  the Registration Statement and
     supplements  to the Prospectus as may be necessary to keep the Registration
     Statement  continuously  effective and in compliance with the provisions of
     the  Securities  Act  applicable  thereto  so  as  to permit the Prospectus
     forming  part thereof to be current and useable by Investors for resales of
     the  Registrable Securities for a period of five (5) years from the date on
     which  the  Registration  Statement  is  first  declared  effective  by the
     Commission  (the  "EFFECTIVE  TIME")  or  such  shorter  period  that  will
     terminate  when  all the Registrable Securities covered by the Registration
     Statement  have  been  sold pursuant thereto in accordance with the plan of
     distribution  provided  in the Prospectus, transferred pursuant to Rule 144
     under  the Securities Act or otherwise transferred in a manner that results
     in  the  delivery  of  new  securities not subject to transfer restrictions
     under  the  Securities  Act  (the  "REGISTRATION PERIOD") and (ii) take all
     lawful  action  such  that  each  of (A) the Registration Statement and any
     amendment  thereto  does  not, when it becomes effective, contain an 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  and  (B)  the  Prospectus  forming  part  of  the  Registration
     Statement,  and  any  amendment or supplement thereto, does not at any time
     during  the  Registration  Period include an 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, in light of the circumstances
     under  which  they  were  made,  not  misleading;
(B)  During  the  Registration  Period,  comply  with  the  provisions  of  the
     Securities  Act  with  respect to the Registrable Securities of the Company
     covered  by  the  Registration  Statement  until  such  time as all of such
     Registrable  Securities  have  been  disposed  of  in  accordance  with the
     intended  methods  of  disposition  by  the  Investors  as set forth in the
     Prospectus  forming  part  of  the  Registration  Statement;
(C)  (i)  Prior  to the filing with the Commission of any Registration Statement
     (including  any amendments thereto) and the distribution or delivery of any
     Prospectus  (including  any  supplements thereto), provide (A) draft copies
     thereof to the Investors and reflect in such documents all such comments as
     the  Investors  (and  their  counsel) reasonably may propose and (B) to the
     Investors  a  copy of the accountant's consent letter to be included in the
     filing  and  (ii) furnish to each Investor whose Registrable Securities are
     included  in the Registration Statement and its legal counsel identified to
     the  Company,  (A)  promptly  after  the  same  is  prepared  and  publicly
     distributed,  filed  with  the  Commission, or received by the Company, one
     copy  of the Registration Statement, each Prospectus, and each amendment or
     supplement  thereto and (B) such number of copies of the Prospectus and all
     amendments  and  supplements  thereto  and  such  other  documents, as such
     Investor  may  reasonably request in order to facilitate the disposition of
     the  Registrable  Securities  owned  by  such  Investor;
(D)  (i)  Register  or  qualify  the  Registrable  Securities  covered  by  the
     Registration  Statement  under  such  securities or "blue sky" laws of such
     jurisdictions  as  the  Investors  who  hold  a majority-in-interest of the
     Registrable  Securities  being offered reasonably request, (ii) prepare and
     file  in  such  jurisdictions  such  amendments  (including  post-effective
     amendments) and supplements to such registrations and qualifications as may
     be  necessary to maintain the effectiveness thereof at all times during the
     Registration  Period,  (iii)  take  all such other lawful actions as may be
     necessary  to  maintain  such registrations and qualifications in effect at
     all  times  during  the  Registration  Period  and (iv) take all such other
     lawful actions reasonably necessary or advisable to qualify the Registrable
     Securities  for  sale  in  such  jurisdictions; provided, however, that the
                                                     --------  -------
     Company  shall  not  be  required in connection therewith or as a condition
     thereto  to  (A)  qualify to do business in any jurisdiction where it would
     not otherwise be required to qualify but for this Section 3(D), (B) subject
     itself  to  general  taxation  in  any  such  jurisdiction  or
(C)  file  a  general  consent  to  service of process in any such jurisdiction;
(E)  As  promptly as practicable after becoming aware of such event, notify each
     Investor  of  the  occurrence  of  any  event,  as  a  result  of which the
     Prospectus  included  in  the  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,  in  light  of the circumstances under which they were
     made, not misleading, and promptly prepare an amendment to the Registration
     Statement and supplement to the Prospectus to correct such untrue statement
     or  omission,  and  deliver  a  number  of  copies  of  such supplement and
     amendment  to  each  Investor  as  such  Investor  may  reasonably request;
(F)  As  promptly as practicable after becoming aware of such event, notify each
     Investor  who  holds Registrable Securities being sold (or, in the event of
     an underwritten offering, the managing underwriters) of the issuance by the
     Commission  of  any  stop order or other suspension of the effectiveness of
     the  Registration  Statement  at  the  earliest  possible time and take all
     lawful  action to effect the withdrawal, rescission or removal of such stop
     order  or  other  suspension;
(G)  Cause  all the Registrable Securities covered by the Registration Statement
     to be listed on the principal national securities exchange, and included in
     an  inter-dealer  quotation  system  of  a  registered  national securities
     association,  on  or in which securities of the same class or series issued
     by  the  Company  are  then  listed  or  included;
(H)  Maintain  a transfer agent and registrar, which may be a single entity, for
     the  Registrable  Securities  not  later  than  the  effective  date of the
     Registration  Statement;
(I)  Cooperate  with the Investors who hold Registrable Securities being offered
     to  facilitate  the timely preparation and delivery of certificates for the
     Registrable Securities to be offered pursuant to the registration statement
     and  enable  such certificates for the Registrable Securities to be in such
     denominations  or  amounts, as the case may be, as the Investors reasonably
     may  request and registered in such names as the Investor may request; and,
     within  three  (3)  business  days  after  a  registration  statement which
     includes  Registrable  Securities  is declared effective by the Commission,
     deliver  and  cause legal counsel selected by the Company to deliver to the
     transfer agent for the Registrable Securities (with copies to the Investors
     whose  Registrable  Securities are included in such registration statement)
     an appropriate instruction and, to the extent necessary, an opinion of such
     counsel;
(J)  Take  all  such  other  lawful actions reasonably necessary to expedite and
     facilitate the disposition by the Investors of their Registrable Securities
     in accordance with the intended methods therefor provided in the Prospectus
     which  are  customary  under  the  circumstances;
(K)  Make  generally  available  to its security holders as soon as practicable,
     but  in  any  event not later than three (3) months after (i) the effective
     date  (as  defined  in  Rule  158(c)  under  the  Securities  Act)  of  the
     Registration  Statement  and (ii) the effective date of each post-effective
     amendment  to  the  Registration Statement, as the case may be, an earnings
     statement of the Company and its subsidiaries complying with Section 11 (a)
     of  the  Securities  Act  and  the  rules and regulations of the Commission
     thereunder  (including,  at  the  option  of  the  Company,  Rule  158);
(L)  In  the  event of an underwritten offering, promptly include or incorporate
     in  a Prospectus supplement or post-effective amendment to the Registration
     Statement  such  information  as  the  managers  reasonably agree should be
     included  therein  and  to which the Company does not reasonably object and
     make  all  required filings of such Prospectus supplement or post-effective
     amendment  as soon as practicable after it is notified of the matters to be
     included  or  incorporated  in such Prospectus supplement or post-effective
     amendment;
(M)  (i)  Make reasonably available for inspection by Investors, any underwriter
     participating  in  any  disposition pursuant to the Registration Statement,
     and  any  attorney, accountant or other agent retained by such Investors or
     any  such  underwriter  all relevant financial and other records, pertinent
     corporate documents and properties of the Company and its subsidiaries, and
     (ii)  cause  the  Company's officers, directors and employees to supply all
     information reasonably requested by such Investors or any such underwriter,
     attorney,  accountant  or  agent  in  connection  with  the  Registration
     Statement,  in  each  case,  as  is  customary  for  similar  due diligence
     examinations;  provided,  however,  that  all  records,  information  and
                    --------   -------
     documents  that are designated in writing by the Company, in good faith, as
     confidential,  proprietary or containing any material nonpublic information
     shall  be  kept  confidential  by  such Investors and any such underwriter,
     attorney,  accountant  or agent (pursuant to an appropriate confidentiality
     agreement  in the case of any such holder or agent), unless such disclosure
     is  made  pursuant  to  judicial process in a court proceeding (after first
     giving  the  Company  an opportunity promptly to seek a protective order or
     otherwise  limit the scope of the information sought to be disclosed) or is
     required by law, or such records, information or documents become available
     to  the  public  generally  or through a third party not in violation of an
     accompanying obligation of confidentiality; and provided, further, that, if
                                                     --------  -------
     the  foregoing inspection and information gathering would otherwise disrupt
     the  Company's  conduct  of  its  business, such inspection and information
     gathering  shall,  to the maximum extent possible, be coordinated on behalf
     of  the  Investors  and  the  other parties entitled thereto by one firm of
     counsel  designated  by  and  on  behalf  of  the  majority  in interest of
     Investors  and  other  parties;
(N)  In connection with any underwritten offering, make such representations and
     warranties to the Investors participating in such underwritten offering and
     to  the  managers,  in form, substance and scope as are customarily made by
     the  Company  to  underwriters  in  secondary  underwritten  offerings;
(O)  In connection with any underwritten offering, obtain opinions of counsel to
     the  Company  (which  counsel  and  opinions (in form, scope and substance)
     shall  be  reasonably  satisfactory  to  the  managers)  addressed  to  the
     underwriters,  covering such matters as are customarily covered in opinions
     requested  in  secondary  underwritten  offerings (it being agreed that the
     matters  to  be covered by such opinions shall include, without limitation,
     as  of  the  date  of  the  opinion  and  as  of  the Effective Time of the
     Registration  Statement or most recent post-effective amendment thereto, as
     the  case  may  be,  the  absence  from  the Registration Statement and the
     Prospectus,  including  any documents incorporated by reference therein, of
     an  untrue  statement of a material fact or the omission of a material fact
     required  to  be stated therein or necessary to make the statements therein
     (in  the  case of the Prospectus, in light of the circumstances under which
     they  were  made)  not  misleading,  subject  to  customary  limitations);
(P)  In connection with any underwritten offering, obtain "cold comfort" letters
     and  updates thereof from the independent public accountants of the Company
     (and,  if  necessary,  from  the  independent  public  accountants  of  any
     subsidiary  of  the  Company or of any business acquired by the Company, in
     each  case  for  which  financial statements and financial data are, or are
     required  to be, included in the Registration Statement), addressed to each
     underwriter  participating  in  such  underwritten  offering  (if  such
     underwriter  has provided such letter, representations or documentation, if
     any,  required  for  such  cold  comfort  letter  to  be  so addressed), in
     customary  form  and  covering  matters  of the type customarily covered in
     "cold comfort" letters in connection with secondary underwritten offerings;
(Q)  In  connection  with  any underwritten offering, deliver such documents and
     certificates  as  may  be  reasonably required by the managers, if any, and
(R)  In the event that any broker-dealer registered under the Exchange Act shall
     be  an  "AFFILIATE"  (as  defined  in  Rule  2729(b)(1)  of  the  rules and
     regulations  of  the  National Association of Securities Dealers, Inc. (the
     "NASD RULES") (or any successor provision thereto)) of the Company or has a
     "CONFLICT OF INTEREST" (as defined in Rule 2720(b)(7) of the NASD Rules (or
     any  successor provision thereto)) and such broker-dealer shall underwrite,
     participate  as  a  member of an underwriting syndicate or selling group or
     assist  in  the  distribution  of any Registrable Securities covered by the
     Registration  Statement, whether as a holder of such Registrable Securities
     or  as  an underwriter, a placement or sales agent or a broker or dealer in
     respect  thereof, or otherwise, the Company shall assist such broker-dealer
     in  complying  with  the requirements of the NASD Rules, including, without
     limitation,  by  (A)  engaging  a  "QUALIFIED  INDEPENDENT UNDERWRITER" (as
     defined  in  Rule 2720(b)(15) of the NASD Rules (or any successor provision
     thereto))  to  participate in the preparation of the Registration Statement
     relating to such Registrable Securities, to exercise usual standards of due
     diligence  in respect thereof and to recommend the public offering price of
     such  Registrable  Securities,  (B) indemnifying such qualified independent
     underwriter  to  the extent of the indemnification of underwriters provided
     in  Section  6  hereof  and  (C)  providing  such  information  to  such
     broker-dealer  as may be required in order for such broker-dealer to comply
     with  the  requirements  of  the  NASD  Rules.

4.     Obligations of the Investors
       ----------------------------

     In  connection  with  the  registration  of the Registrable Securities, the
Investors  shall  have  the  following  obligations:

(A)  It  shall  be  a  condition  precedent to the obligations of the Company to
     complete  the  registration  pursuant to this Agreement with respect to the
     Registrable  Securities  of  a particular Investor that such Investor shall
     furnish  to  the Company such information regarding itself, the Registrable
     Securities  held  by  it  and  the  intended  method  of disposition of the
     Registrable Securities held by it as shall be reasonably required to effect
     the  registration  of  such  Registrable  Securities and shall execute such
     documents  in  connection  with  such  registration  as  the  Company  may
     reasonably  request;
(B)  Each  Investor  by  its  acceptance of the Registrable Securities agrees to
     cooperate with the Company in connection with the preparation and filing of
     the Registration Statement hereunder, unless such Investor has notified the
     Company  in  writing  of  its  election  to  exclude all of its Registrable
     Securities  from  the  Registration  Statement;  and
(C)  Each  Investor  agrees that, upon receipt of any notice from the Company of
     the  occurrence of any event of the kind described in Section 3(E) or 3(F),
     it  shall immediately discontinue its disposition of Registrable Securities
     pursuant to the Registration Statement covering such Registrable Securities
     until  such Investor's receipt of the copies of the supplemented or amended
     Prospectus contemplated by Section 3(E) and, if so directed by the Company,
     such  Investor shall deliver to the Company (at the expense of the Company)
     or  destroy  (and  deliver to the Company a certificate of destruction) all
     copies  in  such  Investor's  possession,  of  the Prospectus covering such
     Registrable  Securities  current  at  the  time  of receipt of such notice.

5.     Expenses of Registration
       ------------------------

     All  expenses,  other than underwriting discounts and commissions, incurred
in  connection with registrations, filings or qualifications pursuant to Section
3,  but  including,  without  limitation,  all  registration,  listing,  and
qualifications  fees, printing and engraving fees, accounting fees, and the fees
and  disbursements  of  counsel  for the Company, and the reasonable fees of one
firm  of  counsel  to  the  holders of a majority in interest of the Registrable
Securities  shall  be  borne  by  the  Company.

6.     Indemnification and Contribution
       --------------------------------

(A)  INDEMNIFICATION  BY  THE  COMPANY.  The  Company  shall  indemnify and hold
     harmless  each Investor and each underwriter, if any, which facilitates the
     disposition  of  Registrable  Securities,  and  each  of  their  respective
     officers  and  directors  and  each  person  who  controls such Investor or
     underwriter  within  the  meaning  of  Section  15 of the Securities Act or
     Section  20  of  the  Exchange  Act  (each  such  person  being  sometimes
     hereinafter  referred  to  as an "INDEMNIFIED PERSON") from and against any
     losses,  claims,  damages  or  liabilities, joint or several, to which such
     Indemnified  Person  may  become  subject  under  the  Securities  Act  or
     otherwise,  insofar  as  such  losses,  claims,  damages or liabilities (or
     actions  in  respect  thereof)  arise  out  of  or are based upon an untrue
     statement  of a material fact contained in any Registration Statement or an
     omission  or  alleged omission to state therein a material fact required to
     be  stated  therein  or  necessary  to  make  the  statements  therein, not
     misleading,  or  arise  out  of  or are based upon an untrue statement of a
     material  fact  contained  in  any  Prospectus  or  an  omission or alleged
     omission  to state therein a material fact required to be stated therein or
     necessary to make the statements therein, in the light of the circumstances
     under  which  they were made, not misleading; and the Company hereby agrees
     to  reimburse  such  Indemnified  Person for all reasonable legal and other
     expenses incurred by them in connection with investigating or defending any
     such  action  or  claim  as  and when such expenses are incurred; provided,
                                                                       --------
     however,  that  the  Company  shall  not  be liable to any such Indemnified
     -------
     Person  in any such case to the extent that any such loss, claim, damage or
     liability arises out of or is based upon (i) an untrue statement or alleged
     untrue  statement  made  in,  or an omission or alleged omission from, such
     Registration  Statement  or  Prospectus  in reliance upon and in conformity
     with  written  information  furnished  to  the  Company by such Indemnified
     Person  expressly  for use therein or (ii) in the case of the occurrence of
     an  event of the type specified in Section 3(E), the use by the Indemnified
     Person  of  an  outdated  or  defective  Prospectus  after  the Company has
     provided  to  such  Indemnified Person an updated Prospectus correcting the
     untrue  statement  or  alleged  untrue  statement  or  omission  or alleged
     omission  giving  rise  to  such  loss,  claim,  damage  or  liability.
(B)  NOTICE  OF  CLAIMS,  ETC.  Promptly  after  receipt  by  a  party  seeking
     indemnification  pursuant  to  this  Section  6 (an "INDEMNIFIED PARTY") of
     written  notice  of any investigation, claim, proceeding or other action in
     respect  of  which  indemnification  is being sought (each, a "CLAIM"), the
     Indemnified  Party  promptly  shall  notify  the  party  against  whom
     indemnification  pursuant  to  this  Section  6  is  being  sought  (the
     "INDEMNIFYING  PARTY")  of the commencement thereof; but the omission to so
     notify  the Indemnifying Party shall not relieve it from any liability that
     it  otherwise  may have to the Indemnified Party, except to the extent that
     the  Indemnifying  Party  is materially prejudiced and forfeits substantive
     rights and defenses by reason of such failure. In connection with any Claim
     as  to  which  both  the  Indemnifying  Party and the Indemnified Party are
     parties,  the  Indemnifying  Party  shall be entitled to assume the defense
     thereof.  Notwithstanding the assumption of the defense of any Claim by the
     Indemnifying  Party,  the  Indemnified Party shall have the right to employ
     separate legal counsel and to participate in the defense of such Claim, and
     the  Indemnifying Party shall bear the reasonable fees, out-of-pocket costs
     and  expenses  of  such  separate legal counsel to the Indemnified Party if
     (and  only  if):  (x)  the Indemnifying Party shall have agreed to pay such
     fees,  costs  and  expenses, (y) the Indemnified Party and the Indemnifying
     Party  shall  reasonably  have  concluded  that  representation  of  the
     Indemnified Party by the Indemnifying Party by the same legal counsel would
     not  be  appropriate  due  to  actual or, as reasonably determined by legal
     counsel  to  the Indemnified Party, potentially differing interests between
     such  parties  in the conduct of the defense of such Claim, or if there may
     be  legal  defenses available to the Indemnified Party that are in addition
     to  or  disparate from those available to the Indemnifying Party or (z) the
     Indemnifying  Party  shall  have  failed to employ legal counsel reasonably
     satisfactory  to  the  Indemnified Party within a reasonable period of time
     after  notice  of  the commencement of such Claim. If the Indemnified Party
     employs  separate legal counsel in circumstances other than as described in
     clauses  (x),  (y) or (z) above, the fees, costs and expenses of such legal
     counsel  shall  be  borne  exclusively  by the Indemnified Party. Except as
     provided  above,  the  Indemnifying Party shall not, in connection with any
     Claim in the same jurisdiction, be liable for the fees and expenses of more
     than  one  firm  of  counsel  for  the  Indemnified  Party  (together  with
     appropriate  local  counsel).  The Indemnified Party shall not, without the
     prior  written  consent  of the Indemnifying Party (which consent shall not
     unreasonably be withheld), settle or compromise any Claim or consent to the
     entry of any judgment that does not include an unconditional release of the
     Indemnifying  Party  from  all  liabilities  with  respect to such Claim or
     judgment.
(C)  CONTRIBUTION.  If  the  indemnification  provided  for in this Section 6 is
     unavailable to or insufficient to hold harmless an Indemnified Person under
     subsection  (A)  above  in  respect  of  any  losses,  claims,  damages  or
     liabilities  (or actions in respect thereof) referred to therein, then each
     Indemnifying  Party  shall contribute to the amount paid or payable by such
     Indemnified  Party  as  a  result  of  such  losses,  claims,  damages  or
     liabilities  (or  actions  in  respect  thereof)  in  such proportion as is
     appropriate to reflect the relative fault of the Indemnifying Party and the
     Indemnified  Party  in  connection  with  the statements or omissions which
     resulted  in  such  losses,  claims,  damages or liabilities (or actions in
     respect  thereof),  as well as any other relevant equitable considerations.
     The  relative  fault of such Indemnifying Party and Indemnified Party shall
     be  determined  by  reference to, among other things, whether the untrue or
     alleged untrue statement of a material fact or omission or alleged omission
     to  state  a  material  fact  relates  to  information  supplied  by  such
     Indemnifying  Party or by such Indemnified Party, and the parties' relative
     intent,  knowledge,  access  to  information  and opportunity to correct or
     prevent  such statement or omission. The parties hereto agree that it would
     not  be  just  and  equitable if contribution pursuant to this Section 6(D)
     were  determined  by  pro  rata  allocation  (even  if the Investors or any
     underwriters  were  treated as one entity for such purpose) or by any other
     method  of  allocation  which  does  not  take  account  of  the  equitable
     considerations referred to in this Section 6(D). The amount paid or payable
     by  an  Indemnified  Party  as  a  result of the losses, claims, damages or
     liabilities  (or  actions  in  respect  thereof) referred to above shall be
     deemed  to  include any legal or other fees or expenses reasonably incurred
     by such Indemnified Party in connection with investigating or defending any
     such  action  or  claim.  No  person guilty of fraudulent misrepresentation
     (within  the  meaning  of  Section  11(f)  of  the Securities Act) shall be
     entitled  to  contribution  from  any  person  who  was  not guilty of such
     fraudulent  misrepresentation.  The  obligations  of  the Investors and any
     underwriters  in  this  Section  6(D)  to  contribute  shall  be several in
     proportion  to  the  percentage  of  Registrable  Securities  registered or
     underwritten,  as  the  case  may  be,  by  them  and  not  joint.
(D)  Notwithstanding  any  other  provision of this Section 6, in no event shall
     any  (i)  Investor  be  required to undertake liability to any person under
     this  Section  6  for  any  amounts  in  excess of the dollar amount of the
     proceeds  to  be received by such Investor from the sale of such Investor's
     Registrable Securities (after deducting any fees, discounts and commissions
     applicable thereto) pursuant to any Registration Statement under which such
     Registrable  Securities  are  to be registered under the Securities Act and
     (ii) underwriter be required to undertake liability to any Person hereunder
     for  any  amounts  in excess of the aggregate discount, commission or other
     compensation  payable  to  such underwriter with respect to the Registrable
     Securities  underwritten by it and distributed pursuant to the Registration
     Statement.
(E)  The obligations of the Company under this Section 6 shall be in addition to
     any  liability  which  the  Company  may  otherwise have to any Indemnified
     Person  and  the obligations of any Indemnified Person under this Section 6
     shall  be  in  addition  to any liability which such Indemnified Person may
     otherwise  have to the Company. The remedies provided in this Section 6 are
     not  exclusive  and  shall  not  limit  any  rights  or  remedies which may
     otherwise  be  available  to  an  indemnified  party  at  law or in equity.

7.     Rule 144
       --------

     With  a  view to making available to the Investors the benefits of Rule 144
under  the  Securities  Act  or  any  other  similar  rule  or regulation of the
Commission  that  may at any time permit the Investors to sell securities of the
Company  to  the public without registration ("RULE 144"), the Company agrees to
use  its  best  efforts  to:

(1)  comply  with  the  provisions  of  paragraph  (c)  (1)  of  Rule  144  and
(2)  file with the Commission in a timely manner all reports and other documents
     required  to  be filed by the Company pursuant to Section 13 or 15(d) under
     the  Exchange  Act;  and,  if  at  any time it is not required to file such
     reports  but  in the past had been required to or did file such reports, it
     will, upon the request of any Investor, make available other information as
     required  by,  and so long as necessary to permit sales of, its Registrable
     Securities  pursuant  to  Rule  144.

8.     Assignment
       ----------

     The  rights to have the Company register Registrable Securities pursuant to
this Agreement shall be automatically assigned by the Investors to any permitted
transferee  of  all or any portion of such Registrable Securities (or all or any
portion  of  the  Debenture  or Warrant of the Company which is convertible into
such  securities) only if (a) the Investor agrees in writing with the transferee
or  assignee to assign such rights, and a copy of such agreement is furnished to
the  Company within a reasonable time after such assignment, (b) the Company is,
within  a  reasonable  time  after  such  transfer or assignment, furnished with
written  notice  of  (i) the name and address of such transferee or assignee and
(ii)  the  securities  with  respect to which such registration rights are being
transferred  or assigned, (c) immediately following such transfer or assignment,
the  securities  so  transferred  or  assigned  to  the  transferee  or assignee
constitute  Restricted  Securities  and  (d)  at  or before the time the Company
received  the  written  notice  contemplated  by clause (b) of this sentence the
transferee  or assignee agrees in writing with the Company to be bound by all of
the  provisions  contained  herein.

9.     Amendment and Waiver
       --------------------

     Any  provision  of this Agreement may be amended and the observance thereof
may  be  waived  (either  generally  or  in  a  particular  instance  and either
retroactively  or  prospectively),  only with the written consent of the Company
and  Investors  who  hold  a majority-in-interest of the Registrable Securities.
Any  amendment  or  waiver  effected  in accordance with this Section 9 shall be
binding  upon  each  Investor  and  the  Company.

10.    Changes in Common Stock
       -----------------------

     If,  and  as  often as, there are any changes in the Common Stock by way of
stock  split, stock dividend, reverse split, combination or reclassification, or
through  merger,  consolidation,  reorganization  or recapitalization, or by any
other  means,  appropriate adjustment shall be made in the provisions hereof, as
may be required, so that the rights and privileges granted hereby shall continue
with  respect  to  the  Common  Stock  as  so  changed.

11.    Miscellaneous
       -------------

(A)  A person or entity shall be deemed to be a holder of Registrable Securities
     whenever  such person or entity owns of record such Registrable Securities.
     If the Company receives conflicting instructions, notices or elections from
     two  or  more  persons  or  entities  with  respect to the same Registrable
     Securities, the Company shall act upon the basis of instructions, notice or
     election received from the registered owner of such Registrable Securities.
(B)  If,  after  the  date  hereof  and  prior  to  the Commission declaring the
     Registration Statement to be filed pursuant to Section 2(a) effective under
     the  Securities  Act,  the  Company  grants  to any Person any registration
     rights  with  respect to any Company securities which are more favorable to
     such  other  Person than those provided in this Agreement, then the Company
     forthwith  shall  grant  (by  means  of  an  amendment to this Agreement or
     otherwise)  identical  registration  rights  to  all  Investors  hereunder.
(C)  Except  as  may  be  otherwise  provided  herein,  any  notice  or  other
     communication  or  delivery  required  or  permitted  hereunder shall be in
     writing and shall be delivered personally, or sent by telecopier machine or
     by  a  nationally recognized overnight courier service, and shall be deemed
     given  when  so delivered personally, or by telecopier machine or overnight
     courier  service  as  follows:

(1)  if  to  the  Company,  to:

     Invicta  Group  Inc.
     9553  Harding  Avenue,  Suite  301
     Miami  Beach,  FL  33154
     Telephone:     305-866-6525
     Facsimile:

(2)  if  to  the  Investor,  to:

     Golden  Gate  Investors,  Inc.
     7817  Herschel  Avenue,  Suite  200
     La  Jolla,  California  92037
     Telephone:     858-551-8789
     Facsimile:     858-551-8779

(3)  if  to  any  other  Investor,  at  such address as such Investor shall have
     provided  in  writing  to the Company. The Company, the Initial Investor or
     any  Investor  may change the foregoing address by notice given pursuant to
     this  Section  11(C).

(D)  Failure  of  any party to exercise any right or remedy under this Agreement
     or otherwise, or delay by a party in exercising such right or remedy, shall
     not  operate  as  a  waiver  thereof.
(E)  This  Agreement shall be governed by and interpreted in accordance with the
     laws  of  the  State  of  California.  Each  of the parties consents to the
     jurisdiction  of  the  federal courts whose districts encompass any part of
     the  City  of  San  Diego  or  the  state courts of the State of California
     sitting  in  the  City  of San Diego in connection with any dispute arising
     under  this Agreement and hereby waives, to the maximum extent permitted by
     law,  any  objection including any objection based on forum non conveniens,
     to  the  bringing  of  any  such  proceeding  in  such  jurisdictions.
(F)  Should  any party hereto employ an attorney for the purpose of enforcing or
     construing  this Agreement, or any judgment based on this Agreement, in any
     legal proceeding whatsoever, including insolvency, bankruptcy, arbitration,
     declaratory  relief  or  other  litigation,  the  prevailing party shall be
     entitled  to  receive from the other party or parties thereto reimbursement
     for  all reasonable attorneys' fees and all reasonable costs, including but
     not  limited  to  service of process, filing fees, court and court reporter
     costs, investigative costs, expert witness fees, and the cost of any bonds,
     whether  taxable  or  not, and that such reimbursement shall be included in
     any  judgment  or  final  order  issued in that proceeding. The "prevailing
     party"  means  the party determined by the court to most nearly prevail and
     not  necessarily  the  one  in  whose  favor  a  judgment  is  rendered.
(G)  The remedies provided in this Agreement are cumulative and not exclusive of
     any  remedies  provided  by  law.  If  any  term,  provision,  covenant  or
     restriction  of this Agreement is held by a court of competent jurisdiction
     to  be invalid, illegal, void or unenforceable, the remainder of the terms,
     provisions,  covenants  and  restrictions  set forth herein shall remain in
     full  force  and  effect  and  shall  in  no  way  be affected, impaired or
     invalidated,  and  the  parties hereto shall use their best efforts to find
     and  employ  an  alternative means to achieve the same or substantially the
     same  result  as  that  contemplated  by  such term, provision, covenant or
     restriction.  It  is  hereby stipulated and declared to be the intention of
     the  parties that they would have executed the remaining terms, provisions,
     covenants  and  restrictions  without  including  any  of  such that may be
     hereafter  declared  invalid,  illegal,  void  or  unenforceable.
(H)  The  Company  shall  not  enter  into  any  agreement  with  respect to its
     securities  that  is inconsistent with the rights granted to the holders of
     Registrable  Securities  in  this Agreement or otherwise conflicts with the
     provisions  hereof.  The  Company is not currently a party to any agreement
     granting  any  registration rights with respect to any of its securities to
     any  person  which  conflicts  with  the Company's obligations hereunder or
     gives  any  other  party  the  right  to  include  any  securities  in  any
     Registration  Statement  filed  pursuant hereto, except for such rights and
     conflicts  as have been irrevocably waived. Without limiting the generality
     of  the foregoing, without the written consent of the holders of a majority
     in  interest  of the Registrable Securities, the Company shall not grant to
     any  person the right to request it to register any of its securities under
     the  Securities Act unless the rights so granted are subject in all respect
     to  the  prior  rights  of  the holders of Registrable Securities set forth
     herein,  and  are  not  otherwise  in  conflict  or  inconsistent  with the
     provisions  of  this Agreement. The restrictions on the Company's rights to
     grant  registration rights under this paragraph shall terminate on the date
     the Registration Statement to be filed pursuant to Section 2(A) is declared
     effective  by  the  Commission.
(I)  This  Agreement,  the  Securities Purchase Agreement, the Debenture and the
     Conversion  Warrants Agreement, of even date herewith among the Company and
     the  Initial  Investor  constitute  the  entire agreement among the parties
     hereto  with  respect  to  the  subject  matter  hereof.  There  are  no
     restrictions,  promises,  warranties  or undertakings, other than those set
     forth  or  referred  to  herein.  These  Agreements  supersede  all  prior
     agreements  and  undertakings  among the parties hereto with respect to the
     subject  matter  hereof.
(J)  Subject to the requirements of Section 8 hereof, this Agreement shall inure
     to the benefit of and be binding upon the successors and assigns of each of
     the  parties  hereto.
(K)  All pronouns and any variations thereof refer to the masculine, feminine or
     neuter,  singular  or  plural,  as  the  context  may  require.
(L)  The  headings  in  this Agreement are for convenience of reference only and
     shall  not  limit  or  otherwise  affect  the  meaning  thereof.
(M)  The  Company  acknowledges  that  any failure by the Company to perform its
     obligations under Section 3, or any delay in such performance, could result
     in direct damages to the Investors and the Company agrees that, in addition
     to  any  other liability the Company may have by reason of any such failure
     or delay, the Company shall be liable for all direct damages caused by such
     failure  or  delay.
(N)  This  Agreement  may  be  executed  in counterparts, each of which shall be
     deemed  an  original  but  both  of which shall constitute one and the same
     agreement. A facsimile transmission of this signed Agreement shall be legal
     and  binding  on  the  parties  hereto.

     IN  WITNESS  WHEREOF, the parties hereto have duly caused this Agreement to
be  executed  and  delivered  on  the  date  first  above  written.

Invicta Group Inc.

By:
Name:
Title:

Golden Gate Investors, Inc.

By:
Name:
Title:

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