VIRAL GENETICS INC /DE/
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     <B>Valerian Financial
Services LLC</B></FONT><BR><FONT FACE="Times New Roman, Times, Serif" SIZE="2">1321 Mountain View Circle,<BR>Azusa, CA,<BR>91702<BR>
        Tel: (626) 334-5310<BR>Fax:(626) 334-5324</FONT></P></TD></TR>
<TR><TD STYLE="border-top: solid black 1px"><P ALIGN=CENTER><FONT FACE="Times New Roman, Times, Serif" SIZE="3">LETTER AGREEMENT</FONT></P></TD></TR>
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        October 13, 2004 </FONT></P></TD></TR>
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     <TD><FONT FACE="Times New Roman, Times, Serif" SIZE="3">&nbsp;</FONT></TD></TR>
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     <TD><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="3">John David Lefebvre<BR>P.O. Box
N7120<BR>Nassau, Bahamas</FONT></P></TD></TR>
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     <TD><FONT FACE="Times New Roman, Times, Serif" SIZE="3">&nbsp;</FONT></TD></TR>
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     <TD><P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE="3">RE: Escrow of Funds</FONT></TD></TR>
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     <TD><P ALIGN=JUSTIFY><FONT FACE="Times New Roman, Times, Serif" SIZE="3">
        In connection with the $2,000,000
private placement (&#147;Funding&#148;) to be subscribed for by you and the deposit of funds in escrow at our Trust
          Account (see attached), this letter confirms the following:</FONT></p></TD></TR>
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     <TD WIDTH="7%"><FONT FACE="Times New Roman, Times, Serif" SIZE="3">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;&nbsp;</FONT></TD>
     <TD WIDTH="93%"><P ALIGN=JUSTIFY><FONT FACE="Times New Roman, Times, Serif" SIZE="3">the Funding will be advanced in US dollars by wire transfer to our Trust Account
          at the attached coordinates following execution of the definitive agreements
          relating to the private placement; </FONT></P></TD></TR>
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     <TD><FONT FACE="Times New Roman, Times, Serif" SIZE="3">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.&nbsp;&nbsp;</FONT></TD>
     <TD><P ALIGN=JUSTIFY><FONT FACE="Times New Roman, Times, Serif" SIZE="3">the Funding will be segregated on our books as held in trust for your benefit
          pending release pursuant to the private placement closing, and this letter
          constitutes your direction to so release the Funding on the terms and conditions
          herein; </FONT></P></TD></TR>
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     <TD><FONT FACE="Times New Roman, Times, Serif" SIZE="3">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.&nbsp;&nbsp;</FONT></TD>
     <TD><P ALIGN=JUSTIFY><FONT FACE="Times New Roman, Times, Serif" SIZE="3">the Funding will only be released to Viral Genetics, Inc. (&#147;Viral&#148;)
          upon delivery to you of the following:</FONT></P></TD></TR>
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     <TD><FONT FACE="Times New Roman, Times, Serif" SIZE="3">&nbsp;</FONT></TD>
     <TD><P ALIGN=JUSTIFY><FONT FACE="Times New Roman, Times, Serif" SIZE="3">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.&nbsp;&nbsp;
        share certificate representing 8,000,000 shares of common stock of Viral; and</FONT></p></TD></TR>
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     <TD><FONT FACE="Times New Roman, Times, Serif" SIZE="3">&nbsp;</FONT></TD>
     <TD><P ALIGN=JUSTIFY><FONT FACE="Times New Roman, Times, Serif" SIZE="3">
        &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.&nbsp;&nbsp;warrant agreement to purchase 4,000,000 shares of common stock of Viral at
          </FONT></P></TD></TR>
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     <TD><FONT FACE="Times New Roman, Times, Serif" SIZE="3">&nbsp;</FONT></TD>
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        &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$1.00, exercisable for 2 years.</FONT></TD></TR>
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     <TD><FONT FACE="Times New Roman, Times, Serif" SIZE="3">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.&nbsp;&nbsp;</FONT></TD>
     <TD><P ALIGN=JUSTIFY><FONT FACE="Times New Roman, Times, Serif" SIZE="3">
        at any time and for any reason, you may direct us to cancel the escrow upon
          which notice we will return the entire Funding to you as instructed forthwith. </FONT></P></TD></TR>
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     <TD WIDTH="100%"><P ALIGN=JUSTIFY><FONT FACE="Times New Roman, Times, Serif" SIZE="3">This letter constitutes the binding
agreement of Valerian Financial Services LLC and John David Lefebvre concerning the
subject matter herein. </FONT></P></TD></TR>
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     <TD><FONT FACE="Times New Roman, Times, Serif" SIZE="3">&nbsp;</FONT></TD></TR>
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     <TD><FONT FACE="Times New Roman, Times, Serif" SIZE="3">Yours truly,</FONT></TD></TR>
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<P ALIGN=LEFT><FONT FACE="Times New Roman, Times, Serif" SIZE=3>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;VALERAN FINANCIAL SERVICES LLC</FONT></P>



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     <TD WIDTH="33%" STYLE="border-bottom: solid black 1px"><FONT FACE="Times New Roman, Times, Serif" SIZE="3">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
        &nbsp;&nbsp;/s/&nbsp;</FONT></TD>
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     <TD><FONT FACE="Times New Roman, Times, Serif" SIZE="3">&nbsp;</FONT></TD>
     <TD><FONT FACE="Times New Roman, Times, Serif" SIZE="3">Haig
Keledjian, Manager</FONT></TD>
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     <TD WIDTH="32%"><FONT FACE="Times New Roman, Times, Serif" SIZE="3">Acknowledged and
Accepted:</FONT></TD>
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        &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;/s/</FONT></p></TD>
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