AMDL INC
EXHIBIT 10.43
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<TYPE>EX-10.43
<SEQUENCE>2
<FILENAME>a39441exv10w43.htm
<DESCRIPTION>EXHIBIT 10.43
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<DIV align="right" style="font-size: 10pt; margin-top: 12pt">Exhibit&nbsp;10.43
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<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>AMENDMENT NO. 1 TO ESCROW AGREEMENT</B>
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Amendment No.&nbsp;1 to Escrow Agreement is made this 10<SUP style="font-size: 85%; vertical-align: text-top">th</SUP> day of August, 2007, by
and among AMDL, Inc., a Delaware corporation (&#147;Buyer&#148;), Jade Capital Group Limited, a British
Virgin Islands corporation (&#147;Jade Capital&#148;), Pearl King Global Limited (&#147;Pearl King&#148;), and Homing
Nominees Limited (&#147;Homing&#148;) (collectively Pearl King and Homing are referred to as &#147;Shareholders&#148;)
and Louis Taubman, Esquire (in his capacity as Escrow Holder hereunder, the &#147;Escrow Holder&#148;).
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<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>RECITALS</B>
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Amendment is being entered into in reference to the following facts:
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A.&nbsp;During the period after the execution of the Escrow Agreement dated as of September&nbsp;28,
2007 (&#147;Escrow Agreement&#148;) and the date hereof, the China State Federal Drug Agency (&#147;SFDA&#148;) had
undergone significant changes in administration, including but not limited to, the death by
execution of the chairman of the SFDA, none of which changes could have been reasonably anticipated
by the parties to the Escrow Agreement at the time of execution thereof.
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B.&nbsp;Both Buyer and Jade Capital have proceeded diligently with the preparation and filing of
the SFDA application for approval of DR-70<SUP style="font-size: 85%; vertical-align: text-top">&#174;</SUP>, but some of the delays were attributable to
Buyer.
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;C.&nbsp;In fairness to Jade Capital and its stockholders, Buyer has agreed to extend the date for
receipt of SFDA approval of DR-70<SUP style="font-size: 85%; vertical-align: text-top"><SUP style="font-size: 85%; vertical-align: text-top">&#174;</SUP> </SUP>to March&nbsp;28, 2008.
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NOW, THEREFORE, it is agreed as follows:
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;Article&nbsp;2 of the Escrow Agreement is amended and restated to read in full as follows:
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<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><U>&#147;ARTICLE 2 &#150; THE ESCROW</U>
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Escrow Holder shall disburse the Escrow Shares in accordance with the
following procedures:
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) If, before March&nbsp;28, 2007, Jade Capital and/or the Shareholders shall
have demonstrated that People&#146;s Republic of China State Federal Drug Agency or
other appropriate agency (&#147;SFDA&#148;) has issued a permit or the equivalent regulatory
approval for Buyer to sell and distribute DR-70<SUP style="font-size: 85%; vertical-align: text-top">&#174;</SUP> in the People&#146;s Republic of China
without qualification (the &#147;Approval to Market DR-70<SUP style="font-size: 85%; vertical-align: text-top">&#174;</SUP>&#148;), in form and substance
satisfactory to Buyer, then the Escrow Holder shall promptly disburse the Escrow
Shares to Jade Capital and/or Shareholders, in such proportions as Jade Capital
shall instruct.
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) If Jade Capital has not notified Escrow Holder that the SFDA has issued
the Approval to Market DR-70<SUP style="font-size: 85%; vertical-align: text-top">&#174;</SUP> before March&nbsp;28, 2008, or if Buyer
disputes that the purported approval is satisfactory, the Escrow Shares shall
be delivered by Escrow Holder to Buyer for cancellation.&#148;
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.&nbsp;All other provisions of the Escrow Agreement shall remain unchanged by this Amendment No.
1.
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;IN WITNESS WHEREOF, the parties have caused this Agreement to be duly executed as of the date
and year first above written.
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    <TD colspan="3" valign="top" align="left"><B>&#147;BUYER&#148;</B></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left"><B>&#147;JADE CAPITAL&#148;</B></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
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    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
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<TR valign="bottom">
    <TD colspan="3" valign="top" align="left">AMDL, INC., a Delaware corporation</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" valign="top" align="left">Jade Capital Group Limited, a British Virgin<BR>
Islands corporation</TD>
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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">By:&nbsp;
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    <TD align="left" valign="top" colspan="2">/s/ Gary L. Dreher
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    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:&nbsp;
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     <TD align="left" valign="top" colspan="2">/s/ Minghui Jia</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
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    <TD align="left" valign="top" colspan="2"><DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
Gary L. Dreher, President
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    <TD>&nbsp;</TD>
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    <TD align="left" valign="top" colspan="2"><DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
Minghui Jia
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    <TD>&nbsp;</TD>
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    <TD colspan="3" valign="top" align="left">Agreed and accepted:</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left"><B>&#147;SHAREHOLDERS&#148;</B></TD>
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    <TD colspan="3" valign="top" align="left"><B>&#147;ESCROW HOLDER&#148;</B></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">PEARL KING GLOBAL LIMITED</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
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    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
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    <TD colspan="3" valign="top" align="left">/s/ Louis Taubman</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:&nbsp;</TD>

 <TD align="left" valign="top" colspan="2">/s/ Minhui Jia</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
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    <TD colspan="3" valign="top" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
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    <TD colspan="2" align="left" valign="top" style="border-top: 1px solid #000000; border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
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    <TD colspan="3" valign="top" align="left">Louis Taubman, Esquire</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">Minghui Jia, Director</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
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    <TD colspan="3" valign="top" align="left">HOMING NOMINEES LIMITED</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
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    <TD colspan="3" valign="top" align="left">By: Benefit Capital Limited</TD>
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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
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    <TD align="left" valign="top" nowrap>By:&nbsp;
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    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/ Minhui Jia</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
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    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV>
Authorized Officer
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