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create following under /sbin/vinit (add the ip's you want)
#!/bin/sh exec /sbin/chbind --ip 10.20.20.10/16 --bcast 10.20.255.255 -- /sbin/init $@
chmod +x /sbin/vinit
and then add init=/sbin/init to the kernel boot options (append= with Lilo)
echo linux_32bit > /etc/vservers/$NAME/personality
echo i686 > /etc/vservers/$NAME/uts/machine