Step 1:

Download ang Install MAGICDISC.

Download the file fit for your Operating System (Windows XP, Windows Vista, Windows 7, etc.)
Once installed, you should see this at the bottom right corner of your screen.
Step 2:
GOTO ArcGisv9.3\ArcGisv9.3.Crack\license_server_setup
Run LMSetup.exe

Browse the 37102011.efl9 in ArcGIS 9.3\ArcGisv9.3.Crack\license_server_setup

After installation, ! DO NOT RESTART !
Step 3:
Copy all files in ArcGIS 9.3\ArcGisv9.3.Crack\license_server_crack

Paste the copied files in C:\Program Files\ESRI\License\arcgis9x (over-write if necessary)

! REBOOT COMPUTER !
Step 4:
Open the 37102011.efl9 file with Notepad
FILE LOCATION: ArcGIS 9.3\ArcGisv9.3.Crack\license_server_setup
Step 5:
Change this_host with your Computer Name
Step 6:
Select File > Save as…
Name it license.lic
Make sure the “Save as type” is set to All Files
Step 7:
Copy and Paste the created license.lic to C:\Program Files\ESRI\License\arcgis9x
Step 8:
Run lmtools.exe
FILE LOCATION: C:\Program Files\ESRI\License\arcgis9x

Under SERVICE/LICENSE FILE tab, make sure Configuration using Services is ticked.
Check the box beside LMTOOLS ignores license file path environment variables
 Under CONFIG SERVICES tab, make sure ArcGIS License Manager is selected in SERVICE NAME.
Check the box beside Start Server at Power Up and Use Services

BROWSE the following:

Path to the lmgrd.exe file: C:\Program Files\ESRI\License\arcgis9x\lmgrd.exe
Path to the license file: C:\Program Files\ESRI\License\arcgis9x\license.lic
Path to the debug log file: C:\Program Files\ESRI\License\arcgis9x\ARCGIS_LM.LOG
Click on Save Service

Under Start/Stop/Reread tab, make sure the box beside Force Server Shutdown is checked.
Click on Stop Server
Once “Stopping Server” is displayed on the lower left corner,
Click on Start Server

Once “Server Start Successful” is displayed on the lower left corner,

Click on ReRead License File. Make sure “Reread Server License File Completed” is displayed after.
Step 9:
Mount ArcGIS 9.3.SLX.iso on MAGICDISC
Right Click on the ArcGIS.9.3.SLX.iso > Mount ArcGIS.9.3.SLX.iso > F: No Media
(F is a drive letter. It can vary on computers. Take note of this as this will be the Directory of the files inside the iso file)

Navigate to the iso file’s directory.

In F:\Desktop, run the Setup.exe to install ARCGIS
After installation, DO NOT REGISTER

.
Wait for a couple of seconds if ever additional installation occurs.

OPTIONAL: Install Crystal Reports under F:\Crystal Reports XI

OPTIONAL: Install Tutorial under F:\Tutorial
Step 10:
In ArcGIS 9.3\ArcGisv9.3.Crack\data_interop, copy the fme_license.dat file.
Paste in C:\Program Files\ArcGIS\Data Interoperability Extension
Step 11:
GOTO Star Menu > All Programs > ArcGIS > Desktop Administrator

Set the following:

Software Product: ArcInfo (Floating)
License Manager: Click Change and type your Computer Name used earlier for the license.lic file
Availability: ArcInfo Desktop (Floating)
  ! DONE ! 
 You can now run your ARCGIS 