You forgot drop=FALSE, one of the commonest S programmers' oversights.
The lm.fit call should be

                            fit = lm.fit(x[ind, , drop = FALSE], y[ind])

Please don't mix assignment operators in posted code, BTW.

-- 
Brian D. Ripley,                  [EMAIL PROTECTED]
Professor of Applied Statistics,  http://www.stats.ox.ac.uk/~ripley/
University of Oxford,             Tel:  +44 1865 272861 (self)
1 South Parks Road,                     +44 1865 272866 (PA)
Oxford OX1 3TG, UK                Fax:  +44 1865 272595

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