`FORM 10-QSB

                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

              [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

                        For Quarter Ended: June 30, 2002

                                       or

              [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

                For the transition period from ______ to ________

                         Commission file number: 0-29329


                          BIFS TECHNOLOGIES CORPORATION
                 (formerly known as BIOFILTRATION SYSTEMS, INC.)
                 -----------------------------------------------
             (Exact Name of Registrant as Specified in its Charter)

                  Florida                             65-0382549
                  --------                            ----------
         State or other jurisdiction of             I.R.S. Employer
         incorporation or organization             Identification No.

            2075 Fruitville Road, Suite 200, Sarasota, Florida 34237
            --------------------------------------------------------
               (Address of Principal Executive Office) (Zip Code)

                                 (941) 343-9300
                                 --------------
               (Registrant's telephone number including area code)


Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports) and (2) has been subject to such filing
requirements for the past 90 days. Yes X No ___

The number of shares of registrant's Common Stock, $.00001 par value,
outstanding as of June 30, 2002 was 547,166,852 shares.



BIFS TECHNOLOGIES CORP.


                                      INDEX
                                                                          Page
PART I  - FINANCIAL INFORMATION:

         ITEM 1.  FINANCIAL STATEMENTS

         Consolidated Balance Sheet - June 30, 2002..........................1-2

         Consolidated Statements of Operations for the Six Months
         and Three months Ended June 30, 2002 and 2001.......................3-4

         Consolidated Statements of Cash Flows for the Six months
         Ended June 30, 2002 and 2001........................................5-6

         Notes to Consolidated Financial Statements..........................7-9

         ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS.........................10

PART II  - OTHER INFORMATION:

         ITEM 1. LEGAL PROCEEDINGS............................................12

         ITEM 2. CHANGES IN SECURITIES........................................12

         ITEM 3. DEFAULTS UPON SENIOR SECURITIES..............................12

         ITEM 4. SUBMISSIONS OF MATTERS TO A VOTE OF SECURITY HOLDERS.........12

         ITEM 5. OTHER EVENTS.................................................12

         ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K.............................12

         SIGNATURES...........................................................13





PART I - FINANCIAL INFORMATION




                          BIFS TECHNOLOGIES CORPORATION


                        CONSOLIDATED FINANCIAL STATEMENTS

                                  JUNE 30, 2002










                          BIFS TECHNOLOGIES CORPORATION
                          -----------------------------
                           CONSOLIDATED BALANCE SHEET
                           --------------------------
                                  JUNE 30, 2002
                                  -------------


                                     ASSETS
                                     ------



CURRENT ASSETS
    Cash                                                            $   2,698
    Other current assets                                               21,633
                                                                     ----------
        TOTAL CURRENT ASSETS                                           24,331
                                                                     ----------
FIXED ASSETS
    Internet access equipment                                         341,803
    Furniture and fixtures                                            106,589
                                                                     ----------
                                                                      448,392

    Accumulated depreciation                                         (119,239)
                                                                     ----------
                                                                      329,153
                                                                     ----------
OTHER ASSETS
    Patent, net                                                        31,993
    Goodwill, net                                                      85,738
    Advance to pre-acquisition company                                 57,000
    Other                                                              29,129
                                                                     ----------
                                                                      203,860
                                                                     ----------
                                                                    $ 557,344
                                                                     ==========


                The accompanying notes to consolidated financial
          statements are an integral part of this financial statement.

                                       F-1




                          BIFS TECHNOLOGIES CORPORATION
                          -----------------------------
                           CONSOLIDATED BALANCE SHEET
                           --------------------------
                                  JUNE 30, 2002
                                  -------------


                      LIABILITIES AND STOCKHOLDERS' EQUITY
                      ------------------------------------


CURRENT LIABILITIES
    Current portion of related party
        notes payable                                             $    28,675
    Due to related party                                               14,000
    Accounts payable and accrued expenses                             785,953
                                                                    -----------
        TOTAL CURRENT LIABILITIES                                     828,628
                                                                    -----------
OTHER LIABILITIES
    Notes payable to majority stockholder                             758,000
    Other stockholder notes payable                                   348,900
    Related party notes payable,
        less current portion                                           61,073
                                                                    -----------
                                                                    1,167,973
                                                                    -----------
COMMITMENTS AND CONTINGENCIES                                              -
                                                                    -----------
STOCKHOLDERS' EQUITY
    Common stock $.00001 par value,
        800,000,000 shares authorized,
        547,166,852 shares issued and
        546,666,852 shares outstanding                                  5,472
    Additional paid-in capital                                      8,828,149
    Subscription receivable                                          (287,190)
    Deferred stock options                                           (179,035)
    Accumulated deficit                                            (9,796,652)
                                                                    -----------
                                                                   (1,429,256)

    Less treasury stock                                               (10,000)
                                                                    -----------

                                                                    (1,439,256)
                                                                    -----------
                                                                   $   557,345
                                                                    ===========


                The accompanying notes to consolidated financial
          statements are an integral part of this financial statement.

                                       F-2




                          BIFS TECHNOLOGIES CORPORATION
                          -----------------------------
                      CONSOLIDATED STATEMENTS OF OPERATIONS
                      -------------------------------------
                    FOR THE SIX MONTHS AND THREE MONTHS ENDED
                      -----------------------------------
                           JUNE 30, 2002 AND 2001
                       ----------------------------------


                                                     Six-months ended
                                                 ---------------------------
                                                 2002                   2001
                                                 ----                   ----
                                             (Unaudited)            (Unaudited)

REVENUES                                     $   127,125            $   367,999

COST OF REVENUES                                  88,737                442,300
                                              -----------            -----------
GROSS PROFIT (LOSS)                               38,388            (    74,301)
                                              -----------           ------------
OTHER EXPENSES

    General and administrative                   134,451                240,568
    Salaries and related expenses                108,306                318,749
    Professional fees                            293,804                440,551
    Marketing                                     42,869                126,894
    Depreciation and amortization                 35,859                152,458
    Interest                                      55,055                 80,270
    Recovery of impairment loss               (  111,601)                   -
                                              -----------            -----------
                                                 558,743              1,359,490
                                              -----------            -----------
NET LOSS                                     $(  520,355)           $(1,433,791)
                                              ===========            ===========
LOSS PER COMMON SHARE                          $(  .0010)           $(    .0027)
                                              ===========            ===========
WEIGHTED AVERAGE COMMON SHARES
    OUTSTANDING (shares in 100's)              5,420,619              5,247,165
                                              ===========            ===========


                The accompanying notes to consolidated financial
         statements are an integral part of these financial statements.


                                       F-3




                          BIFS TECHNOLOGIES CORPORATION
                          -----------------------------
                      CONSOLIDATED STATEMENTS OF OPERATIONS
                      -------------------------------------
                    FOR THE SIX MONTHS AND THREE MONTHS ENDED
                             JUNE 30, 2002 AND 2001
                      -----------------------------------

                                                     Three-months ended
                                                 ---------------------------
                                                    2002             2001
                                                    ----             ----
                                                (Unaudited)       (Unaudited)

REVENUES                                        $    83,760       $   248,323

COST OF REVENUES                                      5,273           305,063
                                                -----------       -----------
GROSS PROFIT (LOSS)                                  78,487        (   56,740)
                                                -----------       -----------
OTHER EXPENSES

    General and administrative                       58,613           129,325
    Salaries and related expenses                    31,847           177,386
    Professional fees                               210,399           171,626
    Marketing                                        28,216            43,495
    Depreciation and amortization                    17,930            79,318
    Interest                                         26,905            43,293
    Recovery of impairment loss                   ( 111,601)             -
                                                 ----------       -----------
                                                    262,309           644,443
                                                 -----------      -----------
NET LOSS                                         $( 183,822)     $(  701,183)
                                                 ===========      ===========
LOSS PER COMMON SHARE                           $(    .0003)     $(    .0013)
                                                 ===========      ===========
WEIGHTED AVERAGE COMMON SHARES
    OUTSTANDING (shares in 100's)                 5,447,822        5,261,299
                                                 ===========      ===========



                The accompanying notes to consolidated financial
         statements are an integral part of these financial statements.


                                       F-4





                          BIFS TECHNOLOGIES CORPORATION
                          -----------------------------
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                      -------------------------------------
                            FOR THE SIX MONTHS ENDED
                             JUNE 30, 2002 AND 2001
                           --------------------------


                                                     Six months ended
                                                  ------------------------
                                                   2002              2001
                                                  ----------  ------------
                                                 (Unaudited)  (Unaudited)

CASH FLOWS FROM OPERATING ACTIVITIES

   Cash received from customers                   $ 127,125   $   166,479
   Cash paid for expenses                          (320,958)   (1,511,751)
   Interest                                        (  1,462)        1,892
                                                  ----------   -----------
      Net cash used by operating
         activities                                (195,295)  (1,343,380)
                                                  ----------  -----------
CASH FLOWS FROM INVESTING ACTIVITIES

   Advances to related companies                  ( 33,021)          -
   Purchase of fixed assets                       (  2,550)  (  304,725)
                                                  ---------  -----------
      Net cash used by investing
         activities                               ( 35,571)  (  304,725)
                                                  ---------  -----------
CASH FLOWS FROM FINANCING ACTIVITIES

   Proceeds from sale of stock                    170,006       510,302
   Proceeds from stockholder note
      payable                                         -         455,000
                                                 ---------   -----------
      Net cash provided by financing
         activities                               170,006       965,302
                                                 ---------   -----------
NET DECREASE IN CASH                             ( 60,860)   (  682,803)

CASH, BEGINNING OF PERIOD                          63,558       682,803
                                                 ---------   -----------
CASH, END OF PERIOD                             $   2,698    $      -
                                                 =========   ===========



                The accompanying notes to consolidated financial
         statements are an integral part of these financial statements.


                                       F-5





                          BIFS TECHNOLOGIES CORPORATION
                          -----------------------------
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                      -------------------------------------
                            FOR THE SIX MONTHS ENDED
                             JUNE 30, 2002 AND 2001
                           --------------------------


                                                        Six-months ended
                                                    -------------------------
                                                     2002                2001
                                                    -----------     ----------
                                                    (Unaudited)    (Unaudited)

                          RECONCILIATION OF NET LOSS TO
                      CASH FLOWS FROM OPERATING ACTIVITIES
                      ------------------------------------

NET LOSS                                            $(520,355)     $(1,433,791)

RECONCILING ADJUSTMENTS

   Recovery of impairment loss                       (111,601)            -
   Depreciation and amortization                       35,859          152,458
   Decrease (increase) in accounts
      receivable                                       11,130       (  201,520)
   Decrease in inventory                                  -         (    1,990)
   Increase in prepaid expenses                           -         (  138,225)
   Increase in accounts payable
      and accrued expenses                            238,639           20,809
   Decrease in other assets                               -              6,130
   Stock issued for services                           97,440          233,750
   Contribution of accrued interest
      to paid-in capital                               53,593           18,999
                                                    -----------      -----------
CASH FLOWS FROM OPERATING ACTIVITIES                $(195,295)     $(1,343,380)
                                                    ===========      ===========


                   NONCASH INVESTING AND FINANCING ACTIVITIES
                   ------------------------------------------


DECREASE IN ACCRUED INTEREST
   PAYABLE THROUGH CONTRIBUTION
   TO PAID-IN CAPITAL                               $  53,593      $    18,999
                                                    ==========      ============
ISSUE OF STOCK FOR SERVICES                         $  97,440      $   233,750
                                                    ==========      ============


                The accompanying notes to consolidated financial
         statements are an integral part of these financial statements.


                                       F-6





                          BIFS TECHNOLOGIES CORPORATION
                          -----------------------------
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                   ------------------------------------------
                                  JUNE 30, 2002
                                  -------------

The information presented herein as of June 30, 2002, and for the three and six
months then ended is unaudited.

NOTE A - BASIS OF PRESENTATION

The accompanying consolidated financial statements of BIFS Technologies
Corporation (the Company) have been prepared in accordance with generally
accepted accounting principles for interim financial information and with the
instructions to the Securities and Exchange Commission's Form 10-QSB and item
310(b) of Regulation S-B. Accordingly, they do not include all of the
information and footnotes required by generally accepted accounting principles
for complete financial statements. In the opinion of management, all adjustments
(consisting of normal required adjustments) considered necessary for a fair
presentation have been included.

Operating results for the six month period ended June 30, 2002, are not
necessarily indicative of the results that may be expected for the year ending
December 31, 2002. For further information, refer to the December 31, 2001,
financial statements and footnotes included in the Company's annual filing with
the Securities and Exchange Commission.

NOTE B - REVENUE RECOGNITION

The Company's revenues are derived from the following sources:

        - access charges to the internet, using various payment plans,
          through dial-up means;

        - sale or lease of pollution treatment equipment;

        - sale of ice monitoring software and equipment.

Internet customers are charged a monthly fixed fee for access to the internet.
Revenues are recognized at standardized rates over the period the service is
provided.

Revenues from sale of pollution treatment equipment is recognized in accordance
with contract or purchase order terms at the time the equipment is either
shipped or shipped and installed and accepted by the customer.

Revenues from lease of pollution treatment equipment will be based on contract
terms - typically as equipment is installed and treatment services commence.
Revenues will be recognized on either a flat monthly rate or at a measured price
per gallon basis, as services are provided.

Revenues from sale of ice monitoring software and hardware will be recognized at
the time the products are shipped and accepted by the customer.

NOTE C - NET LOSS PER COMMON SHARE

Net loss per common share is computed in accordance with the requirements of
Statement of Financial Accounting Standards No. 128.

NOTE D - SEGMENTS

The Company operates in three business segments; environmental services,
emerging technologies and government operations. For the six months ended June
30, 2002 and 2001, information on reportable segments is as follows:

                                       F-7



                          BIFS TECHNOLOGIES CORPORATION
             NOTES TO CONSOLIDATED FINANCIAL STATEMEN JUNE 30, 2002


NOTE D - SEGMENTS (continued)

June 30, 2002
                           Environmental     Emerging     Govermental    Segment       All     Eliminating   Consolidated
                             services      technologies   operations     totals       other    adjustments      totals
                          --------------  --------------  -----------  ----------  ----------  -----------  -------------
 External revenue          $  38,650       $    88,474    $     -      $ 127,124   $     -     $      -     $   127,124
                          ==============  ==============  ===========  ==========  ==========  ===========  =============
 Intersegment revenue      $       -       $       -      $     -      $     -     $     -     $      -     $       -
                          ==============  ==============  ===========  ==========  ==========  ===========  =============
 Net income (loss)         $  38,650       $  (246,596)   $     -      $(207,946)  $(312,409)  $      -     $   (520,355)
                          ==============  ==============  ===========  ==========  ==========  ===========  =============

June 30, 2001

 External revenue          $     -         $   201,809    $  166,190   $ 367,999   $     -     $      -     $   367,999
                          ==============  ==============  ===========  ==========  ==========  ===========  ============
 Intersegment revenue      $     -         $       -      $      -     $     -     $     -     $      -     $       -
                          ==============  ==============  ===========  ==========  ==========  ===========  ============
 Net loss                  $     -         $  (794,132)   $   (2,715)  $(796,847)  $(636,944)  $      -     $(1,433,791)
                          ==============  ==============  ===========  ==========  ==========  ===========  ============


                                      F-8




                          BIFS TECHNOLOGIES CORPORATION
                          -----------------------------
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                   ------------------------------------------
                                  JUNE 30, 2002
                                  -------------


NOTE E - OPERATING RESULTS

As noted in the accompanying financial statements, the Company has sustained
substantial net operating losses. Its ability to continue as a going concern and
realize its assets is dependent upon generating sufficient profitable revenues
and obtaining funding to support operations and planned capital improvements.

Management is attempting to obtain funds to support continuing operations and
capital improvements. At June 30, 2002, and subsequently, management is
negotiating with funding sources to meet its projected needs. Management is
confident they will be successful in their negotiations and will obtain the
necessary funding. Through August 9, 2002, additional funding to support
operations has not been obtained.

NOTE F - ACQUISITIONS

In June 2002, the Company formed Vendorlynx, Inc. which will be operated as an
offset purchasing contract agent. The Company owns 90% of Vendorlynx Inc.'s
outstanding stock. Through August 9, 2002, Vendorlynx has had no operating
activity. At June 30, 2002, Vendorlynx Inc. has no assets, liabilities or
stockholders' equity.

NOTE G - LITIGATION

The Company is involved as a defendent in several lawsuits. At June 30, 2002,
and through August 9, 2002, management does not anticipate either an unfavorable
settlement or if unfavorably settled, any material impact on the Company.

                                      F-9

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
        OF OPERATIONS

RESULTS OF OPERATIONS

Six months Ended June 30, 2002 and 2001

Net sales for the six months ended June 30, 2002 decreased 67% to $127,125 from
$367,999 during the same period the prior year. Net sales decreased as a result
of a decrease in web development, hardware sales and service operations at Beach
Access.net as compared to the same period of the previous year. The Company was
also undergoing the migration during this quarter to its nation-wide Internet
service program that resulted in a billing transition period. In addition 2001
revenues for the same period included $166,190 from GPS Integrators.

Cost of sales for the six months ended June 30, 2002 decreased 80% to $88,737
from $442,300 during the same period the prior year. The decrease is primarily
due to the reduction of technical, administrative and line access costs required
to support Beach Access.net. The cost of sales for the period also includes a
credit of $40,184 received on previously reported Internet access line expenses.
The 2001 cost of sales also included the cost of the acquisition of GPS
Integrators.

General and administrative expenses for the six months ended June 30, 2002
decreased 44% to $134,451 from $240,568 in the same period during the prior year
primarily due to implementation of various cost control measures in these areas.

Salaries and related expenses for the six months ended June 30, 2002 decreased
66% to $108,306 from $318,749 during the same period the prior year. This is
primarily due to staff reductions within the Myrtle Beach operation and a
decrease in upper management compensation.

Professional fees for the six months ended June 30, 2002 decreased 33% to
$293,804 from $440,551 during the same period the prior year. This is primarily
due to the decrease in the requirement for technical consultant fees for new
ventures and professional fees related to due diligence and legal matters that
were incurred during the same period of the previous year.

Marketing costs for the six months ended June 30, 2002 decreased 66% to $42,869
from $126,894 in the same period during the prior year. This reduction is
primarily due to selling and marketing costs incurred in 2001 were associated
with expansion of the Myrtle Beach operation and the initial marketing program
setup. This also included the costs of the marketing rollout of the TV+Internet
program. The marketing and advertising included in the previous year costs are
still being utilized, with the addition of updated marketing tools.

Depreciation and amortization expenses for six months ended June 30, 2002
decreased 77% to $35,859 from $152,458 for the same period during the prior year
due to goodwill, which had been amortized during the previous period, was
recorded as an impairment loss at December 31, 2001.


                                       10



The $111,601 recovery of impairment loss for the period ending June 30, 2002
reflects a decrease in the impairment losses reported at December 31, 2001 of
$1,105,231. The $111,601 was previously recorded as a trade payable liability
for purchase of component parts for the high-speed wireless Internet access
system. The component parts associated with this purchase were written off as
impairment loss on December 31, 2001.

LIQUIDITY AND CAPITAL RESOURCES

During the six months ended June 30, 2002 the Company had a net loss of
$(520,355) compared to $(1,433,791) in the prior year. Cash used by operating
activities of continuing operations was $(195,295) during the six months ended
June 30, 2002 compared to $(1,343,380) in the prior year. The decrease in cash
used by operating activities of continuing operations during the six months
ended June 30, 2002 compared to the same period the prior year was primarily due
to it's Myrtle Beach operation cash requirements incurred in the previous year
and further decreased as a result of cost reduction measures that have been
executed during the current period. Investing activities used $(35,571) during
six months ended June 30, 2002 compared to $(304,725) during the same period the
prior year. The decrease resulted primarily from the expansion of its Myrtle
Beach operation and costs incurred with its wireless system during the same
period of 2001.

Financing activities generated $170,006 during the six months ended June 30,
2002 compared to $965,302 during the same period the prior year. This decrease
is due to the fact that there were more stock sales during the prior year and
that for the period ended June 30, 2002 there were no shareholder loans issued,
as in the prior year.

The Company's short-term and long-term liquidity is primarily dependant on its
ability to continue its various capital raising along with the successful
implementation of its acquisition and expansion plans. In conjunction with the
Company's expansion plans, in April 2002, the Company expanded it's ISP
operations and service coverage areas to include five hundred metropolitan
cities and rural population centers throughout the United States.

The Company continues to execute the cost reduction program within its Myrtle
Beach operation, which was implemented in the first quarter of 2002. This has
resulted in a decrease in the Emerging Technologies Division's losses.

The Company continues to explore various ventures and opportunities in the start
up, acquisition and developmental stages in order to improve and the Company's
financial future.

Material commitments as of June 30, 2002 were $87,000 for the Mid-America
project. Funding for this commitment will be met through consignment of
guaranteed contract through a financial institution.

In April 2001, the Company signed a letter of intent to purchase all of the
outstanding stock of FireX2, Inc. The purchase, if executed, will consist of
exchanging 1,948,380 shares of BIFS restricted common stock for 1,948,380 shares
of FireX2. Additionally, BIFS will issue stock options for 655,000 shares to
certain existing shareholders of FireX2.

The letter of intent contains various conditions that must be met before
closing, including, among others, satisfactory results from U.S. government
testing of FireX2's product.

At June 30, 2002, the purchase of FireX2, Inc. has not closed.

The Company believes that it's capital raising efforts will continue
successfully until it's operating segments (with the new ventures) begin to
generate a positive internal cash flow.


                                       11
PART II - OTHER INFORMATION

ITEM 1.   LEGAL PROCEEDINGS

         The Company is involved in certain claims and other legal actions
arising in the ordinary course of business. There can be no assurances that
these matters will be resolved on terms acceptable to the Company. In the
opinion of management, based upon the advice of counsel and consideration of all
facts available at this time, the ultimate disposition of these matters will not
have a material adverse effect on the financial position, results of operations
or liquidity of the Company.

ITEM 2.   CHANGES IN SECURITIES

         None

ITEM 3.   DEFAULTS UPON SENIOR SECURITIES

         None

ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

         None

ITEM 5.  OTHER EVENTS:

         On July 10, 2002 the Company's application was approved for inclusion
within the Nasdaq OTCBB.

ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K

         A. Exhibits - None

         B. Reports on Form 8-K - None



                                       12
SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange
Act of 1934, the Registrant has duly caused this report to be signed on its
behalf by the undersigned, thereunto duly authorized.


                                                    BIFS TECHNOLOGIES CORP.

Date: August 13, 2002                               By: /s/ Alpha J. Keyser
                                                    -------------------------
                                                            Alpha J. Keyser, President and CEO
                                                            (Principal Executive Officer)
                                                            (Principal Financial and Accounting Officer)`