UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                =================

                                   FORM 10-QSB

[X]  Quarterly  Report pursuant  Section 13 or 15(d) of the Securities  Exchange
     Act of 1934

               For the quarterly period ended September 30, 2001

[ ]  Transition report pursuant section 13 or 15(d) of the Securities Exchange
     Act of 1934

                                     0-9040
                                     ======

                             Commission file number

                                  Aucxis Corp.
                                  ------------
        (Exact name of small business issuer as specified in its charter)

                                     Nevada
                                     ------
                          (State or other jurisdiction)

                                     Pending
                                     -------
       (IRS Employer of incorporation or organization Identification No.)

        220 King Street West, Suite 200 Toronto, Ontario, M5H 1K4 Canada.
        -----------------------------------------------------------------
                    (Address of principal executive offices)

                                  416-214-1587
                                  ------------
                           (Issuer's telephone number)

                         e-Auction Global Trading, Inc.
                         ------------------------------
   (Former Name, Address and Former Fiscal Year, if Changed Since Last Report)


Check whether the issuer:

     (1)  filed all  reports  required to be filed by Section 13 or 15(d) of the
          Exchange  Act during the past 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........


Check whether the registrant filed all documents and reports required to be
filed by Section 12, 13 or 15(d) of the Exchange Act after the distribution of
securities under a plan confirmed by court. Yes......No....X....

As of November 14, 2001 there were 66,350,915 shares of the Registrant's common
stock, par value $0.001 per share outstanding.

Transitional Small Business Disclosure Format (check one);

Yes......No....X....

<PAGE>

              AUCXIS CORP. (FORMERLY E-AUCTION GLOBAL TRADING INC.)

                                   FORM 10-QSB

                                      INDEX

PART I.  FINANCIAL INFORMATION                                              Page

Item 1.  Financial Statements

     Consolidated Balance Sheet at September 30, 2001 (Unaudited) and
     December 31, 2000

     Consolidated Statements of Operations, Deficit and Comprehensive
     Loss (Unaudited) for the six months ended September 30, 2001 and
     2000

     Consolidated Statements of Cash Flows (Unaudited) for the six
     months ended September 30, 2001 and 2000

     Notes to Consolidated Financial Statements

Item 2.  Managements' Discussion and Analysis of Financial Condition and Results
    of Operations

PART II. OTHER INFORMATION

Item 1.  Legal Proceedings

Item 5:  Other Information

Item 6.  Exhibits and Reports on Form 8-K

Signatures

<PAGE>

Item 1.  Financial Statements

Aucxis Corp.
Consolidated Balance Sheet
(Unaudited) The interim financial information included in this Form 10-QSB
filing has not been reviewed by the company's independent auditors.
--------------------------------------------------------------------------------
(expressed in U.S. dollars)

<TABLE>
<CAPTION>

                                                                September 30,           December 31,
                                                                         2001                   2000
                                                                            $                      $
                                                                                           (Audited)
<S>                                                                <C>                    <C>
Assets

Current assets
Cash and cash equivalents                                              759,997             6,205,169
Accounts receivable                                                  1,210,217             1,600,871
Inventory                                                              405,676               608,537
Prepaid expenses                                                        79,562               121,819
                                                                   ---------------------------------

                                                                     2,455,452             8,536,396
Investment                                                             496,858               514,835
Fixed assets                                                           742,605             1,732,521
Acquired workforce                                                          --              161,351
Acquired core technology                                               459,212             1,226,920
Goodwill                                                             4,266,947             9,239,748
                                                                   ---------------------------------

                                                                     8,421,073            21,411,771
                                                                   =================================
Liabilities

Current liabilities
Bank indebtedness                                                           --               423,432
Accounts payable and accrued liabilities                             1,818,298             2,703,079
Due to related parties                                                 398,740               944,728
Deferred revenue                                                       326,999             1,323,874
Current portion of long-term debt                                       45,479               255,571
                                                                   ---------------------------------

                                                                     2,589,516             5,650,684
Due to related parties                                                      --               375,063
Long-term debt                                                         227,397               392,718
Non-controlling interest                                                    --                 3,742
                                                                   ---------------------------------

                                                                     2,816,913             6,422,207
                                                                   ---------------------------------

Mandatorily redeemable shares of common stock                        4,574,364             4,574,364

Shareholders' Equity

Share capital
62,714,551 (December 31, 2000 - 62,714,551) shares of
  common stock - $0.001 par                                             62,715                62,715
Additional paid-in capital                                          18,740,468            18,735,673
Accumulated other comprehensive income (loss)                          (22,920)             (124,822)
Deficit                                                            (17,750,467)           (8,258,366)
                                                                   ---------------------------------

                                                                     1,029,796            10,415,200
                                                                   ---------------------------------

                                                                     8,241,073            21,411,771
                                                                   =================================
Contingencies (note 13)

Going concern (note 1)

</TABLE>

   The accompanying notes form an integral part of these financial statements.

<PAGE>

Aucxis Corp.
Consolidated Statements of Operations, Deficit and Comprehensive Loss
(Unaudited) The interim financial information included in this Form 10-QSB
filing has not been reviewed by the company's independent auditors.
--------------------------------------------------------------------------------
(expressed in U.S. dollars)

<TABLE>
<CAPTION>

                                                   Three months ended September 30,      Nine months ended September 30,
                                                   --------------------------------      -------------------------------

                                                           2001                2000             2001                2000
                                                              $                   $                $                   $
<S>                                                 <C>                  <C>             <C>                  <C>
Revenue                                               1,984,138             877,208        5,571,147           2,826,077

Cost of goods sold                                      937,675             503,196        2,683,028           1,785,247
                                                   ---------------------------------------------------------------------

                                                      1,046,463             374,012        2,888,119           1,040,830
                                                   ---------------------------------------------------------------------

Expenses
Selling, general and administrative                   1,810,746           1,581,616        6,015,966           2,913,430
Depreciation and amortization                           482,072             402,458        1,874,505           1,161,825
Research and development costs                           (1,525)                 --          972,390                  --
Write-off of acquired workforce, core
    technology and goodwill                           3,576,702                  --        4,383,378                  --
                                                   ---------------------------------------------------------------------
                                                      5,867,997           1,984,074       13,246,239           4,075,255
                                                   ---------------------------------------------------------------------

Loss before the undernoted                           (4,821,534)         (1,610,062)     (10,358,120)         (3,034,425)

Share of income (loss) of equity investment             (87,676)            (34,065)           2,372            (172,843)

Interest income                                          16,163             113,812          137,811             148,447

Write-off of Kwatrobox's net liabilities                787,606                  --          787,606                  --
                                                   ---------------------------------------------------------------------
Loss before income taxes and non-controlling
    interest                                         (4,105,441)         (1,530,315)      (9,430,331)         (3,058,821)

Income tax recovery (expense)                           (64,469)            (56,571)         (59,979)            (68,763)

Non-controlling interest                                    904                  --           (1,791)                 --
                                                   ---------------------------------------------------------------------
Loss for the period                                  (4,169,006)         (1,586,886)      (9,492,100)         (3,127,584)

Accretion of mandatorily redeemable common
    stock to redemption value                                --            (234,500)              --            (703,500)
                                                   ---------------------------------------------------------------------

Loss available to common shareholders                (4,169,006)         (1,821,386)      (9,492,101)         (3,831,084)

Deficit - Beginning of period                       (13,581,461)         (4,664,130)      (8,258,366)         (2,654,432)
                                                   ---------------------------------------------------------------------

Deficit - End of period                             (17,750,467)         (6,485,516)     (17,750,467)         (6,485,516)
                                                   =====================================================================

Basic and diluted loss per share                          (0.07)              (0.03)           (0.15)              (0.06)
                                                   =====================================================================

Loss for the period                                  (4,169,006)         (1,586,886)      (9,492,101)         (3,127,584)

Foreign currency translation adjustments
    and other comprehensive income                      (56,333)             65,485          101,902              65,485
                                                   ---------------------------------------------------------------------

Comprehensive loss                                   (4,225,339)         (1,521,401)      (9,390,199)         (3,062,099)
                                                   =====================================================================
Shares used in computing basic loss and
    fully diluted earnings per share                 62,714,551          61,509,551       62,714,551          58,199,487

Going concern (note 1)

</TABLE>

   The accompanying notes form an integral part of these financial statements.

<PAGE>

Aucxis Corp. Consolidated Statement of Cash Flows (Unaudited) For the nine
months ended September 30, 2001
--------------------------------------------------------------------------------

(expressed in U.S. dollars) The interim financial  information  included in this
Form 10-QSB filing has not been reviewed by the company's independent auditors.

<TABLE>
<CAPTION>
                                                                                     2001                   2000
                                                                                        $                      $
<S>                                                                             <C>                     <C>
Cash provided by (used in)

Operating activities
Loss for the period                                                             (9,492,101)           (3,127,584)
Add: Items not affecting cash
    Foreign exchange                                                                (6,465)                   --
    Depreciation and amortization                                                1,874,505             1,161,825
    Write-off of acquired workforce, core technology and goodwill                4,383,378                    --
    Write-off of bank overdraft and long term debt                                (975,834)
    Write-off of capital assets                                                    646,378
    Gain on settlement of payables                                                 (51,259)
    Loss on disposal of assets                                                      17,918
    Stock-based compensation                                                         4,795                    --
    Non-controlling interest                                                         1,790                    --
    Share of (income) loss of equity investment                                     (2,372)              172,843
Net change in non-cash working capital                                          (1,272,173)             (384,648)
                                                                                --------------------------------

                                                                                (4,871,440)           (2,177,564)
                                                                                --------------------------------
Financing activities
Bank indebtedness                                                                  437,186                    --
Due to related parties                                                            (820,214)             (266,140)
Issuance of share capital                                                               --             9,876,217
Long-term debt                                                                      29,233              (228,459)
                                                                                --------------------------------

                                                                                  (353,795)            9,838,536
                                                                                --------------------------------
Investing activities
Purchase of fixed assets                                                          (504,132)             (296,898)
Disposal of fixed assets                                                           305,507
Purchase of businesses - net of cash acquired                                           --            (3,000,000)
Deposits                                                                                --            (1,071,793)
                                                                                --------------------------------

                                                                                  (198,625)           (4,368,691)
                                                                                --------------------------------
Increase (decrease) in cash and cash equivalents during the
    period                                                                                             3,292,281

Effect of foreign exchange on cash and cash equivalents                            (21,312)               47,124

Cash and cash equivalents - Beginning of period                                  6,205,169             4,179,394
                                                                                --------------------------------
Cash and cash equivalents - End of period                                          759,997             7,518,799
                                                                                ================================
Going concern (note 1)

</TABLE>

   The accompanying notes form an integral part of these financial statements.

<PAGE>

Aucxis Corp.
Notes to Consolidated Financial Statements
(Unaudited)
June 30, 2001

(expressed in U.S. dollars)

1    Nature of business and going concern

     e-Auction Global Trading Inc. changed its name to Aucxis Corp. (the
     company) in June 2001.

     The company is currently developing e-business services for perishable
     commodity marketplaces primarily in Europe. In addition, through its newly
     acquired subsidiaries, Aucxis Trading Solutions N.V. (ATS) (formerly
     Schelfhout Computer Systemen N.V.), the company is engaged in the
     installation and maintenance of auction clock and cooling systems for
     traditional auction halls and the development of software for auctions,
     including Internet-based auction systems.

     In September 2001, The company decided to discontinue its financial support
     for the loss making Palm Automatisering (Aucxis Business Solutions) and
     Nieaf companies, which continued to consume shareholder funds within a
     business that no longer forms part of Aucxis' refocused business strategy.
     As a result, Kwatrobox B.V. and it's operating subsidiaries, Aucxis
     Business Solutions and Nieaf Systems, B.V, filed for bankruptcy. Under the
     bankruptcy laws of the Netherlands, a trustee took control of the assets
     and the operation from the parent company in October 2001.

     These financial statements are prepared on a going concern basis, which
     assumes that the company will realize its assets and discharge its
     liabilities in the normal course of business. The company incurred a loss
     of $9,492,101 for the nine months ended September 30, 2001 (2000 -
     $3,127,584) and reported a deficit of $17,750,496 at September 30, 2001
     (2000 - $6,485,516). In addition, projected cash flows from the company's
     current operations are not sufficient to finance the company's working
     capital requirements over the next 12 months. These circumstances lend
     significant doubt to the ability of the company to continue as a going
     concern.

     In recognition of these concerns, management is considering various revenue
     and cost management alternatives and is examining a variety of options to
     raise additional financing, including but not limited to, consideration of
     merging operations with another company. It is not possible at this time to
     predict with any assurance the success of these initiatives.

     The ability of the company to continue as a going concern is dependent upon
     effective implementation of revenue and cost management alternatives and
     the success of potential future external financing initiatives. Should the
     company be unable to continue as a going concern, assets and liabilities
     would require restatement on a liquidation basis, which could differ
     materially from the going concern basis.

The interim  financial  information  included in this Form 10-QSB filing has not
been reviewed by the company's independent auditors.

2    Unaudited interim financial statements

     The amounts of assets, liabilities, revenues and expenses of Kwatrobox B.V.
     included in the unaudited consolidated balance sheet as at September 30,
     2001, the unaudited consolidated statements of operations, deficit and
     comprehensive loss for the three months and nine months ended September 30,
     2001 and the consolidated statement of cash flows for the nine months ended
     September 30, 2001 include estimates made by the company's management since
     the related books and records were held by the trustee of Kwatrobox B.V.,
     and were, accordingly, unavailable. Financial results as determined by
     actual events could differ from those estimates.

<PAGE>

Aucxis Corp.
Notes to Consolidated Financial Statements
(Unaudited)


     The unaudited consolidated balance sheet as at September 30, 2001, the
     unaudited consolidated statements of operations, deficit and comprehensive
     loss for the three months and nine months ended September 30, 2001 and 2000
     and the consolidated statement of cash flows for the nine months ended
     September 30, 2001 and 2000 have been prepared, in the opinion of
     management, on the same basis as the audited consolidated financial
     statements as at December 31, 2000, and include all adjustments necessary
     for the fair statement of the results of the interim periods. All
     adjustments reflected in the consolidated financial statements are of a
     normal recurring nature. The data disclosed in the notes to the
     consolidated financial statements for this period is also unaudited. These
     financial statements do not include all of the information and disclosures
     required for annual financial statements, and the results for the three
     months and nine months ended September 30, 2001 are not necessarily
     indicative of the results to be expected for the full year. These financial
     statements should be read in conjunction with the annual audited financial
     statements of Aucxis Corp. for the year ended December 31, 2000.

3    Significant accounting policy

     Research and development costs

     Research and development costs that are incurred to develop software to be
     marketed to external users are charged as expenses until the technical
     feasibility of the related software has been established, and thereafter
     these costs are to be capitalized and amortized. Technical feasibility is
     established when there is a working model of the software and it has been
     tested for conformity with the product design.

4    Impairment of assets

     During the second quarter of fiscal 2001, it was determined that the
     acquired workforce and acquired core technology resulting from the
     acquisition of I-Three Inc. would be abandoned. During the third quarter,
     the company decided to discontinue its financial support for the loss
     making Palm Automatisering (Aucxis Business Solutions) and Nieaf companies,
     and the subsidiary subsequently filed for bankruptcy (note 1). As a result,
     the related goodwill arising from the acquisition of Kwatrobox has been
     written off in the third quarter.

     All such assets previously carried on the company's balance sheet have been
     written off and related costs recorded as follows:

       Write-off of goodwill (Kwatrobox)                             $ 3,576,702
       Write-off of acquired workforce (I-Three Inc.)                    161,335
       Write-off of core technology (I-Three Inc.)                       645,341
                                                                     -----------

       Impairment of assets recorded in operating expenses           $ 4,383,378
                                                                     ===========

<PAGE>

Aucxis Corp.
Notes to Consolidated Financial Statements
(Unaudited)


The assets of liabilities of Kwatrobox have been written off as follows:

<TABLE>
<S>                                                                           <C>
         Cash in bank accounts                                                 ($18,105)
         Working capital balances - assets                                     (856,181)
         Fixed assets                                                          (646,378)
         Non-controlling interest                                                 1,796
         Working capital balances - liabilities                               1,330,640
         Bank overdraft and long term debt                                      975,834
                                                                              ---------

         Write-off of Kwatrobox's net liabilities                             $ 787,606
                                                                              =========
</TABLE>

5    Pro forma results

     The company acquired Kwatrobox B.V. and I-Three Inc. in the fourth quarter
     of 2000.

     The following table sets forth the pro forma consolidated results for the
     nine months ended September 30, 2001 and 2000 and net assets at September
     30, 2001 as if Kwatrobox B.V. and I-Three Inc. had been acquired on January
     1, 2000:

<TABLE>
<CAPTION>
                                                             2001                  2000
                                                                $                     $
<S>                                                    <C>                   <C>
         Revenue                                        5,571,147             6,193,054
         Loss                                          (9,741,141)           (4,717,880)
         Loss per share                                     (0.15)                (0.08)
         Net assets                                       780,756            10,194,734

</TABLE>

<PAGE>

Aucxis Corp.
Notes to Consolidated Financial Statements
(Unaudited)

6    Share capital

     Authorized
         250,000,000 shares of common stock with a par value of $0.001

<TABLE>
<CAPTION>
                                                                                              Additional
                                                                                                 paid-in
                                                             Number           Amount             capital               Total
                                                          of shares                $                   $                   $
<S>                                                      <C>                   <C>            <C>                 <C>
      Balance - December 31, 1999                        39,820,000            39,820            (39,819)                  1
      Issued shares of common stock (i)                   7,625,916             7,626          3,657,799           3,665,425
      Issued on exchange of warrants (i)                  8,965,899             8,966          4,300,528           4,309,494
      Issued as commission (i)                              327,878               328            157,268             157,596
      Issued as a financing fee (ii)                        197,219               197            999,803           1,000,000
      Acquisition of Kwatrobox B.V.                       1,250,000             1,250          1,308,750           1,310,000
      Private placement (iii)                             4,072,639             4,073          7,410,927           7,415,000
      Acquisition of I-Three Inc.                           455,000               455            217,945             218,400
      Dilution gain                                              --                --            708,003             708,003
      Stock-based compensation expense                           --                --             14,469              14,469
                                                         -------------------------------------------------------------------

      Balance - December 31, 2000                        62,714,551            62,715         18,735,673          18,798,388

      Stock-based compensation (iv)                              --                --              4,795               4,795
                                                         -------------------------------------------------------------------

      Balance - September 30, 2001                       62,714,551            62,715         18,740,468          18,803,183
                                                         ===================================================================
</TABLE>

     i)   On January 7, 2000, through a private placement, the company issued
          7,625,916 shares of common stock and 8,965,899 share purchase
          warrants, net of cash costs of $163,391 and an additional 327,878
          shares of common stock issued as a commission to an agent to the
          transaction. The company raised net cash proceeds of $4,319,557, of
          which $1,858,229 was received in 1999. In addition, the company issued
          shares to five companies that collectively settled the company's debt
          with a face value of $3,812,958. The 8,965,899 share purchase warrants
          were immediately exchanged for shares of common stock on a basis of
          one common share for each share purchase warrant. The investors
          included a related party and four parties related to this party
          through common shareholdings.

     ii)  In consideration for a loan of $1,000,000 provided on August 13, 1999
          by Millennium Investors Inc. to e-Auction, Millennium Investors Inc.
          received 197,219 shares of common stock of the company with a fair
          value of $1,000,000 as a financing and interest fee. These shares were
          issued in January 2000.

     iii) On June 22, 2000, the company completed a private placement of
          4,072,639 shares at $1.842 per share of common stock for proceeds of
          $7,415,000, net of costs of $85,000.

     iv)  External consultants have been compensated with the issue of 48,333
          stock options. The charge for these consultants was $4,795 (2000 -
          $nil).

<PAGE>

Aucxis Corp.
Notes to Consolidated Financial Statements
(Unaudited)


     Stock options

     On March 1, 1999, as amended on March 13, 2000, the company adopted a stock
     option plan that reserved 9,000,000 shares. The options have a term of ten
     years, and the exercise price is set at the estimated fair market value at
     the date of grant. There were no options issued prior to March 1, 1999. No
     additional options have been granted in the nine months ended September 30,
     2001. The following table summarizes the continuity of stock options:

<TABLE>
<CAPTION>

                                                                                             Weighted
                                                                    Options for               average
                                                                      shares of        exercise price
                                                                   common stock             per share
                                                                                                    $
<S>                                                                  <C>                        <C>
           Balance - December 31, 1999                                4,300,000                  0.90
           Cancelled                                                   (845,000)                (0.01)
           Cancelled                                                 (3,050,000)                (0.85)
           Cancelled                                                   (250,000)                (5.00)
           Issued - December 30, 2000                                 8,058,000                  0.35
                                                                     ----------
           Balance - December 31, 2000                                8,213,000                  0.34
           Cancelled                                                 (2,425,000)                (0.35)
                                                                     ----------

           Balance - September 30, 2001                               5,788,000                  0.34
                                                                     ==========

</TABLE>

7    Change in non-cash working capital

<TABLE>
<CAPTION>

                                                                                    Nine months ended
                                                                                        September 30,
                                                                     --------------------------------
                                                                          2001                   2000
                                                                             $                      $
<S>                                                                  <C>                     <C>
      Accounts receivable                                               336,106              (468,688)
      Inventory                                                         103,946                67,228
      Prepaid expenses                                                   37,735               (20,267)
      Accounts payable and accrued liabilities                         (801,267)              128,328
      Deferred revenue                                                 (948,693)              (91,249)
                                                                     --------------------------------

                                                                     (1,272,173)             (384,648)
                                                                     ================================

</TABLE>

<PAGE>

Aucxis Corp.
Notes to Consolidated Financial Statements
(Unaudited)


8    Segmented information

     The company has one operating segment, being the installation of auction
     clocks and cooling systems, and related software for auctions.

     Geographic information

<TABLE>
<CAPTION>

                                                                                    Nine months ended
                                                                                        September 30,
                                                                       ------------------------------

                                                                           2001                  2000
                                                                              $                     $
<S>                                                                   <C>                  <C>
      Revenue
           Canada                                                        76,053                    --
           Belgium                                                    2,768,005             2,826,077
           Netherlands                                                2,727,089                    --
                                                                      -------------------------------

                                                                      5,571,147             2,826,077
                                                                      ===============================


<CAPTION>

                                                                  September 30,          December 31,
                                                                           2001                  2000
                                                                              $                     $
<S>                                                                   <C>                  <C>
      Long-lived assets
           Canada                                                     2,059,312             1,147,883
           Belgium                                                    5,097,271             7,658,629
           Netherlands                                                  478,147             3,554,029
                                                                      -------------------------------

                                                                      7,634,730            12,360,541
                                                                      ===============================

</TABLE>

9    Employee termination costs

     During the period, as a result of cost saving measures, the company has
     terminated 24 employees in the three months ended June 30, 2001
     (termination costs - $50,683) and an additional 13 in the three-month
     period ending September 30, 2001 (termination costs - $224,902). The total
     cost of these terminations was $275,585 and included legal expenses related
     to the terminations.

<PAGE>

Aucxis Corp.
Notes to Consolidated Financial Statements
(Unaudited)


10   Loss per common share

     The weighted average number of shares of common stock used for calculating
     the basic loss per share is 62,714,551 (2000 - 58,199,487) shares. Fully
     diluted loss per share is the same as the basic loss per share for the
     periods ended September 30, 2001 and 2000. Loss per share is determined
     based on the loss available to common shareholders, as presented in the
     statement of operations, deficit and comprehensive loss.

     The 5,788,000 outstanding stock options and 200,000 contingently issuable
     shares were not included in the computation of loss per share as they are
     anti-dilutive for the periods presented.

11   Supplemental non-cash information

     During the nine months ended September 30, 2000, the company issued
     3,636,364 shares of mandatorily redeemable common stock with a fair value
     of $3,636,364 in connection with the acquisition of Schelfhout Computer
     Systemen N.V.

     In January 2000, the company issued 197,219 shares of common stock with a
     fair value of $1,000,000 to Millennium Investors Inc. as payment of a
     financing and interest fee.

     The company issued 7,625,916 shares of common stock in January 2000, for
     which the proceeds were paid to various creditors, and cash was not
     received by the company. Debts settled totalled $3,812,958. The company
     also issued 327,878 shares with a fair value of $157,596 to pay commission
     on a private placement.

     In June 2000, the company issued 500,000 common shares with a fair value of
     $739,884 in connection with its investment in Kwatrobox B.V.

12   Comparative figures

     Comparative figures have been reclassified to conform to the current year's
     presentation.

13   Contingencies

     a)   A competitor of ATS has filed three claims totalling approximately
          $150,000 (FRF1,000,000) against ATS during 2000 claiming that the
          company inappropriately used the competitor's equipment. At present,
          there is insufficient information available to ascertain the
          likelihood of these claims being successful. Accordingly, no
          recognition of this contingent loss has been made.

     b)   Certain customers of a subsidiary have filed claims totalling $70,000
          against the subsidiary company for alleged failure to deliver product
          in accordance with an agreement. At present, there is insufficient
          information available to ascertain the likelihood of these claims
          being successful. Accordingly, no recognition of this contingent loss
          has been made.

     c)   A shareholder derivative action was brought against the company, its
          subsidiaries and two of its directors for claims totalling $100
          million.

<PAGE>

Aucxis Corp.
Notes to Consolidated Financial Statements
(Unaudited)



          The action was stayed on November 29, 1999 as a result of the
          plaintiff's filing for Chapter 11 bankruptcy protection in the United
          States Bankruptcy Court; therefore, there is no recognition of the
          contingent loss in the period.

     d)   During the second quarter, certain shareholders of the company have
          requested that a subsidiary of the company repurchase 454,545 of their
          Aucxis Corp. shares at $1.65 per share for an aggregate amount of
          $750,000, citing the terms of an agreement with a subsidiary of the
          company. To date the subsidiary has not repurchased the shares and
          these shareholders plan to take the matter to arbitration. At present,
          there is insufficient information available to ascertain the outcome
          of any such arbitration process.

     e)   During the third quarter, there was a claim by Ossanna Consulting
          Group ("Ossanna"). Ossanna has commenced an action in the Illinois
          courts for breach of contract in the amount of $USD $16,725 plus
          interest. In the Illinois action, Ossanna improperly named "e-Auction
          Global Trading Inc., a corporation a/k/a Aucxis f/d/b/a I-Three Inc."
          as the defendant. Any claim Ossanna has is against the Company.

          Ossanna threatened to move for default judgment in the absence of a
          defence being filed in the Illinois action. Counsel for Ossanna was
          informed that it had named the wrong party in the claim and that if it
          obtained default judgment in the Illinois action, the Company would
          resist any proceedings in Ontario seeking an order to enforce such a
          judgment. In light of this, counsel for Ossanna did not proceed with
          its motion for default judgment.

          Settlement discussions are now underway. With $13,809 previously
          recorded in the accounts from 1999, the estimated range of potential
          loss is $USD 4,000 - $5,000.

     f)   There is a potential claim by Parody Group Ltd. and Seabreeze Services
          Ltd. The plaintiffs commenced an action in the Ontario Superior Court
          of Justice naming e-Auction Global Trading Inc., a Canadian
          corporation ("e-Auction Canada"), and three other defendants in this
          claim relating to a loan by the plaintiffs in the amount of $USD
          700,000. e-Auction Canada is a non-operating wholly owned subsidiary
          of Aucxis Corp.

          Counsel for the plaintiffs has been advised that any action the
          plaintiffs may have is against the Nevada corporation, e-Auction
          Global Trading Inc., and its successor in name, the Company. If and
          when a statement of claim is issued naming the Company, it will defend
          on the basis that the loan by the plaintiffs has been fully repaid in
          shares of the Company. At this preliminary stage, no evaluation of the
          success or failure of the plaintiffs' claim against the Company can be
          made. The potential loss is $USD 700,000 if the plaintiffs succeed in
          their claim.

     g)   Potential Claim by E-Auction Australia PTV Ltd. The Company in 1999
          entered into a license arrangement with e-Auction Australia PTV Ltd.
          ("EAA"). Pursuant to the licensing arrangement, as amended, the
          Company granted to EAA a license to use, market and sublicense certain
          of the software of the Company on an exclusive basis in Australia and
          New Zealand. As consideration for this license, among other things,
          the Company was issued 50 million ordinary shares of EAA. In September
          2000, EAA, by letter, alleged that the Company was in breach of its
          obligations under the license arrangement, claiming, among other
          things, that a subsidiary of the Company repudiated the license
          granted to EAA. EAA has claimed damages for this breach. To date, no
          lawsuit has yet been officially commenced. The Company has had
          discussions with EAA about a possible resolution to the matter. The
          outline of a possible settlement has been reached and the parties are
          in the process of completing the legal agreements to implement the
          settlement. While

<PAGE>

Aucxis Corp.
Notes to Consolidated Financial Statements
(Unaudited)


          not yet finalized, the terms of the proposed settlement is expected to
          include the Company transferring a substantial part if its shares in
          EAA to EAA for cancellation, and EAA converting its license rights to
          certain of the Company's software from an exclusive license to a
          non-exclusive basis.

     h)   The payment is in relation to a settlement reached between Mr. Elbi
          and the Company regarding the termination of Mr. Elbi's contract with
          the Company. Mr. Elbi, pursuant to a consulting agreement, provided
          consulting services to the Company, which contract was subsequently
          terminated by the Company. Mr. Elbi commenced an action against the
          Company in the Ontario Superior Court of Justice alleging a breach by
          the Company of his consulting contract. The original claim was for
          169,557.05 Netherlands Guilders. A settlement was agreed to by Mr.
          Elbi and the Company pursuant to which Mr. Elbi was paid $50,000. The
          action has now been dismissed.

14   New accounting pronouncements

     SFAS No. 142 - Goodwill and other intangible assets

     Statement of Financial Accounting Standard (SFAS) 142 changes the
     accounting for goodwill from an amortization method to an impairment-only
     approach. Thus, amortization of goodwill, including goodwill recorded in
     past business combinations, will cease upon adoption of that statement.
     SFAS 142 will be applicable for fiscal years beginning after December 15,
     2001; however, earlier adoption is permitted for companies with fiscal
     years beginning on or after March 15, 2001. The effect of applying this new
     standard would result in no additional amortization of goodwill and
     acquired core technology charged to the statement of operations for the
     nine months ending September 30, 2001.

<PAGE>

Item 2. Management's Discussion and Analysis of Financial Condition and Results
        of Operations

When used herein, the words "may", "will", "expect",  "anticipate",  "continue",
"estimate",  "project", "intend", "plan" and similar expressions are intended to
identify  forward-looking  statements  within the  meaning of Section 21E of the
Securities  Exchange Act of 1934, as amended,  regarding events,  conditions and
financial  trends  that may affect the  Company's  future  plans of  operations,
business  strategy,  operating results and financial  position.  All statements,
other than statements of historical facts, included or incorporated by reference
in this Form 10-QSB which address  activities,  events or developments which the
Company expects or anticipates  will or may occur in the future,  including such
things as future capital expenditures (including the amount and nature thereof),
business   strategy,   expansion  and  growth  of  the  Company's  business  and
operations,  and  other  such  matters  are  forward-looking  statements.  These
statements are based on certain  assumptions and analyses made by the Company in
light  of its  experience  and its  perception  of  historical  trends,  current
conditions and expected future developments as well as other factors it believes
are  appropriate  in the  circumstances.  Such  statements are not guarantees of
future  performance and are subject to risks and significant  uncertainties  and
that  actual  results  may  differ  materially  from those  included  within the
forward-looking statements as a result of various factors. The occurrence of any
unanticipated  events may cause actual results to differ from those expressed or
implied by the  forward-looking  statements  contained herein. You are cautioned
not to place undue reliance on these statements, which speak only as of the date
of this report.

Overview

Aucxis Corp.  ("Aucxis" or the "Company") was originally  incorporated in Nevada
on  January 8, 1998  under the name  Kazari  International,  Inc.  (Kazari).  On
February 26, 1999, Kazari, e-Auction Global Trading Inc. (Barbados) entered into
a  share  exchange  agreement  pursuant  to  which  agreement  Kazari  purchased
e-Auction  (Barbados)  shares  on a one  for one  basis.  Kazari  had no  viable
business  activities at the time of the share  exchange  agreement.  On June 10,
1999,  Kazari amended its name to e-Auction  Global  Trading Inc.  During fiscal
year 2000, Aucxis acquired  Schelfhout  Computer Systemen N.V.,  Kwatrobox B.V.,
and I-Three, Inc. On June 12, 2001 the Company amended its charter to change its
name to Aucxis Corp.

Aucxis currently has a wholly owned subsidiary,  e-Auction (Barbados),  which in
turn has one wholly owned subsidiary,  Aucxis Corp.  (Canada).  The Company also
owns  Aucxis  Corp.  (Belgium),  directly,  which in turn has one  wholly  owned
subsidiary,  Aucxis Trading Solutions NV ("ATS") (formerly  Schelfhout  Computer
Systemen N.V., a Belgium company. ATS has a 99% ownership interest in SDL Invest
N.V. The financial  statements  also include the Company's  48.2%  investment in
Aucxis Ltd. (Australia),  (formerly Hunter Capital Limited) accounted for by the
equity method.

The  Company  also owns  V-Wholesaler  B.V.  and its  wholly  owned  subsidiary,
Kwatrobox B.V. and the  subsidiaries  of Kwatrobox B.V., 100% of Aucxis Business
Solutions  ("ABS")  (formerly  Automatiserngbureau  Palm  B.V.),  80%  of  Scoop
Software B.V.,  100% of Palm  Veilingsystemen  B.V.,  100% of Nieaf Systems B.V.
("Nieaf").  During September 2001, the board of directors determined that Aucxis
would not support Kwatrobox or any of its subsidiaries.  As a result,  Kwatrobox
B.V.  and it's  operating  subsidiaries,  ABS and  Nieaf,  filed  for  voluntary
bankruptcy. Under the bankruptcy laws of the Netherlands, a trustee took control
of the assets and the operation  from the parent company in October 2001. Due to
the loss of control the Company  has written off the assets and  liabilities  in
the  consolidated  financials.  Nieaf  Systems and ABS  developed  and installed
electronic  trading systems and application in the perishable  commodity  market
places in the Dutch flower industry.

ATS  (formerly  Schelfhout)  is a solutions  provider for  perishable  commodity
(fish, flower, fruits and vegetables) auction houses. Over the past 17 years ATS
has developed  trading systems for numerous selling  organizations  all over the
world.  Through ATS the company has the potential to access  electronic  trading
hubs  representing  billions of dollars in annual turnover,  including  European
trade of more  than US $7  billion  dollars.  ATS  delivers  the  tools to bring
together  supply and demand under  optimum  conditions  and thus create a better
market situation. ATS has focused on two market sectors: (i) the computerization
of auctions and (ii) automation for the preservation of perishable products.  As
an  ancillary  to the  auction  system,  a  modular  graphic  display  panel was
developed by ATS in 1992 and added to the product range.

<PAGE>

Aucxis is developing  e-business services for perishable commodity  marketplaces
primarily in Europe. In addition,  through its subsidiary ATS, Aucxis is engaged
in the  installation  and  maintenance of auction clock and cooling  systems for
traditional  auction  halls  and  the  development  of  software  for  auctions,
including Internet-based auction systems.

Aucxis' consolidated  financial statements are prepared on a going concern basis
which  assumes  that the  Company  will  realize  its assets and  discharge  its
liabilities  in the normal course of business.  The projected cash flows for the
Company are based upon  assumptions  which include,  amongst  others,  a revenue
stream from e-business and the success of future external financing initiatives.
Should these projects be delayed then the present  working  capital would not be
sufficient  for the Company to continue in the normal course of  operations.  In
recognition of these concerns,  management are  considering  various revenue and
cost  management  alternatives  and will need to raise  additional  cash through
external financing  activities.  It is not possible at this time to predict with
any assurance the success of these initiatives.

Highlights of the Quarter

Revenue for the nine months ended September 30, 2001 was $5,571,147  compared to
$2,826,077  in the same  period  in 2000.  Revenue  for the three  months  ended
September  30, 2000 was  $1,984,138  compared to $887,208 for the similar  three
month period in 2000.

Increases in revenue were driven by the  Company's  acquisition  of Kwatrobox in
November 2000 as well as continued  growth in the  installation of auction clock
systems  through ATS. On a proforma  basis,  if Kwatrobox  had been  acquired on
January 1, 2000, the revenues for the nine months ended September 30, 2000 would
have  been  $5,571,147.  ATS  derives  its  revenues  from the  development  and
installation of clock systems,  cooling installations and associated maintenance
contracts  for auction  halls.  Kwatrobox  derives its revenues as a provider of
electronic  auction  infrastructure  and enterprise  resource planning software.
However,  Kwatrobox was acquired  primarily to obtain  access to their  existing
customer base. The interim financial  statements disclose the proforma revenues,
loss and net assets as if Kwatrobox had been acquired on January 1, 2000.

Selling,  general and administrative expense for the nine months ended September
30, 2001 was $6,015,966 as compared to  $2,913,4320  for the  corresponding  six
month period in 2000. Selling,  general and administrative expense for the three
months ending  September 30, 2001 was  $1,810,747 as compared to $1,581,616  for
the corresponding three month period in 2000. The increase is due largely to the
acquisitions  of Kwatrobox  and I-Three  during the fourth  quarter of 2000.  In
addition,  the Company  reduced its number of employees in the second quarter of
2001 by 19 in Toronto and 16 in Amsterdam  and by an additional 13 in Toronto in
the three  months  ended  September  30, 2001.  The costs  associated  with this
downsizing total $275,585 for the nine months ended September 30, 2001, of which
$224,902 is for the three months ended September 30, 2001.

Depreciation  and  amortization  for the three months ended  September  30, 2001
equals $1,879,505,  an increase of over $700,000 from the same nine month period
last year.  This  increase is mainly due to the  inclusion of  Kwatrobox  during
fiscal year 2001.  Depreciation  and amortization are down from the three months
ended June 30,  2001 by  $172,000,  as the  goodwill  related  to the  Kwatrobox
acquisition was written off due to the voluntary bankruptcy of Kwatrobox and its
subsidiaries  declared on  September  19, 2001 by Nieaf,  September  26, 2001 by
Aucxis Business Solutions and October 3, 2001 by Kwatrobox. The $3,576,702 write
down of goodwill is offset by the write-off of the net assets and liabilities of
Kwatrobox of $787,606 for a net write down of  approximately  $2,789,100  during
the three months ended  September  30, 2001.  The interim  financial  statements
disclose the  breakdown of the assets and  liabilities  written off. The Company
decided  to  discontinue  its  financial   support  for  the  loss  making  Palm
Automatisering (Aucxis Business Solutions) and Nieaf companies,  which continued
to consume  shareholder  funds  within a business  that no longer  forms part of
Aucxis' refocused business strategy.

Research and development  costs were $0 for the three months ended September 30,
2001 as compared to $558,650 ($0 -June 30, 2000) for the three months ended June
30, 2001 and $415,265  ($0-March  31, 2000) for the three months ended March 31,
2001  due in part to  temporary  suspension  of  development  of the  Collateral
Management  Utility and the discontinuance in May 2001 of the development of PBS
Verdeel Pro, a proprietary software application, when the delivery of the second
phase of the project was found to be  unsatisfactory  to the intended  customer.
There were no further R&D  expenses  incurred  related to the  various

<PAGE>

non-core  Tibco based  software due to a  suspension  in  development  pending a
licensing  arrangement with Boomboat Inc., a company made up of 11 of the former
R&D staff in the Toronto office. The licensing agreement was finalized in August
2001.

The net loss for the three months ended  September  30, 2001  (adjusted  for the
write-down of goodwill and the write-off of net  liabilities  of Kwatrobox)  was
$1,379,911  as compared to $1,821,386  for the three months ended  September 31,
2000,  which was $700,000 lower than the loss reported in the quarter ended June
30, 2001  (adjusted for write-down of acquired  workforce and core  technology).
This  improvement  in operating  costs is attributed to ongoing cost  management
initiatives.  The cost reductions were offset by non-recurring  costs related to
employee  terminations  which were higher in the third quarter 2001 by $174,000.
Cost in the three months ended  September  30, 2001 totaled  $224,902,  of which
$118,000  related  to the  severance  payment  for the 11 R&D  staff who are now
employees of Boomboat  Inc.  Other  severance  costs  include  settlements  with
certain members of management and associated legal costs.

The three  months ended  September  30, 2001 also  includes  $51,200 in gains on
settlement  of payables,  the bulk of the which  resulted  from a settlement  of
amounts owed to  Electronic  Data  Systems  Limited  ("EDS"),  a vendor that the
Company had  partnered  with to assist with the  roll-out of the  e-Finance  Hub
services. The settlement included the return to EDS of computer equipment with a
book value of $276,000  plus a cash  payment of $150,000 to satisfy  obligations
recorded in the books of Aucxis totaling approximately $475,000.

Management  is  continuing  its revenue and cost  management  initiatives  while
simultaneously  exploring  various  strategic  options for the Company including
business  combinations and joint ventures with other companies in the perishable
goods marketplace.  The concentration of development on Aucxis Trading Solutions
(ATS), a wholly owned subsidiary,  is justified by the continuing capture of new
business  and the further  consolidation  of this  company's  leadership  as the
premier  supplier of electronic  trading  systems to perishable  agriculture and
fish trading  world-wide.  Aucxis Trading Systems recently  announced a contract
with CCI de Quimper.  The Chamber of Commerce of Quimper  administers  Audierne,
Concarneau, Douarnenez, Le Guilvinec, Lesconil, Loctudy and Saint-Guenole, which
are situated at the Brittany's  west coast.  In 2000 the combined fish supply of
these 7 markets  exceeded  63,000  tons  worth  179,118,600  Euro.  ATS has been
contracted to modernize the complete sales process of all these markets.

Liquidity and Capital Resources

As at September 30, 2001,  the company had cash of $760,000.  The projected cash
flows from the Company's  current  operations  are not sufficient to finance the
Company's working capital  requirements over the next 12 months, and accordingly
there is  substantial  doubt as to the  ability of the  Company to continue as a
going concern.  During the nine months ended  September 30, 2001, cash decreased
by  $5,445,172.  Of this amount of decrease,  approximately  $4,826,000 was from
operations,   including   $1,22,700  in  change  in  working  capital  balances.
Additional  cash  outflows  were a result of repayment of amounts due to related
parties of  approximately  $820,000,  offset by an increase in long-term debt of
approximately  $149,000.  Bank  indebtedness for Kwatrobox was estimated to have
increased  by  $220,000  to  fund  third   quarter  2001   operations.   Capital
expenditures  in the three months ended  September  30, 2001 were  approximately
$500,000, offset by dispositions of $305,500.

<PAGE>

PART II - OTHER INFORMATION

Item 1. Legal Proceedings

During the third  quarter of 2001,  Parody  Group Ltd.  and  Seabreeze  Services
Ltd.(the  "plaintiffs")  commenced  an action in the Ontario  Superior  Court of
Justice naming e-Auction Global Trading Inc., a Canadian corporation ("e-Auction
Canada"), and three other defendants relating to a loan by the plaintiffs in the
amount  of  $700,000.   e-Auction   Canada  (now  Aucxis  (Canada)  Inc.)  is  a
non-operating  wholly owned  subsidiary of Aucxis Corp.  and is not party to the
loan.  Counsel for the  plaintiffs  has been so advised.  If and when a claim is
issued  naming the Company,  management  believes  that the Company has good
defenses and intends to vigorously contest any such claims.

Except as described  above,  management  does not have knowledge of any material
litigation pending, threatened or contemplated, or unsatisfied judgments against
the Company or its  affiliates,  or any  proceedings in which the Company or its
affiliates  is a party.  Similarly,  management  is without  knowledge as to any
legal actions  pending or threatened or judgments  entered against the Company's
executive  officers and directors in their  capacity as such,  other than to the
extent such individuals are named in the above actions.

Item 5. Other Information
        -----------------

On August 13, 2001, two members of management of the Company indicated their
intention to resign from the company. In accordance with their respective
employment agreements, as amended, such members were required to continue to
work for the Company for a transition period for such duration as determined by
the Company's board of directors not to exceed six months. The board had up to
20 days following the receipt of the notice of intention to resign to determine
the applicable transition period by written notice (the "Transition Notice") to
the departing member of management. Notice was not given and the members filed a
statement of claim against the company for breach of contract in the amount of
approximately $298,000. In addition an injunction was filed that effectively
froze approximately $387,000 in cash and cash equivalents, based on the claim
that the Company was closing the Toronto office and moving the assets to Europe.
On September 19, 2001, a settlement was reached whereby the members agreed to
accept approximately $21,775 ($67,500 Canadian Dollars) each for their claim. To
finalize the settlement, the members and the Company signed full and final
mutual releases on October 9, 2001.

The business activities of the Company's subsidiary, I-Three, have been sold to
the management and employees of I-Three, who have formed a new company, Boomboat
Inc. By agreement, Boomboat shall provide on going information technology
support to Aucxis on an "as needed basis". This is to ensure access to support
services as and when required without the associated fixed costs. Aucxis retains
full ownership of all Intellectual Property ("IP") and is entitled to receive a
fee of one percent (1%) of all revenues actually received by Boomboat from the
sale of the Boomboat Toolbox Product (developed with the IP) up to and including
August 29, 2006. As a result of this shift in the R&D staffing infrastructure,
the Toronto-based operations will be reduced to a small head office and
operational management will be concentrated in Europe, where the company's main
business is based.

During September 2001, the board of directors discontinue its financial support
for the loss making Palm Automatisering (Aucxis Business Solutions) and Nieaf
companies, which continued to consume shareholder funds within a business that
no longer forms part of Aucxis' refocused business strategy. As a result,
Kwatrobox B.V. and it's operating subsidiaries, ABS and Nieaf, filed for
voluntary bankruptcy. Nieaf filed on September 19, 2001 followed by Aucxis
Business Solutions on September 26, 2001 and finally Kwatrobox on October 3,
2001. Under the bankruptcy laws of the Netherlands, a trustee took control of
the assets and the operation from the parent company in October 2001. Due to the
loss of control the Company has written off the assets and liabilities in the
consolidated financials as well as the goodwill related to the Kwatrobox
acquisition. The $3,576,702 write down of goodwill is offset by the write-off of
the net assets and liabilities of Kwatrobox of $787,606 for a net write down of
approximately $2,789,100. The interim financial statements disclose the
breakdown of the assets and liabilities written off.

Item 6. Exhibits And Reports On Form 8-K
        --------------------------------

     (a)  Exhibits.

      Exhibit #        Exhibit name
      ---------        ------------

      Exhibit 10.1     Letter Agreement dated August 29, 2001, regarding
                       Registrant's subsidiary, I-Three Inc.

<PAGE>

     (b)  Reports on Form 8-K

     The Company  did not file any reports on Form 8-K during the quarter  ended
September 30, 2001.


                                   SIGNATURES

In accordance with the  requirements of the Securities  Exchange Act of 1934, as
amended  the  Company  has caused  this report to be signed on its behalf by the
undersigned thereunto duly authorized.

Date:  November 19, 2001                Aucxis Corp.
                                        (Registrant)


                                        By:  /s/ Dennis E. Petke
                                             -------------------
                                             Dennis E. Petke,