SECURITIES AND EXCHANGE COMMISSION
                              WASHINGTON, DC 20549

                                   FORM 10-QSB


         (Mark One)

         [X]  Quarterly  report  under  Section  13 or 15(d)  of the  Securities
         Exchange Act of 1934 For the quarterly period ended August 31, 1999

              [ ] Transition  report  under  Section 13 or 15(d) of the Exchange
         Act For the transition period from _________ to ___________

         Commission file number 33-55254-15

                              delSECUR Corporation
        (Exact Name of Small Business Issuer as Specified in Its Charter)


         NEVADA                                              87-0438451
(State or Other Jurisdiction of                            (IRS Employer
Incorporation or Organization)                             Identification No.)


  1801 McGill College, Suite 1330,
     Montreal, Quebec Canada                                H3A 2N4
(Address of Principal Executive Offices)                  (Zip Code)


(Issuer's Telephone Number, Including Area Code) (514) 282-9000

Indicate by a check mark  whether the issuer (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 issuer was required
to file such reports),  and (2) has been subject to such filing requirements for
the past 90 days. [X] Yes [ ] No

                      APPLICABLE ONLY TO CORPORATE ISSUERS

         State the  number of shares of each of the  issuer's  classes of common
equity, as of the latest practicable date:

         Class                  Outstanding as of August 31, 1999
-----------------------         ---------------------------------
$.001 PAR VALUE CLASS A                  13,995,300 SHARES
COMMON STOCK


                                        1

<PAGE>



                                     PART I
                              FINANCIAL INFORMATION

ITEM 1.  Financial Statements.

         The accompanying unaudited financial statements (pages F-1 through F-3)
have been  prepared  in  accordance  with the  instructions  to Form 10-QSB and,
therefore, do not include all information and footnotes necessary for a complete
presentation  of  financial  position,  results  of  operations,  cash flows and
stockholders'   deficit  in  conformity  with  generally   accepted   accounting
principles.  In the opinion of management,  all adjustments considered necessary
for a fair presentation of the results of operation and financial  position have
been  included  and all  such  adjustments  are of a  normal  recurring  nature.
Operating  results for the  quarter  ended  August 31, 1999 are not  necessarily
indicative of the results that can be expected for the year ending May 31, 2000.

ITEM 2.  Management's Plan of Operation.

         Pursuant to an Agreement  made and entered  into on February  25th 1998
the Company issued and delivered on February 26, 1998,  12,848,300 shares of its
Common Stock bearing a restrictive  legend to 3127575  Canada Inc. (now delSECUR
Inc.), a Canadian  Corporation,  in exchange for which issuance, it acquired all
of the  outstanding  shares of 3127575 Canada Inc.  Through 3127575 Canada Inc.,
the  Company has become the  exclusive  licensee  of the del-ID  technology  for
personal   identification   by   means  of   electronic   scanning   of   finger
characteristics.  3127575 Canada Inc.,  obtained these  exclusive  rights by the
Exclusive  License  Agreement  dated  November 12, 1997 between it and Pierre de
Lanauze, inventor of the del-ID technology.

         The  transaction was exempt from the  registration  requirements of the
Securities  Act of 1933 by virtue of Section  4(2)  thereof.  Also,  because the
12,848,300  shares  were  issued  solely to non-U.S.  persons,  the  transaction
qualified for exemption under Rules 901 et seq.
of Regulation S.

         Following  the above  transaction  the former  shareholders  of 3127575
Canada Inc. owned 92.78% of the outstanding shares of the Company.

         The del-ID  technology  permits precise and positive  authentication of
the  identity  of any living  individual  and is  applicable  to a wide range of
financial  transactions  where  authentication of the individual is necessary to
eliminate  fraud and other improper use of services.  The del-ID system collects
biological  data from the finger image of the individual and transfers the image
to a unique  electronic  signature called the "del-gram".  The del-gram is not a
digitized  bitmap image of the finger,  but a  synthesized  subset of biological
data sufficient to identify the individual.


                                        2

<PAGE>



         Patent  protection  is currently  pending for the del-ID  system in the
United States.  The International  Preliminary  Examination Report was issued in
accordance with the Patent Cooperation Treaty application (PCT) that included 82
countries.  The Examiner has recognized and acknowledged the inventive step, the
novelty  and the  industrial  applicability  by  accepting  all of the 11 claims
represented by the technology.

         In April 1998, 3127575 Canada Inc. signed an agreement with the "Centre
de Recherche en Informatique de Montreal (CRIM)" for a scientific  evaluation of
the  technology.  The  evaluation  holds two  topics.  The  primary  one  covers
theoretical and accurate  applications.  The secondary covers the implementation
of a study  in a  controlled  laboratory  environment.  Here  are the  following
details of the laboratory :

-        The basic analysis of the technology ( technical specifications).
-        Practical  applications  in simulated  commercial  environment  such as
         banking, telephony, e-commerce etc.

         The primary topic  analysis has been done by the CRIM in  collaboration
with a major American  University.  The positive results have been published and
shall be available soon on the delSecur web site at delsecur.com.

         The  secondary  topic is  presently  in the  making and will be done in
collaboration  with  majors  firms who are well  recognized  in their  fields of
activity.  These majors firms will sponsor part of the  implementation  costs of
the laboratory studies.  For the time frame and more details about this section,
we refer the reader to the delSecur web site.

         Commercial  applications  of the del-ID  technology  are  numerous  and
include access to the information highway/internet,  identification of employees
working  from a home  office  and  requiring  access  to  certain  databases  or
informations,  health cards, social insurance cards, drivers' licenses, passport
control  encryptions  and access to  confidential  files,  control of payment by
debit or credit payment systems such as credit cards, smartcards, authentication
of oral  telephone  ordering,  access  control to  sensitive  areas,  hotel room
access,   cellular  and  digital  telephone   controls,   automobile  entry  and
protection,  census and election control,  door locks, vault locks,  residential
alarm system controls,  timesheet  management,  student file management and many
others.

         The  Company  expects  to  encounter  substantial  competition  in  the
business  in which it  proposes  to  engage.  It is  likely  that the  competing
entities will have  significantly  greater  experience,  resources,  facilities,
contacts and managerial expertise than the Company and will, consequently, be in
a better  position  than the  Company  to obtain  access to and to engage in the
proposed  business.  Therefore it is to our advantage to associate  ourselves to
such major firms by gaining credibility and recognition.  This enables us to use
their know how, their resources and networking.


                                        3

<PAGE>



         The Company will not manufacture del-ID cards or card readers directly.
This  will  tend to  minimize  the  capital  requirements  of the  Company,  its
principal   activities   being   limited  to  marketing  the  del-ID  system  to
manufacturers and/or users  internationally.  Anticipated sources of revenue are
license fees payable by government agencies and corporate entities for the right
to  manufacture,  use or sell cards and card  readers  incorporating  the del-ID
system,  as well as royalty  payments by such  entities for each card and reader
employed in a del-ID  system.  We  anticipate  the first  commercial  revenue in
twelve months from the present.

         As  of  August  31,  1999,  the  Company's   balance  sheet  showed  an
accumulated  deficit of  $4,054,008,  an increase  of $892,209  during the first
quarter.  Operations to date have been financed principally by loans from senior
management  and others.  Additional  unsecured  loan  facilities  continue to be
available and are believed by management to be sufficient to finance  operations
over the next  several  months,  pending  the  anticipated  initial  receipt  of
contract  revenues  during the second half of the 2000 fiscal year. No financing
involving the issuance of additional shares is presently contemplated.

         The  Company  had a net loss of  $892,209  for the three  months  ended
August 31, 1999  compared  with a loss of  $282,051  for the same period for the
prior year.  The main increase from 1998 was  approximately  $479,000  spent for
promotion.  About  $716,000 of expenses were paid by issuing  147,000  shares of
common stock.

         The Company will continue to seek marketing  opportunities  for product
licensing  with  governmental  agencies and  corporate  entities on a world-wide
basis.

         As the Company will be engaged in securing licensing  contracts for use
of its existing  del-ID  technology,  no  significant  expansion of the physical
plant,  equipment  or number of employees is foreseen for the period of the next
twelve months.

         The Year 2000 issue arises  because many  computerized  systems use two
digits  rather  than  four to  identify  a  year.  Date-sensitive  systems  many
recognize  the year 2000 as 1900 or some other  date,  resulting  in errors when
information  using year 2000 dates is processed.  In addition,  similar problems
may arise in some systems which use certain dates in 1999 to represent something
other than a date. The effects of the Year 2000 Issue may be experienced before,
on, or after January 1, 2000, and if not addressed, the impact on operations and
financial  reporting may range from minor errors to significant  systems failure
which could affect an entity's ability to conduct normal business operations. It
is not possible to be certain that all aspects of the Year 2000 Issue  affecting
the Company, including those related to the efforts of customers,  suppliers, or
other third parties will be fully resolved.



                                        4

<PAGE>



                                   SIGNATURES

         In accordance with the requirements of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized

                                     delSECUR Corporation


Date:  October 14, 1999              By:
                                     Pierre de Lanauze, President,
                                     Chairman of the Board and Director


                                       5

<PAGE>



                       delSECUR CORPORATION AND SUBSIDIARY
                          (A Development Stage Company)
                           CONSOLIDATED BALANCE SHEETS
                         (expressed in Canadian dollars)

<TABLE>
<CAPTION>
                                                                        August 31,                   May 31,
                                                                           1999                       1999
                                                                  ----------------------     --------------------
ASSETS                                                                  (Unaudited)                 (Audited)
     CURRENT ASSETS
<S>                                                               <C>                        <C>
         Cash                                                     $                9,941     $             14,473
         Sales taxes receivable                                                   35,006                   35,508
         Prepaid expenses                                                         43,750                   30,858
         Receivable-related party                                                187,736                  170,736
         Receivable - officer                                                    160,562                  357,420
                                                                  ----------------------     --------------------

                                      TOTAL CURRENT ASSETS                       436,995                  608,995

OTHER ASSETS
     Property and equipment                                                      160,001                  168,423
     License from related party                                                        1                        1
                                                                  ----------------------     --------------------
                                                                                 160,002                  168,424
                                                                  ----------------------     --------------------

                                                                  $              596,997     $            777,419
                                                                  ======================     ====================

LIABILITIES & DEFICIT
     CURRENT LIABILITIES
         Accounts payable                                         $              270,032     $            311,929
         Accrued liabilities                                                      34,820                   34,927
         Payable-related party                                                   189,877                  189,877
         Payable - officer                                                     1,492,500                1,474,000
         Loans payable                                                           237,987                  247,987
                                                                  ----------------------     --------------------

                                 TOTAL CURRENT LIABILITIES                     2,225,216                2,258,720

         Deferred credit                                                           6,516                    6,900

     STOCKHOLDERS' DEFICIT
         Common Stock $.001 par value:
           Authorized - 100,000,000 shares
           Issued and outstanding 13,995,300
              shares (13,848,300 at May 31, 1999)                                 19,862                   19,715
         Additional paid-in capital                                            2,399,411                1,653,883
         Deficit accumulated during the
           development stage                                                  (4,054,008)              (3,161,799)
                                                                  ----------------------     --------------------

                               TOTAL STOCKHOLDERS' DEFICIT                    (1,634,735)              (1,488,201)
                                                                  ----------------------     --------------------

                                                                  $              596,997     $            777,419
                                                                  ======================     ====================
</TABLE>


                                      F - 1

<PAGE>



                       delSECUR CORPORATION AND SUBSIDIARY
                          (A Development Stage Company)
                      CONSOLIDATED STATEMENTS OF OPERATIONS
                         (expressed in Canadian dollars)
                                   (Unaudited)


<TABLE>
<CAPTION>
                                                             Three Months Ended                From Date of
                                                                 August 31,                    inception to
                                                          1999                1998            August 31, 1999
                                                   ------------------  -----------------  -----------------------
<S>                                                <C>                 <C>                <C>
Net sales                                          $                0  $               0  $                     0
Cost of sales                                                       0                  0                        0
                                                   ------------------  -----------------  -----------------------

                                     GROSS PROFIT                   0                  0                        0

Other income                                                        0                  0                    8,000

Depreciation and amortization                                   8,422             13,704                  159,039
Interest expense                                                5,850              3,000                   53,176
Research and development                                       29,517             45,562                  506,973
General and administrative expenses                           848,420            219,785                3,299,554
                                                   ------------------  -----------------  -----------------------
                                                              892,209            282,051                4,018,742
                                                   ------------------  -----------------  -----------------------

                                         NET LOSS  $         (892,209) $        (282,051) $            (4,010,742)
                                                   ==================  =================  =======================
Net income (loss) per weighted
   average share                                   $             (.06) $            (.02)
                                                   ==================  =================

Weighted average number of common
   shares used to compute net income
   (loss) per weighted average share                       13,995,300         13,848,300
                                                   ==================  =================

</TABLE>


                                      F - 2

<PAGE>



                       delSECUR CORPORATION AND SUBSIDIARY
                          (A Development Stage Company)
                            STATEMENTS OF CASH FLOWS
                         (expressed in Canadian dollars)
                                   (Unaudited)


<TABLE>
<CAPTION>
                                                                                                      From Date of
                                                                  Three Months Ended August 31,       inception to
                                                                     1999              1998          August 31, 1999
                                                               ---------------    ---------------  ------------------
OPERATING ACTIVITIES
<S>                                                            <C>                <C>              <C>
  Net (loss)                                                   $      (892,209)   $      (282,051) $       (4,010,742)
  Adjustments to reconcile net (loss) to cash used
     by operating activities:
       Depreciation                                                      8,422             13,704             159,039
       Amortization of deferred credit                                    (384)                 0              (1,150)
       Free rent                                                             0                  0               7,666
       Stock issued for services                                       716,675                  0             716,675
       Related party advances                                                0                  0             290,402
       Foreign exchange fluctuation                                     18,500                  0              79,200
       Changes in assets and liabilities:
         Sales tax receivable                                              502             (9,668)            (35,006)
         Prepaid expenses                                              (12,892)            (5,636)            (43,750)
         Officer loan                                                  196,858            (11,053)           (160,562)
         Receivable - related party                                    (17,000)           (14,856)           (478,138)
         Accounts payable                                              (41,897)            36,536             270,032
         Accrued liabilities                                              (107)            33,950              34,820
         Payable - related party                                             0             22,487             189,877
                                                               ---------------    ---------------  ------------------
                                               NET CASH USED
                                     BY OPERATING ACTIVITIES           (23,532)          (216,587)         (2,981,637)

INVESTING ACTIVITIES
  Purchase of property & equipment                                           0             (9,496)           (319,040)
                                                               ---------------    ---------------  ------------------
                                    NET CASH PROVIDED (USED)
                                     BY INVESTING ACTIVITIES                 0             (9,496)           (319,040)

FINANCING ACTIVITIES
  Loan                                                                       0                  0             601,850
  Repayment of loan                                                    (10,000)                 0            (363,863)
  Loan from director                                                         0                  0           2,085,250
  Stock sold                                                                 0                  0                 100
  Contribution to paid-in capital by director                           29,000            247,539             987,281
                                                               ---------------    ---------------  ------------------
                                        NET CASH PROVIDED BY
                                        FINANCING ACTIVITIES            19,000            247,539           3,310,618
                                                               ---------------    ---------------  ------------------

                                 INCREASE (DECREASE) IN CASH
                                        AND CASH EQUIVALENTS            (4,532)            21,456               9,941

Cash and cash equivalents at beginning of year                          14,473              3,197                   0
                                                               ---------------    ---------------  ------------------

                                   CASH AND CASH EQUIVALENTS
                                            AT END OF PERIOD   $         9,941    $        24,653  $            9,941
                                                               ===============    ===============  ==================

Cash paid for interest                                         $         5,850    $         1,500  $           36,200
                                                               ===============    ===============  ==================
</TABLE>

During 1999,  the Company  issued 147,000 shares of common stock for services of
$716,675.


                                      F - 3