SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   FORM 10-QSB

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

     For the quarterly period ended June 30, 2000

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

     For the transition period from _______ to _______.

                         Commission File Number 0-28745

                         NATIONAL SCIENTIFIC CORPORATION

                   Texas                                       86-0837077
       (State or other jurisdiction                           (IRS Employer
      of incorporation or organization                    Identification Number)

4455 East Camelback Road, E160, Phoenix, AZ                       85018
  (Address of principal executive offices)                      (Zip Code)

                                  602-954-1492
                (Registrant's phone number, including area code)

Indicate by check mark  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 [ ]

There were  45,154,018  shares of Common Stock,  par value $.01 per share,  were
outstanding at August 4, 2000.

Transitional Small Business Disclosure Format (Check One): Yes [ ] No [X]
<PAGE>
                         NATIONAL SCIENTIFIC CORPORATION

                                   FORM 10-QSB

                                      INDEX

Part I - Financial Information .............................................  3

     Item 1 - Financial statements (unaudited) .............................  3

          Balance Sheet - June 30, 2000 ....................................  3

          Statements of Operations - Three Months ended June
          30, 2000 and 1999 and Nine  Months  ended June 30,
          2000 and 1999 and Cumulative  from October 1, 1997
          (Inception) through June 30, 2000 ................................  4

          Statements  of Cash Flows - Nine Months ended June
          30, 2000 and 1999 and  Cumulative  from October 1,
          1997 (Inception) through June 30, 2000 ...........................  5

          Statements  of Changes in  Shareholders'  Equity -
          Fiscal Years ended September 30, 1999 and 1998 and
          nine months ended June 30, 2000 ..................................  6

          Notes to Financial Statements ....................................  9

     Item  2  -  Management's  Discussion  and  Analysis  of
     Financial Condition and Results of Operations ......................... 11

Part II - Other Information ................................................ 12

     Item 2 - Changes in Securities and Use of Proceeds .................... 12

     Item 5 - Other Information ............................................ 13

     Item 6 - Exhibits and reports on Form 8-K ............................. 13

Signatures ................................................................. 14

                                       2
<PAGE>
                         PART I - FINANCIAL INFORMATION

                         NATIONAL SCIENTIFIC CORPORATION
                          (A Development Stage Company)

                        Unaudited Condensed Balance Sheet
                                  June 30, 2000

                                     ASSETS
                                                                       2000
                                                                    -----------
Current assets:
  Cash and cash equivalents                                         $ 1,814,095
  Loans to shareholder                                                  200,000
  Other assets                                                           76,568
                                                                    -----------
      Total current assets                                            2,090,663

Property and equipment, net                                               2,338
                                                                    -----------

                                                                    $ 2,093,001
                                                                    ===========
                      LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:
  Accounts payable and accrued expenses                             $    22,863
                                                                    -----------
      Total current liabilities                                          22,863
                                                                    -----------
Shareholders' equity:
  Preferred stock, $.10 par value; 4,000,000 shares authorized
      No shares issued and outstanding                                       --
  Common stock, par value $.01; 80,000,000 shares authorized,
      44,907,040 shares issued and outstanding                          449,070
  Additional paid-in-capital                                          7,264,725
  Deficit accumulated during the development stage                   (3,248,977)
  Accumulated deficit                                                (2,394,680)
                                                                    -----------
                                                                      2,070,138
                                                                    -----------
                                                                    $ 2,093,001
                                                                    ===========

                 See accompanying notes to financial statements

                                       3
<PAGE>
                        NATIONAL SCIENTIFIC CORPORATION
                          (A Development Stage Company)

                  Unaudited Condensed Statements of Operations
    For the Quarters Ended and Nine Months Ended June 30, 2000 and 1999, and
      For the Period from October 1, 1997 (Inception of Development Stage)
                              Through June 30, 2000

<TABLE>
<CAPTION>
                                               Three Month     Three Month    Nine Months    Nine Months     Cumulative
                                                  Ended           Ended          Ended          Ended        Development
                                              June 30, 2000   June 30, 1999   June 30, 2000  June 30, 1999     Stage
                                              -------------   -------------   -------------  -------------     -----
<S>                                             <C>              <C>           <C>              <C>          <C>
Revenues                                        $      --              --              --             --             --
                                                ---------      ----------      ----------     ----------     ----------
Costs and expenses
  Consulting fees, related party                   86,887          77,550         607,427        155,500      1,138,202
  Salaries and benefits                                --              --              --             --         73,706
  Research and development                        706,768          32,982       1,003,054         89,278      1,454,584
  Stock compensation                                   --              --          50,320             --        155,276
  Other                                            47,530          12,135         151,145         42,920        423,406
                                                ---------      ----------      ----------     ----------     ----------
                                                  841,185         122,667       1,811,946        287,698      3,245,174
                                                ---------      ----------      ----------     ----------     ----------

Net loss from operations                         (841,185)       (122,667)     (1,811,946)      (287,698)    (3,245,174)
                                                ---------      ----------      ----------     ----------     ----------
Other income (expense)
  Interest and other income                        26,628              --          39,788             --         41,068
  Interest expense                                     --          (2,749)         (5,189)        (5,507)       (16,316)
  Loss on disposal of assets                           --              --              --             --        (28,555)
                                                ---------      ----------      ----------     ----------     ----------
                                                   26,628          (2,749)         34,599         (5,507)        (3,803)
                                                ---------      ----------      ----------     ----------     ----------
Net loss before income tax benefit               (814,557)       (125,416)     (1,777,347)      (293,205)    (3,248,977)
Provision for income taxes (benefit)                   --              --              --             --             --
                                                ---------      ----------      ----------     ----------     ----------
Net loss                                        $(814,557)       (125,416)     (1,777,347)      (293,205)    (3,248,977)
                                                =========      ==========      ==========     ==========     ==========

Net loss per common share, basic and diluted    $    (0.02)            --      $    (0.04)         (0.01)
                                                ==========     ==========      ==========     ==========
</TABLE>

                 See accompanying notes to financial statements

                                       4
<PAGE>
                         NATIONAL SCIENTIFIC CORPORATION
                          (A Development Stage Company)

                  Unaudited Condensed Statements of Cash Flows
              For the Nine Months Ended June 30, 2000 and 1999, and
      For the Period from October 1, 1997 (Inception of Development Stage)
                              Through June 30, 2000

<TABLE>
<CAPTION>
                                                      Nine Months   Nine Months    Cumulative
                                                         Ended         Ended       Development
                                                     June 30, 2000  June 30, 1999     Stage
                                                     -------------  -------------     -----
<S>                                                    <C>            <C>          <C>
Cash flows from operating activities:
  Net loss                                             (1,777,347)    (293,205)    (3,248,977)
  Adjustments to reconcile net loss to net
    cash used in operating activities:
    Depreciation                                            1,002        1,002          9,229
    Loss on disposal of assets                                 --           --         28,555
    Stock issued for services                           1,115,257       65,913      1,833,234
    Decrease in receivables                                    --       12,500         30,000
    Increase in other assets                              (76,568)      (1,060)       (65,997)
    Increase(decrease) in accounts payable
      and accrued expenses                                  2,946      (11,725)           284
    Increase (decrease) in accrued interest expense        (8,530)       5,500             --
                                                       ----------     --------     ----------
        Net cash used in operating activities            (743,240)    (221,075)    (1,413,672)
                                                       ----------     --------     ----------
Cash flows from investing activities:
  Proceeds from the sale of furniture and equipment            --           --          4,660
                                                       ----------     --------     ----------
                                                               --           --          4,660
                                                       ----------     --------     ----------
Cash flows from financing activities:
  Loans to shareholder                                   (200,000)          --       (210,000)
  Repayment of notes payable                             (110,000)          --       (110,000)
  Repayment of capital lease obligations                       --           --         (1,819)
  Proceeds from the issuance of common stock            2,773,000           --      2,771,181
  Proceeds from the issuance of preferred stock                --      220,000        482,500
  Proceeds from exercise of common stock options           32,150       15,650        287,627
                                                       ----------     --------     ----------
        Net cash provided by financing activities       2,495,150      235,650      3,219,489
                                                       ----------     --------     ----------
Net increase in cash and cash equivalents               1,751,910       14,575      1,810,477

Cash and cash equivalents, beginning of period             62,185       21,735          3,618
                                                       ----------     --------     ----------
Cash and cash equivalents, end of period                1,814,095       36,310      1,814,095
                                                       ==========     ========     ==========
</TABLE>

                 See accompanying notes to financial statements

                                       5
<PAGE>
                         NATIONAL SCIENTIFIC CORPORATION
                          (A Development Stage Company)

             Unaudited Statements of Changes in Shareholders' Equity
              For the Years Ended September 30, 1999 and 1998, and
                     For the Nine Months Ended June 30, 2000

<TABLE>
<CAPTION>
                                     Common Stock        Preferred Stock
                               -----------------------  -----------------   Additional               Development
                                Number of               Number of            Paid-In    Accumulated     Stage
                                 Shares        Amount    Shares    Amount    Capital      Deficit      Deficit       Total
                                 ------        ------    ------    ------    -------      -------      -------       -----
<S>                            <C>           <C>         <C>       <C>      <C>         <C>            <C>           <C>
Balance September 30, 1997      17,847,292   $ 178,473        --       --    2,160,780   (2,394,680)          --      (55,427)

Stock issued for services        3,487,557      34,875        --       --      335,473           --           --      370,348

Private placement of
  preferred stock                       --          --    49,500    4,950      242,550           --           --      247,500

Exercise of warrants and
  options                          547,000       5,470        --       --      100,888           --           --      106,358

Conversion of preferred to
  common stock                   3,450,000      34,500   (34,500)  (3,450)     (31,050)          --           --           --

Contributed capital                     --          --        --       --       14,850           --           --       14,850

Net loss                                --          --        --       --           --           --     (772,545)    (772,545)
                               -----------   ---------   -------   ------   ----------   ----------   ----------   ----------

Balance, September 30, 1998     25,331,849     253,318    15,000    1,500    2,823,491   (2,394,680)    (772,545)     (88,916)
                               -----------   ---------   -------   ------   ----------   ----------   ----------   ----------
</TABLE>

                 See accompanying notes to financial statements

                                       6
<PAGE>
                         NATIONAL SCIENTIFIC CORPORATION
                          (A Development Stage Company)

            Statements of Changes in Shareholders' Equity, continued
              For the Years Ended September 30, 1999 and 1998, and
                     For the Nine Months Ended June 30, 2000

<TABLE>
<CAPTION>
                                     Common Stock        Preferred Stock
                               -----------------------  -----------------   Additional               Development
                                Number of               Number of            Paid-In    Accumulated     Stage
                                 Shares        Amount    Shares    Amount    Capital      Deficit      Deficit       Total
                                 ------        ------    ------    ------    -------      -------      -------       -----
<S>                            <C>           <C>         <C>       <C>      <C>         <C>            <C>           <C>
Balance, September 30, 1998     25,331,849     253,318    15,000    1,500    2,823,491   (2,394,680)    (772,545)     (88,916)

Stock issued for  services       3,165,000      31,650        --       --      315,979           --           --      347,629

Preferred stock offering                --          --    47,000    4,700      230,300           --           --      235,000

Exercise of warrants and
  options                          496,000       4,960        --       --       27,490           --           --       32,450

Private placement of common
  stock                            400,000       4,000        --       --       96,000           --           --      100,000

Conversion of preferred to
  common stock                   6,200,000      62,000   (62,000)  (6,200)     (55,800)          --           --           --

Common stock issued to
  collateralize loan               500,000       5,000        --       --           --           --           --        5,000

Stock converted by director's
  family member                    451,440       4,515        --       --       (4,515)          --           --           --

Net loss                                --          --        --       --           --           --     (699,085)    (699,085)
                               -----------   ---------   -------   ------   ----------   ----------   ----------   ----------

Balance, September 30, 1999     36,544,289     365,443        --       --    3,432,945   (2,394,680)  (1,471,630)     (67,922)
                               -----------   ---------   -------   ------   ----------   ----------   ----------   ----------
</TABLE>

                 See accompanying notes to financial statements

                                       7
<PAGE>
                         NATIONAL SCIENTIFIC CORPORATION
                          (A Development Stage Company)

            Statements of Changes in Shareholders' Equity, continued
              For the Years Ended September 30, 1999 and 1998, and
                     For the Nine Months Ended June 30, 2000

<TABLE>
<CAPTION>
                                     Common Stock        Preferred Stock
                               -----------------------  -----------------   Additional               Development
                                Number of               Number of            Paid-In    Accumulated     Stage
                                 Shares        Amount    Shares    Amount    Capital      Deficit      Deficit       Total
                                 ------        ------    ------    ------    -------      -------      -------       -----
<S>                            <C>           <C>         <C>       <C>      <C>         <C>            <C>           <C>
Balance, September 30, 1999     36,544,289     365,443        --       --    3,432,945   (2,394,680)  (1,471,630)     (67,922)

Stock issued for  services       1,678,151      16,781        --       --    1,148,796           --           --    1,165,577

Exercise of warrants and
  options                        2,291,000      22,910        --       --    1,981,920           --           --    2,004,830

Private placement of common
  stock                          3,765,000      37,650        --       --      712,350           --           --      750,000

Stock converted by director's
  family member                  1,128,600      11,286        --       --      (11,286)          --           --           --

Common stock to collateralize
  loan - retired                  (500,000)     (5,000)       --       --           --           --           --       (5,000)

Net loss                                --          --        --       --           --           --   (1,777,347)  (1,777,347)
                               -----------   ---------   -------   ------   ----------   ----------   ----------   ----------

Balance, June 30, 2000          44,907,040     449,070        --       --    7,264,725   (2,394,680)  (3,248,977)   2,070,138
                               ===========   =========   =======   ======   ==========   ==========   ==========   ==========
</TABLE>

                 See accompanying notes to financial statements

                                       8
<PAGE>
                         NATIONAL SCIENTIFIC CORPORATION
                          (A Development Stage Company)

                          Notes to Financial Statements
                             June 30, 2000 and 1999

1. Basis of Presentation

     The  accompanying  financial  statements have been prepared by the Company,
     without  audit,  and  reflect all  adjustments  that are, in the opinion of
     management,  necessary for a fair  statement of the results for the interim
     periods.  The  statements  have been prepared in accordance  with generally
     accepted   accounting   principles  for  interim  financial  reporting  and
     Securities and Exchange  Commission  regulations.  Certain  information and
     footnote  disclosures normally included in financial statements prepared in
     accordance  with  generally  accepted   accounting   principles  have  been
     condensed or omitted pursuant to such rules and regulations. In the opinion
     of  management,  the financial  statements  reflect all  adjustments  (of a
     normal and recurring nature) which are necessary for a fair presentation of
     the  financial  position,  results  of  operations  and cash  flows for the
     interim  periods.  The results of operations for the nine months ended June
     30, 2000 are not  necessarily  indicative of the results to be expected for
     the entire fiscal year.

     These financial statements should be read in conjunction with the financial
     statements  and  notes  thereto  included  in  the  Company's  registration
     statement on Form 10-SB for the fiscal year ended September 30, 1999.

2. Issuance of Common Stock

     During the nine months ended June 30, 2000, the Company  received  $750,000
     from a private placement of common stock. In conjunction with the offering,
     the Company issued 600,000 shares of restricted  stock valued at $72,000 to
     a principal  and a  consultant  of the  Company.  The  Company  also issued
     1,078,151 shares of restricted  common stock to consultants as compensation
     for services.  The stock was valued at 50% of the market price of the stock
     on the dates granted and earned.

3. Stock Options

     The Company  from time to time  issues  stock  options for the  purchase of
     restricted stock to directors,  officers,  employees and  consultants.  The
     Company does not have a qualified  stock option plan for its executives and
     employees.

     The Company  adopted  Statement of Financial  Accounting  Standards No. 123
     (FAS  123),  "Accounting  for  Stock-Based   Compensation,"  which  permits
     entities to recognize as expense over the vesting  period the fair value of
     all  stock-based  awards  on the  date of  grant.  Under  the  terms of the
     Company's  stock  options  granted  to  certain  directors,   officers  and
     consultants, the Board of Directors, at its sole discretion, will determine
     when certain options granted shall be fully vested and exercisable. At June
     30, 2000, all  outstanding  stock options had been deemed vested,  and were
     fully exercisable at fiscal year end.

                                       9
<PAGE>
                         NATIONAL SCIENTIFIC CORPORATION
                          (A Development Stage Company)

                          Notes to Financial Statements
                             June 30, 2000 and 1999

3. Stock Options, continued

     In  accordance  with SFAS 123, the fair value of option grants is estimated
     on the date of grant  using  the  Black-Scholes  option-pricing  model  for
     proforma footnote  purposes with the following  assumptions used for grants
     in all years;  dividend  yield of 0%,  risk-free  interest  rate of 6%, and
     expected  option life of 2.5 years.  Expected  volatility was assumed to be
     50% as of the date of issue.

                                                                      Weighted
                                                         Number       Average
                                                           Of         Exercise
                                                         Shares        Price
                                                         ------        -----
     Options Outstanding, September 30, 1999              92,000       $ .10
       Granted                                           256,000         .09
         Exercised                                      (328,000)        .09
                                                        --------
     Options Outstanding, June 30, 2000                   20,000         .10
                                                       =========

4. Shareholder Loan

     During the  quarter the  Company  entered in to a loan with a Director  and
     Officer for $200,000, bearing interest at 10% per annum and due on December
     1, 2000.

5. Net Loss Per Share

     Net loss per share is computed by dividing the loss  attributable to common
     shareholders by the weighted  average number of shares  outstanding  during
     the period,  which was assumed to be 42,794,744 and 29,429,246 for the nine
     months  ended  June 30,  2000 and 1999,  respectively.  Stock  options  and
     warrants  are  considered  anti-dilutive  and  were not  considered  in the
     calculation.

                                       10
<PAGE>
ITEM 2. MANAGEMENT'S  DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

SAFE HARBOR STATEMENT

Certain statements in this Form 10-QSB,  including information stated under Item
2  Management's  Discussion  and Analysis of Financial  Condition and Results of
Operations  constitute  "forward-looking  statements'  within the meaning of the
Private  Securities  Litigation  Reform Act of 1995 (the Act). We desire to make
available to ourselves  certain "safe  harbor"  provisions of the Act and we are
including this special note to enable us to do so.

Forward-looking  statements  in the  Form  10-QSB  or  those  included  in other
publicly available documents filed with the Securities and Exchange  Commission,
reports to our stockholders and other publicly  available  statements  issued or
released by us involve known and unknown risks,  uncertainties and other factors
which could cause our actual  results,  performance  (financial or operating) or
achievements  to differ  from the  future  results,  performance  (financial  or
operating)  or  achievements   expressed  or  implied  by  such  forward-looking
statements. Such future results are based upon management's best estimates based
upon current conditions and the most recent results of operations.

Nine Months Ended June 30, 2000 Compared to Nine Months Ended June 30, 1999

We are a development  stage company and,  therefore,  have no revenues to report
for the periods indicated above.

During the nine months ended June 30, 2000, we completed our private offering of
August 1, 1999.  We raised a total of  $830,000  for the entire  offering,  with
$750,000 of this coming in the quarter ended December 31, 1999.

We believe  that our cash  position of  $1,814,095  as of June 30,  2000,  to be
sufficient to continue operations for the next twelve months without the need to
raise additional  funds.  Such future  requirements are based upon  management's
best  estimates  based upon current  conditions  and the most recent  results of
operations.

In the next  twelve  months,  we expect to  increase  research  and  development
expenditures with additional staffing under our chief technical consultant,  Dr.
El-Sharawy.  The  purpose  of these  additional  expenditures  is to  bring  our
existing  products closer to the point of market readiness by producing  working
prototypes  along  with  design  and  process  specifications.  There  can be no
assurance  that we will be  successful  in  completing  these  tasks in the time
period estimated.

Operating  expenses for the nine months ended June 30, 2000 of $1,811,946 are up
from the similar period ended June 30, 1999, which were $287,698. This increase,
over the similar  period last year,  was  primarily due to the increase in stock
compensation  to  consultants  and a principal  for the  completion  of specific
patent related  projects and completion of the August 1, 1999 private  offering,
along with an increase in research and development costs.

                                       11
<PAGE>
Liquidity and Capital Resources

On December 31, 1999, we completed our private  offering of August 1, 1999.  The
gross  proceeds of the offering  were  $830,000.  We believe we  presently  have
sufficient capital to fund our operations.  Additional capital of $1,843,000 was
received for the nine months ended June 30, 2000, as a result of the exercise of
a portion of the  warrants  to acquire  9,650,000  shares of  restricted  common
stock.  The warrants  expire on December 31, 2000 and were issued in conjunction
with our private  offering of March 15, 1998, at an exercise  price of $1.00 per
share.  We expect that more of these  warrants will be exercised  prior to their
expiration;  however,  there can be no assurance that any more of these warrants
will be exercised.

Additionally,  $180,000  was  received  for the nine month period ended June 30,
2000,  as a result of the  exercise  of a portion  of the  warrants  to  acquire
4,250,000 shares of restricted common stock. The warrants expire on December 31,
2001 and were issued in conjunction with our private offering of August 1, 1999,
at an exercise  price of $1.50 per share.  We expect that more of these warrants
will be exercised prior to their expiration;  however, there can be no assurance
that any more of these warrants will be exercised.

Cash used in  operations  was  $743,240  for the nine months ended June 30, 2000
compared  with  $221,075  for the nine  month  period  ended  June 30,  1999.  A
substantial  portion of this increase can be attributed to the costs  associated
with the work done to bring about the filing of our Form 10-SB on  December  30,
1999,  along  with  requirements  of  on-going  development  of our SRAM  memory
product.

Year 2000

We have  conducted  a review  to  identify  which  systems,  both  internal  and
external,  may be  affected  by the "Year  2000"  problem.  The  majority of our
business  processing   applications  operate  on  individual  personal  computer
systems.  We believe that the hardware and  operating  systems are now Year 2000
compliant  as of December 31,  1999.  If the current  systems are not fully Year
2000  compliant,  we estimate that the cost  associated  with becoming Year 2000
compliant will not materially  affect our future operating  results or financial
condition.

                           PART II - OTHER INFORMATION

ITEM 2. CHANGES IN SECURITIES AND USE OF PROCEEDS

On December 31, 1999,  we  completed  our private  offering of August 1, 1999. A
total of $830,000 was raised during the offering.  We sold  4,165,000  shares of
restricted  common  stock at an  average  price of $.20 per share for the entire
offering.  Of these totals,  $750,000 was raised and 3,765,000  shares were sold
for the quarter ended December 31, 1999.

                                       12
<PAGE>
As part of this  offering,  we also  issued  4,250,000  warrants  to  purchase a
restricted  share of common  stock at a price of $1.50 for each  warrant.  These
warrants are  immediately  exercisable and they all expire on December 31, 2001.
One hundred  twenty  thousand  (120,000)  warrants have been exercised as of the
date of this filing.  The shares were sold in reliance on the exemption provided
by  Sections  4 (2) and 4 (6) of the  Securities  Act of 1933  and  Rule  506 of
Regulation D.

During the nine  months  ended June 30,  2000,  there  were  1,843,000  warrants
exercised at $1.00 each.  These  represent a portion of the  9,650,000  warrants
issued  in  conjunction  with our  Private  Offering  of March 15,  1998.  These
warrants  expire on  December  31,  2000.  Since June 30,  2000 and prior to the
filing  of this  report,  an  additional  402,500  of these  warrants  have been
exercised.  The  shares  were sold in  reliance  on the  exemption  provided  by
Sections  4 (2)  and 4 (6) of  the  Securities  Act  of  1933  and  Rule  506 of
Regulation D.

In addition,  during the nine months ended June 30, 2000,  1,678,151  restricted
shares of common stock were issued to consultants  and a principal for services,
including  600,000  restricted shares issued to a consultant and a principal for
their completion of the private offering of August 1, 1999;  328,000  restricted
shares of common stock were issued due to the  exercising of options  granted to
consultants;  and 1,128,600  restricted  shares of common stock were issued to a
principal as final payment for use of his family's unrestricted common stock for
the private offering of August 1, 1999.

ITEM 5. OTHER INFORMATION

Since the filing of Form 10-SB on December 30, 1999, our Form 10-SB amendment on
January 19, 2000,  our Form 10-QSB on February 14, 2000 and prior to filing both
our Form 10-QSB on May 5, 2000 and this Form  10-QSB,  we have  learned that the
U.S. Patent and Trademark  Office has issued a Notice of Allowance on our Static
Memory Cell With Load Circuit Using A Tunnel Diode patent application. We expect
the  patent  number to be issued  by the end of August  2000.  We have also been
informed  that the U.S.  Patent  and  Trademark  Office  has  issued a Notice of
Allowance on our Dielectric Resonator.

On April 7, 2000, the Board of Directors appointed James R. Upchurch to fill one
of the outside director positions and Vernon M. Traylor, Corporate Secretary, to
fill one of the vacant inside  director  positions.  Mr. Upchurch is currently a
Vice President/General Manager for Lucent Technologies in Phoenix, Arizona.

On April 13, 2000, a personal loan was made to L. L. Ross for  $200,000.00.  The
note is due and payable in full on December 1, 2000 and carries an interest rate
of ten percent (10%) per annum.

ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K

     (a)  Exhibits - Exhibit 27 - Financial Data Schedule

     (b)  Reports on Form 8-K - No  reports  on Form 8-K were  filed  during the
          quarter.

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<PAGE>
                                   SIGNATURES

Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.


                                        NATIONAL SCIENTIFIC CORPORATION

August 14, 2000                         /s/ L.L. Ross
DATE                                    ----------------------------------------
                                        L.L Ross
                                        Chairman of the Board, President & Chief
                                        Executive Officer

                                        /s/ Vernon M. Traylor
                                        ----------------------------------------
                                        Vernon M. Traylor
                                        Corporate Secretary

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