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

FORM 10-KSB

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

For Fiscal Year Ended December 31, 2001 or

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

Commission File No. 0-13670

TELETRAK ENVIRONMENTAL SYSTEMS, INC.
(Name of Small Business Issuer in Its Charter)

Delaware	13-3187778
(State of other jurisdiction of
(IRS Employer incorporation or organization)
Identification Number

        2 Sutton Road, Webster, MA         01570
(Address of principal executive offices) (Zip Code)

(508) 949-2430
Registrant's Telephone Number, Including Area Code
___________________

Securities registered pursuant to Section 12(g) of the Exchange
Act:

Common Stock, par value $.001
(Title of Class)

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

Check if there is no disclosure of delinquent filers pursuant to
Item 405 of Regulation S-B contained herein, and no disclosure
will be contained, to the best of the registrant's knowledge, in
definitive proxy or information statements incorporated by reference
in Part III of this Form 10-KSB or any amendment to this Form l0-KSB.
[X]
The registrant's revenues for the year ended December 31, 2001 were
$1,406,802

The aggregate market value of the voting stock held by non-affiliates
of the Registrant at March 31, 2001 was approximately $890,010 based
on the average bid and asked prices as reported by
the NASD Electronic Bulletin Board.  For these purposes, the term
"affiliates" is deemed to mean the officers and directors of the
registrant.

At March 31.2002, there were 7,713,182 shares of common stock
outstanding.

Documents Incorporated by Reference:None
Transitional Small Business Format: Yes  No X



TABLE OF CONTENTS
FORM 10-KSB / A


PAGE
PART I
Item 1. Business........................................     1
Item 2. Properties......................................     5
Item 3. Legal Proceedings...............................     5
Item 4. Submission of Matters to a Vote.................     5

PART II
Item 5. Market for Registrant's Common
Stock and Related Stockholder...........................     6
Item 6. Management's Discussion and
Analysis or Plan of Operations..........................     6
Item 7. Financial Statements............................    11
Item 8. Changes in and Disagreements
With Accountants or Accounting and
Financial Disclosure....................................    11

PART III
Item 9. Directors & Executive Officers; Compliance
With Section 16(a) of the Exchange Act..................    12
Item 10.Executive Compensation..........................    13
Item 11 Security Ownership of Certain Beneficial
Owners and Management...................................    13
Item 12 Certain Relationships and
Related Transactions....................................    14
Item 13 Exhibits, List and Reports on Form 8-K..........    15























ii


PART I

ITEM 1.  BUSINESS

FORWARD LOOKING STATMENTS

This form 10-KSB contains statements that are not historical facts.
These statements may constitute "forward-looking statements"
within the meaning of Section 27A of the Securities Act of 1933
and Section 21E of the Securities and Exchange Act of 1934 as
amended. Certain, but not necessarily all, of such forward
looking statements can be identified by the use of such words
as "believes", "expects", "may", "will", "should", or "anticipates"
or the negative thereof  or other variations thereon of similar
terminology, and/or which include, without limitation,
statements regarding the following: market expectation for future
sales, customer acceptance of Teletrak Environmental Systems,
Inc.'s products; building a sales and marketing initiative;
growth potential in the year 2001; economic and competitive
factors affecting market growth; and discussions of strategies
involving risk uncertainties that reflect management's current views.
These statements are based on many assumptions and factors and may
involve risks and uncertainties.  The actual results of the Company
or industry results may be materially different from any future
results expressed or implied by such forward looking statements
because of factors such as problems in the development of new
products; insufficient capital resources to complete development
and operate the Company; inability to successfully market and sell
the Company's products; changes in the marketplace including
fluctuations in the demand for environmentally safe projects and
tools; and changes in the economic and competitive environment.
These factors and other information contained in this Form 10-KSB
could cause such views, assumptions and factors and the Company's
results of operations to be materially different.

Background

Teletrak Environmental Systems, Inc. (the "Company") a Delaware
corporation, was organized as Teletrak Advanced Technology, Inc.
in January 1983 as a wholly-owned subsidiary of Helm Capital Group,
Inc. to develop and market software products.  Until November 1998,
however, the Company had been an inactive public company for several
years.

On July 24, 1998, the Company entered into a merger agreement
(the "Merger Agreement") with Advanced Environmental Systems, Inc.,
a Massachusetts corporation ("AES"), having a principal place of
business at 2 Sutton Road, Webster, Massachusetts 01570. Under the
terms of the Merger Agreement, a newly-formed wholly-owned
Massachusetts subsidiary of the Company merged with and into AES
with AES surviving as a wholly-owned subsidiary of the Company
(the "Merger").  Pursuant to the Merger and the Merger Agreement
the former AES stockholders received an aggregate of 3,750,000
shares of the Company's common stock in exchange for their AES stock.

As a condition to the Merger,  the Company effected a one for ten
reverse split of the Company's outstanding common stock
(the "Reverse Split").  Under the Reverse Split, the authorized
number shares of the Company's common stock, par value .001, was
reduced to 8,000,000 shares (the "Common Stock") and the number
of authorized shares of preferred stock was reduced to 2,000,000.
Subsequently, the certificate of incorporation was amended to
authorize 25,000,000 shares of Common Stock and 5,000,000 shares
of preferred stock. There are no shares of preferred stock
outstanding at this time.
1

The Company

AES specializes in the manufacture, distribution and licensing of
industrial jet pumps and related equipment.  The design of these
pumps based on jet pump technology, with no movable parts, makes
this equipment a highly effective portable tool for the removal of
granular wet or dry material (including sludge, scale, slurries,
sands and heavy shot blasting material), for a wide range of
applications across many industries including environmental
clean-up of hazardous matter such as lead and other heavy metals
and nuclear contaminants and as general maintenance tools in the
marine, transportation, chemical and waste water industries.
The motive power, compressed gases such as air or steam or
pressurized liquids such as water, oils or pulps, provides
operating flexibility for hopper loading, cleaning and submersible
application, as well as the ability to collect and transport materials
over long distances.  With no moving parts, the AES pump is designed
to be virtually maintenance free and to require no skilled labor
to operate. There are more than 1,000 pumps in use today in a wide
range of industries, including power plants, steel mills, foundries,
oil refineries, chemical and petrochemical operations, food processing
facilities, shipyards and marine vessel applications and water
treatment plants.  This same pump technology has been adapted into
an entire manufacturing line of vacuum filtering equipment for use
in hazardous sites where strict governmental standards and laws
demand that all surface preparation and removal take place in a dust
free environment.

The jet pump technology is also included in the Company's vacuums
marketed under the trade names HAZVAC and ENVIROVAC as well as in the
Company's line of abrasive blasting and recycling equipment.

In addition, the Company manufactures and distributes a full line of
shrouded, hand operated tools that attach to the Company's vacuum
filtering equipment and can be used with the Company's abrasive
blasting and recycling equipment.  These tools have been designed
to work on all surfaces and all types of construction material, both
hazardous and non-hazardous.

AES offers a complete line of equipment for remediation and surface
preparation where dust and waste generation give problems.  AES
equipment is designed to provide Point of Generation Dust Containment
and waste control.  Dust control is achieved by providing negative
air pressure and shrouds around tools or blast nozzles.  The operator
is not exposed in any way to unhealthy lead levels or dust.

Research and Development

It is the Company's policy to expense all research and development
costs as they are incurred.  Management estimates that the Company
spent approximately $50,000 and $40,000 on research and development
during 2001 and 2000, respectively.  During 2001, the Company was
reimbursed for approximately $50,000 of its research and development
costs by the Department of Energy as explained below.  These amounts
are included in the cost of goods sold and are not segregated in the
financial statements. These expenditures were in the further
development of new heads for the shrouded hand held tool line and
completing the design of the Company's abrasive blasting and recycling
equipment with special emphasis given to Point of Generation Dust
Containment.  With regular frequency, the Company is asked to develop
new applications for specific situations.  After development, the
Company retains the manufacturing rights to produce similar equipment
for other customers.   In addition, the Company has a research and
development contract with the Department of Energy whereby the
Department of Energy is required to fund certain R & D costs.  The
Company will retain ownership of all intellectual property resulting
from this contract.



Marketing and Distribution

The Company has four persons involved in sales.  The sales process
typically involves mailing of literature, follow-up communications,
technical meetings with customers, requests for proposals and
estimating and submittal of proposals for specific projects.  The
Company has developed ongoing relations with a broad range of
customers in various industries and geographical sites.  Products
are distributed directly to customers by the Company's sales staff or
through regional distribution networks.

Dependence on Third Party Suppliers and Manufacturers

The Company purchases supplies from a variety of regional sources.
The Company is not dependent on a single supplier for parts or
fabrication, and maintains a minimum of two sources for all
critical parts.

Dependence on Major Customers

The Company sells to a wide-range of industries, including power
plants, steel mills, foundries, oil refineries, chemical and
petrochemical plants, food processing facilities, shipyards and marine
vessel manufacturers and water treatment plants, and therefore is not
dependent on any one major customer.  The Company did not have sales
to any one customer in 2000 which equaled or exceeded 10% of the
Company's total sales

Competition

The industrial maintenance equipment and environmental remediation
equipment supplier industries in the United States are highly
fragmented, with numerous small and medium-sized companies serving
niche markets based upon geography, industry, media (air, water, soil,
etc.) and technological specialization.  Because the Company sells to
a wide range of industries, the Company can adapt to changes in the
marketplace by allocating its resources to the industry segment
providing the most business opportunities.  Management believes that
its key to success in the industry is the unique design of its
products which is regarded as proprietary and is based
on proven principles of physics and air/fluid dynamics creating a
vacuum/ cyclone in a pumping device that has no moving parts.  The
Company believes that this creates several advantages over most
competitive pumps by permitting applications that involve particle
sizes up to 3/4 inches in diameter, material that can cause plugging,
and transportation of pumped material for distances up to 500 feet
vertical and 1,000 feet horizontal.  The pump creates a miniature
cyclone effect and removes the desired material from one location to
another in a manner similar to a directed cyclone.  In addition, the
pump's relative small size and ease of cleaning and maintenance are
also unique and give the Company's products certain competitive
attributes.  The base core technology is also used in the Company's
vacuum and filtering products in such a manner as to remove hazardous
and non-hazardous substances in a safe and efficient manner.  The
Company will continue to focus on the application of new technology
as well as innovative applications of existing technologies to solve
complex surface preparation problems.

Management believes that the primary factors of competition are price,
technological capabilities, reputation for quality and safety,
relevant experience, availability of machinery and equipment,
financial strength and knowledge of local markets and conditions.
Management believes that with its recent acquisitions of LTC Americas
and its wholly-owned subsidiary Surface Decon LTD, the Company will
compete favorably on the basis of the foregoing factors. However,
many of the Company's competitors have financial resources and
facilities far greater than that of the Company.  Additionally,
from time to time, the Company may face competition from new entrants
into the industry.  The Company may also face competition from
technologies that may be introduced in the future, and there can be
no assurance that the Company will be successful in meeting the
challenges which will be posed by its competition in the future.

Proprietary Rights

The Company and its subsidiaries seek proprietary protection for its
products so as to prevent others from commercializing equivalent
products in substantially less time and at substantially lower
expense.  The Company's success will depend in part on the ability of
the Company to obtain effective patent protection for the Company's
proprietary technologies and products, defend such patents, preserve
its trade secrets and operate without infringing upon the proprietary
rights of others.  The Company and its subsidiaries own the following
patents and licenses:

                     Patents
Title             Applications or               Status
                  Patent Number

Sealed Waste
Transfer System
for Vacuum Blasting  5,529,530                  Patented

Sealed Waste
Transfer System
for Vacuum Blasting  5,591,067                  Patented

Bolt Head Blaster    5,667,430                  Patented

Pressure Balanced
Vacuum Blasthead     5,709,590                  Patented
Pressure Balanced
Vacuum Blasthead   European Patent Appln.
                     96936393.6                 Pending
Pressure Balanced
Vacuum Blasthead   Japanese Patent
                     Application                Pending

Air Cushioned
Vacuum Blast Head    5,833,521                  Patented

Unique Power Tool
Vacuum Tube Shutoff  5,524,663                  Patented


Licenses

Abrasive Blasting System                        5,107,630
Patented


Employees

The Company currently has approximately 5 full and part-time
employees. Major management decisions are reviewed by the
Company's Board of Directors.


ITEM 2.  PROPERTIES

Massachusetts Lease

The Company's wholly-owned Massachusetts subsidiary, AES, leases
office space at 2 Sutton Road, Webster, Massachusetts from an entity
that is owned by Gerd Reinig, Chairman of the Company's Board of
Directors, officer and substantial stockholder of the Company.  The
term of the lease is month-to-month.

ITEM 3.  LEGAL PROCEEDINGS:

The Company has a total of 8 court actions against it's wholly-owned
subsidiary, AES, for non-payment of debts totaling $38,051. The
Company is currently negotiating settlement of these debts with the
creditors involved.

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

None.




PART II

ITEM 5.  MARKET FOR THE REGISTRANT'S COMMON STOCK AND RELATED
STOCKHOLDER MATTERS

Market Information

The Company's Common Stock is traded on the OTCBB under the symbol
"TAES".
The following table sets forth the bid and ask prices for the
Company's Common Stock for the prior two year period:



                        High           Low
2001

First Quarter          $.50           $.25
Second Quarter          .43            .26
Third Quarter
Fourth Quarter          .41            .23

                        .20            .17
2000

First Quarter           .51            .31
Second Quarter          .60            .25
Third Quarter           .75            .58
Fourth Quarter          .87            .15





The ask and bid prices cited herein for 2001 and 2000 have been
obtained from the Electronic Bulletin Board quotation system of
the NASD.

At March, 31, 2002, the bid and ask prices for the Company's
Common Stock obtained from the Electronic Bulletin Board of the
NASD, were $.25 and $.20, respectively.

Holders

The Company is advised by American Stock Transfer & Trust Company,
its agent, that there were approximately 112 holders of record of
the Company's Common Stock at March 31,2002.

Dividend Policy

The Company has never paid any dividends. The Company does not
plan to pay any cash dividends in the foreseeable future.



ITEM 6.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITIONS OF OPERATIONS

	Overview

AES was initially organized as a Massachusetts corporation
January 2, 1996 for the purpose of manufacturing and marketing of
jet pumps for pumping or vacuuming of liquids, sludges and slurries
in the waste water field that may be contaminated.  Even though the
sales of these jet pumps proved successful, it soon became apparent
that the sale of the pumps as stand-alone units would limit the
applications and sales.  By late 1997 AES had developed complete
systems with the jet pump as the core product, comprising the driving
sources, vacuum and holding tanks and the control cabinets all
mounted on skids or trailers as self-contained packages.
These systems are marketed as HazVacT and EnvirovacsT and combine
advanced jet pump, vacuum and filtration technology.  The systems can
be transported for diverse applications including removal of
hazardous material.  With no moving parts the equipment requires
extremely little maintenance and can be used for vacuuming a large
variety of liquid or solid material, wet or dry.

The purpose of the merger with The Company, a public company, was to
create a means to raise the required capital to build a solid,
financially strong company which will be a dominant supplier of
equipment for industrial plant maintenance and the environmental
clean-up industry on a global basis.  This aim is to be accomplished
through acquisitions of companies manufacturing similar and
complementary equipment and through further development of the
existing product lines.


Comparison of Revenues

Fiscal Year                             2001             2000

Advanced Environmental Systems
(AES)                              $1,406,801      $2,102,956





Acquisitions

The Company completed its first acquisition in February 1999 with
the purchase of substantially all of the non-cash assets of LTC
Americas and its wholly-owned subsidiary Surface Decon Ltd.  LTC and
Surface Decon are leading suppliers of vacuum blasting equipment to
the nuclear and chemical industries.  Management believes that the
acquisition of the LTC line of vacuum blasting equipment greatly
compliments the Company's existing equipment line and gives the
Company product offering in the surface preparation industry.



Liquidity & Capital Resources

The Company has a working capital deficit of $(794,042) at
December 31, 2001 compared to $(448,603) at December 31, 2000 as a
result of lower sales for the year, in particular for the fourth
quarter.

The Company has a $400,000 revolving line of credit with a major
bank, secured by substantially all of the assets of the Company. At
December 31, 2001, the line of credit expired.The bank has granted
the Company a forbearance on this line until September 30, 2002.
The Company does not have any material commitments for capital
expenditures as of the filing of this report.

Management believes that the revenues being generated from operations
short-term lines of credit and the proceeds from the sale of Common
Stock in anticipated private placements will provide sufficient
liquidity to meet the Company's working capital needs for the
remainder of this fiscal year ending December 31,2002.

Selected Operations Data for AES follows:

                                        Years ended


                                Dec 31, 2001       Dec 31, 2000

Product Sales                    $1,406,802          $2,102,956

Cost of Sales                     1,029,898           1,265,593

Gross Profit                        238,711             837,363

SGA&A, Eng. R&D                     712,593             842,899


Loss from operations               (385,689)             (5,536)


Other income(expense)
Interest expense                     (55,769)           (67,781)
Plant closing expense                      0            (78,197)
Miscellaneous income                       0              8,663

Net Loss                            (441,458)          (142,851)

Balance Sheet Data
Current Assets                       499,880            663,116

Current Liabilities                 1,293,922         1,111,719

Working capital                      (794,042)         (448,603)

Total assets                          937,684         1,191,732

Long term obligations                   7,617             7,641

Weighted number of
shares outstanding                  7,713,182         7,713,182

Loss per common share                   (0.06)            (0.02)

Shareholders Equity                 $(369,086)           72,372




Analysis of Operations for Fiscal 2001 & 2000

Fiscal 2001

The loss of $148,851 for 2000 increased to a net loss of $441,458 for
fiscal year 2001.  This deterioration in operations can be attributed
to a significant loss of sales, particularly in the last quarter of
2001 as the market for environmental remediation experienced a severe
slowdown. The Company's gross margin deteriorated significantly as
fixed manufacturing costs represented a larger portion of the cost
of sales. The Company continued to reduce selling, general and
administrative expenses by approximately $130,000.

In early 2002, in response to the current economic conditions,the
Company decided to subcontract its manufacturing in order to
stabilize its gross margin and reduce the fixed expenses and
working capital requirement of the business.These savings will be
effective from the second quarter of 2002.


Fiscal 2000

The net loss of $671,038 for 1999 decreased to a net loss of $148,851
for fiscal year 2000.  This significant improvement in operations can
be attributed to additional sales in 2000 of approximately $153,000
and increasing the gross profit from 33% to 40%.  In addition, the
Company reduced selling, general and administrative expenses by
approximately $309,000 by streamlining the administrative and
accounting functions which resulted in reduced management and staff
in 2000.

The Company successfully completed orders for abrasive blasting,
recycling, and vacuum blasting equipment to remediate nuclear,lead,
PCB, and asbestos contamination.The equipment was sold to shipyards,
nuclear power plants, State Departments of Transportation ("DOT"),and
contractors.  During fiscal year 2000, the Company had approximately
$183,000 in sales to a contractor deleading the San Francisco Bay
Bridge.  At December 31, 2000 the company had outstanding orders for
equipment from Bechtel Corporation, the Maine DOT, and Maine Yankee
Nuclear Plant.  AES equipment is substantially reducing emissions,
operator exposure,and solid waste disposal costs wherever it is used.

Sales for the company's equipment increased 7.8% from $1,949,743 in
1999 to $2,102,956 in 2000.  The sales increase was a result of an
increase in demand for the Company's technologies.  The increase in
sales was significant in light of the fact that the Company reduced
its sales, marketing, and advertising expenses. As a result of
increased federal spending in the U.S. Department of Transportation
and the Department of Energy, as well as private sector spending in
rebuilding the infrastructure of power plants, tank farms, and
shipyards, there was substantial demand for the Companies products.


Seasonality

The Company's products are primarily used for outdoors projects and
such demand for these products is significantly reduced during the
winter season for those parts of the country that experience bad
weather.

 Revenue Recognition

Revenue from equipment sales is recognized when equipment is shipped.
Shipments on a consignment or demonstration basis are carried in
inventory until such items are sold.


Inflation

Inflation has not had a significant impact on the Company's
operations to date.


ITEM 7.  FINANCIAL STATEMENTS

The financial statements required by Regulation S-B are included in
this Annual Report on Form 10-KSB commencing on page F-1.

ITEM 8.  CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON
ACCOUNTING A FINANCIAL DISCLOSURE

The Company did not during the fiscal year ended December 31, 2001
or any subsequent period consult Carlin, Charron & Rosen, LLP
regarding the application of accounting principles to a specific
transaction.





PART III

ITEM 9.  DIRECTORS, EXECUTIVE OFFICERS, PROMOTERS AND CONTROL
PERSONS; COMPLIANCE WITH SECTION 16 (A) OF THE EXCHANGE ACT

The directors and nominees serve, if and when elected, until the next
annual shareholders meeting and until their successors are elected
and qualified.

The following table sets forth regarding the Company's directors,
executive officers and control persons:

Name                   Age      Position



Gerd E. Reinig         63       Chairman of the Board
                                and Treasurer

Gerald P. McNamara     54       Director, President and
                                Chief Executive Office
Heinz Buhr             51       Director

William McPhee         72       Director
William P. Gagnon      56       Director
Glen Wegner            63       Director


Gerd E. Reinig.  Mr. Reinig is the Chairman of the Board and is a
co-founder of AES. He has served as Director and Treasurer of AES
since its inception in 1996 and, since 1975, as President and Chief
Executive Officer of Gould & Eberhardt Corp., a prominent
manufacturer of machine tools and large gear cutting machinery.
Prior to this, he held executive and engineering  positions at Orban
Company and Lurgi Inc.  Mr. Reinig has a masters degree in mechanical
engineering from the Institute of Engineering, Frankfurt, Germany.

Gerald P. McNamara.  Mr. McNamara is the President and Chief
Executive Officer of the Company and is a founder and director of
AES. He has served as its president and chief executive officer since
its inception in 1996.  Mr. McNamara has worked in a variety of
executive positions at companies in the environmental and remediation
industry for more than 20 years.  He served as president of IPEC
Advanced Systems, a manufacturer of surface preparation and
remediation equipment from 1983 to 1993.  From 1993 to 1996,
he was a consultant to environmental equipment manufacturers.

Heinz Buhr.  Mr. Buhr is a Director of the Company and a private
investor.  He has served as Director of AES since its inception
in 1996.  Mr. Buhr, a resident and citizen of Germany, is an
investor and active partner in several real estate partnerships
and industrial development companies.  Prior to 1994, Mr. Buhr
served as president and chief executive officer of Metek GmbH,
a major supplier of brake shoes for the automotive industry.

William P. Gagnon. Mr. Gagnon is a Director of the Company and is the
president and chief executive officer of Arland Tool & Manufacturing,
Inc., a large manufacturing concern involved in Computer Numerically
Controlled machining and assembly of electrical power generation
parts.  He started with Arland in 1970 to develop numerically
controlled operations. In 1980, he was appointed chief executive
officer.  Prior to this he was a laser engineer at the American
Optical Company.

William S. McPhee.  Mr. McPhee is a Director of the Company
since 2000.  He is a professional engineer recognized as a worldwide
authority in low level surface decontamination in the nuclear
industry.  Active in the surface preparation and decontamination
field for more than 40 years, he has given numerous lectures on the
subject and owns a number of patents on vacuum blasting equipment,
shrouded blast heads and blast nozzles.

Glen Wegner.  Dr. Wegner is a Director of the Company and has served
as an advisor and director of AES since 1996.  He is also a private
investor and director of Hobie Cat, Inc. and Basic Telepresence, Inc.
He served as president and vice chairman of Optical Corporation of
America from 1990-1997.  Dr. Wegner is trained and licensed in both
law and medicine and prior to 1990 served in an executive capacity
with several successful ventures utilizing advanced technologies in
the health and environmental industries.




ITEM 10.  SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS
AND MANAGEMENT

The following table provides information as of December 31, 2001, of
each person known by the Company to be the beneficial owner of five
percent or more of the Company's Common, by each current officer
and director and all current officers and directors as a group.
Except as otherwise indicated, each named holder has,to the best of
the Company knowledge, sole voting and investment power with respect
to the shares indicated.

Name And Address        Common Stock            Percentage Of
Of Beneficial Owner     Beneficially Owned      Outstanding

Gerd Reinig             1,519,263 (1)           19.7%
c/o Teletrak
Environmental
Systems, Inc.
2 Sutton Road
Webster, MA 01570

Heinz Buhr               762,750(2)              9.9%
Am Hambuch 18
D53340 Meckenheim
Germany

Gerald McNamara          568,500(5)              7.4%
C/o Teletrak
Environmental
Systems, Inc.
2 Sutton Road
Webster, MA 01570

William Gagnon          400,000(3)               5.2%
c/o Teletrak
Environmental
Systems, Inc.
2 Sutton Road
Webster, MA 01570

Dr. Glen Wegner         337,500(4)               4.3%
c/o Teletrak
Environmental
Systems, Inc.
2 Sutton Road
Webster, MA 01570

William S. McPhee       169,566                  2.2%
c/o Teletrak
Environmental
Systems, Inc.
2 Sutton Road
Webster, MA 01570



All Officers and
Directors as a
group (6 persons)     3,757,579                 48.7%


							12


(1) Includes 1,219,263 shares of Common Stock owned by Gerd Reinig,
300,000 shares of Common Stock owned by his wife, Karola Reinig.
(2) Owned by Buhr GmbH, a German corporation, of which Mr. Buhr is
 a Partner and the Chief Executive Officer.
(3) Owned by Arland Tool & MFG, Inc., a Massachusetts corporation,
 of which Mr. Gagnon is the Chief Executive Officer.
(4) Includes 187,500 shares of Common Stock owned by Dr. Wegner,
150,000 shares of Common Stock owed by his wife, Lynn Wegner.
(5) Includes 368,750 shares of Common Stock owned by Mr. McNamara
and 199,750 shares of Common Stock owned by his wife, Tomi McNamara.


ITEM 12.  CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

The Company's wholly-owned subsidiary, AES, lease office space at
2 Sutton Road, Webster, Massachusetts from Gould & Eberhardt, a
corporation which is 90% percent owned by Gerd Reinig, the Company's
Chairman of the Board.

On August 19, 1999, the Company borrowed $150,000 from Gerd Reinig,
its Chairman, and issued a 10% promissory note representing the
$150,000 loan amount.  Under the note, interest at the rate of 10%
per annum is payable on a monthly basis and the principal is due on
demand. The principal outstanding at December, 31, 2001 was $130,000.



ITEM 13.  EXHIBITS AND REPORTS ON FORM 8-K

(a)  Exhibits

Exhibit Number       Description                    Location
3.1              Certificate of Incorporation    Incorporated by
                                                 reference to
                                                 Exhibit 3(a) to
                                                 the Company's
                                                 Registration
                                                 Statement on Form
                                                 S-1 (No. 2-84930)

3.2               Certificate of Amendment to    Incorporated by
                  Certificate of Incorporation   reference to
                                                 Exhibit 3(a) to
                                                 the Company's
                                                 Registration
                                                 Statement on Form
                                                 S-1 (No. 2-84930)

3.3               Certificate of Amendment to   Incorporated by
                  Certificate of Incorporation  reference to
                                                Exhibit 3.2(A)
                                                to the Company's
                                                Registration
                                                Statement on Form
                                                S-2 (No. 2-30374)




3.4              Certificate of Amendment to   Incorporated by
                 Certificate of Incorporation  reference to
                                               Exhibit 3.4 to
                                               the Company's
                                               Annual Report on
                                               Form 10-KSB for 1991


3.5              Certificate of Amendment      Incorporated by
                 to the Certificate of         reference to
                 Incorporation                 Exhibit B to
                                               the Company's
                                               Information Statement
                                               filed on September
                                               4, 1998

4.1              Form of Common Stock          Incorporated by
                 Warrant                       reference to
                                               Exhibit 10.2 of
                                               the Company's
                                               Form 8-K filed on
                                               February 19,1999



10.1             Agreement and Plan of Merger   Incorporated by
                 by and among AES, the          reference to
                 Company, Helm and the Merger   Exhibit 10.1 of
                 Sub, dated July 24, 1998       the Company's
                                                Form 8-K filed
                                                on February 19,1999



10.2             Asset purchase agreement by    Incorporated by
                 and among LTC, Surface Decon,  reference to
                 McPhee Fisher and LTC          Exhibit 10.2
                 Teletrak, dated February       of the Company's
                 27, 1999                       annual report on
                                                Form 10-KSB for 1998











(b) Reports on Form 8-K - None









SIGNATURES


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


Signature	Title	Date

______________________	Chairman of the Board
Gerd E. Reinig	and Treasurer

______________________	Director, President and
Gerald P. McNamara	Chief Executive Officer

______________________	Director
Heinz Buhr

______________________	Director
Glen Wegner

______________________	Director
William P. Gagnon

















TELETRAK ENVIRONMENTAL SYSTEMS, INC. AND SUBSIDIARIES

TABLE OF CONTENTS





PAGE NUMBER


Independent Auditor's Report               F-2

Financial Statements:

        Consolidated Balance Sheet         F-3

        Consolidated Statements
        of Operations                      F-4

	Consolidated Statements of Changes
        in Stockholders' Equity            F-5

	Consolidated Statements of
        Cash Flows                         F-6

	Notes to Consolidated
        Financial Statements               F-8

























F-1











INDEPENDENT AUDITOR'S REPORT

These financial statements are currently unaudited



F-2

TELETRAK ENVIRONMENTAL SYSTEMS, INC. AND SUBSIDIARIES
Consolidated Balance Sheet (Unaudited)
December 31, 2001

                                ASSETS
Current assets

Cash                                                      $    7,992

Accounts receivable,
net of allowance for doubtful
accounts of $14,084                                          153,224

Inventory, net                                               310,702
Prepaid expenses and other current assets                     27,962

                                                             499,880




Property and equipment, net                                   91,501

Other assets


Intellectual property,
patents and goodwill, net of accumulated

amortization of $35,473                                      346,303


                                                             346,303


Total assets
                                                         $   937,684

                Liabilities and stockholders' equity




Current liabilities


Bank line of credit                                   $      400,000

Current portion of long-term debt                              7,642

Note payable, stockholder                                    130,000

Accounts payable                                             257,478

Due to related parties                                       439,902

Accrued expenses and other current liabilities                71,748


                                                           1,306,770




Long-term debt, net of current portion                             -

                                                           1,306,770




Commitments and contingencies                                      -


Stockholder's equity                                        (369,086)


Total liabilities and stockholders' equity               $   937,684

                               See accompanying notes to
                            consolidated financial statements

F-3


TELETRAK ENVIRONMENTAL SYSTEMS, INC. AND SUBSIDIARIES
Consolidated Statements of Operations
For the Years Ended December 31, 2001 (unaudited) and 2000

                        2001                    2000

Net sales         $   1,406,802         $   2,102,956


Cost of goods sold    1,079,898             1,265,593


Gross profit            326,904               837,363


Operating expenses

Advertising                   0               42,669
Selling, general,
and administrative      712,593              800,230


                        712,593              842,899


Loss from operations   (385,689)              (5,536)


Other income (expense)

Interest expense        (55,769)             (67,781)
Office closing expense        -              (78,197)

Miscellaneous income                           8,663

                        (55,769)            (137,315)


Net loss            $  (441,458)         $  (142,851)


Loss per
common share              (0.06)               (0.02)



Weighted average
number of shares
outstanding           7,713,182             7,713,182








See
accompanying notes to consolidated financial statements

F-4

TELETRAK ENVIRONMENTAL SYSTEMS, INC. AND SUBSIDIARIES
Consolidate Statements of Changes in Stockholders' Equity
December 31, 2001(unaudited) and 2000


                                Additional
                        Common Stock    Paid-In         Accumulated
                        Stockholders'

                 Shares  Amount   Capital      Deficit
                 Equity

Jan. 1,2000 7,713,182  $7,694    $ 1,516,434  $ (1,308,905)  $215,223

Issuance of common stock

Net loss           -        -              -       (142,851) (142,851)


Dec 31,2000 7,713,182   7,694      1,516,434      (1,451,756)  72,372

Net loss            -       -              -       (441,458) (441,458)


Dec 31,2001 7,713,182  $7,694     $1,516,434    $(1,893,214) (369,086)






















See
accompanying notes to consolidated financial statements

F-5

TELETRAK ENVIRONMENTAL SYSTEMS, INC. AND SUBSIDIARIES
Consolidated Statements of Cash Flows
For the Years Ended December 31, 2001 (unaudited) and 2000

                           2001         2000
Cash flows from
operating activities
Net loss                $(441,458)  $(142,851)

Adjustments to
reconcile net loss
to net cash provided
by (used for) operating
activities:

Provision for doubtful
accounts                 (27,752)      (8,164)



Reserve for obsolete
inventory                 50,000        7,800



Depreciation and
amortization               64,358      66,386


(Increase) decrease in:


Accounts receivable        56,261     223,908

Inventory                 111,163     (35,674)


Prepaid expenses and
other current assets        3,410      11,103


Increase (decrease) in:


Accounts payable
and accrued liabilities    17,683    (102,722)

Due to related parties    213,257      25,083
Net cash provided by
(used for) operating
activities                 46,922      44,869


Cash flows from
investing activities

Proceeds from the sale
of rental equipment           -        23,810

Purchases of property
and equipment                 -        (1,382)

Increase in other assets      -        (6,775)

Change in cash surrender
value of life insurance       -        (11,391)
Net cash used for
investing activities          -          4,262


Cash flows from
financing activities

Net borrowings on
line of credit                -              -

Proceeds from
stockholder note
payable                       -              -

Repayments of
stockholder note payable      -           (20,000)

Repayments of
long-term debt          (43,530)          (47,450)

Proceeds from
sale of stock                 -                 -

Subscription
receivable                    -                 -
Net cash provided
by (used for)
financing activities    (43,530)           (67,450)


			                                                              F-6



TELETRAK ENVIRONMENTAL SYSTEMS, INC. AND SUBSIDIARIES
Combined Statements of Cash Flows
For the Years Ended December 31, 2001(unaudited) and 2000


                                 2001              2000
Increase(Decrease)
in cash                        3,392            (18,319)

Cash-beginning                 4,600             22,919


Cash-ending                $   7,992          $   4,600


Supplemental disclosures of cash flows information


Cash paid during
the year for interest      $ 42,769           $  67,781



See
accompanying notes to consolidated financial statements


F-7


TELETRAK ENVIRONMENTAL SYSTEMS, INC. AND SUBSIDIARIES
Notes to Consolidated Financial Statements

1.	Nature of Operations

Teletrak Environmental Systems, Inc. (Teletrak; the Company) was
incorporated on January 5,1983 as Helm Advanced Technology Center,
Inc. On November 18, 1998, Teletrak, an inactive entity at the time,
effected a name change and a merger with Advanced Environmental
Systems, Inc. (AES) (together, the Companies). The merger was
consummated through an exchange of shares that resulted in the former
AES shareholders receiving control of Teletrak.  The merger was
accounted for as a recapitalization and has been treated as a capital
transaction for accounting purposes. In accordance with the merger,
Teletrak issued 3,750,000 shares of its common stock to the
stockholders of AES in exchange for the outstanding common stock of
AES. In connection therewith, AES's historic capital accounts were
retroactively adjusted to reflect the equivalent number of shares
issued by Teletrak in the transaction while AES's historical
accumulated deficit was carried forward.

LTC Teletrak, Inc. (LTC) was incorporated on February 18, 1999 as
TES Acquisition Corp. and is a wholly-owned subsidiary of
the Company.

Teletrak, Inc. is engaged principally in the manufacturing, selling
and renting of vacuum blasting equipment throughout North America.
AES is engaged in the marketing, distribution and licensing of
industrial pumps and related equipment used primarily in
environmental remediation, also throughout North America.

Management is continuing to develop a plan to improve its cash
position by focusing its sales on profitable product lines of
environmental remediation equipment, as well as, vacuum blasting
equipment.Thus,the ultimate success of the Companies is dependent
upon their ability to increase sales and to secure financing adequate
to meet their working capital and product development needs.
Management is seeking to enhance the Companies' financial position
by obtaining permanent additional financing. Management believes
that the revenues being generated from operations, short-term lines
of credit and proceeds from the sales of common stock in anticipated
private placements will provide sufficient liquidity to meet the
Company's working capital needs for the remainder of the fiscal
year ending December 31, 2001.There can be no assurance, however,
that the Companies' operations will be sustained or be profitable in
the future,that adequate sources of financing will be available at
all, when needed or on commercially acceptable terms, or that the
Companies' product development and marketing efforts will be
successful.




F-8

 TELETRAK ENVIRONMENTAL SYSTEMS, INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements
For the Years Ended December 31, 2001 and 2000

2.	Summary of Significant Accounting Policies

Basis of Presentation
The consolidated financial statements include the accounts of
Teletrak Environmental Systems, Inc. and its wholly-owned
subsidiaries,Advanced Environmental Systems, Inc. and LTC Teletrak,
Inc. All significant intercompany balances and transactions have
been eliminated in consolidation.

	Use of Estimates
The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at
the date of the financial statements and the reported amounts of
revenues and expenses during the reporting period.  Actual results
could differ from those estimates.

Inventory
Inventory is stated at the lower of cost or market value, with cost
determined by the first-in, first-out (FIFO) method.

Property and Equipment and Depreciation Property and equipment are
stated at cost.  Depreciation is computed using the straight-line
method at rates sufficient to write off the cost of the applicable
assets over their estimated useful lives.

Revenue Recognition
Sales revenues are generally recognized when goods are shipped.
Shipments on a consignment or demonstration basis are carried in
inventory until such items are sold.

Goodwill
Goodwill is carried in accordance with FASB 142. Beginning
December 31, 2001, the company carries out an impairment test
annually. The book value of the reporting unit is compared with its
fair market value to ascertain if a deficiency exists. If a deficiency
 does exist, then goodwill is written down so that the assets
of the reporting unit, including goodwill, does not exceed its fair
market value.
The company is of the opinion that there is no impairment of goodwill
at December 31, 2001.

Advertising
Advertising costs are charged to operations when incurred.

Loss Per Common Share
In 2001 and 2000, loss per common share is computed using the weighted
average number of shares of common stock outstanding during the
period.

F-9



TELETRAK ENVIRONMENTAL SYSTEMS, INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements
For the Years Ended December 31, 2001 and 2000

2.	Summary of Significant Accounting Policies (Continued)



Research and Development
The Companies charge costs of research and development activities
to operations as incurred.

Long-Lived Assets
The Companies record impairment losses on long-lived assets used
in operations, including intangible assets, when events and
circumstances indicate that the assets might be impaired and the
undiscounted cash flows estimated to be generated by those assets
are less than the carrying amounts of those assets.

Income Taxes
The Companies account for income taxes according to the liability
method. Under this method, deferred tax assets and liabilities are
determined based on differences between financial reporting and
income tax bases of assets and liabilities and are measured using
enacted tax rates and tax laws that will be in effect when the
differences are expected to reverse.  The primary component of the
Companies' deferred tax asset as of December 31, 2001, which is fully
reserved, is a net operating loss carryforward.

3.	Concentration of Credit Risk

The Companies sell equipment throughout North America. The Companies
perform ongoing credit evaluations of customers' financial condition
and generally do not require collateral.There were no significant
receivables outstanding from one particular customer at
December 31, 2001. Receivables from one customer represent 14% of
total accounts receivable outstanding at December 31, 2000.

The Companies also have a concentration of credit represented by cash
balances in a certain large commercial bank in amounts which
occasionally exceed current federal deposit insurance limits. The
financial stability of this institution is continually reviewed by
senior management.






F-10





TELETRAK ENVIRONMENTAL SYSTEMS, INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements
For the Years Ended December 31, 2001 and 2000

4.	Inventory

Inventory consists of the following:

Finished goods                  $  103,128
Components and
replacement parts                  290,374
                                   393,502
Less - inventory reserves           82,800
		Total		$  310,702


5.	Property and Equipment

The major components of property and equipment are:

Machinery and equipment         $  205,248
Motor vehicles                      21,557
Office equipment                    81,120
Rental equipment                    17,430
                                   325,355
Less - accumulated depreciation    233,854

 Net property and equipment      $  91,501


6.	Bank Line of Credit

AES had a revolving bank loan obtained pursuant to a $400,000 demand
line of credit, secured by all of its assets, which expired on
December 31, 2000. Subject to various provisions of the loan
agreement, including timely payment of interest and certain financial
and operating covenants, no principal payment is required unless the
borrowing base fails to exceed the amount advanced on the loan. The
covenants include restrictions on the Companies regarding additional
indebtedness, dividends and distributions, mergers and acquisitions
and purchase of property and equipment and require the Companies to
meet certain financial ratios. Borrowings permitted under the line
of credit are based on certain accounts receivable and inventory
levels. Interest on amounts outstanding is calculated at the bank's
base rate plus 1.50% (11.0% at December 31, 2000) and is payable
monthly in arrears.

At December 31, 2001, AES was not in compliance with either of its
required financial covenants. The Company has obtained a forbearance
agreement from the bank until September 30, 2002.
F-11


TELETRAK ENVIRONMENTAL SYSTEMS, INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements
For the Years Ended December 31, 2001 and 2000


7.	Long-Term Debt

Long-term debt consists of the following:

Teletrak and LTC note payable to a stockholder
in monthly installments of $2,581 including  interest
at 10% per annum through March 2002.                    $7,641
                                                         7,641
                Less - current maturities                7,641
                Long-term portion                       $    -


8.	Related Party Transactions

Note Payable, Stockholder
The balance represents cash advanced to the Companies by a
stockholder under a promissory note payable on demand. Interest
on the unpaid balance is payable monthly at 10% per annum. During
2001 and 2000, the Companies accrued interest of approximately
$13,000 and $14,500, respectively.

Due to Related Parties
The balance represents amounts due to three entities controlled by
three separate Company stockholders as follows:

Balance at December 31, 2001

The Companies rent their premises and purchase supplies
($24,000 and $129,959, respectively, during 2001 and
$0 and $25,992, respectively during 2000) from the
first entity. $87,500 of the total due to this related party
is for unpaid rent at December 31, 2001.                  $  260,051

The Companies purchase supplies from the second entity
($27,104 in 2001 and $16,873 in 2000).                        93,429

The Companies purchased inventory ($17,239 in 2001 and
($44,758 in 2000) from the third entity, which also earned
commissions on sales of the Companies' products ($14,962
in 2001 and $14,750 in 2000).                                 86,422
                                                           $ 439,902


                                                         F-12


TELETRAK ENVIRONMENTAL SYSTEMS, INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements
For the Years Ended December 31, 2001 and 2000
 9. Income Taxes

During 2001, the Company recorded deferred tax assets for the benefit
of net operating losses in the amount of $132,000.  The cumulative
amount of these assets, which is $433,000 at December 31, 2001, is
fully reserved.  Due to the Company's history of operating losses,
management has concluded that realization of the benefit is not
likely. The Company's ability to utilize its net operating loss
carryforwards may be subject to an annual limitation in future
periods pursuant to Section 382 of the Internal Revenue Code of
1986, as amended, if additional transactions and/or ownership
changes take place.  Net operating losses of the pre-merger public
entity, old Teletrak, are subject to a Section 382 limitation and
any potential benefit is considered de minimis.

The reconciliation of income tax attributable to operations computed
at the U.S. federal statutory tax rates to the Company's effective
income tax rate for the years ended December 31, 2001 and 2000 is as
follows:

Tax benefit at U.S. statutory rates                     (34.0)%

State income tax benefit, net of federal tax effect      (6.0)%

Effect of net operating loss carryforwards/
valuation allowance                                      40.0%

Total                                                     0.0%

At December 31, 2001, the Company has federal net operating loss
carry forwards of $1,635,000 which begin to expire in the year 2013.
Additionally, the Company has Massachusetts state net operating
losses to carry forward which expire as follows:

Year Ending
December 31,    Amount
2002       $   427,000
2003           113,000
2004           607,000
2005           157,000
2006           331,000
            $1,635,000





                                                F-13


TELETRAK ENVIRONMENTAL SYSTEMS, INC. AND SUBSIDIARIES

Notes to Consolidated Financial Statements
For the Years Ended December 31, 2001 and 2000


10.	Stockholders' Equity

Preferred Stock
There are 5,000,000 authorized shares of cumulative preferred stock
with a par value of $.001. There are no shares issued or outstanding
at December 31, 2000 or 1999. The preferred stock has a liquidation
value at par plus accrued dividends, if any, and is non-voting stock.

Common Stock
Common stock consists of voting stock with a par value of $.001.There
are 25,000,000 shares authorized with 7,713,182 shares issued and
outstanding at December 31, 2001 and 2000.

Warrants
At December 31, 2000 the Company has outstanding 2,386,466 warrants,
each to purchase one share of common stock at $2.00 per share. The
warrants are exercisable through September 27, 2001. The warrants are
redeemable at $.05 per warrant at the Company's option if the common
shares trade for three consecutive days at $3.00 per share on any
national securities exchange or if the average bid and asked price of
the common shares in the over the counter markets is over $3.00 per
share for three consecutive trading days.

All of the above warrants have expired without being exercised as
of December 31, 2001.

11.	Acquisition

In February, 1999 the Company purchased, through its wholly-owned
subsidiary,LTC Teletrak, Inc., designated assets (including inventory,
property and equipment and certain intangible assets) of a company
and its subsidiary that manufactured, sold and rented vacuum blasting
equipment.The acquisition was accounted for as a purchase and is
included with the Companies' operations from February 28, 1999
through December 31, 1999.  The total purchase price was $500,000
and consisted of $211,000 in cash, $80,000 in promissory notes
bearing interest at 10% per annum and payable in 36 equal monthly
installments and 209,000 shares of common stock.  The purchase price
was allocated among the tangible and intangible assets acquired based
on their fair values.  In addition, the Company assumed the seller's
related service contracts and a supply contract, which was
subsequently canceled.



                                  F-14


TELETRAK ENVIRONMENTAL SYSTEMS, INC.  AND SUBSIDIARIES

Notes to Consolidated Financial Statements
For the Years Ended December 31, 2000 and 1999

11.	Acquisition (Continued)

The total purchase price was allocated as follows:

Inventory, including rental equipment   $ 100,000
Office equipment                           25,000

Intangible assets (goodwill)              375,000

                                        $ 500,000

During the period from February 28, 1999 through December 31,1999,
LTC Teletrak, Inc. had a net loss of $101,000 and revenues of
$211,000.  In addition, the acquired business had unaudited net
losses for the five-month period ended February 28, 1999 and the
year ended September 30, 1998 of $206,000 and $465,000,
respectively, with unaudited revenues in those periods of $313,000
and $1,101,000, respectively.

12.	Office Closing Expense

During the first quarter of 2000, the Company closed an office in
Virginia.  Office closing expense consists of the write-off of
inventory which was purchased when the Company purchased LTC and was
subsequently determined to be worthless and rental costs to store
certain inventory and office equipment, which were later moved to
Massachusetts.  These costs are shown within other income and expense
as they do not relate to normal recurring business operations.











F-15


SIGNATURES


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


Signature	Title	Date

______________________	Chairman of the Board
Gerd E. Reinig

______________________	Director, President and
Gerald P. McNamara	Chief Executive Officer

______________________	Director
Heinz Buhr

______________________	Director
Glen Wegner

______________________	Director
William P. Gagnon


















F-16