U.S. 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 September 30, 2003

[_]  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:0-25429

                      Diversified Product Inspections, Inc.
                     ---------------------------------------
                     (Exact name of small business issuer as
                            specified in its charter)

          Florida                                              65-0832025
- ---------------------------------                    -----------------------
(State of other jurisdiction of                             (IRS Employer
incorporation or organization)                             Identification No.)


                                  3 Main Street
                               Oak Ridge, TN 37830
                  --------------------------------------------
                    (Address of principal executive offices)


                                 (865) 482-8480
                           ---------------------------
                           (Issuer`s telephone number)


              -----------------------------------------------------
              (Former name, former address, and former fiscal year,
                          if changed since last report)

         Check whether the issuer (1) filed all reports required to be filed by
Section 13 or 15 (d) of the Exchange Act during the past 12 months (or for such
shorter period that the registrant was required to file such reports), and (2)
has been subject to such filing requirements for the past 90 days.

                                            Yes _X_    No ___

         As of November 12, 2003, there were 14,961,457 shares of common stock,
$0.01 par value, issued and outstanding.

<PAGE>


                         PART I - FINANCIAL INFORMATION

ITEM  1.   FINANCIAL  STATEMENTS




                          Index to Financial Statements




Condensed Consolidated Balance Sheets...............................F-2
Condensed Consolidated Statements of Operations.....................F-3
Condensed Consolidated Statements of Cash Flows.....................F-4
Notes to Condensed Consolidated Financial Statements................F-5









                                      F-1

<PAGE>


<TABLE>
<CAPTION>

                      Diversified Product Inspections, Inc.

                      Condensed Consolidated Balance Sheets

                                                                          September 30        December 31
                                                                              2003                2002
                                                                       ----------------------------------------
                                                                          (Unaudited)

<S>     <C>                                                                     <C>                 <C>
Assets
Current assets:
   Cash                                                                      $   122,717        $   115,018
   Accounts receivable, net of reserve for doubtful accounts of
     $55,000 in 2003 and $39,000 in 2002                                         332,292            259,641
   Prepaid expenses and other current assets                                       2,221              2,221
                                                                       ----------------------------------------
 Total current assets                                                            457,230            376,880

Property and equipment:
   Equipment, furniture and fixtures                                             248,053            195,279
   Vehicles                                                                       97,737             97,737
   Leasehold improvements                                                         22,727             22,727
   Construction in progress                                                       33,250                  -
                                                                       ----------------------------------------
                                                                                 401,767            315,743
   Less accumulated depreciation and amortization                                240,670            189,234
                                                                       ----------------------------------------
Net property and equipment                                                       161,097            126,509

Other assets                                                                       4,400              4,400
                                                                       ----------------------------------------
Total assets                                                                 $   622,727       $    507,789
                                                                       ========================================

Liabilities and stockholders' deficit
Current liabilities:
   Lines of credit                                                            $   20,490        $    83,863
   Accounts payable and accrued expenses                                         113,279            170,190
   Accrued salaries                                                               26,942             22,561
   Advance from stockholder                                                        2,020             14,000
   Current portion of notes payable                                               13,582             17,338
   Current portion of capital lease obligation                                     3,390              3,014
                                                                       ----------------------------------------
Total current liabilities                                                        179,703            310,966

Notes payable, less current portion                                               15,148             22,648
Capital lease obligation, less current portion                                     7,792             10,368
Convertible debt, net of discount of $5,000                                      295,000            295,000
                                                                       ----------------------------------------
Total liabilities                                                                497,643            638,982

Stockholders' equity (deficit):
   Common stock, par value $0.01 per share --authorized 50,000,000 shares,
     issued and outstanding 14,961,457 shares
                                                                                 149,615            149,615
   Additional paid-in capital                                                  1,620,328          1,620,328
   Accumulated deficit                                                        (1,453,466)        (1,709,743)
   Deferred stock issuance costs                                                (191,393)          (191,393)
                                                                       ----------------------------------------
Total stockholders' equity (deficit)                                             125,084           (131,193)
                                                                       ----------------------------------------
Total liabilities and stockholders' equity (deficit)                          $  622,727         $  507,789
                                                                       ========================================

See accompanying Notes to Condensed Consolidated Financial Statements.

                                      F-2
</TABLE>

<PAGE>

<TABLE>
<CAPTION>

                      Diversified Product Inspections, Inc.

           Condensed Consolidated Statements of Operations (Unaudited)



                                                            Three months ended                      Nine months ended
                                                               September 30                           September 30
                                                         2003                2002               2003                2002
                                                  -------------------------------------------------------------------------------
<S>                                                       <C>                 <C>                 <C>               <C>

Revenues                                               $ 671,709            $512,667           $1,840,578        $1,402,929

Operating expenses:
   Salaries                                              319,547             260,447              858,726           700,935
   Depreciation and amortization                          16,500              17,360               51,436            52,081
   General and administrative                            233,361             236,219              650,158           771,930
                                                  -------------------------------------------------------------------------------
 Total operating expenses                                569,408             514,026            1,560,320         1,524,946
                                                  -------------------------------------------------------------------------------

 Operating income (loss)                                 102,301              (1,359)             280,258          (122,017)

 Interest expense                                         (6,870)             (5,630)             (23,981)          (76,919)
                                                  -------------------------------------------------------------------------------

Net income (loss)                                       $ 95,431           $  (6,989)          $  256,277        $ (198,936)
                                                  ===============================================================================

 Basic and diluted earnings (loss) per common
   share                                              $    0.01           $        -         $    0.02         $     (0.01)
                                                  ===============================================================================




See accompanying Notes to Condensed Consolidated Financial Statements.

</TABLE>


                                      F-3


<PAGE>
<TABLE>
<CAPTION>

                      Diversified Product Inspections, Inc.

           Condensed Consolidated Statements of Cash Flows (Unaudited)




                                                                                     Nine months ended
                                                                                       September 30
                                                                                 2003                 2002
                                                                         ------------------------------------------
<S>                                                                               <C>                    <C>

Operating activities
Net income (loss)                                                                $256,277            $(198,936)
Adjustments to reconcile net income (loss) to net cash
   provided by (used in) operating activities:
     Depreciation and amortization                                                 51,436               52,081
     Provision for bad debts                                                       16,000                    -
     Interest expense on convertible debt issued at a conversion rate
       below market value                                                               -               50,205
     Changes in operating assets and liabilities:
       Accounts receivable                                                        (88,651)            (118,499)
       Prepaid expenses and other assets                                                -               (2,130)
       Accounts payable and accrued expenses                                      (56,911)              67,230
       Accrued salaries                                                             4,381                    -
                                                                         ------------------------------------------
Net cash provided by (used in) operating activities                               182,532             (150,049)

Investing activities
Purchases of property and equipment                                               (86,024)                   -

Financing activities
Payments on shareholder advance                                                   (11,980)              (2,000)
Net payments on lines of credit                                                   (63,373)             (34,885)
Proceeds from convertible debt                                                          -              200,000
Principal payments of notes payable and capital lease
   obligation                                                                     (13,456)             (22,141)
Proceeds from sale of common stock                                                      -               25,000
                                                                         ------------------------------------------
Net cash (used in) provided by financing activities                               (88,809)             165,974
                                                                         ------------------------------------------

Net increase in cash                                                                7,699               15,925

Cash at beginning of period                                                       115,018               46,016
                                                                         ------------------------------------------
Cash at end of period                                                            $122,717            $  61,941
                                                                         ==========================================



Supplemental disclosure of cash flow information

Cash paid for interest during the period                                         $ 23,981           $   26,714
                                                                         ==========================================


See accompanying Notes to Condensed Consolidated Financial Statements.
</TABLE>
                                      F-4

<PAGE>


                      Diversified Product Inspections, Inc.


Notes to Condensed Consolidated Financial Statements (Unaudited)



1.  Basis of Presentation

The accompanying unaudited condensed consolidated financial statements of
Diversified Products Inspections, Inc. (the "Company") have been prepared in
accordance with accounting principles generally accepted in the United States of
America for interim financial information and pursuant to the rules and
regulations of the Securities and Exchange Commission. Accordingly, they do not
include all of the information and footnotes required by accounting principles
generally accepted in the United States of America for complete financial
statements. In the opinion of management, all adjustments (consisting of normal
recurring accruals) considered necessary for a fair presentation have been
included. Operating results for the three and nine month periods ended September
30, 2003 are not necessarily indicative of the results that may be expected for
the year ended December 31, 2003.

The balance sheet at December 31, 2002 has been derived from the audited
financial statements at that date but does not include all of the information
and footnotes required by accounting principles generally accepted in the United
States of America for complete financial statements.

For further information, refer to the consolidated financial statements and
footnotes thereto included in the Company's annual report on Form 10-KSB for the
year ended December 31, 2002.

2.       Commitments and Contingencies

The Company currently leases its office and warehouse under an agreement
classified as an operating lease. Under the terms of the lease agreement, the
Company is obligated to purchase the office and warehouse if the Company
receives $3,000,000 in proceeds from a private placement offering. The purchase
price will range from between $1,553,276 and $1,607,640, depending on the year
the purchase takes place. This purchase obligation expires on December 31, 2004.

During June 2003, the Company entered into an agreement with another company for
the development and design of certain software. At September 30, 2003, the
Company had a remaining commitment of approximately $14,000 related to this
agreement.

3.    Income Tax Provision

Due to the Company's net operating loss carry-forwards, no provision for income
taxes is required for the three and nine months ended September 30, 2003.





                                      F-5

<PAGE>

                      Diversified Product Inspections, Inc.


Notes to Condensed Consolidated Financial Statements (continued) (Unaudited)



4.       Earnings (Loss) Per Share Data

Basic earnings (loss) per share assumes no dilution and is computed by dividing
loss available to common stockholders by the weighted average number of common
stock outstanding during each period. Diluted earnings per share reflect, in
periods in which they have a dilutive effect, the effect of common shares
issuable upon the exercise of stock options or warrants, using the treasury
stock method of computing such effects and contingent shares, or conversion of
convertible debt.

The following table sets forth the computation of basic and diluted earnings
(loss) per share for the periods indicated:
<TABLE>
<CAPTION>


                                                     Three months ended                    Nine months ended
                                                       September 30                          September 30
                                                 2003                2002              2003               2002
                                          ----------------------------------------------------------------------------
<S>                                             <C>                   <C>                <C>                 <C>

Basic:
   Net income (loss)                         $      95,431      $       (6,989)     $     256,277     $    (198,936)
   Average shares outstanding
                                                14,961,457          14,955,207         14,961,457        14,693,087
                                          ----------------------------------------------------------------------------
   Basic earnings (loss) per share          $         0.01      $            -     $         0.02    $        (0.01)
                                          ============================================================================

Diluted:
   Net income (loss)                        $       95,431      $       (6,989)    $      256,277    $     (198,936)
   Add interest on convertible debt
                                                     1,500                   -              4,500                 -
                                          ----------------------------------------------------------------------------
                                            $       96,931      $       (6,989)    $      260,777    $     (198,936)
                                          ============================================================================

   Average shares outstanding                   14,961,457          14,955,207         14,961,457        14,693,087
   Effect  of  dilutive  stock  options -
     based on
     treasury stock method                         643,750                   -            643,750                 -
   Assumed conversion of 6% convertible
     debt                                          208,333                   -            208,333                 -
                                          ----------------------------------------------------------------------------
   Total                                        15,813,540          14,955,207         15,813,540        14,693,087
                                          ============================================================================
   Diluted earnings (loss) per share
                                            $        0.01       $            -     $         0.02    $        (0.01)
                                          ============================================================================


</TABLE>


                                      F-6


<PAGE>


Item 2. Management`s Discussion and Analysis of Results of Operations

Introduction

  This Quarterly Report on Form 10-QSB for the period ended September 30, 2003
should be read in conjunction with our unaudited financial statements included
as part of this Form 10-QSB Report. This report contains forward-looking
statements which are described and defined below.

General

We  specialize  in  conducting  investigations and laboratory analysis of a wide
variety  of  products to determine the cause and origin of product failures. Our
primary customers consist of national insurance companies that are interested in
subrogating  claims  to  recover losses. Subrogation is a legal principle, which
provides  that,  to  the  extent  an  insurer  has  paid for a loss, the insurer
receives  the  policyholder`s  right to recover from any third party that caused
the  loss. We have accumulated a large database of known defective products that
includes  photos  and other documentation that are used in their investigations.
Additionally,  we  provide  for the storage of evidence and derive revenues from
the  secure  storage  of  materials.

On  June  26, 2002, we changed our fiscal year end from the last day in February
to  December 31. We changed our fiscal year to conform to the fiscal year of our
subsidiary,  Diversified  Product  Investigations,  Inc.


<PAGE>
 Financial Position

Our net accounts receivable has increased by approximately $73,000 between
December 31, 2002 and September 30, 2003, primarily as a result of our increase
in revenues discussed below. Additionally, through the third quarter of 2003, we
purchased additional computer and other equipment and contracted for the
development and design of certain software with a total cost of approximately
$46,000. At September 30, 2003, approximately two-thirds of this software
development and design process was complete, and accordingly, we have recorded
$33,250 as construction in progress. As a result of our year-to-date net income
and related positive cash flows, we have continued our successful efforts to
reduce our lines of credit balances, account payable and accrued expenses and
our advance from a stockholder balances. Accordingly, these amounts have
decreased by approximately $128,000 since December 31, 2002.

Statement of Operations

Primarily due to our continued marketing efforts, the Company has successfully
increased our revenues for the three and nine months ended September 30, 2003 by
31% compared to the same periods in 2002. Additionally, while attaining this
revenue growth, our total operating expenses have increased for the three and
nine months ended September 30, 2003 only by 11% and 2%, respectively, compared
to the same periods in 2002. The primary reason for the decrease in operating
expenses as a percentage of revenues was related to lower general and
administrative expenses despite higher salaries expense as we have increased our
number of employees. As a result of our efforts, we have produced net income for
the three and nine months ended September 30, 2003 compared to losses in the
same periods in 2002.

Liquidity and Capital Resources

Prior to 2003, the Company`s operations had been funded primarily from the
issuance of its common stock for cash and proceeds from convertible debt. As
previously discussed, cash flow results for the three and nine months ended
September 30, 2003 were sufficient to fund operating costs and to reduce our
current liabilities.

<PAGE>

We are not aware of any material trend, event or capital commitment, which would
potentially  adversely affect our liquidity. In the event such a trend develops,
we  believe  that  we  will  have  sufficient funds available to satisfy working
capital  needs through lines of credit and the funds expected from equity sales.

Forward-Looking Statements

     This Form 10-QSB includes  "forward-looking  statements" within the meaning
of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities  Exchange  Act of  1934,  as  amended.  All  statements,  other  than
statements of historical  facts,  included or  incorporated by reference in this
Form 10-QSB which address  activities,  events or developments which the Company
expects or anticipates will or may occur in the future, including such things as
future capital expenditures  (including the amount and nature thereof),  finding
suitable merger or acquisition candidates, expansion and growth of the Company`s
business  and operations, and other such matters are forward-looking statements.
These  statements  are  based  on  certain  assumptions and analyses made by the
Company  in  light  of  its  experience and its perception of historical trends,
current  conditions and expected future developments as well as other factors it
believes  are  appropriate in the circumstances. However, whether actual results
or  developments will conform with the Company`s expectations and predictions is
subject  to  a  number  of  risks and uncertainties, general economic market and
business  conditions;  the  business opportunities (or lack thereof) that may be
presented  to  and  pursued  by  the Company; changes in laws or regulation; and
other  factors,  most  of  which  are  beyond  the  control  of  the  Company.
Consequently, all of the forward-looking statements made in this Form 10-QSB are
qualified  by these cautionary statements and there can be no assurance that the
actual  results  or developments anticipated by the Company will be realized or,
even  if substantially realized, that they will have the expected consequence to
or  effects on the Company or its business or operations. The Company assumes no
obligations  to  update  any  such  forward-looking  statements.

Item 3.  Controls  And  Procedures

DISCLOSURE CONTROLS AND PROCEDURES

The  Company's Chief Executive Officer and Chief Financial Officer are primarily
responsible  for  the accuracy of the financial information that is presented in
this  Quarterly  Report  on Form 10-QSB. Each of them has, within 90 days of the
filing  date  of  this  Quarterly  Report,  evaluated  the  Company's disclosure
controls and procedures, as defined in the rules of the SEC, and have determined
that  such  controls  and  procedures  were  effective in ensuring that material
information  relating  to the Company and its consolidated subsidiaries was made
known  to  them  during  the  period  covered  by  this  Quarterly  Report.

INTERNAL CONTROLS

To meet  their  responsibility  for  financial  reporting,  the CEO and CFO have
established  internal controls and procedures which they believe are adequate to
provide reasonable  assurance that the Company's assets are protected from loss.

THERE WERE NO  SIGNIFICANT  CHANGES IN COMPANY'S  INTERNAL  CONTROLS OR IN OTHER
FACTORS THAT COULD SIGNIFICANTLY AFFECT INTERNAL CONTROLS SUBSEQUENT TO THE DATE
OF THE CEO'S AND CFO'S MOST RECENT EVALUATION.



<PAGE>
                                     PART II



Item 1. Legal Proceedings.

The Company knows of no legal proceedings to which it is a party or to which any
of  its property is the subject which are pending, threatened or contemplated or
any  unsatisfied  judgments  against  the  Company.


Item 2. Changes in Securities

No  shares  of  the Company`s common stock were issued by the Company during the
three  month  period  ended September 30, 2003.

Item 3. Defaults in Senior Securities

         None

Item 4. Submission of Matters to a Vote of Security Holders.

         None.

<PAGE>

Item 5. Other Information


       None

Item 6. Exhibits and Reports on Form 8-K

(a)  Exhibits

  31  Certification of Chief Financial Officer pursuant to Section 302
      of Sarbanes-Oxley Act.

Certification of Chief Executive Officer pursuant to  18 U.S.C.
      Section  1350,  as  adopted  pursuant  to Section 906 of Sarbanes-
      Oxley Act.


(b)  The Company did not file a Report on Form 8-K  for the third  quarter
     ended September 30, 2003.



<PAGE>

                                   SIGNATURES


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

                             Diversified Product Inspections, Inc.
                                      (Registrant)


Date: November 12, 2003     /s/ John Van Zyll
                           ------------------------------------------
                           John Van Zyll
                           President, Chief Executive Officer and Chairman
                           (Principal Executive Officer and
                            Principal Accounting Officer)