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

                                  FORM 10-QSB/A

                   QUARTERLY REPORT UNDER SECTION 13 or 15 (d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

                  For the quarterly period ended June 30, 2005
                        Commission file number 333-63432

                                 Organetix, Inc.
        (Exact name of small business issuer as specified in its charter)


             Delaware                                73-1556428
(State or other jurisdiction of                   (I.R.S. Employer
incorporation or organization)                   Identification No.)

       Suite 200, 603 - 7th Avenue S.W., Calgary, Alberta, Canada T2P 2T5
               (Address of principal executive offices) (Zip Code)
               Issuer's telephone number: (403) 261-8888 ext# 224
                    (Address of principal executive offices)

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

Check whether the issuer (1) has 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
|_|

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

The number of shares of the issuer's outstanding common stock, which is the only
class of its common equity, on December 23, 2005 was 86,382,447.

                                       1
<PAGE>


                                 ORGANETIX, INC.
                           A Development Stage Company

<TABLE>
<CAPTION>
                                                                                                              PAGE(S)
<S>                                                                                                           <C>
PART I   FINANCIAL INFORMATION

Item 1.  Financial Statements:

           Balance Sheets - June 30, 2005 (unaudited) and December 31, 2004                                      3.

           Statements of Operations (unaudited) - Six and Three Months Ended June 30, 2005 and 2004
            and the Period from Inception (May 28, 2003) to June 30, 2005                                        4.

           Statements of Cash Flows (unaudited) - Six Months ended June 30, 2005 and 2004 and the
            Period from Inception (May 28, 2003) to June 30, 2005                                                5.

           Notes to Interim Financial Statements (unaudited)                                                     6.

Item 2.  Management's Discussion and Analysis of Financial Condition and Results of Operations                   9.

Item 3.  Controls and Procedures                                                                                13.

PART II  OTHER INFORMATION                                                                                      14.

         Signatures                                                                                             14.

         Exhibits
</TABLE>

                             See accompanying notes.

                                       2
<PAGE>

Part 1 - FINANCIAL INFORMATION

Item 1 - FINANCIAL STATEMENTS

                                 ORGANETIX, INC.
                          (A Development Stage Company)
                                 BALANCE SHEETS

<TABLE>
<CAPTION>
                                                                                                       June 30,         December 31,
                                                                                                        2005               2004
                                                                                                     (unaudited)         (Audited)
                                                                                                     -----------        -----------
<S>                                                                                                  <C>                <C>
                                                              ASSETS
CURRENT ASSETS:
Cash                                                                                                 $     4,700        $    57,495
Research and development supplies                                                                         61,914             72,108
Prepaid expenses                                                                                          54,240             22,447
                                                                                                     -----------        -----------
TOTAL CURRENT ASSETS                                                                                     120,854            152,050

FIXED ASSETS:
Transportation equipment - net of accumulated depreciation of $10,000 and $5,000                          20,000             25,000
respectively

OTHER ASSETS:
License agreement - net of accumulated amortization of $125,875 and $98,500                            2,064,125          2,091,500
respectively
                                                                                                     -----------        -----------
                                                                                                     $ 2,204,979        $ 2,268,550
                                                                                                     ===========        ===========

                                               LIABILITIES AND SHAREHOLDERS' EQUITY

CURRENT LIABILITIES:
Accounts payable and accrued expenses                                                                $   202,595        $    47,756
Due to affiliate                                                                                         251,966            161,966
Due to Peru - Operations                                                                                   6,200                 --
Loan Payable                                                                                              99,325                 --
                                                                                                     -----------        -----------
TOTAL CURRENT LIABILITIES                                                                                560,086            209,722
                                                                                                     -----------        -----------

COMMITMENTS AND CONTINGENCIES

SHAREHOLDERS' EQUITY:
Common stock, $.0001 par value; 150,000,000 shares authorized; 84,962,447  shares
issued and outstanding in 2005 and 2004                                                                    8,496              8,496
Additional paid-in capital                                                                             3,861,840          3,685,340
Deficit accumulated during the development stage                                                      (2,225,443)        (1,635,008)
                                                                                                     -----------        -----------
                                                                                                       1,644,893          2,058,828
                                                                                                     -----------        -----------
                                                                                                     $ 2,204,979        $ 2,268,550
                                                                                                     ===========        ===========
</TABLE>

                             See accompanying notes.

                                       3
<PAGE>

                                 ORGANETIX, INC.
                          (A Development Stage Company)
                            STATEMENTS OF OPERATIONS
                                   (Unaudited)

<TABLE>
<CAPTION>
                                                    For the
                                                   Cumulative
                                                   Period From
                                                   Inception
                                                     (May 28,       Six months      Three months      Six months      Three months
                                                    2003) to           ended            ended            ended           ended
                                                  June 30, 2005    June 30, 2005    June 30, 2005    June 30, 2004    June 30, 2004
                                                  -------------    -------------    -------------    -------------    -------------

REVENUES                                           $          0     $          0     $          0     $          0     $          0
                                                   ------------     ------------     ------------     ------------     ------------
<S>                                                <C>              <C>              <C>              <C>              <C>
COSTS AND EXPENSES:
Operating expenses - research facility                  174,236           40,626           18,000           44,790           27,790
Research and development expenses                       877,665          209,747           95,930          332,637          296,062
Consulting fees                                         281,528           90,000           45,000           60,000           25,000
Professional fees                                       262,896           68,408           53,880           49,065           31,300
Travel and accommodations                               109,504           18,246            5,045           22,085            8,806
Telephone                                                25,937            3,606              992            6,112            3,361
Insurance                                                57,329           22,907           10,770            4,170           18,992
Rent                                                     25,952            7,134            3,653            7,652            4,477
Shipping expense                                          5,229              912              352              825              682
Office and other expense                                106,312           35,461           15,389           16,420            8,332
Marketing and public relations                          162,980           61,013              471           20,562              162
Depreciation and amortization expense                   135,875           32,375           16,187           27,375           13,688
                                                   ------------     ------------     ------------     ------------     ------------
                                                      2,225,443          590,435          265,669          591,693          438,652
                                                   ------------     ------------     ------------     ------------     ------------

NET LOSS                                           $ (2,225,443)    $   (590,435)    $   (265,669)    $   (591,693)    $   (438,652)
                                                   ============     ============     ============     ============     ============

LOSS PER SHARE:


Basic and diluted                                                   $      (0.01)    $         --     $      (0.01)    $      (0.01)
                                                                    ============     ============     ============     ============

Weighted average number of common
shares outstanding                                                    84,962,447       84,962,447       47,656,991       81,382,807
                                                                    ============     ============     ============     ============
</TABLE>

                             See accompanying notes.

                                       4
<PAGE>

                                 ORGANETIX, INC.
                          (A Development Stage Company)
                            STATEMENTS OF CASH FLOWS
                                   (Unaudited)

<TABLE>
<CAPTION>
                                                                    For the Cumulative
                                                                   Period From Inception   Six months ending    Six months ending
                                                                     (May 28, 2003) to       June 30, 2005        June 30, 2004
                                                                       June 30, 2005          (unaudited)          (unaudited)
                                                                   ---------------------   -----------------    -----------------
<S>                                                                     <C>                   <C>                   <C>
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS:

CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss                                                                $(2,225,443)          $  (590,435)          $  (591,693)
Adjustment to reconcile net loss to net cash utilized by
operating activities:
Depreciation and amortization                                               135,875                32,375                27,375
Compensatory shares                                                         148,210                     0                 6,000
Changes in assets and liabilities:
Research and development supplies                                           (61,914)               10,194               (77,000)
Prepaid expenses                                                            (54,240)              (31,793)               (9,822)
Accounts payable and accrued expenses                                       202,595               154,839                 6,990
Due to affiliates                                                           251,966                90,000                42,310
Due to shareholders                                                               0                     0               (80,592)
Due to peru -operations                                                       6,200                 6,200                     0
                                                                        -----------           -----------           -----------
                        Net cash utilized by operating activities        (1,596,751)             (328,620)             (676,432)
                                                                        -----------           -----------           -----------

CASH FLOWS FROM INVESTING ACTIVITIES
Payment regarding license                                                  (150,000)                    0                     0
Capital expenditures                                                        (30,000)                    0               (30,000)
                                                                        -----------           -----------           -----------
                        Net cash utilized by investing activities          (180,000)                    0               (30,000)
                                                                        -----------           -----------           -----------

CASH FLOWS FROM FINANCING ACTIVITIES:
Issuance of common stock to founders                                         65,760                     0                     0
Additional contribution to capital                                        1,316,366               176,500               778,106
Cash received in merger                                                     300,000                     0                     0
Loan payable                                                                 99,325                99,325                     0
                                                                        -----------           -----------           -----------
                        Net cash provided by financing activities         1,781,451               275,825               778,106
                                                                        -----------           -----------           -----------

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS                          4,700               (52,795)               71,674
Cash, beginning of period                                                         0                57,495               186,235
                                                                        -----------           -----------           -----------
CASH, END OF PERIOD                                                     $     4,700           $     4,700           $   257,909
                                                                        ===========           ===========           ===========
</TABLE>

                             See accompanying notes.

                                       5
<PAGE>

                                 ORGANETIX, INC.
                          (A Development Stage Company)
                 NOTES TO UNAUDITED INTERIM FINANCIAL STATEMENTS
                                  JUNE 30, 2005

NOTE  1 -   DESCRIPTION OF COMPANY/OPERATIONS: Organetix, Inc. ("the Company" or

            "Organetix"), a Delaware Corporation, was incorporated on May 28,
            2003. The Company is a biotechnology company that has the exclusive
            worldwide license (see Note 4) for the formula of a proprietary
            medical discovery relating to the liver referred to as A4+L. The
            Company intends to patent, research, develop, produce and sell this
            proprietary liver product initially as a nutraceutical and will
            investigate the possibility of manufacturing a synthetic drug in an
            alliance with a major pharmaceutical partner. To date, the Company
            has been using this liver product to treat patients with Hepatitis C
            as well as cancer patients who are being treated with chemotherapy.
            Much like insulin being used for diabetes, this proprietary liver
            product does not cure Hepatitis C but clinical research suggests it
            is regenerating liver tissue thus allowing the liver to begin
            functioning again despite years of damage from the Hepatitis C virus
            and or despite liver damage and toxicity while taking chemotherapy.
            This product may be useful for treating all liver disorders, and may
            also be useful as an anti-ager and anti-toxin and may someday help
            eliminate most liver transplants. Organetix intends to also
            specialize in researching, developing and patenting bioactive
            compounds and their unique formulas and processes from plants having
            a distinctive history of medicinal use.

            On November 7, 2003 (the "Effective Date"), pursuant to a Share
            Exchange Agreement ("Agreement") between Diamond International
            Group, Inc. ("Diamond"), a Delaware corporation and Organetix, Inc.
            ("Organetix"), a Delaware corporation and all of the shareholders of
            Organetix, Diamond acquired all of the shares of Organetix as
            consideration for the issuance of 64,000,000 restricted shares of
            Diamond to the Organetix shareholders. As a result of this
            Agreement, Diamond International Group, Inc. (the legal acquirer)
            received 100% of the issued and outstanding common stock of
            Organetix, Inc. in exchange for 64,000,000 shares of common stock of
            Diamond. Pursuant to the Agreement, Organetix became a wholly owned
            subsidiary of Diamond which entity filed a Certificate of Amendment
            with the State of Delaware changing its name to Organetix, Inc. This
            reverse merger transaction was treated retroactively as a
            recapitalization with Organetix, Inc. being treated as the
            accounting acquirer.

            The Company has been devoting its time towards establishing its
            business and no revenues have been generated to date. As such, the
            Company is considered as being in the development stage, since its
            inception, in accordance with Statement of Financial Accounting
            Standards No. 7, and its year-end is December 31.

            In the opinion of management, the accompanying unaudited interim
            consolidated financial statements of Organetix, Inc. ("the
            Company"), contain all adjustments (consisting of normal recurring
            accruals and adjustments) considered necessary to present fairly the
            Company's financial position as of June 30, 2005 and the results of
            its operations and its cash flows for the six and three months ended
            June 30, 2005 and 2004 and the period from inception (May 28, 2003)
            to June 30, 2005. Operating results for the six and three months
            ended June 30, 2005 are not necessarily indicative of the results
            that may be expected for the year ended December 31, 2005.

            The accounting policies followed by the Company are set forth in
            Note 2 to the Company's financial statements included in its annual
            report on Form 10-KSB for the year ended December 31, 2004, which is
            incorporated herein by reference. Specific reference is made to this
            report for a description of the Company's securities and the notes
            to financial statements included therein. The accompanying unaudited
            interim condensed financial statements have been prepared in
            accordance with accounting principles generally accepted in the
            United States of America for interim financial information and with
            the instructions to Form 10-QSB. Accordingly, they do not include
            all of the information and footnotes required by accounting
            principles generally accepted in the United States of America.

                                       6
<PAGE>

NOTE 2 -    RESEARCH AND DEVELOPMENT SUPPLIES:

            As of June 30, 2005, the Company had $61,914 in raw materials
            purchased and other costs incurred for production of its
            nutraceutical supplement which is currently being utilized in
            research. The Company only produced the nutraceutical supplement in
            Peru during the period of January 2004 through March 2004. The
            product manufactured is being used to continue the testing on the
            existing Hepatitis C patients and cancer patients being treated with
            chemotherapy along with other required testing.

NOTE 3 -    DUE TO AFFILIATE/SHAREHOLDERS:

            The Company is indebted to affiliates, AMMA Corporation, Clarke
            Management Services Inc. and Joint Venture Management Inc. for
            expenses (administrative and managerial costs) incurred in
            connection with the Company's operations from inception. These
            amount are non-interest bearing and are payable on demand.

NOTE 4 -    ASSIGNMENT OF LICENSE AND CONSULTING AGREEMENTS:

            (a)   License Agreement:

            On July 15, 2003, Amma Corporation ("Amma"), a privately held entity
            domiciled in Alberta, Canada, assigned all of its right, title and
            interest in and to the A4+L compound as defined in a License
            Agreement, dated June 5, 2003, between Amma and Dr. Jose Cabanillas
            Coral, a Canadian resident and citizen of Peru, to the Company in
            exchange for 8,160,000 shares of Company common stock.

            The A4+L compound (the "technology"), is a multiple plant
            formulation used for the relief of certain medical symptoms
            associated with Hepatitis C. This license grants the Company the
            exclusive right to use and sublicense the technology, and any
            improvements, and to research, manufacture, distribute and sell
            products throughout the world excluding Peru.

            This 40-year license also requires that the Company pay a royalty
            equal to 3% of gross sales and sublicensing revenues to Dr.
            Cabanillas.

            (b)   Consulting Agreement:

            Concurrently with the assignment of the license agreement described
            above, Amma also assigned its consulting agreement, dated June 1,
            2001, with Dr. Cabanillas to the Company.

            This agreement, which expires on June 1, 2006, requires that Dr.
            Cabanillas provide general and research duties as requested, in
            exchange for a monthly fee of $12,000.

                                       7
<PAGE>

NOTE 5 -    STOCKHOLDERS' EQUITY:

            In connection with the reverse merger with Diamond International,
            Inc., Silvio Martini, the majority shareholder at the time, agreed
            to pay certain expenses of the Company from the shares retained by
            him. Such shares were placed in escrow and during the six months
            ending June 30, 2005, 620,000 shares were sold and transferred to 7
            persons aggregating $124,000 of proceeds, which were then
            contributed to the Company as additional paid-in capital. Mr.
            Martini also transferred certain escrowed shares to consultants as
            payment for services provided to the Company. The value of these
            shares, $52,500, was recorded as additional paid-in capital.

NOTE 6 -    GOING CONCERN

            As shown in the accompanying financial statements, the Company has
            incurred continuing losses and has a negative working capital of
            $439,232 at June 30, 2005. The ability of the Company to continue as
            a going concern is dependent on obtaining financing and generating
            cash flow from operations. The Company is actively pursuing
            additional financing. The financial statements do not include any
            adjustments that might be necessary if the Company is unable to
            continue as a going concern.

                                       8
<PAGE>

ITEM 2. - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS:

CAUTIONARY STATEMENT REGARDING FORWARD LOOKING STATEMENTS

It should be noted that this Management's Discussion and Analysis of Financial
Condition and Results of Operations may contain "forward-looking statements."
The terms "believe," "anticipate," "intend," "goal," "expect," and similar
expressions may identify forward-looking statements. These forward-looking
statements represent the Company's current expectations or beliefs concerning
future events. The matters covered by these statements are subject to certain
risks and uncertainties that could cause actual results to differ materially
from those set forth in the forward-looking statements, including the Company's
dependence on weather-related factors, introduction and customer acceptance of
new products, the impact of competition and price erosion, as well as supply and
manufacturing restraints and other risks and uncertainties. The foregoing list
should not be construed as exhaustive, and the Company disclaims any obligation
subsequently to revise any forward-looking statements to reflect events or
circumstances after the date of such statements, or to reflect the occurrence of
anticipated or unanticipated events. In light of the significant uncertainties
inherent in the forward-looking information included herein, the inclusion of
such information should not be regarded as a representation that the strategy,
objectives or other plans of the Company will be achieved. The Company wishes to
caution readers not to place undue reliance on any such forward-looking
statements, which speak only as of the date made.

OVERVIEW

Organetix, Inc. http://www.organetixinc.com; (OTCBB: OGTX) is a biotechnology
company that has the exclusive worldwide license for the formula of a
proprietary medical discovery relating to the liver referred to as A4+L. The
A4+L liver treatment is an all natural organic botanical formula. Organetix will
patent, research, develop, produce and sell this proprietary liver product
initially as a nutraceutical and will investigate the possibility of
manufacturing a synthetic drug in an alliance with a major pharmaceutical
partner.

To date, Organetix, Inc. has been using this liver product to treat patients
with Hepatitis C. Much like insulin being used for diabetes, this proprietary
liver product does not cure Hepatitis C but clinical research suggests it is
regenerating liver tissue thus allowing the liver to begin functioning again
despite years of damage from the virus.

This product may be useful for treating all liver disorders, and may be useful
as an anti-ager and anti-toxin and may someday help eliminate most liver
transplants.

Management, together with research and medical advisors are reporting that the
formula, in the limited tests conducted to date eliminates most of the symptoms
of Hepatitis C quickly and effectively without any known side effects. The liver
product may directly compete in a billion dollar market that currently exists
around the world. Additional testing will be ongoing. Analog products will also
be evaluated.

The objective of our clinical study was to determine the effectiveness of A4+L
on the quality of life of Hepatitis C patients. It was designed by independent
doctors in the USA and Peru and was conducted in Peru on North American
patients. These patients were directly under care and supervision of doctors and
nurses for approximately four weeks.

Based on the results reported by the USA doctors, who tested and examined the
patients at the beginning and at the end of the study, it was concluded that
there was significant success in the areas of depression, health-related quality
of life burden, clinical symptoms, and within blood results relating to the
prothrombin activity and the serum cholinesterase.

As quoted by Dr. Joseph Nystrom, Chief of Staff Elect at the East Pasco Medical
Center, located in the Tampa Bay Metropolitan area: "In summary, the
nutraceutical product A4+L has enormous potential as therapy for emotional and
physical suffering of the burgeoning number of Hepatitis C sufferers. A larger
placebo controlled long-term study is warranted. Further study of A4+L may
reveal it to be useful in other disease processes as well."

                                       9
<PAGE>


ITEM 2. - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS (Continued):

The Company has since commenced the phytochemistry, pharmacology and the
technology processes relating to the A4+L liver product.

In addition to treating Hepatitis C, the Company's A4+L liver product may be
useful in treating cirrhosis, liver cancer and toxic liver patients. Researchers
are also requesting us to test our liver treatment as an adjunct product to help
patients who are being treated with chemotherapy and or interferon drugs.

Organetix, Inc. has received positive independent laboratory results from tests
conducted in Germany, Spain, and Argentina, which significantly confirms the
effectiveness of our A4+L liver product. Successful results from these
laboratory tests are significant in supporting management's decision to continue
further laboratory and patient testing.

In summary, to date Organetix Inc., has successful results supporting this
product in the following areas:

Laboratory Testing has reported:

      -     A4+L does not damage human DNA.

      -     A4+L is a powerful Anti-Toxin

      -     A4+L is a powerful Anti-Oxidant

      -     A4+L is proliferating cell growth

Blood Testing has shown there was a significant increase in prothrombin activity
and serum cholinesterase which supports increased protein synthesis by liver and
a decrease in the degradation of the liver.

3D Ultrasounds, MRI, Cat scans and Biopsies before and after taking A4+L are
reporting significant physical changes in the structure and size of livers
treated.

Depression: The severity of depression at the start of the study ranged from
borderline in 10% of the subjects, mild to moderate depression in 80%, and
severe depression in 10%. By the end of the study period significant improvement
in depression was noted and 90% of the subjects had become free of depression.
Noteworthy is the reported change in the Beck Depression Inventory score. The
scoring reported is unusual in population norms.

Health-Related Quality of Life Burden: In general, use of A4+L was accompanied
by significantly improved health-related quality of life in study subjects by
Day 14. By Day 28, the functional status and well-being of study subjects were
restored completely to normal levels. The score improvements observed in this
study by Day 28 were on average larger than two standard deviations for nearly
all health-related quality of life scales, which has rarely been observed in the
thousands of treatment studies of other chronic diseases involving the SF-36
Health Survey.

Clinical symptoms: Study subjects showed a significant improvement in most of
their symptoms. This included improvement in fatigue, right upper quadrant pain
and tenderness, dyspepsia, nausea-vomiting, indigestion, headache, muscle and
joint/bone pain.

Organetix Inc. recently announced the results from a recent one hundred cell
study which was designed to investigate the possible genotoxicity of A4+L liver
product. The test focused on the primary culture of human lymphocytes using the
Comet Assay to evaluate the damage to the genetic material. The study concluded
that our A4+L liver product doesn't induce damage to the DNA in human
lymphocytes. The results are a positive step in evidencing that the A4+L liver
product is safe for human consumption. Organetix Inc. has also recently received
positive independent medical and laboratory results from a test conducted in
Peru on a chemotherapy patient diagnosed with lung cancer and metastasis on the
liver. This patient received the A4+L liver product while taking her 5th through
her 32nd treatment of chemotherapy. After 15 days of taking A4+L along with her
chemotherapy treatments, her nausea and fatigue disappeared completely and her
appetite was restored. She recorded a weight gain of 7 kilograms.

                                       10
<PAGE>

ITEM 2. - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS (Continued):

The following describes the Company's immediate priorities:

1.    Register patents and research synthesis of the existing nutraceuticals and
      bioceuticals from the licensed liver product;

2.    Complete a larger placebo controlled clinical study of Hepatitis C,
      Cirrhosis and on Chemotherapy patients;

3.    Sub-license, market and distribute the licensed liver products with
      strategic partners; and

4.    Develop new nutraceuticals and bioceuticals from the licensed liver
      product.

Organetix has established a pipeline to many plant based medicines through
medical doctors in Peru and India. We will specialize in researching, developing
and patenting bioactive compounds and their unique formulas and processes from
plants having a unique history of medicinal use.

Nutraceuticals and Bioceuticals are the foundations for the new and exciting
drugs to be discovered in the 21st Century.

RESULTS OF OPERATIONS

We are currently in the development stage and have generated no revenues to
date. Our activities from inception to date were related to our formation,
preparation of our business model, arranging and planning financing and the
acquiring all rights, title and interest in the A4+L compound. During 2003 the
Company completed a reverse acquisition of Diamond International Group Inc.,
changed its name to Organetix, Inc., changed its OTC-BB symbol to OGTX and began
a new harvest of materials necessary to begin formulating new bulk inventories
of the A4+L liver product in 2004. We have financed our operations to date
through the sale of our securities and affiliates of our shareholders have
provided administrative services for which we have been billed.

Operating costs from inception to June 30, 2005 aggregated $2,225,443. This
includes costs incurred in research and development of $877,665, operating
expenses for our research facility in Peru of $174,236 and fees paid to various
professionals for research as well as to our attorneys and accountants in the
collective amount of $544,424. As a result of the above we realized a cumulative
loss of $2,225,443.

Operating costs for the six-month period ended June 30, 2005 aggregated
$590,435. This includes costs incurred in research and development of $209,747,
operating expenses for our research facility in Peru of $40,626 and fees paid to
various professionals for research as well as to our attorneys and accountants
in the collective amount of $158,408. As a result of the above we realized a
loss of $590,435 for the six-month period ended June 30, 2005 or $0.01 per
share.

Operating costs for the three month period ended June 30, 2005 aggregated
$265,669. This includes costs incurred in research and development of $95,930,
operating expenses for our research facility in Peru of $18,000 and fees paid to
various professionals for research as well as attorneys and accounting in the
collective amount of $98,880. As a result of the above, we realized a loss of
$265,669 for the three-month period ended June 30, 2005.

                                       11
<PAGE>

ITEM 2. - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS (Continued):

LIQUIDITY AND CAPITAL RESOURCES

From inception through June 30, 2005, net cash used to fund operating activities
totaled $1,596,751, net cash utilized by investing activities totaled $180,000
and net cash provided by financing activities totaled $1,781,451. For the
six-month period ended June 30, 2005, net cash used to fund operating activities
totaled $328,620 and net cash provided by financing activities totaled $275,825.

The Company has not generated revenues and has financed its operations to date
through the sale of securities and has received $1,316,366 from such sales from
inception to June 30, 2005. To date, the Company has also paid $150,000 towards
its license for the A4+L compound. Cash on hand was $4,700 as of June 30, 2005.

The Company is presently seeking to raise between $2 to $5 million in order to
fund research, phytochemistry, clinical studies, patents, manufacturing,
marketing and to fund the Company's exclusive option to purchase the
intellectual property for the A4+L liver product.

CRITICAL ACCOUNTING POLICIES AND ESTIMATES

The Company's discussion and analysis of its financial condition and results of
operations are based upon its financial statements, which have been prepared in
accordance with accounting principles generally accepted in the United States.
The preparation of these financial statements requires the Company to make
estimates and judgments that affect the reported amounts of assets, liabilities,
revenues and expenses, and related disclosure of contingent assets and
liabilities. On an on-going basis, the Company evaluates its estimates,
including those related to depreciation, amortization, income taxes and
contingencies and litigation, when applicable. The Company bases its estimates
on historical experience and on various other assumptions that are believed to
be reasonable under the circumstances, the results of which form the basis for
making judgments about carrying values of assets and liabilities that are not
readily apparent from other sources. Actual results may differ from these
estimates under different assumptions or conditions.

ITEM 3 - CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures. As of June 30, 2005, the
Company's management carried out an evaluation, under the supervision of the
Company's Chief Executive Officer and the Chief Financial Officer of the
effectiveness of the design and operation of the Company's system of disclosure
controls and procedures pursuant to the Securities and Exchange Act , Rule
13a-15(e) and 15d-15(e) under the Exchange Act. Based upon that evaluation, the
Chief Executive Officer and Chief Financial Officer concluded that the Company's
disclosure controls and procedures were effective, as of the date of their
evaluation, for the purposes of recording, processing, summarizing and timely
reporting material information required to be disclosed in reports filed by the
Company under the Securities Exchange Act of 1934.

Changes in internal controls. There were no changes in internal controls over
financial reporting, known to the Chief Executive Officer or Chief Financial
Officer that occurred during the period covered by this report that has
materially affected, or is likely to materially effect, the Company's internal
control over financial reporting.

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<PAGE>

                                     PART II
Item 1. Legal Proceedings

        None

Item 2. Changes in Securities

        None

Item 3. Defaults Upon Senior Securities

        None

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

        None

Item 5. Other Information

        None

Item 6. Exhibits

         31.1 Certification of Chief Executive Officer

         31.2 Certification of Principal Financial Officer

         32.1 Certification of Chief Executive Officer

         32.2 Certification of Principal Financial Officer

                                   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.


ORGANETIX, INC.

/s/ L. B. (Brad) Clarke
-----------------------------
Name: L. B. (Brad) Clarke
Title: Chief Executive Officer
Date:  December 28, 2005


/s/ Robert C. Howell
-----------------------------
Name: Robert C. Howell
Title: Chief Financial Officer
Date: December 28, 2005


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