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

                                   FORM 10-QSB

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

                  For the quarterly period ended June 30, 2004
                        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.)


       603 - 7th Avenue S.W. - Suite 200, Calgary, Alberta, Canada T2P 2T5
               (Address of principal executive offices) (Zip Code)

                    Issuer's telephone number: (403) 261-8888

                    (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 July
27, 2004 was 84,548,157.

<PAGE>

                                 ORGANETIX, INC.
                          (A Development Stage Company)

                                      INDEX

                                                                        PAGE(S)
                                                                        -------
PART I   FINANCIAL INFORMATION

Item 1.      Financial Statements:

              Balance Sheets - June 30, 2004 (unaudited)
                 and December 31, 2003                                       3.

              Statements of Operations - Six and Three Months
                 Ended June 30, 2004 and the Period from
                 Inception (May 28, 2003) to March 31, 2004                  4.

              Statements of Cash Flows - Six Months Ended June 30,
                 2004 and the Period from
                 Inception (May 28, 2003) to March 31, 2004                  5.

              Notes to Interim Financial Statements (unaudited)              6.

Item 2.      Management's Discussion and Analysis of Financial
                 Condition and Results of Operations                         8.

Item 3.      Controls and Procedures                                         10.


PART II      OTHER INFORMATION                                               11.

             Signatures                                                      12.

             Exhibits                                                        13.


<PAGE>


                         PART 1 - FINANCIAL INFORMATION

ITEM 1 - FINANCIAL STATEMENTS

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

<TABLE>
<CAPTION>
                                                                                               June 30,      December 31,
                                   - ASSETS -                                                     2004            2003
                                                                                              -----------     -----------
                                                                                               (unaudited)
<S>                                                                                           <C>             <C>
CURRENT ASSETS:
     Cash                                                                                     $   257,909     $   186,235
     Raw material inventory                                                                        92,000          15,000
     Prepaid expenses                                                                              19,822          10,000
                                                                                              -----------     -----------
TOTAL CURRENT ASSETS                                                                              369,731         211,235
FIXED ASSETS:
     Transportation equipment - net of accumulated depreciation of $0                              30,000              --
OTHER ASSETS:
     License agreement - net of accumulated amortization                                        2,118,875       2,146,250
                                                                                              -----------     -----------
                                                                                              $ 2,518,606     $ 2,357,485
                                                                                              ===========     ===========
                     -LIABILITIES AND SHAREHOLDERS' EQUITY -
CURRENT LIABILITIES:
     Accounts payable and accrued expenses                                                    $    18,480     $    11,490
     Due to affiliate                                                                              94,966          52,656
     Due to shareholders                                                                           41,669         122,261
                                                                                              -----------     -----------
TOTAL CURRENT LIABILITIES                                                                         155,115         186,407
                                                                                              -----------     -----------
COMMITMENTS AND CONTINGENCIES

SHAREHOLDERS' EQUITY:
     Common  stock,  $.0001  par  value;  100,000,000  shares  authorized;
     84,548,157  and  76,362,056 shares issued and outstanding in 2004 and
     2003, respectively                                                                             8,455           7,636
     Additional paid-in capital                                                                 3,341,411       2,564,364
     Subscription receivable                                                                           --          (6,240)
     Deficit accumulated during the development stage                                            (986,375)       (394,682)
                                                                                              -----------     -----------
                                                                                                2,363,491       2,171,078
                                                                                              -----------     -----------
                                                                                              $ 2,518,606     $ 2,357,485
                                                                                              ===========     ===========
</TABLE>

                             See accompanying notes.


                                       3
<PAGE>

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

<TABLE>
<CAPTION>
                                                                                                  For the
                                                            For the Period                       Period From
                                                            From Inception                        Inception
                                                            (May 28, 2003)    Six Months Ended  (May 28, 2003     Three Months
                                                              to June 30,      June 30, 2004       to June 30,     Ended June 30,
                                                                 2004                                2003             2004
                                                              ------------      ------------      ------------     ------------
<S>                                                           <C>               <C>               <C>              <C>
REVENUES                                                      $         --      $         --      $         --     $         --
                                                              ------------      ------------      ------------     ------------
COSTS AND EXPENSES:
     Operating expenses - research facility                         88,050            44,790                --           27,790
     Research and development expenses                             451,863           332,637                --          296,062
     Consulting fees                                               124,528            60,000                --           25,000
     Professional fees                                             109,506            49,065                --           31,300
     Travel and accommodations                                      44,902            22,085                --            8,806
     Telephone                                                      15,919             6,112                --            3,361
     Insurance                                                       8,773             4,170                --           18,992
     Rent                                                           13,190             7,652                --            4,477
     Shipping expense                                                2,545               825                --              682
     Office and other expense                                       35,412            16,420                --            8,332
     Marketing and public relations                                 20,562            20,562                --              162
     Amortization expense                                           71,125            27,375                --           13,688
                                                              ------------      ------------      ------------     ------------
                                                                   986,375           591,693                --          438,652
                                                              ------------      ------------      ------------     ------------
NET LOSS                                                      $   (986,375)     $   (591,693)     $         --     $   (438,652)
                                                              ============      ============      ============     ============
LOSS PER SHARE:

     Basic and diluted                                        $       (.02)     $       (.01)     $         --     $       (.01)
                                                              ============      ============      ============     ============

     Weighted average number of common shares outstanding       55,571,804        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 Period                       For the Period
                                                                                From Inception                       From Inception
                                                                                (May 28, 2003)   Six Months Ended    (May 28, 2003
                                                                               to June 30, 2004    June 30, 2004    to June 30, 2003
                                                                               ------------------ ----------------   ---------------
<S>                                                                                <C>              <C>              <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
     Net loss                                                                      $  (986,375)     $  (591,693)     $        --

   Adjustment to reconcile net loss to net cash utilized by operating
    activities:
     Amortization                                                                       71,125           27,375               --
     Compensatory shares                                                                 6,000            6,000               --

   Changes in assets and liabilities:
     Raw material inventory                                                            (92,000)         (77,000)              --
     Prepaid expenses                                                                  (19,822)          (9,822)              --
     Accounts payable and accrued expenses                                              18,480            6,990               --
     Due to affiliates                                                                  94,966           42,310               --
     Due to shareholders                                                                41,669          (80,592)              --
                                                                                   -----------      -----------      ---------
        Net cash utilized by operating activities                                     (865,957)        (676,432)              --
                                                                                   -----------      -----------      ---------


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


CASH FLOWS FROM FINANCING ACTIVITIES:
     Issuance of common stock to founders                                               65,760               --               --
     Proceeds from private placement of common stock                                   938,106          778,106               --
     Cash received in merger                                                           300,000               --               --
                                                                                   -----------      -----------      ---------
        Net cash provided by financing activities                                    1,303,866          778,106               --
                                                                                   -----------      -----------      ---------

NET INCREASE IN CASH AND CASH EQUIVALENTS                                              257,909           71,674               --

         Cash, beginning of period                                                          --          186,235               --
                                                                                   -----------      -----------      ---------

CASH, END OF PERIOD                                                                $   257,909      $   257,909      $        --
                                                                                   ===========      ===========      =========
</TABLE>

                             See accompanying notes.


                                       5
<PAGE>

                                 ORGANETIX, INC.
                          (A Development Stage Company)
                 NOTES TO UNAUDITED INTERIM FINANCIAL STATEMENTS
                                  JUNE 30, 2004

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 3) for the formula of a  proprietary  medical  discovery
      relating to the liver.  Organetix  intends to patent,  research,  develop,
      produce  and  sell  this   proprietary   liver  product   initially  as  a
      nutra-ceutical/herbal  supplement,  referred to as "A4+L  Compound".  This
      liver product has been used  specifically to treat patients with Hepatitis
      C. 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, 2004 and the results of its  operations
      and its cash flows for the six and three  months  ended June 30,  2004 and
      the period  from  inception  (May 28,  2003) to June 30,  2004.  Operating
      results  for the six  months  ended  June  30,  2004  are not  necessarily
      indicative of the results that may be expected for the year ended December
      31, 2004.

      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, 2003, 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.

NOTE  2 - DUE TO AFFILIATE/SHAREHOLDERS:

      The Company is indebted to certain of its  shareholders  and an affiliate,
      Amma  Corporation,  for expenses  (administrative  and  managerial  costs)
      incurred in connection with the Company's operations from inception. These
      amounts are non-interest bearing and are payable on demand.


                                       6
<PAGE>

NOTE  3 - 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, to the Company, 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 Peruvian  resident and citizen of Peru, 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.


NOTE  4 - STOCKHOLDERS' EQUITY:

      The Company has authorized  100 million shares of common stock,  par value
      $.0001 per share.

      During the quarter ended March 31, 2004, the Company received  $125,000 in
      exchange for the issuance of 1,000,000 shares of common stock. The Company
      also issued  855,400  common shares for aggregate net proceeds of $98,057.
      The Company declared a 10% stock dividend and accordingly issued 3,017,401
      shares of common stock.

      During the quarter ended June 30, 2004, the Company received  $553,608 for
      the issuance of 3,227,313  shares of common stock. The Company also issued
      85,714  shares of common  stock as payment  for  professional  fees in the
      amount of $6,000.


                                       7
<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 is a biotechnology  company that has the exclusive  worldwide  license
for the  formula  of a  proprietary  medical  discovery  relating  to the liver.
Organetix  will patent,  research,  develop,  produce and sell this  proprietary
liver  product  initially as a  nutraceutical.  This liver product has been used
specifically to treat patients with Hepatitis C. Limited research shows that the
product  regenerates  liver tissue thus allowing the liver to begin  functioning
again  despite  years of damage from the virus.  Therefore,  this product may be
useful for  treating all liver  disorders  including  cirrhosis  and may someday
eliminate  most liver  transplants.  Much like insulin  being used for diabetes,
this proprietary  liver product does not cure Hepatitis C but has the capability
of regenerating the liver.

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 will directly  compete in a billion dollar market that currently  exists
around the world.  Additional testing will be ongoing. Analog products will also
be evaluated.

Organetix will  specialize in  researching,  developing and patenting  bioactive
compounds and their unique  formulas and  processes  from plants having a unique
history of medicinal use. We feel that  Nutraceuticals  and Bioceuticals are the
foundations for the new and exciting drugs to be discovered in the 21st Century.

The following describes the Company's immediate priorities:

      o     Register   patents   and   research   synthesis   of  the   existing
            nutraceuticals and bioceuticals from the licensed liver product;
      o     Complete a larger  clinical study of Hepatitis C patients  suffering
            from severe symptoms and late stages of liver disease;
      o     Sub-license,  market and distribute the licensed liver products with
            strategic partners;
      o     Develop new  nutraceuticals and bioceuticals from the licensed liver
            product.


                                       8
<PAGE>

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

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 for the  period  from  inception  to June 30,  2004  aggregated
$986,375.  This includes costs incurred in research and development of $451,863,
operating expenses for our research facility in Peru of $88,050 and fees paid to
various  professionals  for research as well as to our attorneys and accountants
in the  collective  amount of  $234,034.  As a result of the above we realized a
cumulative loss of $986,375 or $.02 per share.

Operating  costs  for the  six-month  period  ended  June  30,  2004  aggregated
$591,693.  This includes costs incurred in research and development of $332,637,
operating expenses for our research facility in Peru of $44,790 and fees paid to
various  professionals  for research as well as to our attorneys and accountants
in the  collective  amount of  $109,065.  As a result of the above we realized a
loss of $591,693 for the six-month period ended June 30, 2004 or $.01 per share.

The Company currently maintains a D & O insurance policy with AIG and during the
third quarter intends on adding a new management team and additional  members to
the Board of Directors.


LIQUIDITY AND CAPITAL RESOURCES

From inception through June 30, 2004, net cash used to fund operating activities
totaled $865,957, net cash utilized by investing activities totaled $180,000 and
net cash provided by financing activities totaled $1,303,866.  For the six-month
period ended June 30, 2004, net cash used to fund operating  activities  totaled
$676,432 and net cash provided by financing activities totaled $778,106.

The Company has not generated  revenues and has financed its  operations to date
through the sale of  securities  and has received  $938,106 from such sales from
inception to June 30, 2004. To date, the Company has also paid $150,000  towards
its license for the A4+L compound.  As a result, cash on hand was $257,909 as of
June 30, 2004.

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.  Current  discussions  are
ongoing  with a  number  of  potential  funding  sources  and we  hope to have a
definitive funding agreement in place within the next 30 days.


CRITICAL ACCOUNTING POLICIES AND ESTIMATES

The Company's  discussion and analysis of its financial condition and results of
operations are based upon the 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 bad  debts,  income  taxes and  contingencies  and
litigation.  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.


                                       9
<PAGE>

COMPLETION OF TEN-PATIENT STUDY IN PERU

In June 2004, the Company  completed a study to determine the  effectiveness  of
its A4+L Liver Product on the quality of life of Hepatitis C patients. The study
was  designed  by  independent  doctors  in the  United  States and Peru and was
conducted in Peru. Based on the results reported by the doctors,  who tested and
examined  the  patients,  the  Company has  decided  that there was  significant
success  in the areas of  depression,  health-related  quality  of life  burden,
clinical  symptoms  and  nutritional  status to continue  further  research  and
development  of the A4+L Liver  Product.  The  Company's  medical  advisors  and
consultants  continue  to  review  the data  from the  study  and hope to have a
placebo  controlled long term study underway as soon as practicable  considering
the Company's financial limitations at this time.

ITEM 3 - CONTROLS AND PROCEDURES

Evaluation  of  Disclosure  Controls and  Procedures.  As of June 30, 2004,  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.


                                     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



                                       10
<PAGE>

Item 6. Exhibits and Reports on Form 8-K

a. Exhibit Index

       Exhibit 31.1 Certification of President and Principal Financial Officer

       Exhibit 32.2 Certification of Chief Financial Officer and Chief
                     Executive Officer

b. Reports on Form 8-K

         None

                                   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: President, Chief Financial Officer and Chairman of the Board
Date:  August 13, 2004


                                       11