| Delaware                                | 05-0543557                                 |
|-----------------------------------------|--------------------------------------------|
| (State                of Incorporation) | (IRS                Identification Number) |

| Common                Stock         | 8,964,213  | September                30, 2005 |
|-------------------------------------|------------|-----------------------------------|
| Class                A Common Stock | 50,000,000 | September                30, 2005 |

----

|                                                                                               |  PAGE                                                    |
|----------------------------------------------------------------------------------------------------|---------------------------------------------------------------|
|                                                                                               |                                                          |
| PART                I - FINANCIAL INFORMATION                                                      |  3                                                       |
|                                                                                               |                                                          |
| Item                1 - FINANCIAL STATEMENTS (UNAUDITED)                                           |                                                          |
|                                                                                               |                                                          |   |
|                                                                                               | Consolidated                Balance Sheets -                  | F-1 |
|                                                                                               | September                30, 2005 and June 30, 2005           |   |
|                                                                                               |                                                          |   |
|                                                                                               | Consolidated                Statements of Operations -        | F-2 |
|                                                                                               | Three                Months Ended September 30, 2005 and 2004 |   |
|                                                                                               |                                                          |   |
|                                                                                               | Consolidated                Statements of Cash Flows -        | F-3 |
|                                                                                               | Three                Months Ended September 30, 2005 and 2004 |   |
|                                                                                               |                                                          |   |
|                                                                                               | Notes                to Financial Statements -                | F-4 |
|                                                                                               | Three                Months Ended September 30, 2005 and 2004 |   |
|                                                                                               |                                                          |   |
| Item                2 - PLAN OF OPERATION                                                          | 3                                                             |
|                                                                                               |                                                          |
| Item                3 - CONTROLS                AND PROCEDURES                                     | 5                                                             |
|                                                                                               |                                                          |
| PART                II- OTHER INFORMATION                                                          | 5                                                             |
|                                                                                               |                                                          |
| Item                1 - LEGAL PROCEEDINGS                                                          | 5                                                             |
|                                                                                               |                                                          |
| Item                2 - UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF                PROCEEDS | 6                                                             |
|                                                                                               |                                                          |
| Item                3 - DEFAULTS UPON SENIOR SECURITIES                                            | 6                                                             |
|                                                                                               |                                                          |
| Item                4 - SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS                        | 6                                                             |
|                                                                                               |                                                          |
| Item                5 - OTHER INFORMATION                                                          | 6                                                             |
|                                                                                               |                                                          |
| Item                6 - EXHIBITS                                                                   | 7                                                             |

----

| Item                1. | FINANCIAL                STATEMENTS (UNAUDITED) |
|------------------------|-------------------------------------------------|

| Item                2. | PLAN                OF OPERATION |
|------------------------|----------------------------------|

----

----

| Item                3. | CONTROLS                AND PROCEDURES |
|------------------------|----------------------------------------|

| Item                1. | LEGAL                PROCEEDINGS |
|------------------------|----------------------------------|

----

| Item                2. | UNREGISTERED                SALES OF EQUITY SECURITIES AND USE OF                PROCEEDS |
|------------------------|-------------------------------------------------------------------------------------------|

| Item                3. | DEFAULTS                UPON SENIOR SECURITIES |
|------------------------|------------------------------------------------|

| Item                4. | SUBMISSIONS                OF MATTERS TO A VOTE OF SECURITY                HOLDERS |
|------------------------|------------------------------------------------------------------------------------|

| Item                5. | OTHER                INFORMATION |
|------------------------|----------------------------------|

----

| Item                6. | EXHIBITS  |
|------------------------|----------------|

| Exhibit                No. | Description                                                                                                                                                                                                                                                                                                         |
|----------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                       |                                                                                                                                                                                                                                                                                                                |
| 3(i)                       | Articles                of Incorporation(1)                                                                                                                                                                                                                                                                         |
|                       |                                                                                                                                                                                                                                                                                                                |
| 3(ii)                      | Bylaws(1)                                                                                                                                                                                                                                                                                                           |
|                       |                                                                                                                                                                                                                                                                                                                |
| 10                         | Contract                with Information Spectrum, Inc.(1)                                                                                                                                                                                                                                                          |
|                       |                                                                                                                                                                                                                                                                                                                |
| 31.1                       | Certification                of HOMI’s Chief Exective Officer and Chief Financial Officer pursuant to                Rule13a- 14(a) of the Securities Exchange Act of 1934                                                                                                                                    |
|                       |                                                                                                                                                                                                                                                                                                                |
| 32.1                       | Certification                of HOMI’s Chief Exective Officer and Chief Financial Officer required by                Rule 13a-14(b) under the Securities Exchange Act of 1934 and Section                1350                of Chapter 63 of Title 18 the United States Code (18 U.S.C.                1350) |

----

----

| **SMARTMETRIC,                  INC. AND SUBSIDIARY**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **                                                                                                          (A Development Stage Company)                ** |   |
| **Consolidated                  Balance Sheets**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | **September                  30,** |   |   | **June                  30,** |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | **2005** |   |   | **2005** |
| **Assets**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   | **(Unaudited)** |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
| Current                  assets:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   |   |   |   |   |
| Cash                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                | $ | 431,446 |   | $ | 928 |
| Stock                  subscriptions receivable                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   | - |   |   | 15,000 |
| Due                  from president                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   | 77,046 |   |   | 20,873 |
| Prepaid                  expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | 1,400 |   |   | 1,400 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
| Total                  current assets                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   | 509,892 |   |   | 38,201 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
| Equipment,                  less accumulated depreciation                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |
| of                  $342 and $0, respectively                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   | 1,939 |   |   | - |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
| Other                  assets:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |   |   |   |   |   |
| Patent                  costs, less accumulated amortization                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   |   |   |   |   |
| of                  $1,500 and $1,125, respectively                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   | 13,500 |   |   | 13,875 |
| Deferred                  offering costs                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   | - |   |   | 135,000 |
| Organization                  costs - net                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   | 270 |   |   | 300 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
| Total                  assets                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | $ | 525,601 |   | $ | 187,376 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
| **Liabilities                  and Stockholders' Equity**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |   |   |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
| Current                  liabilities:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |   |   |   |   |   |
| Notes                  payable                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | $ | 60,000 |   | $ | - |
| Accounts                  payable and accrued expenses                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |   | 65,563 |   |   | 115,788 |
| Accrued                  salary due to president                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   | 127,500 |   |   | 85,000 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
| Total                  current liabilities                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   | 253,063 |   |   | 200,788 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
| Other                  liabilities                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   | - |   |   | - |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
| Total                  liabilities                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   | 253,063 |   |   | 200,788 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
| Common                  stock subject to possible rescission (160,837 shares)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |   | 241,256 |   |   | 241,256 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
| Stockholders'                  equity :                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |   |   |   |
| Preferred                  stock, $.01 par value; 5,000,000 shares                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |   |   |   |   |   |
| authorized,                  0 shares issued and outstanding                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |   | - |   |   | - |
| Class                  A common stock, $.001 par value;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   |   |   |   |   |
| 50,000,000                  shares authorized, 50,000,000 shares                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   |   |   |   |   |
| issued                  and outstanding                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |   | 50,000 |   |   | 50,000 |
| Common                  stock, $.001 par value; 45,000,000 shares                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |   |   |   |   |
| authorized,                  issued and outstanding 8,964,213 and                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   |   |   |   |   |
| 8,560,257                  shares, respectively                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |   | 8,964 |   |   | 8,560 |
| Additional                  paid-in capital                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |   | 448,267 |   |   | (18,835) |
| Deficit                  accumulated during the development stage                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |   | (475,949) |   |   | (294,393) |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
| Total                  stockholders' equity (deficiency)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   | 31,282 |   |   | (254,668) |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
| Total                  liabilities and stockholders' equity                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         | $ | 525,601 |   | $ | 187,376 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   |   |   |   |   |
| See                  notes to consolidated financial statements.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |   |   |   |   |   |

----

| **SMARTMETRIC,                  INC. AND SUBSIDIARY**            |
|------------------------------------------------------------------|
| **(A                  Development Stage Company)**               |
| **Consolidated                  Statements of Operations**       |
| **(Unaudited)**                                                  |
|                                                             |   |   |   |   |   |   |   |   |   |
|                                                             |   |   |   |   |   |   |   | **Cumulative** |   |
|                                                             |   |   |   |   |   |   |   | **During                  the** |   |
|                                                             |   |   |   |   |   |   |   | **Development** |   |
|                                                             |   |   |   |   |   |   |   | **Stage** |   |
|                                                             |   | **Three                  Months** |   |   | **(December                  18, 2002** |   |
|                                                             |   | **Ended                  September 30,** |   |   | **to                  September 30,** |   |
|                                                             |   | **2005** |   |   | **2004** |   |   | **2005)** |   |
|                                                             |   |   |   |   |   |   |   |   |   |
| Revenues                                                         | $ | - |   | $ | - |   | $ | - |   |
|                                                             |   |   |   |   |   |   |   |   |   |
| Expenses:                                                        |   |   |   |   |   |   |   |   |   |
| Officer's                  salary                                |   | 42,500 |   |   | - |   |   | 127,500 |   |
| Other                  general and                               |   |   |   |   |   |   |   |   |   |
| Other                  general and administrative                |   | 120,327 |   |   | 9,010 |   |   | 192,868 |   |
| Research                  and development                        |   | 18,129 |   |   | 7,720 |   |   | 154,981 |   |
| Interest                                                         |   | 600 |   |   | - |   |   | 600 |   |
|                                                             |   |   |   |   |   |   |   |   |   |
| Total                  expenses                                  |   | 181,556 |   |   | 16,730 |   |   | 475,949 |   |
|                                                             |   |   |   |   |   |   |   |   |   |
| Net                  loss                                        | $ | (181,556) |   | $ | (16,730) |   | $ | (475,949) |   |
|                                                             |   |   |   |   |   |   |   |   |   |
| Net                  loss per share, basic and diluted           | $ | (0.00) |   | $ | (0.00) |   |   |   |   |
|                                                             |   |   |   |   |   |   |   |   |   |
| Weighted                  average number of common               |   |   |   |   |   |   |   |   |   |
| shares                  outstanding, basic and diluted           |   | 58,762,235 |   |   | 58,560,257 |   |   |   |   |
|                                                             |   |   |   |   |   |   |   |   |   |
|                                                             |   |   |   |   |   |   |   |   |   |
|                                                             |   |   |   |   |   |   |   |   |   |
| See                  notes to consolidated financial statements. |   |   |   |   |   |   |   |   |   |

----

| **SMARTMETRIC,                  INC. AND SUBSIDIARY**               |
|---------------------------------------------------------------------|
| **(A                  Development Stage Company)**                  |
| **Consolidated                  Statements of Cash Flows**          |
| **(Unaudited)**                                                     |
|                                                                |   |   |   |   |   |   |   | **Cumulative** |   |
|                                                                |   |   |   |   |   |   |   | **During                  the** |   |
|                                                                |   |   |   |   |   |   |   | **Development** |   |
|                                                                |   |   |   |   |   |   |   | **Stage** |   |
|                                                                |   | **Three                  Months** |   |   | **(December                  18, 2002** |   |
|                                                                |   | **Ended                  September 30,** |   |   | **to                  September 30,** |   |
|                                                                |   | **2005** |   |   | **2004** |   |   | **2005)** |   |
| Cash                  flows from operating activities:              |   |   |   |   |   |   |   |   |   |
| Net                  loss                                           | $ | (181,556) |   | $ | (16,730) |   | $ | (475,949) |   |
| Depreciation                  of equipment                          |   | 342 |   |   | - |   |   | 342 |   |
| Amortization                  of patent costs                       |   | 375 |   |   | - |   |   | 1,500 |   |
| Changes                  in operating assets and liabilities:       |   |   |   |   |   |   |   |   |   |
| Due                  from president                                 |   | (56,173) |   |   | - |   |   | (77,046) |   |
| Prepaid                  expenses                                   |   | - |   |   | - |   |   | (1,400) |   |
| Organization                  costs                                 |   | 30 |   |   | 30 |   |   | (270) |   |
| Accounts                  payable and accrued expenses              |   | (50,225) |   |   | (1,250) |   |   | 65,563 |   |
| Accrued                  salary due to president                    |   | 42,500 |   |   | - |   |   | 127,500 |   |
|                                                                |   |   |   |   |   |   |   |   |   |
| Net                  cash used for operating activities             |   | (244,707) |   |   | (17,950) |   |   | (359,760) |   |
|                                                                |   |   |   |   |   |   |   |   |   |
| Cash                  flows from investing activities:              |   |   |   |   |   |   |   |   |   |
| Equipment                  purchase                                 |   | (2,281) |   |   | - |   |   | (2,281) |   |
| Patent                  costs incurred                              |   | - |   |   | (15,000) |   |   | (15,000) |   |
|                                                                |   |   |   |   |   |   |   |   |   |
| Net                  cash used for investing activities             |   | (2,281) |   |   | (15,000) |   |   | (17,281) |   |
|                                                                |   |   |   |   |   |   |   |   |   |
| Cash                  flows from financing activities:              |   |   |   |   |   |   |   |   |   |
| Proceeds                  from notes payable                        |   | 60,000 |   |   | - |   |   | 60,000 |   |
| Loans                  from president                               |   | - |   |   | 2,500 |   |   | 54,427 |   |
| Repayment                  of loans from president                  |   | - |   |   | - |   |   | (54,427) |   |
| Stock                  subscriptions collected, net                 |   | 15,000 |   |   | 35,000 |   |   | 280,981 |   |
| Net                  proceeds from public offering                  |   | 602,506 |   |   | (7,500) |   |   | 467,506 |   |
|                                                                |   |   |   |   |   |   |   |   |   |
| Net                  cash provided by financing activities          |   | 677,506 |   |   | 30,000 |   |   | 808,487 |   |
|                                                                |   |   |   |   |   |   |   |   |   |
| Net                  increase (decrease) in cash                    |   | 430,518 |   |   | (2,950) |   |   | 431,446 |   |
|                                                                |   |   |   |   |   |   |   |   |   |
| Cash,                  beginning of period                          |   | 928 |   |   | 64,142 |   |   | - |   |
|                                                                |   |   |   |   |   |   |   |   |   |
| Cash,                  end of period                                | $ | 431,446 |   | $ | 61,192 |   | $ | 431,446 |   |
|                                                                |   |   |   |   |   |   |   |   |   |
| Supplemental                  disclosures of cash flow information: |   |   |   |   |   |   |   |   |   |
| Interest                  paid                                      | $ | - |   | $ | - |   | $ | - |   |
|                                                                |   |   |   |   |   |   |   |   |   |
| Income                  taxes paid                                  | $ | - |   | $ | - |   | $ | - |   |
|                                                                |   |   |   |   |   |   |   |   |   |
|                                                                |   |   |   |   |   |   |   |   |   |
|                                                                |   |   |   |   |   |   |   |   |   |
| See                  notes to consolidated financial statements.    |   |   |   |   |   |   |   |   |   |

----

**SMARTMETRIC,          INC. AND SUBSIDIARY**

**(A          Development Stage Company)**

**Notes          to Consolidated Financial Statements**

**For          the Three Months Ended September 30, 2005 and 2004**

**and          For the Period December 18, 2002 (Date of Inception)**

**to          September 30, 2005**

**(Unaudited)**

**NOTE          1 - INTERIM FINANCIAL STATEMENTS**

**NOTE          2 - ORGANIZATION**

**NOTE          3 - NOTES PAYABLE**

**NOTE          4 - COMMON STOCK SUBJECT TO POSSIBLE RESCISSION**

**NOTE          5 - STOCKHOLDERS’ EQUITY**

**NOTE          6 - PUBLIC OFFERING**

**NOTE          7 - COMMITMENTS**

----

----

|                                         |
|-----------------------------------------|
|                                    |   |  SMARTMETRIC,              INC. |
| Dated:                November 30, 2005 |   | By: | /s/                Colin Hendrick |   |
|                                    |   | Colin                Hendrick, President |
|                                    |   |
|                                    |   |   |