|  Nevada                                |  20-5506885                        |
|---------------------------------------------|-----------------------------------------|
|  (State or other jurisdiction of  |  (IRS Employer Identification No.) |
|  Incorporation or organization)        |                                    |

|  Large Accelerated filer  ¨                                                                    |  Accelerated filer ¨    |
|---------------------------------------------------------------------------------------------------------------|-----------------------------------|
|  Non-accelerated filer     ¨ (Do not check if a smaller reporting company) |  Smaller reporting company x |

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|  PRINCETON SECURITY TECHNOLOGIES, INC.                                                                 |
|-------------------------------------------------------------------------------------------------------------|
| CONSOLIDATED BALANCE SHEETS                                                                                 |
|                                                                                                        |   |   |   |   |   |   |
|                                                                                                        | March 31, 2011 |   |   | December 31, 2010 |   |
| ASSETS                                                                                                      | (Unaudited) |   |   |   |   |
| Current Assets                                                                                              |   |   |   |   |   |   |
| Cash                                                                                                        |   | $ | 156,912 |   |   | $ | 39,567 |   |
| Accounts receivable -net of allowance of zero                                                               |   |   | 137,670 |   |   |   | 225,827 |   |
| Unbilled Receivables                                                                                        |   |   | 80,833 |   |   |   | - |   |
| Other receivables                                                                                           |   |   | 4,875 |   |   |   | 1,030 |   |
| Inventory                                                                                                   |   |   | 329,399 |   |   |   | 289,872 |   |
| Prepaid expenses                                                                                            |   |   | 24,896 |   |   |   | 58,729 |   |
|                                                                                                        |   |   |   |   |   |   |   |   |
| Total Current Assets                                                                                        |   |   | 734,584 |   |   |   | 615,025 |   |
|                                                                                                        |   |   |   |   |   |   |   |   |
| Property, plant & equipment (net of accumulated depreciation of $1,401,776 and $1,398,115 respectively) |   |   | 20,935 |   |   |   | 24,596 |   |
|                                                                                                        |   |   |   |   |   |   |   |   |
| Total Assets                                                                                                |   | $ | 755,519 |   |   | $ | 639,621 |   |
|                                                                                                        |   |   |   |   |   |   |   |   |
| LIABILITIES                                                                                                 |   |   |   |   |   |   |   |   |
|                                                                                                        |   |   |   |   |   |   |   |   |
| Accounts payable                                                                                            |   | $ | 193,794 |   |   | $ | 178,074 |   |
| Accrued expenses                                                                                            |   |   | 65,724 |   |   |   | 48,526 |   |
| Accrued related party expenses                                                                              |   |   | - |   |   |   | 36,000 |   |
| Accrued vacation expenses                                                                                   |   |   | 35,348 |   |   |   | 33,647 |   |
| Credit line advances                                                                                        |   |   | 16,525 |   |   |   | 23,684 |   |
| Deferred sales revenue                                                                                      |   |   | 77,055 |   |   |   | 159,450 |   |
|                                                                                                        |   |   |   |   |   |   |   |   |
| Total Current Liabilities                                                                                   |   |   | 388,446 |   |   |   | 479,381 |   |
|                                                                                                        |   |   |   |   |   |   |   |   |
|                                                                                                        |   |   |   |   |   |   |   |   |
| Total Liabilities                                                                                           |   |   | 388,446 |   |   |   | 479,381 |   |
|                                                                                                        |   |   |   |   |   |   |   |   |
| STOCKHOLDERS’ EQUITY                                                                                  |   |   |   |   |   |   |   |   |
| Preferred stock; $.001 par value, 10,000,000 shares authorized; no shares issued and outstanding            |   |   | - |   |   |   | - |   |
| Common stock; $.001 par value, 90,000,000 shares authorized; 14,163,513 and 14,043,513 shares issued and    |   |   | 14,163 |   |   |   | 14,043 |   |
| outstanding as of March  31, 2011 and December 31, 2010, respectively                             |   |   |   |   |   |   |   |   |
| Additional paid-in capital                                                                                  |   |   | 1,987,855 |   |   |   | 1,961,575 |   |
| Retained earnings (deficit)                                                                                 |   |   | (1,634,945 | ) |   |   | (1,815,378 | ) |
|                                                                                                        |   |   |   |   |   |   |   |   |
| Total Stockholders’ Equity                                                                            |   |   | 367,073 |   |   |   | 160,240 |   |
|                                                                                                        |   |   |   |   |   |   |   |   |
| Total Liabilities and Stockholders’ Equity                                                            |   | $ | 755,519 |   |   | $ | 639,621 |   |
|                                                                                                        |   |   |   |   |   |   |   |   |
| See notes to Unaudited Consolidated Financial Statements.                                                   |

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| PRINCETON SECURITY TECHNOLOGIES, INC.                     |
|-----------------------------------------------------------|
| UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS      |   |
|                                                      |   |   |   |   |   |   |
|                                                      |   | For the Three Months Ended March, 31 |   |
|                                                      |   | 2011 |   |   | 2010 |   |
| Revenues                                                  |   |   |   |   |   |   |
| Sales (net of returns)                                    |   | $ | 870,521 |   |   | $ | 485,701 |   |
| Costs of goods sold                                       |   |   | 411,278 |   |   |   | 250,900 |   |
| Gross Profit                                              |   |   | 459,243 |   |   |   | 234,801 |   |
|                                                      |   |   |   |   |   |   |   |   |
| Expenses                                                  |   |   |   |   |   |   |   |   |
| Depreciation and amortization                             |   |   | 3,661 |   |   |   | 5,519 |   |
| Selling and marketing                                     |   |   | 55,720 |   |   |   | 54,165 |   |
| General and administrative                                |   |   | 157,058 |   |   |   | 172,147 |   |
| Research and development                                  |   |   | 61,911 |   |   |   | 66,021 |   |
| Total Expenses                                            |   |   | 278,350 |   |   |   | 297,852 |   |
|                                                      |   |   |   |   |   |   |   |   |
| Profit from operations                                    |   |   | 180,893 |   |   |   | (63,051 | ) |
|                                                      |   |   |   |   |   |   |   |   |
| Other income/(expenses)                                   |   |   | (460 | ) |   |   | (2,540 | ) |
| Gain on extinguishment of Liabilities                     |   |   | - |   |   |   | - |   |
| Provision for income taxes                                |   |   | - |   |   |   | - |   |
|                                                      |   |   |   |   |   |   |   |   |
| Net Profit                                                |   | $ | 180,433 |   |   | $ | (65,591 | ) |
|                                                      |   |   |   |   |   |   |   |   |
| Net Profit per share of common stock                      |   | $ | 0.01 |   |   | $ | (0.00 | ) |
|                                                      |   |   |   |   |   |   |   |   |
| Weighted average number of common shares                  |   |   | 14,055,513 |   |   |   | 13,726,013 |   |
|                                                      |   |   |   |   |   |   |   |   |
| See notes to Unaudited Consolidated Financial Statements. |

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| PRINCETON SECURITY TECHNOLOGIES, INC.                     |
|-----------------------------------------------------------|
| UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS           |
| For the three months ended March 31, 2011 and 2010        |
|                                                      |   |   2011 |   |   | 2010 |   |
| Cash flow from operating activities                       |   |   |   |   |   |   |
| Net income/(loss)                                         |   | $ | 180,433 |   |   | $ | (65,591 | ) |
| Depreciation and amortization                             |   |   | 3,661 |   |   |   | 5,519 |   |
| Stock issued for services                                 |   |   | 26,400 |   |   |   | 6,000 |   |
| Change in operating assets and liabilities                |   |   |   |   |   |   |   |   |
|   Accounts receivable                           |   |   | 88,158 |   |   |   | 63,415 |   |
|   Other receivables                             |   |   | (84,678 | ) |   |   | (12,096 | ) |
|   Inventory                                     |   |   | (39,527 | ) |   |   | (55,156 | ) |
|   Prepaid expenses                              |   |   | 33,833 |   |   |   | 8,596 |   |
|   Accounts payable                              |   |   | 15,720 |   |   |   | (3,399 | ) |
|   Accrued expenses                              |   |   | (22,968 | ) |   |   | 6,186 |   |
|   Warranty expenses                             |   |   | 5,867 |   |   |   | (2,625 | ) |
|   Deferred sales                                |   |   | (82,395 | ) |   |   | 46,740 |   |
| Cash flow provided by operating activities                |   |   | 124,504 |   |   |   | (2,411 | ) |
|                                                      |   |   |   |   |   |   |   |   |
|                                                      |   |   |   |   |   |   |   |   |
| Cash flow from investing activities                       |   |   | - |   |   |   | - |   |
|                                                      |   |   |   |   |   |   |   |   |
| Cash flow from financing activities                       |   |   | - |   |   |   | - |   |
| Lines of Credit                                           |   |   | (7,159 | ) |   |   | - |   |
|                                                      |   |   |   |   |   |   |   |   |
| Cash flow from financing activities                       |   |   | (7,159 | ) |   |   | - |   |
|                                                      |   |   |   |   |   |   |   |   |
| Increase/(decrease) in cash position                      |   |   | 117,345 |   |   |   | (2,411 | ) |
|                                                      |   |   |   |   |   |   |   |   |
| Cash position at beginning of period                      |   |   | 39,567 |   |   |   | 21,333 |   |
|                                                      |   |   |   |   |   |   |   |   |
| Cash position at end of period                            |   | $ | 156,912 |   |   | $ | 18,922 |   |
|                                                      |   |   |   |   |   |   |   |   |
| Supplemental disclosure of cash flow information:         |   |   |   |   |   |   |   |   |
| Cash paid for:                                            |   |   |   |   |   |   |   |   |
| Interest expense                                          |   | $ | - |   |   | $ | - |   |
| Income taxes                                              |   | $ | - |   |   | $ | - |   |
| Stock Issued for retirement of debt                       |   | $ | - |   |   | $ | - |   |
|                                                      |   |   |   |   |   |   |   |   |
| See notes to Unaudited Consolidated Financial Statements. |

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| -   | Category 1: Radioactive Isotope Identifier Products. |
|---------------|------------------------------------------------------|

| -   | Category 2: Nuclear/ Gamma-ray detectors and spectrometers: |
|---------------|-------------------------------------------------------------|

| -   | Category 3: X-ray detectors and spectrometers. |
|---------------|------------------------------------------------|

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|  Item 4 |  Exhibit No. |  Instruments Defining the Rights of Security Holders             |  Location                              |
|--------------|-------------------|----------------------------------------------------------------------------|---------------------------------------------|
|         |              |                                                                       |                                        |
|  4.01   |  4           |  Specimen Stock Certificate                                           |  Incorporated                          |
|         |              |                                                                       |      By Reference* |
|         |              |                                                                       |                                        |
|  31.01  |  31          |  CEO certification Pursuant to 18 USC Section 1350,                   |                                        |
|         |              |      as adopted pursuant to Section 302           |                                        |
|         |              |      of Sarbanes-Oxley Act of 2002                |  This Filing                           |
|         |              |                                                                       |                                        |
|  31.02  |  31          |  Principal Financial Officer certification Pursuant                   |                                        |
|         |              |      to 18 USC Section 1350, as adopted pursuant  |                                        |
|         |              |      to Section 302 of Sarbanes-Oxley Act of 2002 |  This Filing                           |
|         |              |                                                                       |                                        |
|  32.01  |  32          |  CEO Certification pursuant to section 906                            |  This Filing                           |
|         |              |                                                                       |                                        |
|  32.02  |  32          |  Principal Financial Officer Certification pursuant to Section 906    |  This Filing                           |

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|                                                                                 | Princeton Security Technologies, Inc. |                        |
|--------------------------------------------------------------------------------------|---------------------------------------|-----------------------------|
|                                                                                 | (Registrant)                          |                        |
|                                                                                 |                                  |                        |   |
| Date:   May 12, 2011                                             | By:                                   | /s/ Juhani Taskinen    |   |
|                                                                                 |                                  | Juhani Taskinen             |   |
|                                                                                 |                                  | CEO                         |   |
|                                                                                 |                                  |                        |   |
|             May 12, 2011 | By:                                   | /s/ Trupti Mehta            |   |
|                                                                                 |                                  | Trupti Mehta                |   |
|                                                                                 |                                  | Principal Financial Officer |   |

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