----

----

**UNITED STATESSECURITIES AND EXCHANGE COMMISSIONWashington, D.C. 20549**___________________**FORM 10-QSB**_______________________

**ý                                QUARTERLY REPORT PURSUANTTO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

  

For the quarterly period ended September 30, 2007

  

or

  

** ̈                                TRANSITION REPORTPURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

  

For the transition period from               to

  

Commission file number 0-52493

  

**VERACITYMANAGEMENT GLOBAL, INC.**(Exact Name Of RegistrantAs Specified In Its Charter)
| Delaware                                          | 43-1889792                              |
|---------------------------------------------------|-----------------------------------------|
| (State of Incorporation)                          | (I.R.S. Employer    Identification No.) |
|                                              |                                    |
| 2655    LeJeune Road, Suite 311, Coral Gables, FL | 33134                                   |
| (Address of Principal    Executive Offices)       | (ZIP Code)                              |

Registrant's Telephone Number, Including Area Code: (305)728-1359

Indicate by checkmark whether the registrant (1) has filed all reports required to be filed by Section 13or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or forsuch shorter period that the registrant was required to file such reports), and (2) hasbeen subject to such filing requirements for the past 90 days. Yes x No  ̈

Indicate by check mark whether the registrant is a shellcompany (as defined in Rule 12b-2 of the Exchange Act). Yes  ̈ No x

Indicate by checkmark whether the registrant is a large accelerated filer, an accelerated filer, or anon-accelerated filer.
| Large accelerated    filer  ̈ | Accelerated filer  ̈  | Non-accelerated    filer x |
|----------------------------------|-------------------------------|--------------------------------|

On September 30,2007, the Registrant had 33,273,210 shares of common stock issued and outstanding.

----

----

----

----

 

TABLE OF CONTENTS
| Item                               |                          | Description                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | Page |
|------------------------------------|--------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------|
| **PART I - FINANCIAL INFORMATION** |
|                               |
| ITEM 1.                            |      |   FINANCIAL    STATEMENTS.
    3  
ITEM 2.
    
  MANAGEMENT'S    DISCUSSION AND ANALYSIS AND RESULTS OF OPERATION.
    3   ITEM 3.  CONTROLS AND    PROCEDURES4  
**PART II - OTHER    INFORMATION**
  
ITEM 1.
    
  LEGAL    PROCEEDINGS.
    4  
ITEM 2.
    
  RECENT    SALES OF UNREGISTERED EQUITY SECURITIES AND USE OF PROCEEDS
    4   
ITEM 3.
    
  DEFAULT    UPON SENIOR SECURITIES.
    4   
ITEM 4.
    
  SUBMISSION    OF MATERS TO A VOTE OF SECURITY HOLDERS.
    4   
ITEM 5.
    
  OTHER    INFORMATION.
    4   ITEM 6.  EXHIBITS4
 
****
**PART I - FINANCIAL INFORMATION**

ITEM1. FINANCIAL STATEMENTS****Back to Table ofContents

The Registrant's unaudited interim financial statementsare attached hereto. UnauditedInterim Financial Statements

ITEM 2.MANAGEMENT'S DISCUSSION AND ANALYSIS AND RESULTS OF OPERATIONBack to Table of Contents

Some of the statements contained in this quarterlyreport of Veracity Management Global, Inc., a Delaware corporation (hereinafter referred to as "we", "us", "our","Company" and the "Registrant") discuss futureexpectations, contain projections of our plan of operation or financial condition or stateother forward-looking information. Forward-looking statements give our currentexpectations or forecasts of future events. You can identify these statements by the factthat they do not relate strictly to historical or current facts. They use of words such as"anticipate," "estimate," "expect," "project,""intend," "plan," "believe," and other words and terms ofsimilar meaning in connection with any discussion of future operating or financialperformance. From time to time, we also may provide forward-looking statements in othermaterials we release to the public.
***General

The Registrant acquired its operating subsidiaries Veracity ManagementGroup, a Florida corporation ("VMG") and Secured Financial Data Inc., a Floridacorporation ("SFD") effective on July 1, 2006. Prior to the acquisition of itsoperating subsidiaries, during the period from May 2002 until the acquisition of itsoperating subsidiaries on July 1, 2006, the Registrant had only limited businessoperations. 
***Results of Operations For the Three Months Ended September 30, 2007Compared to Three Months Ended September 30, 2006

The following is derived from, and should be read in conjunction with,our consolidated financial statements, and related notes, as of and for the periods endedSeptember 30, 2007 and 2006. The Registrant generates revenues from its present operationsbased on hourly rates and fixed rates. Our fixed-rate contracts involve an engagementretainer and typically provide for monthly fees. Our hourly-rate contracts are billedmonthly.
*Revenues. We generated revenues to $454,835 during the thre-monthperiod ended September 30, 2007 as compared to $271,892 during the same period in theprior year or an increase 2006, representing an increase of $182,943, or 67%. The increasein revenues was mainly attributable to new clients. We anticipate continued growth in ourcurrent service offerings based on new and existing clients, as well as the development ofnew complementary service offerings arising from our considerable project portfolio. 
*Cost of Services. Cost of services for the three-month periodsended September 30, 2007 and 2006 were $402,175 and $244,838, respectively. Our cost ofservices consists mainly of labor costs for project consultants and information technologyprofessionals.
*Administrative Expenses: Our administrative expenses increased to$123,824 during the three-month period ended September 30, 2007 compared to $50,241 duringthe three-month period ended September 30, 2006. The increase is primarily attributed toan expansion of administrative personnel to facilitate our growth. 
*General Expenses. General expenses were $743,026 and $1,394,427during the three-month periods ended September 30, 2007 and 2006, respectively. Thesignificant decrease in our general expenses was due to decreased non-cash compensationexpenses related to administrative services, sales, marketing, contract analysis,technical and sales services and IT consulting services of $674,950 during the three-monthperiod ended September 30, 2007 as compared to non-cash compensation of $1,345,904 duringthe same period in the prior year. The Company may continue to issue shares of commonstock from time to time in lieu of cash for services provided to the Company until theCompany generates sufficient positive cash flow from operations.
*Selling expenses: Our selling expenses during the three-monthperiod ended September 30, 2007 increase to $122,801 from $58,278 during the same periodin the prior year. We expect continued increases in selling expenses related to increasingrevenues from current service offerings. We believe that additional selling expenses willbe incurred as we develop new synergistic business opportunities and expand into newmarkets. 
*Net Loss. We incurred a net loss of $908,700 during the three-monthperiod ended September 30, 2007, compared to a net loss of $1,596,352 during thethree-month period ended September 30, 2006, representing a decrease of $687,652, or 43%.
**Liquidity and Capital Resources**
At September 30, 2007, we had current assets of $446,551 consisting ofmainly of cash and accounts receivable compared to current assets of $411,489 at June 30,2007. At September 30, 2007 and June 30, 2007, we had total assets of $603,240 and$418,728, respectively. We had total current liabilities of $529,750 at September 30, 2007compared to $217,655 at June 30, 2007. As of September 30, 2007, our current liabilitieswere principally composed of $64,199 in accounts payable and accrued expenses, $4,473 inaccrued interest and $461,078 under a line of credit. We had long-term liabilities of$51,763 as of September 30, 2007 compared to $197,174 at June 30, 2007. As of September30, 2007, these liabilities consist of $11,965 in loan payable and stockholder loans of$39,798. We had total liabilities of $581,513 as of September 30, 2007 compared to$414,829 as of June 30, 2007.

We had negative working capital of $83,199 at September 30, 2007. Netcash used in operations during the three-month period ended September 30, 2007 was$179,797 compared to cash used of $319,727 during the three months ended September 30,2006. Our negative cash flow from operations was mainly due to our net loss of $908,700and decrease in accounts payable by $17,633, principally offset by a decrease in accountsreceivable of $109,459 and non-cash compensation of $674,950.

The Company's financing activities consist mainly of issuance ofdebt and equity instruments. During the three-month period ended September 30, 2007, theCompany's financing activities provided $474,318 compared to $360,397 during the sameperiod in the prior year. The Company utilized $329,729 under its line of credit andreceived proceeds of $290,000 through the issuance of restricted stock and made repaymentsof $145,411 on stockholders loans.

We believe that despite funding provided under our bank line-of-creditand funding available from our management, we may need additional funding to execute ourplanned expansion of our sales and marketing efforts. As of September 30, 2007,shareholders have loaned the Company $39,798 at 10.25% due on May 31, 2009. We have nowritten funding commitment from management and affiliated parties.

There are no limitations in the Company's articles of incorporation onthe Company's ability to borrow funds or raise funds through the issuance of restrictedcommon stock. The Company's believes that it has the ability to borrow funds and/or raisecapital through the sale of restricted stock. To the extent that additional debt financingis utilized, any borrowing will subject us to various risks traditionally associated withindebtedness, including the risks of interest rate fluctuations and insufficiency of cashflow to pay principal and interest.
*Plan of Current and Future Financing of Our Operations for the year2008*
During the three months ended September 30, 2007, the Company incurreda loss from operations of $908,700, which was primarily due to non-cash compensation of$674,950 represented by stock issued for consulting services. At September 30, 2007 theCompany had cash of $164,281. We had an accumulated deficit of $3,443,735 at September 30,2007. We have incurred negative cash flow from operations of $179,797 during thethree-month period ended September 20, 2007.

The Company principally funded its negative cash flow from operationsduring the three months ended September 30, 2007 through the sale of restricted stockwhich generated proceeds of $290,000 and by utilizing our line of credit.

We have financed our operations primarily through related party debtfinancing and equity raising. Our continued operations will depend on whether we are ableto continue to raise additional funds through various potential sources, such as equityand debt financing, including the sale of additional equity and receipt of additional debtfinancing. We do not have any agreements with our management to continue to loan monies tothe Company. Additional funds may not become available on acceptable terms and there canbe no assurance that any additional funding that we do obtain will be sufficient to meetour needs during the next twelve months or in the long term. 

We have spent, and expect to continue to spend, additional amounts inconnection with implementing our business strategy. Based on our current plans, we believethat our cash together with anticipated increased revenues, an increase of our existingcredit facility, obtain additional shareholder funding, and improved ability to sellrestricted stock as a public company to raise funds will be sufficient to enable us tomeet our planned operating needs at least for the next 12 months. However, the actualamount of funds we will need to operate is subject to many factors, some of which arebeyond our control. If the market for our services develops more slowly than we anticipateor if unexpected expenses or increases in costs arise; there can be no assurance that wewill be able to raise additional capital in a timely manner as and if needed.

We have based our estimate on assumptions that may prove to be wrong.We may need to obtain additional funds sooner or in greater amounts than we currentlyanticipate. Potential sources of financing include strategic relationships, public orprivate sales of our shares or debt and other sources. We may seek to access the public orprivate equity markets when conditions are favorable due to our long-term capitalrequirements. We may need committed sources of financing at this time, and it is uncertainwhether additional funding will be available when we need it on terms that will beacceptable to us, or at all. If we raise funds by selling additional shares of commonstock or other securities convertible into common stock, the ownership interest of ourexisting stockholders will be diluted. If we are not able to obtain additional financing,we may be unable to carry out our business plan. As a result, we may have to significantlylimit our operations and our business, financial condition and results of operations wouldbe materially harmed.

ITEM 3.CONTROLS AND PROCEDURES****Back to Table ofContents
*Evaluation of disclosure controls and procedures. As of September30, 2007, the Company's chief executive officer and chief financial officer conducted anevaluation regarding the effectiveness of the Company's disclosure controls and procedures(as defined in Rules 13a-15(e) or 15d-15(e) under the  Exchange Act. Based upon theevaluation of these controls and procedures, our chief executive officer and chieffinancial officer concluded that our disclosure controls and procedures were not effectiveas of the end of the period covered by this report. This conclusion is based upon thenumber and magnitude of the year end adjusting entries and additional financial reportingdisclosures identified by the Company’s independent accountants.

*Changes in internal controls*.There were no significant changes in our internal control over financial reporting (asdefined in Rules 13a-15(f) and 15d-15(f) under the 1934 Act) during the period endedSeptember 30, 2007, that have materially affected or are reasonably likely to materiallyaffect, our internal control over financial reporting.

**PART II - OTHER INFORMATION**

ITEM 1. LEGALPROCEEDINGS****Back to Table of Contents

None.

ITEM 2.RECENT SALES OF UNREGISTERED EQUITY SECURITIES AND USE OF PROCEEDSBack to Table ofContents

The following information is given with regard tounregistered securities sold by the Company during the the three-month period endedSeptember 30, 2007, including the dates and amounts of securities sold; the persons orclass of persons to whom we sold the securities; the consideration received in connectionwith such sales and if the securities were issued or sold other than for cash, thedescription of the transaction and the type and amount of consideration received.
**Date**
**Title**
**Shares    Issued**
**Persons****Cash or Non Cash Consideration**7/09/07Common21,667Ted & Harriet PioquintoServices valued at $11,050 issued pursuant to Section 4(2) 7/10/07Common50,000N. Richard Grassano, CFOServices valued at $25,500 issued pursuant to Section 4(2) 8/01/07Common750,000Marc BakerServices valued at $547,500 issued pursuant to Section 4(2) 8/09/07Common10,000Loren BrownServices valued at $$8,000 issued pursuant to Section 4(2) 8/23/07Common10,000Nicholas DwzillServices valued at $$4,000 issued pursuant to Section 4(2) 8/28/07Common50,000Irs GinsbergServices valued at $43,500 issued pursuant to Section 4(2) 8/03/07Common25,000James KirkpatrickPrivate sale at $0.40 per share issued pursuant to Section 4(2)8/09/07Common25,000Robert ShermanPrivate sale at $0.40 per share issued pursuant to Section 4(2)8/09/07Common50,000Ron & Don MarsPrivate sale at $0.50 per share issued pursuant to Section 4(2)8/23/07Common60,000Lori & Scott NelsonPrivate sale at $0.50 per share issued pursuant to Section 4(2)9/05/07Common110,000John RamseyPrivate sale at $0.50 per share issued pursuant to Section 4(2)9/19/07Common10,000Richard MenardPrivate sale at $0.50 per share issued pursuant to Section 4(2)9/19/07Common20,000Lisa & Steve PisentiPrivate sale at $0.50 per share issued pursuant to Section 4(2)9/19/07Common200,000James & Jeanne StricklandPrivate sale at $0.50 per share issued pursuant to Section 4(2)9/25/07Common10,000Blaine JacksonPrivate sale at $0.50 per share issued pursuant to Section 4(2)9/27/07Common40,000Lori & Scott NelsonPrivate sale at $0.50 per share issued pursuant to Section 4(2)9/27/07Common20,000Guy NeffPrivate sale at $0.50 per share issued pursuant to Section 4(2)9/30/07Common20,000Dennis ClairPrivate sale at $0.50 per share issued pursuant to Section 4(2)
The Company believes that the issuances and sale of therestricted shares were exempt from registration pursuant to Section 4(2) of the Act asprivately negotiated, isolated, non-recurring transactions not involving any publicsolicitation. The recipients in each case represented their intention to acquire thesecurities for investment only and not with a view to the distribution thereof.Appropriate restrictive legends are affixed to the stock certificates issued in suchtransactions. All recipients of restricted shares either received adequate informationabout the Company or had access, through employment, relation and/or businessrelationships with the Company to such information. Based on an analysis of the abovefactors, the Registrant has met the requirements to qualify this offering and sale forexemption under Section 4(2) of the Securities Act of 1933.

ITEM3. DEFAULTS UPON SENIOR SECURITIES****Back to Table of Contents

None.

ITEM4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERSBack to Table of Contents

None.

ITEM5. OTHER INFORMATION****Back to Table of Contents

None.

ITEM6. EXHIBITS****Back to Table of Contents

(a) The following documents are filed as exhibits tothis report on Form 10-QSB or incorporated by reference herein.

Exhibit    No.Description31.1Certification of CEO pursuant    to Rule 13a-14(a) or 15d-14(a) of the Exchange Act pursuant to Section 302 of the    Sarbanes-Oxley Act of 2002.31.2Certification of CFO pursuant    to Rule 13a-14(a) or 15d-14(a) of the Exchange Act pursuant to Section 302 of the    Sarbanes-Oxley Act of 2002.32.1Certification of CEO pursuant    to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of    2002.32.2Certification of CFO pursuant    to 18 U.S.C. Section 1350 as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of    2002.
SIGNATURES

Pursuant to therequirements of the Securities Exchange Act of 1934, this report has been signed below bythe following persons on behalf of the registrant and in the capacities and on the dateindicated.
/s/    Michael Rideman    Michael Rideman       *CEO**   Dated: November 14, 2007*
/s/ Richard Grassano, CFO    Richard Grassano       *CFO**   Dated: November 14, 2007***VERACITY    MANAGEMENT GLOBAL, INC.**(Formerly known as Kirshner International, Inc.)Consolidated Balance SheetsBack to Table of Contents
As of September    30, 2007 (Unaudited) and June 30, 2007**  **
**September 30, 2007**
**June 30, 2007**
AssetsCurrent assets:   Cash$164,281$19,760   Accounts receivable
282,270
391,729        Total current assets
446,551
411,489   Property and equipment, net    of depreciation of $3,528 and $2,9796,6897,239   Total Net Property    and Equipment6,6897,239Other Assets  150,000-   Total Other Assets150,000-          Total assets$
603,240$
418,728  
Liabilities    and Stockholders' Deficit  Current liabilities   Accounts payable    and accrued expenses$64,199$85,166   Accrued interest4,4731,139   Line of credit    payable461,078131,350        Total current liabilities$
529,750$
217,655  Long-term liabilities   Loan payable11,96514,965   Notes payable    stockholder - Stockholders39,798182,209     Total    long-term liabilities51,763197,174       Total    liabilities581,513414,829  Stockholders' equity :   Preferred stock,    $0.001 par value, 5,000,000 shares authorized:      none    issued and outstanding
-
-   Common stock,    $0.001 par value, 3,500,000,000 shares authorized:         33,273,210 and 36,805,895 shares issued and outstanding          at September 30, 2007 and June 30, 2007, respectively33,27236,806   Additional paid-in    capital
3,342,190
2,502,128   Accumulated deficit
(3,443,735)
(2,535,035)     Total    stockholders' equity
21,727
3,899        Total liabilities and stockholders' equity$
603,240$
418,728     The    accompanying notes to financial statements are integral part of these financial    statements.**VERACITY MANAGEMENT GLOBAL, INC.**(Formerly known as Kirshner International, Inc.)Consolidated Statements of OperationsFor    the Three Months Ended September 30, 2007 and 2006 (Unaudited)  **For the Three Months****For the Three Months****Ended****Ended****  **
**September 30, 2007**
**September 30, 2006**  Revenues$454,835$271,892  Cost of services402,175244,838   Gross profit52,66027,054  ExpensesAdministrative expenses123,82450,241General expenses743,0261,394,427Selling expenses122,80158,278Depreciation and amortization549569  Total expenses990,2001,503,515  Other income39,6321,883   Total other income39,6321,883  Other expenses-111,783Interest expense10,7929,991Total other expenses10,792121,774          Net loss
$
(908,700)
$
(1,596,352)  Basic and    diluted net loss per share
$
(0.03)
$
(0.05)   Weighted    average shares34,995,50035,468,312   The accompanying    notes to financial statements are integral part of these financial statements.**VERACITY MANAGEMENT GLOBAL, INC.**(Formerly known as Kirshner International, Inc.)Consolidated Statement of Changes in    Stockholders' Equity (Deficit)Back to Table of ContentsFor the Period From Inception (December 2, 2005) Through September 30, 2007    (Unaudited)        **Additional****Common Stock, $0.001 par value****Paid-in**
**Accumulated**
**Shares**
**Amount****Capital**
**Deficit****Total**Shares Issued    at Inception18,642,685
$18,643
$48,346
$-
$66,989   Shares issued for    cash200,00020099,800-100,000   Effect of    beneficial conversion feature--48,812-48,812   Shares issued for    services205,00020579,745-79,950   Net loss---(437,435)(437,435)Balance at    June 30, 200619,047,68519,048276,703(437,435)(141,684)  Recap shares old Kirshner899,860900(893)-7New shares issued at merger3,535,3533,535122,736(100,461)25,810Shares issued for cash930,735930473,070-474,000Shares issued for services13,392,26212,3931,630,512-1,642,905   Net loss---(1,997,139)(1,997,139)Balance at    June 30, 200736,805,89536,8062,502,128(2,535,035)3,899  Shares issued for cash550,000550289,450-290,000Options exercised for expenses250,00025034,750-35,000Shares issued for services931,667932639,018-639,950Liabilities and stockholders'    equity3,323330-33Cancellation of shares(5,267,675)(5,269)(33,186)-(38,455)   Net loss---(908,700)(908,700)Balance at    September 30, 200733,273,210
$33,272
$3,432,190
$(3,443,735)
$21,727  
The    accompanying notes to financial statements are integral part of these financial    statements.**VERACITY MANAGEMENT GLOBAL, INC.**(Formerly known as Kirshner International, Inc.)Consolidated Statements of Cash Flows    (Unaudited)For    the Three Months Ended September 30, 2007 and 2006  
**For the Three Months**
**For the Three Months**
**Ended**
**Ended****  **
**September 30, 2007**
**September 30, 2006**  Cash flows from operating    activities:    Net loss
$
(908,700)
$
(1,596,352)   Adjustments to    reconcile net loss to net cash used in operating activities:          Beneficial conversion feature-25,816          Shares issued for services and compensation674,9501,345,904          Shares issued for services(38,422)-          Depreciation and amortization549569   Changes in    operating assets and liabilities:          Accounts receivable109,459(129,919)          Other receivables-(104)          Accounts payable and accrued expenses(17,633)34,359                Net cash used in operating activities 
(179,797)
(319,727)  Cash flow from    investing activities:   Contingent payment    from business combination(150,000)-                Net cash used in investing activities(150,000)-  Cash flows from financing    activities:    (Repayments of)    proceeds from stockholders loan(145,411)58,616   Proceeds from line    of credit329,72912,781   Proceeds from sale    of common stock
290,000
289,000               Net cash provided by financing activities 
474,318
360,397                 Net increase (decrease) in cash 
144,521
360,397Cash - beginning of period
19,760
47,750Cash - end of    period
$
164,281
$
88,420   Supplemental cash flow    informationCash paid for:   Interest paid$991$-   Income taxes$-$-   Non-cash investing and financing    activities$-$-  The accompanying    notes to financial statements are integral part of these financial statements.****VERACITY MANAGEMENTGLOBAL, INC.**(Formerly Known as Kirshner International, Inc.)NOTES TOCONSOLIDATED FINANCIAL STATEMENTS(Unaudited)
**NOTE 1 – BASIS OF PRESENTATION**
The accompanying consolidated financialstatements of Veracity Management Global, Inc (the "Company", "VCMG")at September 30, 2007 have been prepared without audit, pursuant to the rules andregulations of the Securities and Exchange Commission. Certain information and footnotedisclosures normally included in financial statements prepared in conformity withgenerally accepted accounting principles have been omitted or condensed pursuant to suchrules and regulations. These statements should be read in conjunction with VCMG’saudited financial statements and notes thereto included in VCMG’s Form 10-KSB. Inmanagement’s opinion, these interim consolidated and unaudited interim financialstatements reflect all adjustments (consisting of normal and recurring adjustments)necessary for a fair presentation of the consolidated financial position and results ofoperations for each of the periods presented. The accompanying unaudited interim financialstatements for the three months ended September 30, 2007 are not necessarily indicative ofthe results which can be expected for the entire year.
***Consolidation and Basis of Presentation***
The Company follows accounting principlesgenerally accepted in the United States of America. Certain prior period amounts have beenreclassified to conform to the September 30, 2007 presentation. On August 2, 2007, theCompany’s Board of Directors approved a 1 for 73 reverse split of the Company’scommon stock by Action of the Board and a majority of shareholders. All informationrelated to common stock, warrants to purchase common stock and earnings per share havebeen retroactively adjusted to give effect to the stock split. The consolidated financialstatements include the accounts of Veracity Management Global, Inc, Secured FinancialData, Inc and Veracity Management Group, Inc. Any inter-company transactions areeliminated in consolidation.
**NOTE 2- GOING CONCERN**
Veracity Management Global,Inc.’s financial statements have been prepared on a going concern basis, whichcontemplates the realization of assets and settlement of liabilities and commitments inthe normal course of business for the foreseeable future. Since inception, the Company hasaccumulated losses aggregating to $ 3,443,735 and has insufficient working capital to meetoperating needs for the next twelve months as of September 30, 2007, all of which raisesubstantial doubt about VCMG’s ability to continue as a going concern.
**NOTE 3 – COMMON STOCKTRANSACTIONS**
On August 2, 2007, theCompany’s Board of Directors approved a 1 for 73 reverse split of the Company’scommon stock by Action of the Board and a majority of shareholders. All informationrelated to common stock, warrants to purchase common stock and earnings per share havebeen retroactively adjusted to give effect to the stock split.

During the year ended June 30,2007, VCMG sold 930,735 shares and 319,000 warrants under private placement memorandumsfor $474,000. The warrants have an exercise price of $1.00 per share and expire in fiveyears from the date of issuance. Using the black-scholes pricing model VCMG estimated therelative fair value of the warrants to be $314,215. Prior to July1, 2006, SecuredFinancial Data (See Note 7) sold certain units which contained 100,000 warrants topurchase common stock at an exercise price of $1.00 per share exercisable for five yearsfrom the date of issue.

During the three months endedSeptember 30, 2007, VCMG sold 550,000 shares under a private placement memorandum for$290,000. There were no warrants granted with this placement.

There were no registration rightspenalties that would be consider un-economic in any of the private placements.

During the three months endedSeptember 30, 2007 stock issued for services representing 931,667 shares were authorizedand granted. VCMG has recorded $639,950 of general and administrative expense representingthe fair market value of the stock issued on the measurement date based upon the closingquoted market price of VCMG’s common stock. During this same period a consultantexercised his option of 250,000 shares of VCMG common stock. This consultant paid expenseson behalf of VCMG as their exercise price in amount equal to $35,000. This expense paid onbehalf of VCMG is included in general and administrative expense. 

On July 31, 2007, theCompany’s Board of Directors authorized the cancellation of 5,267,675 shares ofcommon stock for lack of consideration. These shares were previously accounted for asshares issued for services. The statement of operations for the three month period endedSeptember 30, 2007 includes a reduction of general and administrative expense by theoriginal fair market value of the stock cancelled of $38,455. This stock was returned toVCMG.
**NOTE 4 – NOTESPAYABLE-STOCKHOLDERS**
On various dates in fiscal 2006and 2007, two stockholders lent the Company approximately $250,000, evidenced bypromissory notes bearing an interest rate of Prime plus 2.00% (10.25% at September 30,2007) and due on May 31, 2009. In addition the notes are convertible to common stock atany time at a conversion rate of $0.511 cents per share. In addition, 200,000 Warrantshave been granted at an exercise price of $1.00 per share exercisable for 60 months fromthe date of the notes.

As a result we have determinedthat the conversion feature of the notes and warrants issued are not derivativeinstruments pursuant to SFAS No. 133, Accounting for Derivative Instruments and HedgingActivities, as amended. Under the provisions of EITF Issue 98-5 the Company estimated thefair value of the beneficial conversion feature at the issuance of the notes using theBlack-Scholes option pricing model at $ 59,126. Those amounts are amortized over the lifeof the notes. 

On June 1, 2007 the existingstockholder notes payable were refinanced; new notes of approximately $182,000(representing unpaid principal and accrued interest as of the refinance date) were issued;the interest rate and maturity dates remain the same. The new notes do not provide aconversion feature; there is no remaining discount at September 30, 2007 as the remainingdiscount has been expensed as a component of interest expense during the 12 month periodended June 30, 2007. All of the notes are considered long term as principal payments arenot due during the next 12 months.
**NOTE 5 – CREDIT FACILITY**
In December 2006, the Companyentered into a secured $100,000 credit facility with a bank to finance working capital. InMay 2007 the secured facility was increased to $200,000. The loans under this facilitybear interest at a rate of 10.25 percent and are secured by certificates of deposit ownedby an entity controlled by the CEO and his wife. Interest payments are made on a monthlybasis; principal is due at maturity – May 8, 2008. In July 2007 the facility wasincreased again to $400,000; $200,000 is secured and $200,000 is unsecured. The maturitydate was extended to July 23, 2008, all other terms remain the same.

In September 2007, the Companyentered into a second secured $100,000 credit facility with a bank to finance workingcapital. This facility bears interest at a rate of 10.25 percent and is secured by acertificate of deposit owned by the company. The balance of the credit facilities atSeptember 30, 2007 was $385,353 and $75,725 respectively. The balance at June 30, 2007 was$131,350 and 0, respectively.
**NOTE 6- STOCK BASED COMPENSATION**
VCMG had granted warrants topurchase the common stock of Secured Financial Data, Inc, a subsidiary as part of theprivate placement memorandum discussed in Note 3 above. In addition it granted warrants aspart of the convertible notes payable to stockholders as described in Note 4 above. VCMGalso granted 1,000,000 options to a consultant during the year ended June 30, 2006 at anexercise price of 70% of the average 5 days closing price of VCMG’s common stock asquoted on the OTCBB.
**Warrants****Weighted Average****Issued *****Exercise Price**Balance as of June 30, 20061,300,000$1.00Granted1,619,000$1.00Forfeited0Exercised250,000Balance as of September 30, 20071,369,000$1.00* Adjusted to reflect the reverse    stock split discussed in note 3. Does not include the effect of the 1,000,000 options    whose exercise price is a discount to VCMG’s stock as discussed above.**NOTE 7- BUSINESS COMBINATION**
The information below does notinclude the reflection of the reverse merger discussed in note 3 above:

On July 1, 2006, Veracity Management Global, Inc,(VCMG) merged with Veracity Management Group, Inc. (VMG) and Secured Financial Data, Inc.(SFD). Pursuant to a Share Exchange Agreement, VCMG issued 22,583,038 shares of commonstock in exchange for all the outstanding common stock of VMG(3,535,353 shares) and SFD(19,047,685 shares).

For accounting purposes, the merger was treatedas a recapitalization of VCMG by SFD and a purchase of VMG by VCMG. Accordingly, thefinancial results presented for all periods prior to the merger date are those of SFD.This evaluation was conducted pursuant to the guidance in SFAS statement No. 141 as theformer SFD shareholders have majority control of VCMG subsequent to the merger throughmajority voting interest, control the majority of the board of directors, and control themajority of all management decisions. VMG is a wholly owned subsidiary. SFD’s equitystructure was restated to adopt the equity structure of VCMG (73 shares of VCMG for eachshare of VMG and SFD). As of the merger date, the financial statements include thecombined operating results, assets and liabilities of VCMG, VMG and SFD. Since VCMG wasinactive prior to the merger, it is not expected to constitute a significant part of theongoing business of the combined company.

VCMG issued a total of 22,583,038 shares ofcommon stock as a result of the above transactions. 3,535,353 shares were issued to theshareholders of VMG resulting in total assets and liabilities of $130,804 and $49,169,respectively, at July 1, 2006. 19,047,685 shares were issued to the shareholders of SFDresulting in total assets and liabilities of $62,418 and $204,102, respectively, at July1, 2006. As a result of the recapitalization, SFD’s assets and liabilities are statedat historical cost. As a result of the business combination between VCMG and VMG,VMG’s assets and liabilities are stated at fair market value which approximateshistorical cost.

The purchase price paid for VMG was $25,810. Thisrepresented a discount to the book value of VMG of $55,827. Pursuant to the terms of theagreement the majority shareholders of VCMG immediately prior to the merger have theoption to receive an additional 20% equity ownership in VCMG or rescind the merger ifcertain financial benchmarks are not achieved by December 31, 2008. Consistent with theguidance in SFAS No. 141 we have recorded a liability of $55,837 for the discounted pricepaid for VMG due to this possible contingency.

Since the above transactions tookplace on July 1, 2006 the first day of fiscal 2007, the financial results presented forthe 12 month period ended June 30, 2007 would not differ had the transaction occurred atan earlier date.*************** |