UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                 FORM 10-KSB/A

Annual Report Under Section 13 OR 15(d)of The Securities Exchange Act of 1934

                                        For the fiscal year ended March 31, 2007

                                               Commission File Number: 333-91190

                            NATCO INTERNATIONAL INC.
                 (Name of Small Business Issuer in its Charter)

       DELAWARE                                     98-0234680
(State of incorporation)              (I.R.S. Employer Identification Number)

                          UNIT 204, 13569 - 76 AVENUE
                   SURREY, BRITISH COLUMBIA, CANADA, V3W 2W3
              (Address of principal executive offices) (Zip code)

                        Telephone Number: (604) 592-0047

Securities registered under Section 12(b) of the Exchange Act: NONE


Securities registered under Section 12(g) of the Exchange Act: COMMON STOCK, PAR
VALUE $.001

Check whether the issuer is not required to file reports pursuant to Section 13
or 15(d) of the exchange act.  [X]

      Check whether the issuer: (1) filed all reports required to be filed by
Section 13 or 15(d) of the Exchange Act during the past 12 months (or for such
shorter period that the registrant was required to file such reports), and (2)
has been subject to such filing requirements for the past 90 days.
Yes [X] No [ ].

      Check if there is no disclosure of delinquent filers in response to Item
405 of Regulation S-B, and no disclosure will be contained, to the best of
registrant's knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-KSB or any amendment to
this Form 10-KSB. [X]

        Indicate by check mark whether the registrant is a shell company (as
defined in Rule 12b-2 of the exchange Act).          Yes [ ] No [X]

      The issuer's revenues for the fiscal year ended March 31, 2007 were  $0.

      State the aggregate market value of the voting and non-voting Common
equity held by non-affiliates computed by reference to the price at which the
common equity was sold, or the average bid and asked price of such common
equity, as of a specified date within the past 60 days.

THE AGGREGATE MARKET VALUE OF THE COMMON STOCK HELD BY NON-AFFILIATES ON JUNE
30, 2007 WAS $12,799,049.00.

        Check whether the issuer has filed all documents and reports required to
be filed by Section 12, 13 or 15(d) of the Exchange Act after the distribution
of securities under a plan confirmed by a court. Yes [X] No [ ].

SHARES OF $0.001 PAR VALUE COMMON STOCK OUTSTANDING AT JUNE 30, 2007:
15,047,614

                       DOCUMENTS INCORPORATED BY REFERENCE

None


    Transitional Small Business Disclosure Format (check one): Yes [ ] No [X]
                                     PART I

ITEM 1. DESCRIPTION OF BUSINESS

Organizational Development

   Natco International Inc. (the "Company" or "Natco"), a Delaware corporation,
started as  Spectrum Trading Inc., a  British Columbia, Canada company on
November  21, 1990 to import leather products from India and sell them in
Canada. However, the supplier in India did not materialize and the Company
remained dormant until 1997 when the chemical manufacturing  business
was launched by the Company's current President, Raj-Mohinder Gurm. Spectrum
Trading, Inc. domesticated into a Delaware corporation on May 14, 1999 as
Spectrum International Inc. and changed its name to Natco International Inc. on
June 3, 2004.

  Natco International Inc (formerly Spectrum International, Inc.) commenced its
existence as a Delaware Corporation on May 14, 1999 as a result of above
mentioned "Domestication". This procedure was intended to utilize provisions of
the Delaware Corporate Code, Sec. 388, whereby a non-U.S. company may, by filing
a Certificate of Domestication and Certificate of Incorporation under that
section, utilize provisions thereof which provide that upon filing the
Certificates, a corporation becomes subject to Delaware law, except that its
existence shall be deemed to have commenced when it was originally formed in the
foreign jurisdiction, rather than upon filing in Delaware as is the case in a
typical new corporation. Said Section also provides that the obligations and
liabilities prior thereto are not affected by the Domestication. The predecessor
company was incorporated in British Columbia. No opinion is expressed as to what
legal effect that procedure has on the Company, except that the financial
statements assume the financial continuation, and we refer to both the current
company and its predecessor as the "Company". Most of our current shareholders
were shareholders of the original British Columbia Company and "migrated" to the
Delaware company as a consequence of the Domestication

In June, 2000, Management of the Company determined that a reverse acquisition
by an Ontario, Canada Company would be desirable. The structure of the
transaction was that all of the shareholders of the Delaware company would
exchange their shares of the company for shares of the Ontario Company, Bisson
Bio-Technologies, Ltd. ("Bisson") pro rata, with each other, but also including
the prior shareholders of Bisson. This resulted in the Company becoming a wholly
owned subsidiary of Bisson, with its business activities continuing in Spectrum.
<PAGE>
Page 2

Bisson had no business activities, and the purpose of the transaction was to
seek a listing on one of the stock exchanges in Canada which was never effected.

   Consequently, in January, 2001, an agreement was entered into between Bisson,
its subsidiary Spectrum, and certain shareholders of Bisson (those who had been
former Spectrum shareholders) to "reverse" the transaction, and transfer the
Spectrum shares held by Bisson back to the former shareholders of Spectrum. The
agreement provided that the former Spectrum shareholders would submit their
shares of Bisson back to Bisson in exchange for the 6,050,661 shares of Spectrum
which had been originally exchanged. Shareholders were to be put back in their
original position, except that there had been a few transactions, which
Management believes, was of minor impact on the relative shareholder positions.

On May 9, 2005, the company's SB-2 became effective, and on July 29, 2005,
it was approved to start being quoted on the OTCBB.  On August 19, 2005,
shares of the company commenced trading on the OTCBB.

Business of the Company.

   Natco manufactured two distinct product lines that had separate customer
bases and manufacturing processes: a jewelry cleaner line and a tire sealant
line. The Company phased out both lines of product in the last 12 months.

The company announced a Letter of Agreement with Photo Violation Technologies
Corp, a Canadian company engaged in manufacture and sales of parking equipment.

Overview

Photo Violation Technologies Corp. (PVT) is a private Canadian company,
headquartered in Vancouver, British Columbia, with manufacturing facilities in
Thailand, and a subsidiary in the United Kingdom. Photo Violation Technologies
Corp. core product is a fully-automated, wireless, digital parking meter - the
PhotoViolationMeter(tm) - that comes with a built-in camera and in-ground
sensors that allow it to detect both the presence and absence of a vehicle. The
Company holds the exclusive, worldwide license for the PhotoViolationMeter(tm)
(PVM) and the PVM System. The PVM System is a
proprietary, integrated parking management system that utilizes the patented
PhotoViolationMeter(tm) and MeterLink(tm), through which PVT offers a
state-of-the-art, superior parking solution for cities and municipalities.

Products/Services
The PhotoViolationMeter(tm) is a fully patented, automated, wireless, digital
parking meter with a built-in camera. It enforces parking regulations by
issuing a parking violation electronically using digital photo evidence.
MeterLink(tm) is the Company's back-end parking management software package
that is fully integrated with the PVM. This revolutionary new parking
<PAGE>
Page 3

system is designed to increase a city's parking revenues by five times or
more. In addition to increasing the revenue by more than 5 times, the PVM offers
user friendly features such as the No Fine(tm) Feature, the Grace Period(tm)
Feature and the Every Way to Pay(tm) Feature. The Company is currently testing,
on a pilot basis, the PhotoViolationMeter(tm) and the PVM System on the
University Endowment Lands at the University of British Columbia, through
arrangements with the Provincial Government of British Columbia. These
PhotoViolationMeters(tm) were recently installed in early July 2006. These PVM'S
and the PVM System are operating successfully, and the initial results of
operations have exceeded the Company's expectations. To make our business models
"work", the PVM needed to issue 15 violations per month: it is now issuing over
150 violations per month compared to a national average of 3 violations per
month. Photo Violation Technologies Corp has an advanced stage start-up having
already progressed through the following stages: 1. Design and development
2.Prototyping 3.Testing 4.Patenting Stage 5.Trial Stage at present since June
2006 (University of British Columbia, Vancouver, Canada), trial in Port of San
Francisco since October 2006, and most recently in Niagara Falls, New York.
These ongoing pilot projects and the delivery of first orders are subject to the
Company being able to raise further capital to manufacture its meters, and for
working capital.
Competition Aforementioned features allow the PVM to detect both the absence and
presence of a vehicle and if needed, issue violations. For these reasons,
the PVM is said to be a self-enforcing meter - the first of its kind. The
PhotoViolationMeter(tm) is extremely user friendly, easy to use and accepts a
wide variety of payment methods. Patents are in place to effectively lock
out any competition.

Market Opportunities
Our market consists of mainly large municipalities (approximately 2600 in
North America) and/or private parking firms that manage their own properties or
city contracts. The International Parking Institute ("IPI") estimates that there
are more than 105.2 million parking spaces just in the US. It estimates that the
parking industry generates at least US $26 billion of revenue annually on that
space. An average size city has 6500 parking meters and represents a one time
sales revenue of $39,000,000 USD with an annuity stream revenue over 5 years at
approximately $32,500,000USD.
<PAGE>
Page 4

ITEM 2. DESCRIPTION OF PROPERTY

   The company wrote off all its assets (inventory, equipment etc) as of March
31, 2007.  Some of the old equipment and outdated inventory was thrown in the
garbage.  However, there is some equipment and inventory that the company
believes that can be sold.  It has been put into storage and when this is sold
the proceeds will have to be declared as income.

ITEM 3. LEGAL PROCEEDINGS

In May 2007 the company took a local brokerage house to court on behalf of
itself and its shareholders.  This action was taken because the company and some
shareholders had a reason to believe that this particular Brokerage house was
lending the shares to another broker Dealer for the purpose of shorting.  When
the shareholders demanded that their shares be converted to share certificates,
the brokerage house did not produce the certificates in a reasonable time
period.  The company went to Supreme Court of British Columbia to force them to
a) deliver the share certificates to shareholders, b) to stop lending out our
shares, c) to stop shorting of the company's shares.  The company managed to
accomplish all three because judge agreed with the company and an order was
issued to deliver the shares to shareholders immediately.  We have not dropped
this case as of June 30, 2007, but no further action against this Brokerage
house is contemplated at this time.


ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

No matter was submitted to a vote of the Registrant's shareholders during the
registrant's 2007 fiscal year.  However, we will be calling a meeting in the
near future to seek approval of the reverse merger.

<PAGE>
Page 5

Part II

ITEM 5. MARKET FOR COMMON EQUITY AND RELATED STOCKHOLDER MATTERS

The company's SB-2 was declared effective on May 9, 2005 and the quotation on
the Over-the-Counter Bulletin Board ("OTCBB") started on July 29, 2005 under
the symbol NCII.

   As of June 30, 2007 there are 15,047,614 shares of common stock outstanding.
There are no preferred shares outstanding. Management believes all of said stock
would be eligible for sale under Rule 144. Management assumes that said shares
would be subject to the volume limitations of Rule 144 manner of sale, notice
and other requirements for shares held more than one year but less than two
years, but has not sought an SEC no action letter on this issue. If an earlier
period should apply, many of these shares would be tradable under Rule 144(k),
which does not impose volume and manner of sales requirements on non-affiliates.

   As of March 31, 2006, the Company had 1,552,000 share purchase options
outstanding. Various other options are authorized for Mr. Gurm. Management
proposes to set aside 2,000,000 or more other shares for employee/consultant
options. Terms have not been finalized.

There have been no cash dividends declared on the Company's common stock
since the Company's inception.

ITEM 6. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

                          Background and Overview

      The following summary should be read in conjunction with the financial
statements and accompanying notes to them included elsewhere in this report.

   We have been in existence as a company (including our predecessor British
Columbia Corporation) since 1990. However, we began to concentrate on our
Chemical Manufacturing business activities in 1997; prior to that time we had
few shareholders and were primarily dormant. We never make a profit on Chemical
Manufacturing operations.

As of March 31, 2007, we had incurred a deficit of $(1,765,523) and $(1,530,951)
as of March 31, 2006, which has continued to increase. This deficit includes
losses incurred by our predecessor over the several years of our development.
Most of our losses have been recent and incurred in the development of our
chemical product lines. As an example, our deficit as of October 31, 1998 was
approximately $(130,000). We have had sales in both the jewelry cleaner and tire
sealants product lines since 1998, but sales did not contributed a significant
amount to offset expenses. In the twelve months ended March 31, 2007 compared to
the year ended March 31, 2006, we had net loss of $(234,572) and $(201,498)
respectively. Consequently, we discontinued all manufacturing activities and are
in the process of doing a reverse merger
with photo Violation Technologies Corp of Vancouver, British Columbia, Canada

 <PAGE>
Page 6

On December 5, 2006, the company announced a Letter of Intent has been signed
with Photo Violation Technologies Corp. ("PVT") of Vancouver, Canada that will
lead to the shareholders of PVT holding 85% of the outstanding shares of NATCO
at the conclusion of the transaction. The shareholders of NATCO will retain a
15% interest in the re-organized company. On March 19, the company announced the
signing of a binding Letter of Agreement with PVT.  A definitive agreement is
expected to be signed by he end of July 2007

PVT is a private company with subsidiaries in Europe and Asia that has developed
a patented, technologically innovative parking meter system - the
PhotoViolationMeter(TM). This user friendly high tech meter will generate
significantly more revenue than current parking meters through greatly improved
compliance and zero double usage of time. The PhotoViolationMeter has already
advanced to field trials and is being tested at the University of British
Columbia Endowment Lands and at the Port of San Francisco. Based on data
provided by PVT, Sean Lanigan B.Eng. (Civil), MBA, LL.B of Wishing Tree Inc. has
established a fair market value for the PVT patent of $133 million USD. This
value of the United Sates Patent does not include additional patents that have
been issued and are still pending.

Results of Operations

Twelve month period ended March 31, 2007

The company is in the process of completing the RTO agreement.  It is expected
that the agreement will be done in August 2007 and the RTO will be completed in
the next 4 months.

Consequently we had no sales in the twelve months ended March 31, 2007.
Therefore, it is not meaningful to compare our results of operations to our
prior year since our prior year's operations have been discontinued.

Liquidity and Capital Resources

Natco has financed its operations through equity investment from investors,
shareholder loans, and credit facilities from Canadian chartered banks and
increases in payables and share subscriptions. Most of the financing has been
debt financing from related parties.

During the twelve months ended March 31, 2007:

Natco used $120,368(2006 -$63,273) of cash to pay for its operating
activities, primarily for general and administrative expenses such as SEC
compliance, legal, accounting, and rent. Cash provided by financing activities
was $154,613 (2005 - $107,451. Notes to the RBS and TD banks were paid off in
the period ended March 31, 2007. The company issued capital Stock of $559,235 to
related parties in exchange for debit. The company still owes $753,273 to
related parties, the breakdown of which is listed in the financial statements,
Note 7.

<PAGE>
Page 7


   The Company has been sustaining a loss on operations of about $200,000 per
year in the past two fiscal years. We plan to satisfy our current liabilities of
$865,079 as of March 31, 2007 by converting most of our debt to equity
and paying the balance of approximately $300,0000 with additional financing.
We estimate that if we can raise $600,000 in additional capital either through
long term debt, equity or some combination, which is yet to be obtained then we
can pay the current obligations we believe we need to pay, and have enough
working capital until the RTO is completed.  We believe
this sum, less the payments we have indicated, would provide us with sufficient
working capital t0 meet our obligation to complete the RTO
Post RTO entity will need additional capital. We estimate we will have to raise
an additional $2,000,000 in the next 6 to 8 months to provide for sufficient
working capital for the post RTO entity.

Our estimated fixed costs at this time are approximately $6,500 per month,
which includes $1,500 for lease payments, $1,000 for utilities, $3,000 for
loan interest and principle payments, and $1,000 for miscellaneous expenses.
We will have to raise approximately $6,500 per month until additional funding
is in place.

If we are unable to finance the company by debt or equity financing, or
combination of the two, we will have to look for other sources of funding to
meet our requirements.  That source has not been identified as yet but most
likely will be debt financing using the management's trading shares as
collateral. However there is no guarantee that we will be successful in raising
any additional capital.

Our financial statements have been prepared on the going concern basis under
which an entity is considered to be able to realize its assets and satisfy its
liabilities in the ordinary course of business. Operations to date have been
primarily financed by long-term debt and equity transactions as well as
increases in payables and related party loans. Our future operations are
dependent upon the identification and successful completion of additional
long-term or permanent equity financing, the continued support of creditors
and shareholders, and, ultimately, the achievement of profitable operations.
There can be no assurance that we will be successful. If we are not, we will be
required to reduce operations or liquidate assets. We will continue to evaluate
our projected expenditures relative to our available cash and to
seek additional means of financing in order to satisfy working capital and other
cash requirements. Our auditors' report on the March 31,2006 financial
statements includes an explanatory paragraph that states that as we have
suffered recurring losses from operations, substantial doubt exists about
our ability to continue as a going concern. The consolidated financial
statements do not include any adjustments relating to the recoverability of
assets and classification of assets and liabilities that might be necessary
should we be unable to continue as a going concern.

<PAGE>
Page 8

ITEM 7. FINANCIAL STATEMENTS

Restated - August 22, 2008

NATCO INTERNATIONAL INC.
Development Stage company
FINANCIAL STATEMENTS
MARCH 31, 2007 and 2006
(Expressed in US Dollars)

MOORE & ASSOCIATES, CHARTERED
ACCOUNTANTS AND ADVISORS
PCAOB REGISTERED


REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM


To the Board of Directors
Natco International Inc.
(Formerly Spectrum International Inc.)


We have audited the accompanying restated balance sheets of Natco International
Inc. as of March 31, 2007 and March 31, 2006, and the related restated
statements of operations, stockholders' equity and cash flows as of March 31,
2007 and 2006 and since inception through March 31, 2007. These restated
financial statements are the responsibility of the Company's management.  Our
responsibility is to express an opinion on these financial statements based on
our audits.

We conducted our audits in accordance with standards of the Public Company
Accounting Oversight Board (United States).  Those standards require that we
plan and perform the audits to obtain reasonable assurance about whether the
financial statements are free of material misstatement.  An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements.  An audit also includes assessing the accounting
principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation.  We believe that our
audits provide a reasonable basis for our opinion.

In our opinion, the restated financial statements referred to above present
fairly, in all material respects, the financial position of Natco International
Inc. as of March 31, 2007 and March 31, 2006, and the related restated
statements of operations, stockholders' equity and cash flows as of March 31,
2007 and 2006 and since inception through March 31, 2007, in conformity with
accounting principles generally accepted in the United States of America.

The accompanying restated financial statements have been prepared assuming that
the Company will continue as a going concern.  As discussed in Note 1 to the
financial statements, the Company has incurred significant operating losses over
the past three years and has a substantial stockholders' deficiency and a
working capital deficiency which raises substantial doubt about its ability to
continue as a going concern.  Management's plans concerning these matters are
also described in Note 1.  The financial statements do not include any
adjustments that might result from the outcome of this uncertainty.


/S/ MOORE & ASSOCIATES, CHARTERED

Moore & Associates Chartered
Las Vegas, Nevada
August 22, 2008

2675 S. Jones Blvd. Suite 109, Las Vegas, NV 89146
    (702) 253-7499 Fax (702) 253-7501

<PAGE>
Page 9

NATCO INTERNATIONAL INC.
Development Stage Company
Financial Statements
Balance Sheet at March 31[st]
(Expressed in US Dollars)
Restated
<TABLE>
<CAPTION>
                                                                              2007                   2006
<S> <C>                                                             <C>               <C> <C>
                                                                           Audited                Audited
 ASSETS

 CURRENT ASSETS
 Cash                                                                $           -         $            -
 Accounts Receivable                                                             -                      -
 Tax Receivable                                                                  -                      -
 Inventory                                                                       -                  8,643
 Prepaid Assets                                                             15,646                    629
 Assets held in discontinued operations                                      2,765                  3,199
 Total Current Assets                                                       18,411                 12,471

  LONG TERM ASSETS

 Interest Receivable on Loan to PVT
 Product Rights (Note 5)                                                         1                      1

 Total Assets                                                      $        18,412       $         12,472


              LIABILITIES AND STOCKHOLDERS' EQUITY

 CURRENT LIABILITIES
 Bank Indebtedness (Note 6)                                        $        19,132       $         62,985
 Accounts Payable                                                           80,460                 85,874
 Accrued Liabilities                                                        12,214                 29,532
 Due to related Parties (Note 7)                                           753,273              1,062,039
 Liabilities held in discontinued operations                                     -                  5,613

 Total Current Liabilities                                                 865,079              1,246,043

 Total Liabilities                                                         865,079              1,246,043

 Continued Operations (Note 1)
 Discontinued Operations (Note 12)
 Subsequent events (Note 13)


 STOCKHOLDERS' EQUITY
 Authorized:
 5,000,000 Preferred Shares,
 with a par value $0.001,
 50,000,000 Common Shares
 with a par value $0.001,
 Issued:
 Preferred Shares - None
 Common Shares - 15,047,614
 (2006 - 9,377,364) respectively
 Paid in Capital -Statement 3                                               15,047                  9,377

 Additional Paid-in Capital -Statement 3                                 1,072,687                469,172

 Share Subscriptions                                                        70,853                 33,063

 Other Comprehensive Income - Statement 3                                (239,731)              (205,653)

 Deficit Accumulated during Development
      Stage -Statement 3                                               (1,765,523)            (1,530,951)

 Total Stockholders' Equity                                              (846,667)            (1,224,992)

 Total Liabilities and Stockholders' Equity                        $        18,412       $         21,051



 The accompanying notes are an integral part of these statements
</TABLE>


NATCO INTERNATIONAL INC.
Development Stage Company
Financial Statements
Statements of Operations
(Expressed in US Dollars)
Restated
<TABLE>
<CAPTION>
                                                                     Twelve Months       Twelve Months      Since Inception
<S> <C>                                                             <C>             <C> <C>             <C> <C>
                                                                    Ending March 31     Ending March 31      to March 31st
                                                                         2007                2006                 2007
                                                                        Audited             Audited
                                                                                                                Restated
    INCOME
    Sales                                                               $         -       $         730       $      392,635
                                                                                                                           -
    Cost of Sales                                                                 -                 447              239,602
                                                                                                                           -
    Gross Profit                                                        $         -       $         283       $      153,033
                                                                                                                           -
    OPERATING EXPENSES
    Advertising and Promotion                                                   790               3,219               68,153
    Amortization                                                                  -               2,489               46,985
    Automotive                                                                                                        37,035
    Bad Debts                                                                                                          8,474
    Bank Charges                                                              3,093               1,830               14,653
    Commissions                                                                                                        3,509
    Consulting Fees                                                                               2,514               17,980
    Insurance                                                                                                         17,481
    Legal and Accounting                                                     43,404              50,566              318,530
    Office and other                                                          1,571               3,969               53,489
    Rent                                                                     11,080              14,098              201,904
    Research and Development                                                                      1,817              105,537
    Salaries and benefits                                                   115,709              62,774              666,539
    Telephone and Utilities                                                   2,225               2,852               52,633
    Travel and trade shows                                                    6,712                                   44,737
    Currency Exchange Loss (Gain)                                                                                        962
                                                                                                                           -
    Total Expenses                                                          184,584             146,128            1,658,601
                                                                                                                           -
    Net Loss from Operations                                              (184,584)           (145,845)          (1,505,568)

    OTHER ITEMS
    Interest on PVT Loan                                                          -                                        -
    Other Income                                                                184               1,006               25,389
    Cancellation of Options                                                                                                -
    Interest Expense                                                       (28,602)            (48,366)            (255,481)
                                                                     $     (28,418)       $     47,360)       $     230,092)

                    Loss from Continued operations                        (213,002)           (193,205)          (1,735,660)

    Net Income (loss) from
    discontinued operations (Note 12)                                      (21,570)             (8,293)             (29,863)
                                                                                                                           -
    Net  Loss                                                             (234,572)           (201,498)          (1,765,523)
                                                                                                                           -
    Other comprehensive income                                             (34,078)            (44,178)            (239,731)


    Net Loss and Comprehensive loss                                  $    (268,650)       $    245,676)       $   2,005,254)


    Basic and Diluted
    (Loss) per Share                                                 $       (0.02)       $       0.03)       $        0.12)

    Weighted Average
       Number of Shares                                                  15,047,614           9,377,364           15,047,614



    The accompanying notes are an integral part of these statements
</TABLE>


NATCO INTERNATIONAL INC.
Development Stage Company
Financial Statements
Stockholder Equity at March 31[st]
(Expressed in US Dollars)
Restated
<TABLE>
<CAPTION>
                                 Common       Common     Additional         Shares             Other
<S>                          <C>        <C> <C>      <C> <C>        <C> <C>        <C> <C>           <C> <C>         <C> <C>
                                 Shares       Shares        Paid-In     Subscribed     Comprehensive
                               (Number)     (Amount)        Capital                    Income (Loss)         Deficit           Total
Balance (deficiency)          8,393,928   $    8,394   $    417,516   $     33,549   $        19,886   $    -822,300   $    -342,955
  March 31, 2002
Issuance of shares at           430,714          431         18,207        -18,638                 -               -               -
CDN$0.07 per share (Note 9b)
Issuance of shares at           160,000          160         14,751        -14,911                 -               -               -
CDN$0.15 per share (Note 9b)
Issuance of shares at            85,714           85          3,732              -                 -               -           3,817
CDN$0.07 per share (Note 9b)
Issuance of shares at
CDN$0.08 per share plus
warrant
(Note 9b)                       307,008          307         14,966              -                 -               -          15,273
Share subscription (Note 9c)          -            -              -         20,000                 -               -          20,000
Change in foreign currency            -            -              -              -           -33,224               -         -33,224
translation adjustment
Net loss                              -            -              -              -                 -        -186,247        -186,247

Balance (deficiency)          9,377,364        9,377        469,172         20,000           -13,338      -1,008,547        -523,336
  March 31, 2003
Change in foreign currency            -            -              -              -           -73,045               -         -73,045
translation adjustment
Net loss                              -            -              -              -                 -        -153,084        -153,084

Balance (deficiency)          9,377,364   $    9,377   $    469,172   $     20,000   $       -86,383   $  -1,161,631   $    -749,465
  March 31, 2004
Share subscription (Note 9c)          -            -              -          5,000                 -               -           5,000
Change in foreign currency            -            -              -              -           -75,092               -         -75,092
translation adjustment
Net loss                              -            -              -              -                 -        -167,822        -167,822

Balance (deficiency)          9,377,364   $    9,377   $    469,172   $     25,000   $                 $               $
  March 31, 2005                                                                           (161,475)     (1,329,453)       (987,379)
Share subscription (Note 9c)          -            -              -          8,063                 -               -           8,063
Change in foreign currency            -            -              -              -                                 -
translation adjustment                                                                      (44,178)                        (44,178)
Net loss                              -            -              -              -                 -
                                                                                                           (201,498)       (201,498)

Balance (deficiency)          9,377,364   $    9,377   $    469,172   $     33,063   $                 $               $
  March 31, 2006                                                                           (205,653)     (1,530,951)     (1,224,992)
Share subscription (Note 9c)          -            -              -         50,000                 -               -          50,000
Issuance of shares
At CDN$0.06/share
(Note 9b)                       100,000          100          4,047        (4,147)                 -               -               -
Issuance of shares
At CDN$0.10/share
(Note 9b)                       100,000          100          7,963        (8,063)                 -               -               -
Issuance of shares
At CDN $0.10 per share(Note   5,470,250        5,470        541,555              -                 -               -         547,025
9b)
Issuance of Stock Options             -            -         49,950              -                 -               -          49,950
Change in foreign currency            -            -              -              -                                 -
translation adjustment                                                                      (34,078)                        (34,078)
Net loss                              -            -              -              -                 -
                                                                                                           (234,572)       (234,572)

Balance (deficiency)         15,047,614   $   15,047   $  1,072,687   $     70,853   $                 $               $
 March 31, 2007                                                                            (239,731)     (1,765,523)       (846,667)
</TABLE>


NATCO INTERNATIONAL INC.
Development Stage Company
Financial Statements
Statements of Cash Flow
(Expressed in US Dollars)
Restated
<TABLE>
<CAPTION>
                                                 Twelve Months       Twelve Months        (Inception)
<S>                                              <C>            <C> <C>             <C> <C>
                                                 Ended March 31     Ended March 31       to March 31st
                                                      2007               2006                2007
                                                     Audit               Audit
                                                                                           Restated
OPERATING ACTIVITIES                                Audited             Audited
Net (Loss)                                         $  (234,572)       $   (193,205)       $  1,765,523)
Adjustments to reconcile Net (Loss)
   Common Stock issued for Services                       -                    -
   Depreciation                                           -                  2,489              46,985
Bad Debts                                             -                        -                  1,672
Write off of assets from discontinued operations
Interest due to related parties                        24,034               40,030              67,639
Wages accrued to director                              65,579               64,591             466,501
stock based compensation                               49,500                                   49,500
Changes in Operating Assets and Liabilities
   (Increase)/Decrease in Accounts Receivable             -                    402                 -
Interest receivable                                       -                    -                   -
Inventory                                                 -                  1,493                 -
Prepaid expense                                        (15,021)                 333            (15,646)
   Increase/(Decrease) in Accounts Payable              (5,414)               7,190              80,460
   Increase/(Decrease) in Accrued Liabilities          (17,318)               6,341              12,214

Net Cash Provided by Operating Activities             (133,212)            (68,664)         (1,056,198)

Net cash provided by (used in )                          12,497               5,391              11,219
 Discontinued operations

                                                      (120,715)            (63,273)         (1,044,979)

INVESTMENT ACTIVITIES
Purchase of Equipment                                         -                   -            (62,642)


Net Cash (Used) by Investment Activities                      -                   -            (62,642)

FINANCING ACTIVITIES
Bank Indebtedness                                      (43,853)               (250)              19,132
Due to Related party                                  (398,379)              99,638             219,133
Proceeds from Subscriptions Receivable                   37,790               8,063              70,853
Proceeds from sale of Common Stock                      559,235                   -           1,038,234

Net Cash Provided by Financing Activities               154,793             107,451           1,347,352

Foreign Exchange                                       (34,078)            (44,178)           (239,731)

Change in cash and cash equivalents                           -                   -                   -

Cash, Beginning of Period                                     -                   -                   -

Cash, End of Period                                   $       -         $         -         $         -

SUPPLEMENTAL INFORMATION:
Interest Paid                                       $     4,568       $       8,336       $     135,435
Income Taxes Paid                                     $       -         $         -         $         -



</TABLE>

<PAGE>
Page 13

Natco International Inc.
Development Stage Company
Notes to Financial Statements
March 31, 2007 and 2006
(Expressed in US Dollars)
Restated
=============================================================================

1.    Nature of Operations and Going Concern

The Company was incorporated as Spectrum Trading Inc. under the laws of the
Province of British Columbia, Canada, on November 21, 1990. On May 14, 1999,
the Company was discontinued in British Columbia and was reincorporated as
Spectrum International Inc. in the State of Delaware, U.S.A.  Effective
September 3, 2004, the Company changed its name from Spectrum International Inc.
to Natco International Inc.

The company had two products, jewellery cleaner and a tire sealant. During the
current fiscal year, the Company discontinued its production of both lines. The
company has signed a binding letter of agreement with Photo violation
Technologies Corp.(PVT), which will lead PVT to take over the Company in a
Reverse merger.

These financial statements have been prepared on the basis of accounting
principles applicable to a going concern which assumes that the company will
continue in operation for the foreseeable future and will be able to realize its
assets and discharge its liabilities in the normal course of operations. The
Company has incurred significant operating losses over the past three years and
has a substantial stockholders' deficiency and a working capital deficiency. The
company's continued existence is dependent upon its ability to raise additional
capital and to achieve profitable operations through the proposed reverse merger
with Photo Violation Technologies Corp.

If the going concern assumption were not appropriate for these financial
statements, then adjustments would be necessary in the carrying values of assets
and liabilities, the reported revenues and expenses and the balance sheet
classifications used.
=============================================================================

2.    Summary of Significant Accounting Policies

a)   Fiscal Period

     The Company's fiscal year ends on March 31.

b)    Cash and Cash Equivalents

Cash and cash equivalents include cash on hand, term deposits and short term
highly liquid investments with a term to maturity of less than one year from
inception which are readily convertible to known amounts of cash and which, in
the opinion of management, are subject to an insignificant risk of changes in
value.

c)    Use of Estimates

In conformity with accounting principles generally accepted in the United States
of America, management is required to make estimates and assumptions that could
affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements, and
the reported amounts of revenues and expenses during the year. Actual results
could vary materially from those reported.
<PAGE>
Page 14

Natco International Inc.
Development Stage Company
Notes to Financial Statements
March 31, 2007 and 2006
(Expressed in US Dollars)
Restated
=============================================================================

2.    Summary of Significant Accounting Policies - Continued

d)    Foreign Currency Transactions

The Company's functional currency is the Canadian dollar and the reporting
currency is the U.S. dollar.  Assets and liabilities are translated
from the functional to the reporting currency at the exchange rate in effect
at the balance sheet date and equity at the historical exchange rates. Revenue
and expenses are translated at rates in effect at the time of the transactions.
Resulting translation gains and losses are accumulated in a separate component
of stockholders' equity - other comprehensive income (loss).  Realized foreign
currency transaction gains and losses are credited or charged directly to
operations.


e)    Inventory

Inventory is stated at the lower of cost and net realizable value.  Cost
includes all costs of purchase, cost of conversion and other costs incurred in
bringing the inventory to its present location and conditions, and is calculated
using the first-in first-out method.  Net realizable value is determined by
reference to sales proceeds of items sold in the ordinary course of business
after the balance sheet date or by management estimates based on prevailing
market conditions.

f)    Property, Plant and Equipment

Property, plant and equipment is recorded at cost.  Depreciation is provided
annually on the diminishing balance method to write-off the assets over their
estimated useful lives as follows:

*     Computer and office equipment - 30%
*     Manufacturing equipment - 20%

g)  Income Taxes

Income taxes are accounted for using the asset and liability method. Deferred
tax assets and liabilities are recognized for the future tax consequences
attributable to differences between the financial statement carrying amounts of
existing assets and liabilities and their respective tax bases and operating
loss and tax credit carry-forwards.  Deferred tax assets and
liabilities are measured using enacted tax rates expected to apply to taxable
income in the years in which those temporary differences are expected to be
recovered or settled.  The effect on deferred tax assets and liabilities of a
change in tax rates is recognized in income in the period that includes the
enactment date.  A valuation allowance is provided for significant deferred tax
assets when it is more likely than not that such assets will not be recovered.

h)    Fair value of Financial Instruments

The company's financial instruments consist of accounts receivable, bank
indebtedness, accounts payable and amounts due to related parties.  Unless
otherwise noted, it is management's opinion that this Company is not exposed
to significant interest or credit risks arising from these financial
instruments. The fair values of these financial instruments approximate their
carrying values unless otherwise noted.
<PAGE>
Page 15

Natco International Inc.
Development Stage Company
Notes to Financial Statements
March 31, 2007 and 2006
(Expressed in US Dollars)
Restated
=============================================================================

2.  Summary of Significant Accounting Policies - Continued

i)    Stock-Based Compensation

Effective January 1, 2006, the Company adopted the provisions of Statement of
Financial Accounting Standards ("SFAS") No. 123(R), "Share-Based Payment",
which establishes accounting for equity instruments exchanged for employee
services. Under the provisions of SFAS 123(R), stock-based compensation cost
is measured at the grant date, based on the calculated fair value of the
award, and is recognized as an expense over the employees' requisite service
period (generally the vesting period of the equity grant). Before January 1,
2006, the Company accounted for stock-based compensation to employees in
accordance with Accounting Principles Board Opinion No. 25, "Accounting for
Stock Issued to Employees," and complied with the disclosure requirements of
SFAS No. 123, "Accounting for Stock-Based Compensation".  The Company adopted
SFAS 123(R) using the modified prospective method, which requires the Company
to record compensation expense over the vesting period for all awards granted
after the date of adoption, and for the unvested portion of previously
granted awards that remain outstanding at the date of adoption.  Accordingly,
financial statements for the periods prior to January 1, 2006 have not been
restated to reflect the fair value method of expensing share-based
compensation.  Adoption of SFAS No. 123(R) does not change the way the
Company accounts for share-based payments to non-employees, with guidance
provided by SFAS 123 (as originally issued) and Emerging Issues Task Force
Issue No. 96-18, "Accounting for Equity Instruments That Are Issued to Other
Than Employees for Acquiring, or in Conjunction with Selling, Goods or
Services".


j)    Revenue Recognition

Revenues are recognized when all of the following criteria have been met:
persuasive evidence for an arrangement exists; delivery has occurred; the fee
is fixed or determinable; and collection is reasonably assured


k)    Advertising Policy

The Company expenses the cost of advertising when incurred.

l)    Research and Development

Research and development is expensed as incurred.

m)    Shipping and Handling

The company includes the cost of shipping and handling as a component of cost
of sales in accordance with Emerging Issues Task Force ("EITF") Issue No. 00-10,
"Accounting for Shipping and Handling Fees and Costs."
<PAGE>
Page 16

Natco International Inc.
Development Stage Company
Notes to Financial Statements
March 31, 2007 and 2006
(Expressed in US Dollars)
Restated
=============================================================================

2.    Summary of Significant Accounting Policies - Continued


n)    Long-Lived Assets

The company monitors the recoverability of long-lived assets, including
property, plant and equipment and product rights, based on estimates using
factors such as current market value, future asset utilization, business climate
and future undiscounted cash flows expected to result from the use of the
related assets. The company policy is to record any impairment loss in the
period when it is determined that the carrying amount of the asset may not be
recoverable equal to the excess of the asset's carrying value over its fair
value.

o)    Loss Per Share

The company computes net loss per common share using SFAS No. 128 "Earnings Per
Share."  Basic loss per common share is computed based on the weighted average
number of shares outstanding for the period. Diluted loss per share is computed
by dividing net loss by the weighted average shares outstanding assuming all
dilutive potential common shares were issued. There were no dilutive potential
common shares at March 31, 2007 and 2006.  Because the company has incurred net
losses and has no potentially dilutive common shares, basic and diluted loss per
share are the same.  Additionally, for the
purposes of calculating diluted loss per share, there were no adjustments to net
loss.

p)   Obligations Under Capital Leases

Leases are classified as either capital or operating.  Leases that transfer
substantially all of the benefits and risks of ownership of property to the
company are accounted for as capital leases.  At the time a capital lease is
entered into, an asset is recorded with its related long-term financing.
Payments under operating leases are expensed as incurred.

q)   Segmented Reporting

SFAS No. 131, "Disclosures about Segments of an Enterprise and Related
Information", changed the way public companies report information about segments
of their business in their quarterly reports issued to stockholders. It also
requires entity-wide disclosures about the products and services an entity
provides, the material countries in which it holds assets and reports revenues
and its major customers.  The company's sales are generated in one geographical
area, Canada.  The company operated in two product segments: jewellery cleaners
and accessories, and tire sealants.  During the current fiscal year, the company
discontinued its jewellery cleaners business.


r)   Comprehensive Income

SFAS No. 130, "Reporting Comprehensive Income", establishes standards for
reporting and display of comprehensive income and its components in a full set
of general-purpose financial statements.

s)    Derivative Financial Instruments

The company was not a party to any derivative financial instruments during any
of the reported fiscal periods.
<PAGE>
Page 17

Natco International Inc.
Development Stage Company
Notes to Financial Statements
March 31, 2007 and 2006
(Expressed in US Dollars)
Restated
=============================================================================

2.    Summary of Significant Accounting Policies - Continued

t)  Product Warranty

The company's policy was to replace tire sealant and jewellery cleaner products
if faulty.  Products will be replaced within a reasonable time from the date of
sale. The company stopped manufacturing all products January 2007, therefore,
there are no warranty issues anymore.

u)   Variable Interest Entities

In January 2003, the FASB issued FIN 46, "Consolidation of Variable Interest
Entities, an Interpretation of ARB No. 51."   FIN 46 requires certain variable
interest entities to be consolidated by the primary beneficiary of the entity if
the equity investors in the entity do not have the characteristics of a
controlling financial interest or do not have sufficient equity at risk for the
entity to finance its activities without additional subordinated financial
support from other parties.  FIN 46 is effective for all new variable interest
entities created or acquired after January 31, 2003.  For variable interest
entities created or acquired prior to February 1, 2003, the provisions of FIN 46
must be applied for the first interim or annual period beginning after June 15,
2003. However, in December 2003, the FASB published a revision to FIN 46 to
clarify some of the provisions of FIN 46, and to exempt certain entities from
its requirements.  Under the new guidance, there are new effective dates for
companies that have interests in structures that are commonly referred to as
special-purpose entities.  The rules are effective in financial statements for
periods ending after March 15, 2004. The adoption did not have any impact on the
company's financial statements.

v)    Recent Accounting Pronouncements

    i)   SFAS No. 151

In November 2004, the FASB also issued SFAS No.151, "Inventory Costs, an
amendment of ARB No.43, Chapter 4".  This standard is effective for the
fiscal years beginning after June 15, 2005, therefore the Company will adopt
it on April 1, 2006.  This standard clarifies that abnormal amounts of idle
facility expense, freight, handling costs and wasted material should be
expensed as incurred and not included in overhead.  In addition, this
standard requires that the allocation of fixed production overhead costs to
inventory be based on the normal capacity of the production facilities.  The
adoption of this standard is not expected to have a material effect on the
Company's results of operations or financial position.

    ii)   SFAS No. 153

In December 2004, the FASB issued SFAS 153 - Exchanges of Non-Monetary Assets
- An amendment of APB 29.  This statement amends APB 29, which is based on the
principle that exchanges of non-monetary assets should be measured at the
fair value of the assets exchanged with certain exceptions.  SFAS 153
eliminates the exception for non-monetary exchanges of similar productive
assets and replaces it with a general exception for exchanges of non-monetary
assets that do not have commercial substance. A non-monetary exchange has
commercial substance if the future cash flows of the entity are expected to
change significantly as a result of the exchange.  This statement is
effective for non-monetary asset exchanges occurring in fiscal periods
beginning on or after June 15, 2005.

<PAGE>
Page 18

Natco International Inc.
Development Stage Company
Notes to Financial Statements
March 31, 2007 and 2006
(Expressed in US Dollars)
Restated
=============================================================================

2.    Summary of Significant Accounting Policies - Continued

v) Recent Accounting Pronouncements - Continued

    iii)   SFAS No. 154

In May 2005, the FASB issued SFAS 154, "Accounting Changes and Error
Corrections," which replaces APB Opinion No. 20, "Accounting Changes," and
supersedes FASB Statement No. 3, "Reporting Accounting Changes in Interim
Financial Statements - an amendment of APB Opinion No. 28." SFAS 154 requires
retrospective application to prior periods' financial statements of changes
in accounting principle, unless it is impracticable to determine either the
period-specific effects or the cumulative effect of the change.  When it is
impracticable to determine the period-specific effects of an accounting
change on one or more individual prior periods presented, SFAS 154 requires
that the new accounting principle be applied to the balances of assets and
liabilities as of the beginning of the earliest period for which retrospective
application is practicable and that a corresponding adjustment
be made to the opening balance of retained earnings for that period rather
than being reported in an income statement.  When it is impracticable to
determine the cumulative effect of applying a change in accounting principle
to all prior periods, SFAS 154 requires that the new accounting principle be
applied as if it were adopted prospectively from the earliest date practicable.
SFAS 154 shall be effective for accounting changes and corrections of errors
made in fiscal years beginning after December 15, 2005.
The Company does not expect the provisions of SFAS 154 will have a significant
impact on its results of operations.

    iv)  SFAS No. 155

In February 2006, the FASB issued SFAS No. 155, "Accounting for Certain
Hybrid Financial Instruments, an amendment of FASB Statements No. 133 and
140."  This statement permits fair value re-measurement for any hybrid
financial instrument that contains an embedded derivative that otherwise
would require bifurcation.  It establishes a requirement to evaluate
interests in securitized financial assets to identify interests that are
freestanding derivatives or that are hybrid financial instruments that
contain an embedded derivative requiring bifurcation.  In addition, SFAS 155
clarifies which interest-only strips and principal-only strips are not
subject to the requirements of Statement 133.  It also clarifies that
concentrations of credit risk in the form of subordination are not embedded
derivatives.  SFAS 155 amends Statement 140 to eliminate the prohibition on a
qualifying special-purpose entity from holding a derivative financial
instrument that pertains to a beneficial interest other than another
derivative financial instrument.  This Statement is effective for all
financial instruments acquired or issued after the beginning of an entity's
first fiscal year that begins after September 15, 2006.  The adoption of this
standard is not expected to have a significant effect on the Company's
results of operations or financial position.

<PAGE>
Page 19


Natco International Inc.
Development Stage Company
Notes to Financial Statements
March 31, 2007 and 2006
(Expressed in US Dollars)
Restated
=============================================================================

2.    Summary of Significant Accounting Policies - Continued

v) Recent Accounting Pronouncements - Continued

             v)    SFAS No. 156
In March 2006, the FASB issued SFAS 156, "Accounting for Servicing of
Financial Assets-an amendment of FASB Statement No. 140".  This statement
amends FASB Statement No. 140, "Accounting for Transfers and Servicing of
Financial Assets and Extinguishments of Liabilities", with respect to the
accounting for separately recognized servicing assets and servicing
liabilities. This statement:  (1) requires an entity to recognize a servicing
asset or servicing liability each time it undertakes an obligation to service
a financial asset by entering into a servicing contract in any of the
following situations: (a) a transfer of the servicer's financial assets that
meets the requirements for sale accounting, (b) a transfer of the servicer's
financial assets to a qualifying special-purpose entity in a guaranteed
mortgage securitization in which the transferor retains all of the resulting
securities and classifies them as either available-for-sale securities or
trading securities in accordance with FASB Statement No. 115, "Accounting for
Certain Investments in Debt and Equity Securities", (c) an acquisition or
assumption of an obligation to service a financial asset that does not relate
to financial assets of the servicer or its consolidated affiliates; (2)
requires all separately recognized servicing assets and servicing liabilities
to be initially measured at fair value, if practicable; (3) permits an entity
to choose either of the following subsequent measurement methods for each
class of separately recognized servicing assets and servicing liabilities:
(a) Amortization method-Amortize servicing assets or servicing liabilities in
proportion to and over the period of estimated net servicing income or net
servicing loss and assess servicing assets or servicing liabilities for
impairment or increased obligation based on fair value at each reporting
date, or (b) Fair value measurement method-Measure servicing assets or
servicing liabilities at fair value at each reporting date and report changes
in fair value in earnings in the period in which the changes occur; (4) at
its initial adoption, permits a one-time reclassification of available-for-
sale securities to trading securities by entities with recognized servicing
rights, without calling into question the treatment of other available-for-
sale securities under Statement 115, provided that the available-for-sale
securities are identified in some manner as offsetting the entity's exposure
to changes in fair value of servicing assets or servicing liabilities that a
servicer elects to subsequently measure at fair value; and (5) requires
separate presentation of servicing assets and servicing liabilities
subsequently measured at fair value in the statement of financial position
and additional disclosures for all separately recognized servicing assets and
servicing liabilities.  An entity should adopt this statement as of the
beginning of its first fiscal year that begins after September 15, 2006.
Earlier adoption is permitted as of the beginning of an entity's fiscal year,
provided the entity has not yet issued financial statements, including
interim financial statements, for any period of that fiscal year. The
effective date of this Statement is the date an entity adopts the
requirements of this statement.
<PAGE>
Page 20

Natco International Inc.
Development Stage Company
Notes to Financial Statements
March 31, 2007 and 2006
(Expressed in US Dollars)
Restated
=============================================================================

3.    Inventory

Details are as follows:
                                               2007              2006
                                       --------------------------------
Raw materials                          $         -      $     7,866
Finished Goods                                   -              777
                                       --------------------------------
                                       $         -        $   8,643
-----------------------------------------------------------------------

4.    Property, Plant and Equipment

      Details are as follows:
All plant equipment has been written off as of March 31, 2007

=======================================================================

5.    Product Rights

The company has the exclusive and continuing rights to the product
formulations and distribution of a tire sealant product. These rights were
acquired from a related party and have been recorded at $1, representing the
carrying value to the related party.
=============================================================================

<PAGE>
Page 21

Natco International Inc.
Development Stage Company
Notes to Financial Statements
March 31, 2007 and 2006
(Expressed in US Dollars)
Restated
=============================================================================

6.    Bank Indebtedness

      Details are as follows:
                                                      2007            2006
                                                 --------------------------
Checks written in excess of funds on deposit     $     -         $   1,562

HSBC demand revolving loan for a maximum
amount of CDN$20,00 ($17,136), secured by
a General Security Agreement on all assets
of the company (first charge) and by personal
guarantees made by a director and officer
of the company, interest at bank prime plus
2%.                                                 19,132             19,136

TD Canada Trust, loan secured by a General
Security Agreement on all assets of
the company and by personal guarantees
made by two shareholders including a
director and officer of the company,
interest at bank prime plus 2% (2005
- 2%).  The loan is due on demand;
however, the bank allowed the company to
repay the loan by making fixed monthly
payments of CDN$416.                                     -            1,630

Royal Bank, loan secured by a General
Security Agreement on all assets of the
company and by a personal guarantee of a
director and officer, interest at bank
prime plus 2% (2005 - 2%). The loan is due
on demand; however, the bank allowed the
company to repay the loan by making fixed
monthly payments of CDN$673.                            -              7,565

Wells Fargo Bank, loan unsecured with
interest at bank prime plus 7.25%.
The bank allows the
company to make monthly interest payments only;
however the loan is due on demand, therefore
the entire loan is classified as a current
liability.                                             -               35,092

                                                -----------------------------
                                                     19,132           62,985
Less: Current Portion                               (19,132)         (62,985)
                                                -----------------------------
Long-term portion                               $         -    $        -
                                                -----------------------------

===============================================================================
<PAGE>
Page 22

Natco International Inc.
Development Stage Company
Notes to Financial Statements
March 31, 2007 and 2006
(Expressed in US Dollars)
Restated
=============================================================================

7.    Related Party Transactions

Other than as disclosed elsewhere in these financial statements, the following
amounts have been recorded as transactions with related parties:

a)    Amounts due to related parties are as follows:
                                                     2007         2006
                                              -------------------------
Loans payable to relatives of a director
and officer of the company.  The loans
are unsecured, are due on demand, and
bear interest at bank prime plus 0.5%
(2006 - 0.5%).                                  $  13,125     $  168,774

Loans payable to a director and officer
of the company.  The loans are unsecured,
do not have fixed terms of repayment, and
bear interest at 8.33% to 11%
(2006 - 8.33% to 11%).  It is expected
that these loans will be repaid within the
next 12 months.                                    260,605       433,510

Wages and bonus payable to a director and
officer of the company.  This liability
is unsecured, due on demand and non-interest
bearing (2006 - nil%).                             473,961       422,106

Loan payable to a relative of a director
and officer of the company. The loan is
unsecured, due on demand, bears an interest
at 7% per annum and requires monthly payments
of interest only.                                    5,582        37,679
                                              -------------------------
                                               $   753,273    $ 1,062,039
Less: Current portion                           (  753,273)    (1,062,039)
                                              -------------------------
Long-term portion                              $         -         -
                                              -------------------------

b)    Interest expense on amounts due to directors and an officer was $24,034
(2006 - $40,030).

c)    Salaries and benefits include $115,709(2006 - $62,774) paid to a
    director and officer of the Company.

d)    As at March 31, 2007, a director and officer of the Company held
    approximately 51% of the issued and outstanding shares of the Company.


e)  The Company's director and officer owns approximately 58.1% of the
         Company's outstanding shares.

=============================================================================
8.    Capital Stock

a)    Authorized Stock

The company has authorized 50,000,000 common shares with a par value of $0.001
per share. Each common share shall entitle the holder to one vote, in person or
proxy on any matter on which action of the stockholder of the corporation is
sought. The company has authorized 5,000,000 shares of preferred stock with a
par value of $0.001 per share. The holders of preferred stock have no rights
except as determined by the Board of Directors of the company and/or provided by
Delaware General Corporate Law.

<PAGE>
Page 23

Natco International Inc.
Development Stage Company
Notes to Financial Statements
March 31, 2007 and 2006
(Expressed in US Dollars)
Restated
=============================================================================

8.    Capital Stock - Continued

b)    Share Issuances

i)    During fiscal 2002, the Company agreed to issue 430,714 common
         shares to settle debt in the amount of $18,638 to a director
         and officer of the Company and two directors.  These shares
         were issued in fiscal 2003.

ii)   During fiscal 2002, the Company agreed to issue 160,000 common
         shares to settle debt in the amount of $14,911 to non-related
         parties.  These shares were issued in fiscal 2003.

iii)  During fiscal 2003, the Company issued 85,714 common shares for
         proceeds of $3,817 to a Company owned by a director of the
         company.

iv)   During fiscal 2003, the Company issued 307,008 common shares
         for proceeds of $15,273.  Of these shares, 281,424 were issued
         to a company owned by a director of the Company.

v)    During fiscal 2007, the Company issued 5,670,250 common shares
         for Debit and subscriptions from previous years.  Of these
         shares, 250,000 were issued to a director of the company,
         another 45,450 was issued to a company owned by a director
         of the Company and 2,504,920 were issued to a director/CEO
         of the company.

c)    Share Subscriptions

      During fiscal 2003, the Company received $20,000 as subscriptions for
         200,000 shares at $0.10 per share.

        During fiscal 2005, the Company received $5,000 as subscriptions for
        100,000 shares at $0.05 per share.

        During fiscal 2006, the company received CDN$10,000 as subscriptions
        for 100,000 shares at CDN$0.10 per share.

        During the current period, the company received $50,000 as a
        subscription for 500,000 shares at $0.10 per share.

d)    Warrants

      During fiscal 2003, the Company issued 307,008 units, consisting of
      307,008 shares and 307,008 share purchase warrants.  These warrants   were
      convertible to shares at a price of $0.25 per share. These warrants
      expired on September 6, 2004.

e)    Stock Options

      Stock option activity pursuant to the employees stock option plan
    is summarized as follows:

                                           Weighted
                                Number of     Exercise    Average      Expiry
                                  Options        Price   Exercise        Date
                                                            Price
                              -------------------------------------------------
                                                                     April 2002
Outstanding at March 31, 2002     134,000   CDN $0.15    CDN $0.15   April 2004

Expired                           (67,000)  CDN $0.15    CDN $0.15   April 2002

Cancelled to be re-priced         (67,000)  CDN $0.15    CDN $0.15   April 2004

Granted (re-priced)                67,000       $0.10        $0.10  May 8, 2007

Granted                           517,000       $0.10        $0.10  May 8, 2007
                              -------------------------------------------------
Outstanding at March 31, 2003     584,000       $0.10        $0.10  May 8, 2007

Granted                            67,000       $0.10        $0.10 Apr 30, 2008
                              -------------------------------------------------
                                                                    May 8, 2007
Outstanding at March 31, 2004   651,000       $0.10        $0.10   Apr 30, 2008

Granted                          67,000       $0.10        $0.10   Apr 30, 2009
                              -------------------------------------------------
                                                                    May 8, 2007
Outstanding at March 31, 2005   718,000       $0.10        $0.10 - Apr 30, 2009
Granted                          67,000       $0.10        $0.10   Apr 30, 2010
                              -------------------------------------------------
                                                                    May 8, 2007
Outstanding at March 31, 2006   785,000       $0.10        $0.10  - Apr 30,2010
Granted                           67,000       $0.10        $0.10  - Apr 30,2011
Granted                          700,000       $0.10        $0.10  - May 30,2011
                              -------------------------------------------------
                                                                    May 8, 2007
Outstanding at March 31, 2007 1,552,000       $0.10        $0.10 - Apr 30, 2011


<PAGE>
Page 24

Natco International Inc.
Development Stage Company
Notes to Financial Statements
March 31, 2007 and 2006
(Expressed in US Dollars)
Restated
=============================================================================

8.    Capital Stock - Continued

e) Stock Options - Continued

The Company has also committed to issue to the Chief Executive Officer 67,000
share purchase options every April.  These options will be exercisable at
$0.10 per share and will expire five years after the date of grant.  Further
bonus options are available to the Chief Executive Officer.  These bonus
options entitle the Chief Executive Officer to purchase shares at 20% below
the market price up to a value determined by 5% of the amount of annual
profits from sales in excess of $2,500,000 up to $3,999,999 and 8% of the
amount of annual profits from sales in excess of $4,000,000.  To date, sales
have not exceeded $2,500,000 and thus no bonus options have been issued.

Until December 31, 2005, the Company accounted for its stock option plan in
accordance with the provisions of APB Opinion No. 25, Accounting for Stock
Issued to Employees.  Effective January 1, 2006, the Company is accounting
for stock based compensation using SFAS 123(R) Share Based Payment.  Had
compensation cost for the stock option plan been determined for the entire
fiscal year based on the fair value at the grant date consistent with the
method of SFAS No. 123, Accounting for Stock-Based Compensation, the total
pro forma value of stock options expense granted to directors and officers
for the year ended March 31, 2006 would be $3,431 (2005 - $4,180).  This
value is estimated at the date of the grant using the Black-Scholes option-
pricing model with the following weighted average assumptions:
                                        2007             2006
                                   -----------------------------
Risk-free interest rate                 2.5%             2.5%
Expected dividend yield                  -                -
Expected stock price volatility          73%              73%
Expected option life in years              5                5

The resulting pro forma loss per share for the year is as follows:
                                        2007              2006
                                   -----------------------------
Loss as reported                   $   (234,572)       (201,498)
Stock compensation expense                -              (3,431)
                                   -----------------------------
Pro forma loss                     $   (234,572)  $    (204,929)
                                   -----------------------------
Loss per common share              $      (0.02)  $       (0.02)
Pro forma loss per common share    $      (0.02)  $       (0.02)

Option pricing models require the input of highly subjective
assumptions including the expected stock price volatility.  Changes
in the subjective input assumptions can materially affect the fair
value estimate, and therefore, the existing models do not necessarily
provide a reliable single measure of the fair value of the company's
stock options.
===============================================================================
<PAGE>
Page 25

Natco International Inc.
Development Stage Company
Notes to Financial Statements
March 31, 2007 and 2006
(Expressed in US Dollars)
Restated
=============================================================================
9.    Income Taxes

The Company has accumulated net operating losses for federal income tax purposes
of approximately $917,000, which may be carried forward and used to reduce
taxable income of future years.  These losses expire as follows:

      2020                   $        180,000
      2021                            117,000
      2022                            135,000
      2023                            141,000
      2024                             97,000
      2025                            109,000
      2026                            138,000
                                       -------
                        $             917,000
                                       -------

Details of future income tax assets are as follows:

                                   March 31,               March 31,
Future income tax assets:              2007                   2006
                                --------------------------------------
   Non-capital tax loss         $    312,000        $        265,000
   Valuation allowance              (312,000)               (265,000)
                                --------------------------------------
                                $          -        $              -
                                --------------------------------------

The potential future tax benefits of these losses have not been recognized in
these financial statements due to uncertainty of their realization.  When the
future utilization of some portion of the carry forwards is determined not to be
"more likely than not," a valuation allowance is provided to reduce the recorded
tax benefits from such assets.

10.   Commitments

The Company was committed to lease office and warehouse space at CDN $1,402 per
month until September 2007.  However the company gave up the building on
Feb 28, 2007. Therefore, there is no lease obligation to the company.

===============================================================================
<PAGE>
Page 26


Natco International Inc.
Development Stage Company
Notes to Financial Statements
March 31, 2007 and 2006
(Expressed in US Dollars)
Restated
=============================================================================
11.  Discontinued Operations

The Company discontinued operations of its jewelry cleaners and accessories
line due to lack of demand for the product in March 2006. The tire sealant
operations were also discontinued in February 2007  There were no property,
 plant and equipment remaining to produce these operations. As at March 2007 and
2006, accounts receivable relating to the jewelry cleaners and Tire sealant
lines were $2,765 and $3,199 respectively. As of March 31, 2007 and 2006,
inventory relating to the discontinued line of business were $Nil  and accounts
payable were $nil and $5,613, respectively. Net loss from discontinued
operations is as follows:


                                                      2007               2006
                                              -------------------------------
Sales                                           $    800          $    6,954
Cost of Sales                                                          2,469
                                              -------------------------------
Gross Profits                                        800               4,485

Write down of inventory                           (10,585)           (12,778)
Disposal of Fixed assets                          (11,618)
                                              -------------------------------
Net loss from Discontinued Operations           $ (21,403)      $     (8,293)
                                            ---------------------------------


12.  Subsequent Events

       Since March 31, 2007, the company has loaned $950,000 to Photo Violation
        Technologies Corp (PVT) as per agreement signed on March 19, 2007.
        Another $1,050,000 will be paid to PVT By the end of August 2007.

       The company appointed CG Capital as the Investor relation firm.  The
       Company will pay them with restricted stock (1.5 Million Common Shares)

13.   Reverse Merger Agreement

       On March 19, 2007 company signed a binding Letter of agreement with
       Photo Violation Technologies Corp, a Canadian company that manufactures
        Parking Meters.

14.  These statements are being restated because the original manufacturing
     business was closed and written off in preparation for new business as of
     March 31, 2007.  The statements should have been done to reflect the
     development stage of the company, and that was not done.  The mistake is
     being corrected.

<PAGE>
Page 27


ITEM 8. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND
        FINANCIAL DISCLOSURES

Since the Company's incorporation on May 17, 1999, the Company has retained
four auditors. The Company's initial auditors were Thorne Little in Surrey,
British Columbia, Canada, which were originally retained by Spectrum Trading
Inc., a British Columbia corporation. Since the Company was incorporated
pursuant to the laws of the State of Delaware, the Company determined it was in
the corporation's best interests to retain an auditing firm based in the
United States. On October 31, 1999, the Company retained Grant Thornton LLP as
its Auditors (Vancouver BC Office). Due to disagreement regarding fees and
Delays in completion of work Grant Thornton LLP was asked by the company to
resign in July 2003. Since then we have not been able to settle the fees issue.
On March 12, 2004 we retained Staley, Okada and Partners to be our auditors. In
September 2006 the ceased to Exist.  Therefore, we switched to Moore and
Associate of Las Vegas. We discussed the need to use the
generally accepted accounting principles of United States (USGAAP)with them and
their qualifications regarding the USGAAP.  No discussion took place as to what
type of audit opinion will be rendered and no written or oral advice was
provided.

ITEM 8A. CONTROLS AND PROCEDURES

As of the end of the period covered by this report, we carried out an
evaluation, under the supervision and with the participation of our chief
executive officer and chief financial officer, of the effectiveness of the
design and operation of our disclosure controls and procedures.  BASED ON THIS
EVALUATION, OUR CHIEF EXECUTIVE OFFICER AND CHIEF FINANCIAL OFFICER CONCLUDED
THAT OUR DISCLOSURE CONTROLS AND PROCEDURES ARE DESIGNED TO PROVIDE REASONABLE
ASSURANCE OF ACHIEVING THE OBJECTIVES OF TIMELY ALERTING THEM TO MATERIAL
INFORMATION REQUIRED TO BE INCLUDED IN OUR PERIODIC SEC REPORTS AND OF ENSURING
THAT SUCH INFORMATION IS RECORDED, PROCESSED, SUMMARIZED AND REPORTED WITH THE
TIME PERIODS SPECIFIED.  Our chief executive officer and chief financial officer
also concluded that our disclosure controls and procedures were effective as of
the end of the period covered by this report to provide reasonable assurance of
the achievement of these objectives.

ITEM 8B. OTHER INFORMATION

NOT APPLICABLE.

PART III

ITEM 9. DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT

The directors and principal executive officers of the Company are as follows:

<PAGE>
Page 28

                                Executive Officers of the Company:

Name:                           Age:                  Office(s):
Raj-Mohinder S. Gurm            47                    President and CFO
John H. Rennie                  70                    Secretary

                                Board of Directors of the Company:

<TABLE>
<CAPTION>
Name:                           Age:                                        Term Expires        Director Since (1)
<S>                             <C>                   <C>                   <C>                 <C>
Raj-Mohinder S. Gurm            47                    Director              Next AGM            Nov. 1990
John H. Rennie                  70                    Director              Next AGM            Mar. 1999
Gerry Podersky-Cannon           60                    Director              Next AGM            June 2000
Stephen Sleigh                  54                    Director              Next AGM            June 2003
</TABLE>

-------------------------------------------------------------
(1) Directors Terms are staggered over a three year period. Directors may only
be removed for cause and by a 75% majority vote of the shareholders.

ITEM 10. EXECUTIVE COMPENSATION

Any compensation received by officers, directors and management personnel
of the Company will be determined from time to time by the Board of Directors of
the Company. Officers, directors and management personnel of the Company will be
reimbursed for any out-of-pocket expenses incurred on behalf of the Company.

   Summary Compensation Table. The table set forth below summarizes the annual
and long-term compensation for services in all capacities to the Company payable
to the Chief Executive Officer of the Company and the other executive officers
of the Company whose total annual salary and bonus exceeded $50,000 during the
years ending March 31. The Board of Directors of the Company may adopt an
incentive stock option plan for its Directors and executive officers which would
result in additional compensation.

<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------------
SUMMARY COMPENSATION TABLE
------------------------------------------------------------------------------------------------------------------
                                                                 Long Term Compensation
------------------------------------------------------------------------------------------------------------------
                                    Annual Compensation                   Awards                    Payouts
------------------------------------------------------------------------------------------------------------------
    (a)              (b)        c)          d)        (e)           (f)        (g)           (h)           (i)
------------------------------------------------------------------------------------------------------------------
     Name                                             Other      Restricted  Securities
      And                                             Annual     Stock       Underlying      LTIP        All Other
   Principle                  Salary      Bonus    Compensation    Award(s)  Options/SARs    Payouts
Compensation
   Position           Year     ($)        ($)          ($)          ($)           (#)           ($)           ($)
------------------------------------------------------------------------------------------------------------------
<S>                   <C>     <C>           <C>         <C>          <C>         <C>          <C>          <C>
CEO                   2007    $62,774(3)    0.00        0.00         0.00       267,000(2)    0.00         0.00
Raj-Mohinder Gurm
                      2006(6)  62,774(1)    0.00        0.00         0.00        67,000(2)    0.00         0.00

                      2005(7)  58,859(1)    0.00        0.00         0.00        67,000(2)    0.00         0.00
------------------------------------------------------------------------------------------------------------------

</TABLE>

(1)   In April 1999 the board approved an employment contract with Mr. Gurm,
      which allowed for an annual salary of $62,774(72,000CDN), a signing bonus
      of $10,000 and an option to purchase 134,000 shares of the Company's
      common stock  for $0.10 per share.  The employment contract called for an
      additional option to purchase 67,000 shares of the Company's common stock
      for

  <PAGE>
Page 29

       $0.10 per share to be issued to Mr. Gurm on an annual basis.  All
       options expire five years after the issue date. The salary due Mr.
       Gurm since April 1999 has been accrued by the Company, except for
       $62,774 which was forgiven by Mr. Gurm in March of 2001. The salary
       amount accrued  includes vacation pay the contract is automatically
        renewed at the same terms every year on April 30, unless cancelled or
        opened for renegotiating by either Mr. Gurm or the board of directors of
        the Company.  The Company has no other Employment contracts with any
        other party.
(2)   These stock purchase options were issued pursuant to Mr. Gurm's
      employment contract dated April 30, 1999.  These options vest
      immediately, and can be exercised at $0.10 per share within 5 years from
      the date of grant.
(3)   Salary accrued from April 1, 2005 to March 31, 2007 includes vacation
      pay.
(6)   Year ended on March 31, 2006
(7)   Year ended on March 31, 2005

OPTION TABLE

<TABLE>
<CAPTION>
---------------------------------------------------------------------------------------------------------
                                            Option Grants
---------------------------------------------------------------------------------------------------------
                                           Individual Grants
---------------------------------------------------------------------------------------------------------
        (a)                  (b)                  (c)                  (d)                  (e)
---------------------------------------------------------------------------------------------------------
                    Number of Securities    %of Total Options        Exercise
       Name          Underlying Options   Granted to Employees        Price              Expiration
                         Granted (#)                          ($/Sh) (USD)             Date
---------------------------------------------------------------------------------------------------------
<S>                      <C>                      <C>                  <C>               <C>
Raj-Mohinder Gurm        200,000                  26.08                $0.10             Apr 30, 2011
                          67,000                   8.74                $0.10             Apr 30, 2011

---------------------------------------------------------------------------------------------------------
John H. Rennie           150,000                  19.55                $0.10             Apr 30, 2011
---------------------------------------------------------------------------------------------------------
Stephen Sleigh           200,000                  26.08                $0.10             Apr 30, 2011
---------------------------------------------------------------------------------------------------------
Canafra Financial        150,000                  19.55                $0.10             Apr 30, 2011
---------------------------------------------------------------------------------------------------------

</TABLE>


     The board of directors has approved the issuance of currently outstanding
options to purchase 700,000 shares of Company's common stock to directors of
Company, exercisable at $0.10 per share within five years from date of grant.
Mr. Gurm's Employment contract calls for annual
incentive option grants  to purchase 67,000 shares of the Company' common stock
at an exercise price of $0.10 per share or  20% below the market price if the
shares are trading on the OTCBB, In addition the board of directors approved
granting Mr. Gurm annual bonus option  based upon the following formula: Options
to purchase shares at 20% below market price (if trading on OTCBB, otherwise at
$.10 per share) up to the value determined by 5% of the amount of annual profits
from sales between $2,500,000 to $3,999,999 and 8% of the amount of annual
profits from sales in excess of $4,000,000. Exercise terms and other option
exercise details have not yet been finalized. Previously issued options were re-
priced at $.10 US from $0.15 CDN.

ITEM 11. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND
         RELATED STOCKHOLDER MATTERS

The following table sets forth certain information regarding the beneficial
<PAGE>
Page 30

ownership of the Company's common stock as of the date of this Prospectus by
(i) each person or entity known by the Company to be the beneficial owner of
more than 5 % of the outstanding shares of common stock, (ii) each of the
Company's directors and named executive officers, and (iii) all directors
and executive officers of the Company as a group.

<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------
                           Name and Address of       Amount and Nature of
     Title of Class         Beneficial Owner           Beneficial Owner         Percent of Class(1)
----------------------------------------------------------------------------------------------------
     <S>                     <C>                       <C>                                 <C>
     $.001 Par               Raj-Mohinder S. Gurm
       Value                   13718 91st Avenue        Officer & Director                  50.63%
     Common Stock             Surrey, BC, Canada        8,404,280 Common(2)
                                    V3V 7X1
----------------------------------------------------------------------------------------------------
     $.001 Par               Gerry Podersky-Cannon.
       Value                 126-1628 W 1st, Avenue      Officer & Director                 5.63%
     Common Stock            Vancouver, BC, Canada       934,186 Common(3)(4)
                                   V6J 1G1
----------------------------------------------------------------------------------------------------
     $.001 Par                 John Herman Rennie
       Value                 #402 5976 Tisdall Street    Officer & Director                 3.88%
     Common Stock             Vancouver, BC, Canada      645,000 Common(3)
                                    V5Z 3N2
----------------------------------------------------------------------------------------------------

    $.001 Par
     Value                 All officers and directors
    Common Stock             as a group (3 Persons)        9,983,466(2)(3)(4)               60.14%
----------------------------------------------------------------------------------------------------

</TABLE>

(1)Percentages are calculated based on 15,047,614 shares outstanding as of
  June 30,2007 already subscribed for.  Pursuant to Rule 13d-3(d)(1), the
   percentage of shares owned for each person includes shares deemed to
   be outstanding upon the exercise of options by such person within 60 days of
the reported date, but are not deemed to be outstanding for the purpose of
  computing the percentage of the class by any other person.
(2)   Includes 685,000 shares currently issuable upon exercise of options at a
      price of$.10 per share.
(3)   Includes 300,000 shares currently issuable upon exercise of options at a
      price of $.10 per share to each of Messrs. Rennie and Podersky-Cannon.
(4)   Includes 713,152 shares held of record by Canafra Financial Ltd., a
      British Columbian corporation owned by
      Mr. Podersky-Cannon and his spouse, Donna Y. Maroz.

   Beneficial ownership is determined in accordance with the rules of the
Commission and generally includes voting or investment power with respect to
securities. Shares of the Company's common stock which may be acquired upon
exercise of stock options which are currently exercisable or which become
exercisable within 60 days of the date of the table are deemed beneficially
owned by the option holders. Subject to community property laws, where
applicable, the persons or entities named in the table above have sole voting
and investment power with respect to all shares of the Company's common stock
indicated as beneficially owned by them.

<PAGE>
Page 31

ITEM 12. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

As at March 31, 2007, the company owed $753,273 to related parties.  Included
in this amount is $582,083 owing to a Raj-Mohinder Gurm, a director and officer
of the company, $106,051 owing to John Rennie, a director of the company, and
$65,210 owing to various relatives of the director and officer of the company.
During the current year, $11,835 of interest expense has been accrued as owing
to a director and officer of the company, $8,490 to a director of the company,
and $3,708 to relatives of a director and officer of the company.

As at March 31, 2007, Raj-Mohinder Gurm, a director and officer of the company,
owned approximately 51% of the issued and outstanding share of the company, and
all directors and officers of the company owned approximately 60% of the
company's shares.

During the year ended March 31, 2007, the company granted to Raj-Mohinder Gurm,
a director and officer of the company, 267,000 stock purchase options
exercisable at $0.10 per share on or before April 30, 2011. The company
also granted options to other three directors of the company as well.  John
Rennie and Gerry Podersky-Cannon received 150,000 options each and Stephen
Sleigh received 200,000 option exercisable at $0.10 on or before April 30,
2011. As at March 31, 2007, directors and officers of the company held
1,552,000 share purchase options exercisable at $0.10 per share expiring
between May 8, 2007 and April 30, 2011.

ITEM 13. EXHIBITS

Exhibit No.      Description

3.1              Restated Certificate of Incorporation. (1)
3.2              Bylaws. (1)
10.1             Distributor agreement between Spectrum International Inc.
                 and Canafra Management & Consulting Services dated Feb.
                 24, 2000
                 Raj-Mohinder Gurm dated April 12, 1999. (1)
10.7          Indenture between Raj-Mohinder S. Gurm and Spectrum Trading
                 Inc. dated April 30, 1999. (2)
23.1           Consent of Auditors
31.1           Certificate of Chief Executive Officer pursuant to Section 302
                 of the Sarbanes-Oxley Act of 2002.
31.2           Certificate of Chief Financial Officer pursuant to Section 302
                 of the Sarbanes-Oxley Act of 2002.
32.1          Certificate of Chief Financial Officer and Chief Executive
                 Officer pursuant to Section 906 of the Sarbanes-Oxley Act of
                 2002.


(1)   Incorporated herein by reference to Form SB-2A filed with the
U.S. filed with the U.S. Securities and Exchange Commission on
May 14, 2003.
<PAGE>
Page 32
(2)   Incorporated herein by reference to Form SB-2 filed with the
U.S. filed with the U.S. Securities and Exchange Commission on
June 26, 2002.


ITEM 14. PRINCIPAL ACCOUNTANT FEES AND SERVICES

The following table sets forth fees billed to us by our auditors during
the fiscal years ended March 31, 2007 and March 31, 2006 for: (i)
services rendered for the audit of our annual financial statements and
the review of our quarterly financial statements, (ii) services by our
auditor that are reasonably related to the performance of the audit or
review of our financial statements and that are not reported as Audit
Fees, (iii) services rendered in connection with tax compliance, tax
advice and tax planning, and (iv) all other fees for services rendered.
                           March 31,      March 31,
                               2007            2006
                         -----------------------------

Audit Fees                 $  9,400      $   24,929
Audit Related Fees              -               -
Tax Fees                        -               -
All Other Fees                  -               -
                         -----------------------------
     Totals                   9,400           24,929
                         =============================

Audit Fees. These fees consist of fees billed for professional services
rendered for the audit of the Company's financial statements and review
of the interim financial statements included in the Company's periodic
reports, statutory and regulatory filings or engagements.

Audit-Related Fees. These fees consist of fees billed for assurance and
related services that are reasonably related to the performance of the
audit or review of the Company's financial statements and are not
reported under "Audit Fees." There were no Audit-Related services
provided in fiscal 2007 or 2006.

Tax Fees. These fees consist of fees billed for professional services
for tax compliance, tax advice and tax planning in fiscal 2007 or 2006.

All Other Fees. These fees consist of fees for products and services
other than the services reported above. There were no management
consulting services provided in fiscal years 2006 or 2005.

Pre-Approval Policies and Procedures. The Company currently does not
have a designated Audit Committee, and accordingly, the Company's Board
of Directors' policy is to pre-approve all audit and permissible non-
audit services provided by the independent auditors. These services may
include audit services, audit-related services, and tax services and
other services. Pre-approval is generally provided for up to one year
and any pre-approval is detailed as to the particular service or
category of services and is generally subject to a specific budget. The
independent auditors and management are required to periodically report
to the Company's Board of Directors regarding the extent of services
provided by the independent auditors in accordance with this pre-
approval, and the fees for the services performed to date. The Board of
Directors may also pre-approve particular services on a case-by-case
basis.

<PAGE>
Page 33

                                 SIGNATURES

   In accordance with Section 13 of the exchange act, the registrant has duly
caused this report to be signed on its behalf by the undersigned, thereunto
duly authorized.


                                            Natco International, Inc.
                                            By: /s/ Raj-Mohinder S. Gurm
                                            ------------------------------
                                            Name: Raj-Mohinder S. Gurm
 Date: August 22, 2008                   Title Chief Executive Officer & CFO



   Pursuant to the Securities Act of 1934, this report
has been signed below by the following persons on behalf of the Company and in
the capacities and on the dates indicated.

/s/Raj-Mohinder S. Gurm
-------------------------------------------------------------
Director, CEO and CFO                                  Aug. 22, 2008

/s/Gerry Podersky-Cannon
-------------------------
Director                                               Aug. 22, 2008

<PAGE>
Page 34