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                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549
                                  FORM 10-KSB/A
(Mark One)

[X] ANNUAL REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
                                     OF 1934
                    For the fiscal year ended April 30, 2004

[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
                                    OF 1934

           For the transition period from ___________ to _____________

                             Commission file number:

                        NEW MEDIA LOTTERY SERVICES, INC.
                 (Name of small business issuer in its charter)

           Virginia                                       87-0705063
(State or other jurisdiction of             (I.R.S. Employer Identification No.)
incorporation or organization)

1400 Technology Drive, Harrisonburg, Virginia                22802
----------------------------------------------               -----
(Address of principal executive offices)                   (Zip code)

Issuer's telephone number, including area code: (540) 437-1688

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

Securities registered under Section 12(g) of the Exchange Act:

          50,000,000 shares of Common Stock, par value $0.001 per share
          -------------------------------------------------------------
                                (Title of class)

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. [X] Yes   [ ] No

Check if there is no disclosure of delinquent filers in response to Item 405 of
Regulation S-B is not contained in this form, 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]

State the issuer's revenues for its most recent fiscal year:  $-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. (See definition of affiliate in Rule
12b-2 of the Exchange Act.): N/A

State the number of shares outstanding of each of the issuer's classes of common
equity, as of the latest practicable date: 11,167,143 as of August 6, 2004.

                       DOCUMENTS INCORPORATED BY REFERENCE
None.

Transitional Small Business Disclosure Format (Check one): [ ] Yes   [X] No

This Amendment Number 1 to Annual Report on Form 10-K for the fiscal year ended
April 30, 2004 is being filed by the Registrant in order to include exhibits
31.1, 31.2, 32.1 and 32.2.

                                       2

ITEM 13. EXHIBITS, FINANCIAL STATEMENTS AND REPORTS ON FORM 8-K

----------------------- --------------------------------------------------------------------------------------------
        Exhibit No.                                                 Exhibit Title
        -----------                                                 -------------
----------------------- --------------------------------------------------------------------------------------------

           2.1*                       Share Exchange Agreement dated March 19, 2004 by and among the
                                      Registrant and Lottery Network Services Ltd.

----------------------- --------------------------------------------------------------------------------------------
           2.2^                        Agreement and Plan of Merger dated June 14, 2004 by and between  New
                                       Media Lottery Services, Inc. and Residential Resales, Inc.

----------------------- --------------------------------------------------------------------------------------------
         3(i)(e)*                     Articles of Association of Lottery Network Services Ltd.

----------------------- --------------------------------------------------------------------------------------------
         3(i)(f)*                     Memorandum of Association of Lottery Network Services Ltd.

----------------------- --------------------------------------------------------------------------------------------
          10.1*                        Agreement dated September 13, 2001, as amended as of January 26, 2004
                                       by and between Lottery Network Services Ltd. and Rehab Net Games
                                       Limited.
----------------------- --------------------------------------------------------------------------------------------
           10.2*                       Agreement dated December 12, 2001 by and between Lottery Network
                                       Services Ltd. and Rehab Charities UK Limited.

----------------------- --------------------------------------------------------------------------------------------
           10.3*                       Agreement dated November 27, 2001 by and between Lottery Network
                                       Services Ltd. and Tropical Gaming Ltd., Belize.

----------------------- --------------------------------------------------------------------------------------------
           10.4*                       Agreement dated February 12, 2002 by and between Lottery Network
                                       Services Ltd. and Guatemalan Pediatric Foundation.
----------------------- --------------------------------------------------------------------------------------------
           10.5*                       Agreement dated December 7, 2001 by and between Lottery Network
                                       Services Ltd. and Intellect Foundation
----------------------- --------------------------------------------------------------------------------------------
           10.6*                       Agreement dated February 3, 2004 by and between Lottery Network
                                       Services Ltd. and Carnegie Cooke & Company Inc.

----------------------- --------------------------------------------------------------------------------------------
            14^                        Code of Ethics

----------------------- --------------------------------------------------------------------------------------------
           16 #                        Letter of Earl M. Cohen, CPA, PA, on change in certifying accountant.

----------------------- --------------------------------------------------------------------------------------------
           31.1^                       Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350,
                                       as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

----------------------- --------------------------------------------------------------------------------------------
           31.2^                       Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350,
                                       as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

----------------------- --------------------------------------------------------------------------------------------
           32.1^                       Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350,
                                       as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

----------------------- --------------------------------------------------------------------------------------------

                                       3

           32.1^                       Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350,
                                       as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

----------------------- --------------------------------------------------------------------------------------------

* Previously filed with Current Report on Form 8-K dated March 31, 2004 as filed
with the Securities and Exchange Commission on April 2, 2004.

^ Previously filed with Information Statement pursuant to Rule 14C of the
Securities Exchange Act of 1934 dated June 9, 2004.

# Previously filed with Current Report on Amendment No. 1 to Form 8-K dated
March 31, 2004 as filed with the Securities and Exchange Commission on April 8,
2004.

^ Filed herewith

                                        4

                                   SIGNATURES

         In accordance with the Exchange Act, the registrant caused this report
to be signed on its behalf by the undersigned, thereunto duly authorized.

Dated:  August 16, 2004                          By: /s/  John T. Carson
                                                     -------------------
                                                     Name:  John T. Carson
                                                     Title:  President

         In accordance with the Exchange Act, this report has been signed below
by the following person on behalf of the registrant and in the capacities and on
the dates indicated.

------------------------------------------- ---------------------------------------------------- ---------------------
         Person                                   Capacity                                       Date
         ------                                   --------                                       ----

------------------------------------------- ---------------------------------------------------- ---------------------

/s/  John T. Carson                               President and Director                         August 16, 2004
-------------------
John T. Carson

------------------------------------------- ---------------------------------------------------- ---------------------

/s/ Randolph H. Brownell, III                     Chief Operating Officer, Chief Financial       August 16, 2004
-----------------------------
Randolph H. Brownell, III                         Officer and Director

------------------------------------------- ---------------------------------------------------- ---------------------

/s/ Sterling Herbst                               Treasurer and Director                         August 16, 2004
--------------------
Sterling Herbst

------------------------------------------- ---------------------------------------------------- ---------------------

/s/ Joseph Dresner                                Director                                       August 16, 2004
-------------------
Joseph Dresner

------------------------------------------- ---------------------------------------------------- ---------------------

/s/ Milton Dresner                                Director                                       August 16, 2004
--------------------
Milton Dresner

------------------------------------------- ---------------------------------------------------- ---------------------

/s/ Frederick Winters                             Director                                       August 16, 2004
---------------------
Frederick Winters

------------------------------------------- ---------------------------------------------------- ---------------------
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