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

                       SECURITIES AND EXCHANGE COMMISSION
                              WASHINGTON, DC 20549

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                                   FORM 10-QSB

(Mark One)

  X     QUARTERLY REPORT UNDER SECTION 13 OR 15 (D) OF THE SECURITIES
 -----   EXCHANGE ACT OF 1934  (No fee required)

     For the quarterly period ended December 31, 1999  -------------------------

______ TRANSITION  REPORT  PURSUANT TO SECTION 13 OR 15 (D) OF THE SECURITIES
         EXCHANGE ACT OF 1934

             For the transition period from               to
                                             -----------      ------------
Commission file number 0-15113
                       -------
                                  VERITEC INC.
               --------------------------------------------------
             (Exact name of registrant as specified in its charter)

                                     NEVADA
          ------------------------------------------------------------
         (State or other jurisdiction of incorporation or organization)

                                   95-3954373
                     -------------------------------------
                      (IRS Employer Identification Number)

                    1430 ORKLA DRIVE, GOLDEN VALLEY, MN 55427
               --------------------------------------------------
               (Address of principal executive offices, zip code)

                                 (612) 545-0224
               --------------------------------------------------
              (Registrant's telephone number, including area code)

     Indicate  by check mark  whether the  registrant  (1) has filed all reports
required to be filed by Section 13 or 15 (d) of the  Securities  Exchange Act of
1934  during  the  preceding  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
                                             ---  ---
     APPLICABLE  ONLY TO  CORPORATE  ISSUERS:  Indicate  the  number  of  shares
outstanding  of each of the  issuer's  classes of common  stock as of the latest
practicable  date. As of February 10, 2000 the Company had  6,495,572  shares of
common stock.

                       This document consists of 11 pages,
                         The Exhibit index is on page 10


                                       1
<PAGE>
PART 1.  FINANCIAL INFORMATION
ITEM 1. Financial Statements
                                  VERITEC INC.
                                  BALANCE SHEET
<TABLE>
<S>                                                                <C>            <C>
                                                                  December 31         June 30
                                                                     1999                1999
ASSETS                                                            (Unaudited)        (Audited)
                                                                ----------------  ------------
Current Assets:
 Cash                                                                   48,474          3,664
 Accounts receivable                                                    85,133         23,000
 Inventories                                                            21,892         14,463
                                                                        ------         ------
     Total current assets                                              155,499         41,127

Intangible asset                                                       193,333            -
Furniture and equipment, net                                             4,696          7,246
                                                                         -----          -----
                                                                       353,528         48,373
LIABILITIES AND SHAREHOLDERS'                                          =======         ======
     EQUITY (DEFICIENCY):
Current Liabilities:
 Notes payable on purchase order financing                             100,000           -
 Notes payable                                                          50,000         45,000
 Notes payable, secured by lien on assets, short term portion          219,835        198,704
 Accounts payable and accrued expenses                                  86,440        134,764
 Administrative costs per Plan of Reorganiz.                             3,802         42,737
 Accrued interest                                                       80,231         60,262
 Deferred compensation                                                  22,120        301,406
 Commissions payable                                                    24,368          2,500
     Total current liabilities                                         586,796        785,373

Commitments, contingencies and subsequent
       events                                                               -             -
Long term notes secured by lien on patent                               66,618         87,749
                                                                        ------         ------
     Total liabilities                                                 653,414        873,122
                                                                       -------        -------
Prepayment on stock                                                                   240,198
                                                                                      -------
Prepayment on subscriptions receivable                                  67,798            -
                                                                        ------
Shareholders' equity (deficiency)
 Subscriptions receivable                                           -1,261,117            -
 Preferred stock, par value $1.00, authorized 10,000,000
    shares, 276,000 shares of Series H Preferred
    authorized, 76,000 shares issued and outstanding                   360,718          7,273
 Common stock,     par value $.01, authorized 20,000,000
    shares, issued and outstanding, 6,495,572 at
    December  1999, 1998 and 1997 respectively, and                     64,955         35,988
 Additional paid in capital                                         11,294,770      9,644,401
 Accumulated deficit                                               -10,827,010    -10,752,609
                                                                   -----------    -----------
   Net shareholders' equity (deficiency)                              -367,684     -1,064,947
                                                                      --------     ----------
                                                                       353,528         48,373
                                                                       =======         ======
</TABLE>
               See Accompanying Notes to the financial Statements
                                       2
<PAGE>

                                   VERITEC INC
                             STATEMENT OF OPERATIONS
                                   (Unaudited)
<TABLE>
<S>                               <C>              <C>            <C>             <C>
                                    For the three months ended     For the six months ended
                                           December 31,                     December 31,
                                       1999             1998           1999            1998
                                       ----             ----           ----            ----
Revenues                            186,800            8,879        232,652          51,280
Cost of Sales                       -63,347           -1,727        -66,930         -20,212
                                    -------           ------        -------         -------
     Gross Profit                   123,453            7,152        165,722          31,608

Commissions                         -42,357             -           -56,142          -5,000
                                    -------            -----        -------          ------

    Gross profit after commissions   81,096            7,152        109,580          26,068
                                     ------            -----        -------          ------
Expenses:
   General and administrative        57,533           40,389        108,508         130,180
   Sales and marketing               29,616           14,130         33,408          27,564
   Engineering, research and
       development                   48,991           38,862         91,788          88,318
                                     ------           ------         ------          ------
     Total expenses                 136,140           93,381        233,704         246,062
                                    -------           ------        -------         -------
     Gain or (Loss) from operations -55,044          -86,229       -124,124        -219,994
                                    -------          -------       --------        --------
Interest income                      31,922            -             75,387           -
Interest expenses                   -11,578          -10,548        -25,663         -16,530
                                    -------          -------        -------         -------
     Net interest income (expense)   20,344          -10,548         49,724         -16,530
                                     ------          -------         ------         -------
Net Gain or (Loss)                  -34,700          -96,777        -74,400        -236,524
                                    =======          =======        =======        ========
Net gain (loss) per common share      -0.01            -0.03          -0.02           -0.07
                                      =====            =====          =====           =====
Weighted average common shares
   outstanding                    5,115,393        3,508,791      4,357,091       3,358,791
                                  =========        =========      =========       =========
</TABLE>















              See Accompanying Notes to the Financial Statements

                                       3
<PAGE>
                                  VERITEC, INC
                                 STATEMENTS OF
                                   CASH FLOWS
                                  (Unaudited)
                                         For the six months ended December 31,
                                                    1999                   1998
                                                    ----                   ----
Cash flow from operating activities:

Net loss                                         -74,400               -236,524
                                                 -------               --------
Adjustments to reconcile net loss to
net cash used by operating activities:
Depreciation and amortization                      9,216                  3,174
(Increase) decrease in assets:
   Accounts receivable                           -62,133                     -
   Inventory                                      -7,429                  8,782
Increase (decrease) in liabilities:
   Accounts payable and accrued expenses         -87,259                   -813
   Accrued interest                               19,969                     -
   Deferred compensation                        -279,286                119,820
   Commissions payable                            21,868                     -
   Deferred revenue                                  -                   -8,500
                                                --------                 ------
     Total adjustments                          -385,054                122,463
                                                --------                -------
     Net cash used by operating activities      -459,454               -114,061
                                                --------               --------
Cash flow from investing activities:

   Purchase of intangible assets (Software)     -200,000                    -
                                                --------                -------

     Net cash used for investing activities     -200,000                    -
                                                --------                -------

Cash flow from financing activities:
   Issuance of common stock for debt             717,422                    -
   Issuance of notes payable                     105,000                 23,665
   Issuance of preferred stock from advances    -240,198                218,182
   Prepayment on subscriptions receivable         67,798                    -
   Payments on subscriptions receivable           54,242                    -
   Advances for stock purchases                      -                 -131,877
                                                 -------               --------
     Net cash provided by financing activities   704,264                109,970
                                                 -------                -------
     Increase (decrease) in cash position         44,810                 -4,091
Cash at beginning of period                        3,664                  4,216
                                                   -----                  -----
Cash at end of period                             48,474                    125
                                                  ======                    ===
Supplemental disclosure of cash flow information:
   Cash paid during the period for:

      Interest                                        -                  12,500
      Income taxes                                 6,781                    -

               See Accompanying Notes to the Financial Statements
                                       4
<PAGE>
                                  VERITEC INC.
                    STATEMENTS OF SHAREHOLDERS' DEFICIENCY
  FISCAL YEARS ENDED JUNE 30, 1999,1998 AND SIX MONTHS ENDED DECEMBER 31, 1999

<TABLE>
<S>                                      <C>      <C>       <C>       <C>       <C>       <C>           <C>             <C>

                                                                                          Additional
                                            Preferred Stock   Common Stock    Subscript.  Paid   in    Accumulated    Shareholders
                                            Shares   Amount  Shares   Amount  Receivable   Capital         Deficit     Deficiency
                                           -------  -------  ------   ------  ----------   -----------  ------------  -------------
Balance at June 30, 1997                       -       -    3,298,770 32,988               9,411,440     -9,839,842       -395,414

Exercise of 10,020 warrants at $2.50                           10,021    100                  24,952                        25,052
Loss from operations                                                                                       -461,545       -461,545
                                                            -----------------              -----------     --------       --------
Balance at June 30, 1998                                    3,308,791 33,088               9,436,392    -10,301,387       -831,907

Issuance of Series H Preferred for cash    30,000   218,182                                                                218,182
Conversion of Series H preferred to common-29,000  -210,909   290,000  2,900                 208,009
                                          -------  --------   -------                        -------
Loss from operations                                                                                        -451,222      -451,222
                                                                                                            --------      --------
Balance at June 30, 1999                    1,000     7,273 3,598,791 35,988                9,644,401     -10,752,609   -1,064,947

Post confirmation debt to equity                              779,134  7,791                  615,514                      623,305
                                                              -------  -----                  -------
Issuance of Series H Preferred for assets 275,000 1,315,359                                                              1,315,359
                                          ------- ---------
Subscriptions receivable                                                        -1,276,938                              -1,276,938
Loss from operations - 4 months to 10/31/99                                     ----------                    -21,866      -21,866
                                                                                                              -------      -------
Balance at October 31, 1999               276,000 1,322,632 4,377,925 43,779    -1,276,938 10,259,915     -10,774,476     -425,088

Conversionof Series H preferred tocommon -200,000  -961,914 2,000,000 20,000                  941,914
                                         --------  -------- --------- ------                  -------
Payment on subscriptions receivable                                                  7,878                                   7,878
                                                                                     -----                    -36,457      -36,457
                                                                                                              -------      -------
Balance at November 30, 1999               76,000   360,718 6,377,925 63,779    -1,269,060 11,201,829     -10,810,933     -453,667
                                           ------   -------
Issuance of stock for cash (Prepayment)                       117,647  1,176                   92,941                       94,117
                                                              -------  -----                   ------
Payment on Subscriptions Receivable                                                  7,943                                   7,943
                                                                                     -----
Loss from operations                                                                                          -16,077      -16,077
                                                                                                              -------      -------
Balance December 31, 1999                  76,000   360,718 6,495,572 64,955    -1,261,117 11,294,770     -10,827,010     -367,684
</TABLE>









                                       5
<PAGE>
                                  VERITEC INC.
                        NOTES TO THE FINANCIAL STATEMENTS
                                December 31, 1999
                                   (unaudited)

Basis of Presentation
---------------------
     The unaudited financial  statements  presented herein have been prepared by
the Company,  without audit,  pursuant to the rules and  regulations for interim
financial  information  and the  instructions to Form 10-QSB and Regulation S-B.
Accordingly,  certain information and footnote  disclosures normally included in
financial  statements  prepared in accordance with generally accepted accounting
principals have been omitted.  These unaudited consolidated financial statements
should be read in  conjunction  with the financial  statements and notes thereto
included in the  Company's  Report on Form 10-KSB for the fiscal year ended June
30, 1999. In the opinion of  management,  the unaudited  consolidated  financial
statements  reflect all  adjustments  (consisting of normal  recurring  accruals
only),  which  are  necessary  to  present  fairly  the  consolidated  financial
position,  results  of  operations,  and  changes  in cash flow of the  company.
Operating  results for interim  periods are not  necessarily  indicative  of the
results which may be expected for the entire year.


PART I.  FINANCIAL INFORMATION
ITEM 2.  Management's Discussion and Analysis

Notes payable to a group of secured creditors - "The Gant Group"
----------------------------------------------------------------
     Included in the Plan of  Reorganization  was a secured note payable to "The
Gant  Group" in the amount of  $364,513.  A payment of $60,000 was paid per note
Agreement on the scheduled  effective date of the Plan and the balance was to be
paid in quarterly  payments of $23,325.38 per quarter over a 4-year period.  The
Gant Group was  granted a lien on the  patents of the  company  and ten  percent
interest on the note. The first quarterly  payment was made and then due to lack
of funds,  additional  payments  became  delinquent.  This problem with the Gant
Group  resulted in the  Registrant  being placed back into Chapter 7 bankruptcy.
The Matthews Group paid  $182,345.87 on September 1, 1999 to bring the note with
the Gant Group current and has pledged to pay the quarterly payments to the Gant
Group as they become due. The Matthews Group paid the quarterly payment that was
due on October 1, 1999 as scheduled.  The Registrant owes the Matthews Group for
the  amounts  paid to the Gant  Group  and will owe  additional  amounts  to the
Matthews  Group as they continue to pay on the quarterly  payments.  The amounts
owed to the  Matthews  Group  are  accruing  interest  at 10%,  the  same as the
interest being paid to the Gant Group.

     At a meeting of the Board of Directors of the  Registrant on June 14, 1999,
a date on which  the  Registrant  was in  Chapter  7  bankruptcy,  the  Board of
Directors approved a motion by the Matthews Group as follows:

     " Due to the  Matthews  Group  efforts and risk in  salvaging  Veritec,  it
desires a  resolution  from the Board that:  Should the Matthews  Group  acquire
Gant's  interest,  the  Matthews  Group  will  be  able to  elect,  in its  sole
discretion,  to have  the Gant  note  repaid  in cash or to have the  obligation
converted to Veritec stock at 10 cents per share."

     The Company was not granted a Final Decree until October 21, 1999. The Plan
of Reorganization was to be Effective on August 8, 1997. Due to the inability of
HOMETREND and its  Affiliates to provide the assets  guaranteed in the Plan, the

                                       6
<PAGE>

company was put in a difficult financial position.  Administrative,  Engineering
and Sales  personnel  were hired by the Company in  anticipation  of the funding
being in place.  Operating activities were increased to position the Company for
increased  sales.  Due to this  lack  of  funding,  the  engineering  and  sales
personnel  left  employment in the Company and the Company had little  operating
activity for over a year.

Subsequent Events
-----------------
     The Matthews  Group made the January 1, 2000 payment of $23,325.38  due the
Gant Group.

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS

Liquidity and Capital Resources - December 31, 1999, compared to June 30, 1999.
-------------------------------
     During the six months ended  December 31, 1999,  the Company  received cash
from revenues totaling $232,652,  collection of accounts  receivable of $23,000,
$111,000 as payment on the note  (Subscriptions)  receivable and $8,839.90 as an
advance on notes  receivable from the Matthews  Group.  Cash on hand at December
31, 1999 was $48,474.

     Debt owed by the Company at December 31, 1999 was as follows:
<TABLE>
<S>                                      <C>                     <C>                   <C>
           Debt category           Dec. 31, 1999           June 30, 1999         Incr./(Decr.)
                               -----------------      -------------------     -------------------
Notes payable                        $   150,000            $     45,000           $    105,000
Notes payable, secured                   286,453                 286,453                       -
Administrative costs per Plan              3,802                  42,737                (38,935)
Accounts  payable  and accrued expenses   86,440                 134,764                (48,324)
Accrued interest                          80,231                  60,262                  19,969
Commissions payable                       24,368                   2,500                  21,868
Deferred compensation                     22,120                 301,406                (279,286
                               -----------------     -------------------     -------------------
                                     $   653,414              $  873,122         $     (219,708)
                               =================     ===================     ===================
</TABLE>
     During  the  quarter  ending  December  31,  1999 the  Company's  liquidity
improved due the transfer of $717,422 debt to equity.  The  Company's  liquidity
(working  capital) is  reflected  in the table  below,  which shows  comparative
working capital as of December 31, 1999 and June 30, 1999.

                                        Dec. 31, 1999            June 30, 1999
                                       --------------            -------------
Working capital (deficit)               $    (431,297)           $    (744,246)

     The Company does not expect revenues from operations to be adequate to meet
all costs and expenses of the Company for several months. The Company first must
stabilize its  operations and then move  aggressively  in sales and marketing of
its  products and  services.  The Company is  developing a web site,  contacting
prospective  customers,  and continuing to service current customers in order to
increase revenues.  As shown in the Financial and Operational Outlook below, the
Company has had continuing business with an International  company.  There is no
assurance  that future sales to these or other  customers will occur or that the
Company will be able to obtain  adequate  revenues to meet costs and expenses of
operations.

                                       7
<PAGE>
Financial and Operational Outlook
---------------------------------
     The Company  received a purchase  order of $880,000  from an  International
company in December 1999 for product  delivery in December 1999 through March of
2000.  The royalty  from  Mitsubishi  for sales in Korea and other  countries is
expected  to bring a  gradually  increasing  stream of  revenues,  however,  the
amounts  are  expected to be less than  $30,000 per quarter  during the next few
quarters.  Sales to companies in Korea have provided the majority of revenues in
the quarter and six months ended December 31, 1999 and there is a possibility of
additional sales to these companies.

Results  of  Operations  -  The quarter  and six months ended  December 31, 1999
-----------------------
compared to the quarter and six months ended December 31, 1998.

     The Company had revenues of $186,800 during the quarter and $232,652 during
the six months  ended  December 31,  1999,  respectively,  as compared to $8,879
during the quarter and $51,280  during the six month period  ended  December 31,
1998. The revenues for all periods were primarily from the sale of products. The
Company is in discussions with several potential customers for systems sales but
cannot project future revenues, if any, at this time. The Company is also in the
discussion  stage of potential  licensing or partnering  for product or industry
segment  opportunities  with  several  companies.  Because  of its cash flow and
liquidity  problems,  there are no assurances that the Company can ever generate
adequate revenues to make the Company profitable.

     Operating  expenses for six months ended  December 31, 1999  decreased over
the relative six month period ended  December 31, 1998 as shown in the following
table.

                                               For the nine months ended
     Expense category                Dec. 31, 1999   Dec. 31, 1998 Incr./(Decr.)
                                    --------------  -------------- -------------

 General and administrative            $   108,508   $     130,180  $   (21,672)
 Sales and marketing                        33,408          27,564        5,844
 Engineering, research and development      91,788          88,318        3,470
                                       ===========   =============  ============
                                       $   233,704   $     246,062  $   (12,358)
                                       ===========   =============  ============
     The  decrease in General and  Administrative  expenses was due a payment of
$20,000 to the  Company's  bankruptcy  attorney  recorded in the  December  1998
quarter.  Other costs and expenses remained about the same as those in the prior
year.

     The increase in Sales and Marketing  expense was due to the and increase in
the allocation of personnel costs to this account. The Company is in the process
of hiring additional sales personnel.

     The  increase  in  Engineering  and  research  was  the  due  hiring  of an
additional Application Engineer in November 1999.


Capital Expenditures and Commitments
------------------------------------
     There were no Capital expenditures during the six months ended December 31,
1999.  Other than for nominal computer and office equipment needed to expand its
businesses,  the  Company  has  no  current  commitments  for  material  capital

                                       8
<PAGE>
expenditures in the next 12 months. The Company believes its need for additional
capital  equipment  will continue  because of the need to develop and expand its
business. The amount of such additional capital required is uncertain and may be
beyond that generated from operations.

Factors that may effect future results
--------------------------------------
     The note receivable  requires payment of $18,518.52 per month.  This amount
is adequate to take care of the cost of engineering services, rent and supplies.
The  Matthews  Group has supplied  finances in addition to the required  monthly
amount on the note and has financed  operations  necessary to promote  sales and
provide  inventory  for sales.  In order for the  Company to have an  aggressive
sales and  marketing  program,  it will  require  funds in excess of the monthly
amount of $18,518.52  until such time as the Company's  profit from revenues and
the  $18,518.52  is  adequate to cover costs and  expenses of the  Company.  The
Matthews Group has been willing to provide funding necessary to move the Company
forward  in  engineering,   sales  and  marketing  activities.  Larry  Matthews,
Chairman, and Ms. Van Tran, President,  are principles in the Matthews Group and
are an integral part of managing the operations of the Company.

PART II - OTHER INFORMATION

ITEM 1.  LEGAL PROCEEDINGS.

         None

ITEM 2.  CHANGES IN SECURITIES.

     Since there has been a number of actions  affecting  both the common  stock
and preferred stock during the quarter and six months ended December 31, 1999, a
schedule  "STATEMENTS  OF  SHAREHOLDERS'  DEFICIENCY"  has been  included in the
financial section of this report.

     During the  quarter ended  December 31, 1999 there were  896,781  shares of
restricted  common stock issued in satisfaction of Post Confirmation  debt.  The
Court approved  this  transfer  of debt to equity with the Registrant's petition
for a Final Decree.

     The Matthews Group received  275,000 shares of Preferred  Series H stock in
payment for their promissory note of $2,000,000, per Plan of Reorganization. The
Matthews Group converted 200,000 shares of Preferred Series H Stock to 2,000,000
shares  of  restricted   common  stock  under  the  provision  in  the  Plan  of
Reorganization, allowing for one share of Preferred Series H stock  exchangeable
for 10 shares of common stock

     Since the note  receivable  from the  Matthews  Group  does not  include an
interest factor,  it has been recorded as Subscription  Receivable in the Equity
section of the Balance Sheet. Of the monthly  payment of $18,518.52,  a computed
interest on the note is recorded as interest income and the balance  recorded as
a reduction to the Subscription Receivable account.


ITEM 3.  DEFAULT UPON SENIOR SECURITIES.

         Not applicable.


                                       9
<PAGE>

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

     The Company held its 1999 Annual  Meeting of  Shareholders  on December 20,
1999.  All director  nominees  were elected by the  shareholders  at this Annual
Meeting. In addition,  the shareholders favorably approved engaging the services
of Callahan, Johnston & Associates, LLC as the Company's auditors for the fiscal
year ending June 30, 2000.

     The matters  voted on at this  Annual  Meeting and the shares cast for each
proposal is shown in the following table.
<TABLE>
<S>                                 <C>              <C>               <C>              <C>
                                    Shares cast           For          Against          Abstained
Election of Director Nominees:
   Larry Matthews                   2,719,620        1,857,105*        105,035          12,112
   Ms. Van Thuy Tran                2,719,620        1,857,105         105,035          12,112
   Dean Westberg                    2,719,620        1,857,105         105,035          12,112

Votes for nominees proposed
At the meeting by Mr. Starosolsky:
   Wolodymyr Starosolsky            2,719,620        745,368                0              0
   Charles Hansel                   2,719,620        745,368                0              0
   James Mollitor                   2,719,620        745,368                0              0

Votes for nominees proposed
At the meeting by Robert Anselmo:
   Carl Anselmo                     2,719,620        105,035                0              0
   Roger Bailey                     2,719,620        105,035                0              0

Ratify Callahan, Johnston
& Associates, LLC as the
Independent Auditors                2,719,620        1,841,524         863,905          14,159
</TABLE>
* The Matthews Group did not vote their stock
Total Shares Voted:        2,719,620   (57%)
Total Shares per American Securities Transfer & Trust, Inc.  4,739,185


ITEM 5.  OTHER INFORMATION

Ms. Van Tran Bankruptcy

     Ms. Van Tran,  President of the  Registrant,  took out  personal  chapter 7
bankruptcy  in 1995.  This  matter was not  reported in prior  filings  with the
Securities  and  Exchange  Commission  nor in  the  Proxy  information  provided
shareholders in conjunction with the Annual Shareholders'  Meeting. Ms. Van Tran
was not aware that this matter needed to be included in the Registrants  reports
to  the   Securities   and  Exchange   Commission  and  in  Proxy  material  for
shareholders.


ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K.

         (a)      Exhibits:  None

         (b)      Reports on Form 8-K:   None

                                       10<PAGE>





                                   SIGNATURES

     Pursuant to the  requirements  of the  Securities and Exchange Act of 1934,
the  registrant  has duly  caused  this report to be signed on its behalf by the
undersigned thereunto duly authorized.

                                                         VERITEC INC.
                                                         ------------
                                                         (Registrant)
Date:  February 10, 2000
      ------------------                 /s/ Jack E. Dahl
                                 By:     ____________________________________
                                         Jack E. Dahl
                                         Chief Financial Officer and Chief
                                         Accounting Officer







































                                       11