<

                     U.S. SECURITIES AND EXCHANGE COMMISSION

                             Washington, D. C. 20549

                                   FORM 10-QSB

[X] Quarterly report pursuant to Section 13 or 15(d) of the Securities Exchange
    Act of 1934.

    For the quarterly period ended September 30, 2000

[ ] 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: 2-99083-A

                              CATHEL PARTNERS, LTD.
             (Exact name of registrant as specified in its charter)

Delaware                                              59-2571253
(State or other jurisdiction of                   (I.R.S. Employer
incorporation or organization)                    Identification No.)


                              68 Schraalenberg Road
                                   PO Box 233
                            Harrington Park, NJ 07640
                    (Address of principal executive offices)

                                 (201) 784-5190
              (Registrant's telephone number, including area code)


Former name, former address and former fiscal year, if changed since last report

  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


     State the number of shares  outstanding of each of the issuer's  classes of
common equity, as of the latest practicable date: As of May 16, 2001, there were
1,609,374 shares of common stock outstanding.


<PAGE>

CATHEL PARTNERS, LTD.
SEPTEMBER 30, 2000 QUARTERLY REPORT ON FORM 10-QSB
TABLE OF CONTENTS

                                                                     Page Number

Special Note Regarding Forward Looking Information............................ 1

PART I - FINANCIAL INFORMATION

Item 1. Financial Statements...................................................1
Item 2. Management's Discussion and Analysis of Financial Condition and
         Results of Operations............................................... .8
Item 3. Quantitative and Qualitative Disclosures About Market Risk........... 10

PART II - OTHER INFORMATION

Item 1. Legal Proceedings.................................................... 11
Item 2. Changes in Securities and Use of Proceeds............................ 11
Item 3. Defaults Upon Senior Securities...................................... 11
Item 4. Submission of Matters to a Vote of Security Holders.................. 11
Item 5. Other Information.................................................... 11
Item 6. Exhibits and Reports on Form 8-K..................................... 11


SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS

     To the extent that the  information  presented in this Quarterly  Report on
Form  10-QSB for the  quarter  ended  September  30,  2000  discusses  financial
projections,  information  or  expectations  about our  products or markets,  or
otherwise  makes  statements  about future events,  such statements are forward-
looking. We are making these forward-looking  statements in reliance on the safe
harbor  provisions  of the  Private  Securities  Litigation  Reform Act of 1995.
Although we believe that the  expectations  reflected  in these  forward-looking
statements are based on reasonable assumptions,  there are a number of risks and
uncertainties  that could cause actual  results to differ  materially  from such
forward-looking  statements.  These risks and uncertainties are described, among
other places in this Quarterly Report, in "Management's  Discussion and Analysis
of Financial Condition and Results of Operations".


     In addition,  we disclaim  any  obligations  to update any  forward-looking
statements to reflect events or  circumstances  after the date of this Quarterly
Report.  When considering such  forward-looking  statements,  you should keep in
mind the risks  referenced  above and the other  cautionary  statements  in this
Quarterly Report.
<PAGE>


                         PART I -- FINANCIAL INFORMATION
STATEMENTS

Balance Sheet as of September 30, 2000 and December 31, 1999...................2
Statement of Operations for the three months and six months
    ended September 30, 2000 and 1999......................................... 3
Statement of Cash Flows for the six months ended September 30, 2000 and 1999.. 4
Statement of Stockholders' Equity for the six months ended September 30, 2000..5
Notes to Consolidated Financial Statements.................................... 6


Item 1. Financial Statements

     The condensed financial  statements for the period ended September 30, 2000
included  herein have been prepared by Cathel  Partners,  Ltd.  (our  "Company")
without  audit,  pursuant to the rules and  regulations  of the  Securities  and
Exchange  Commission  (the  "Commission").  In the  opinion of  management,  the
statements  include all  adjustments  necessary to present  fairly the financial
position of our company as of September 30, 2000,  and the results of operations
and cash flows for the six months and three months  periods ended  September 30,
1999 and 1998.

     Our company's  results of operations  during the three months of our fiscal
year are not  necessarily  indicative of the results to be expected for the full
fiscal year.

     The  financial  statements  included  in  this  report  should  be  read in
conjunction with the financial statements and notes thereto in our Annual Report
on Form 10-K for the fiscal years ended December 31, 1998 and 1999.





                                       1

<PAGE>



                              CATHEL PARTNERS, LTD.
                          (a development stage company)
                                  BALANCE SHEET

<TABLE>
<CAPTION>

                                                                                                      September 30,
                                                                                     December 31,         2000
                                                                                        1999          Unaudited
                                                                                      ---------      --------------
<S>                                                                                  <C>              <C>

                                     Assets
Current assets
    Cash                                                                                 $273             $231
                                                                                         ----             ----
    Total current assets                                                                 273               231


Total assets                                                                             $273             $231
                                                                                         ====             ====


                      Liabilities and Stockholders' Equity

Current liabilities
    Accounts payable and accrued expenses                                             $19,771          $15,933
                                                                                      --------           -----
    Total current liabilities                                                          19,771           15,933


Stockholders' equity
    Common Stock authorized 500,000,000 shares, $0.00001 par value each.                   5               16
At December 31, 1999 and September 30, 2000, there are 469,374 and
1,609,374 shares outstanding respectively .
Additional paid in capital                                                         1,285,279        1,301,468
Deficit accumulated during the development stage                                  (1,304,782)      (1,317,186)
                                                                                  -----------       ----------


Total stockholders' equity                                                           (19,498)         (15,702)
                                                                                     --------          -------
Total liabilities and stockholders' equity                                              $273             $231
                                                                                       =====             ====



</TABLE>



The accompanying Notes are an integral part of these Financial Statements.



                                       2

<PAGE>



                              CATHEL PARTNERS, LTD.
                          (a development stage company)
                             STATEMENT OF OPERATIONS

<TABLE>
<CAPTION>

                                            For the For the                                                      For the period
                                             three months     three months     For the nine     For the nine     from inception
                                                ended            ended         months ended     months ended     June 7, 1985, to
                                             September 30,    September 30,     September 30,   September 30,      September 30,
                                                 1999            2000              1999             2000               2000
                                              Unaudited        Unaudited          Unaudited       Unaudited          Unaudited
                                           ---------------  --------------      -----------     -------------     ---------------

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


Revenue                                          $-0-            $-0-             $-0-               $-0-               $-0-

Costs of goods sold                               -0-             -0-              -0-                -0-                -0-
                                                ------           ------          ------             ------              -----

Gross profit                                      -0-              -0-             -0-                 -0-               -0-

Operations:
  General and administrative                     4,572            3,762           6,768              11,204          1,315,986
  Issuance of shares of common stock as                                                               1,200              1,200
non cash compensation for officer's
compensation
  Depreciation and amortization                   -0-              -0-             -0-                  -0-               -0-
                                                 ------           ------          -----                 -----             -----
Total expense                                    4,572            3,762           6,768               12,404         1,317,186

Loss from operations                            (4,572)          (3,762)         (6,768)             (12,404)        (1,317,186)



Net income (loss)                              $(4,572)          $(3,762)       $(6,768)            $(12,404)        $(1,317,186)
                                               ========          ========       ========            =========        ============

Net income (loss) per share -basic              $(0.00)           $(0.00         $(0.00)              $(0.00)
                                                =======          =========       ======               =======
Number of shares outstanding-basic              469,374          2,624,317       469,374           2,624,317
                                               ========          ==========      =======              ========

</TABLE>



The accompanying Notes are an integral part of these Financial Statements.



                                       3
<PAGE>


                              CATHEL PARTNERS, LTD.
                          (a development stage company)
                             STATEMENT OF CASH FLOWS

<TABLE>
<CAPTION>

                                                                                                                    For the period
                                                                               For the nine      For the nine       from inception
                                                                               months ended      months ended      June 7, 1985, to
                                                                               September 30,     September 30,       September 30,
                                                                                  1999                2000                 2000
                                                                                Unaudited          Unaudited            Unaudited
<S>                                                                           <C>               <C>                <C>

CASH FLOWS FROM OPERATING ACTIVITIES
  Net income (loss)                                                             $(6,768)            $(12,404)          $(1,317,186)
Adjustments to reconcile net loss to cash used in operating activities
Shares issued for accrued salaries                                                                     1,200                 1,200
  Depreciation                                                                                          -0-                   -0-
  Accounts payable and accrued expenses                                           6,642               (3,838)               15,933
                                                                                 -------              -------             --- -----
TOTAL CASH FLOWS FROM OPERATIONS                                                   (126)             (15,042)           (1,300,053)

CASH FLOWS FROM FINANCING ACTIVITIES
  Sale of common stock                                                                                 15,000             1,300,284
                                                                                                      ---------           ---------
TOTAL CASH FLOWS FROM FINANCING ACTIVITIES                                                             15,000             1,300,284

TOTAL CASH FLOWS FROM INVESTING ACTIVITIES

NET INCREASE (DECREASE) IN CASH                                                    (126)                  (42)                  231
CASH BALANCE BEGINNING OF PERIOD                                                    417                   273                  -0-
                                                                                   ---                   -----              -------
CASH BALANCE END OF PERIOD                                                         $291                  $231                  $231
                                                                                   =====                =====                 =====



</TABLE>

The accompanying Notes are an integral part of these Financial Statements.



                                       4

<PAGE>

                              CATHEL PARTNERS, LTD.
                        STATEMENT OF STOCKHOLDERS EQUITY
<TABLE>
<CAPTION>


                                                                                         Deficit
                                         Common   Common       Additional         accumulated during
Date                                      stock    Stock    paid in capital       development stage          Total
                                         ------   ------    ---------------       -----------------          -----
<S>                                    <C>       <C>        <C>                   <C>                       <C>

Balance December 31, 1997               469,374     $5        $1,285,279             $(1,291,867)             $417
Net loss                                                                                     (72)              (72)
                                         ------   -------     ------------           --------------           -----


Balance December 31, 1998               469,374      5         1,285,279               (1,291,939)           6,655
Net loss                                                                                  (12,843)         (12,843)
                                        ------     -----        --------                 --------          --------


Balance December 31, 1999               469,374      $5        $1,285,279              $(1,304,782)       $(19,498)

Unaudited
Sale of shares                        3,000,000      30            14,970                                  15,000
Cancellation of shares               (2,100,000)    (21)              21                                      -0-
Issuance of shares for services        240,000        2            $1,198                                  $1,200
Net loss                                                                                   (12,404)       (12,404)
                                     -----------    -----       -----------             -----------      ----------


Balances September 30, 2000              1,609,374   $16        $1,301,468              $(1,317,186)      $(15,702)
                                       ============ ====        ===========             ============       =========



</TABLE>


                                       5

<PAGE>



                              CATHEL PARTNERS, LTD.
                          (a development stage company)
                          Notes to Financial Statements
                               September 30, 2000

Note A - Basis of Reporting

     The  accompanying  unaudited  financial  statements  have been  prepared in
accordance with generally accepted  accounting  principles for interim financial
information  and with the  instructions to Form 10-Q.  Accordingly,  they do not
include all of the  information  and  footnotes  required by generally  accepted
accounting  principles  for  complete  financial  statements.  In the opinion of
management,  such  statements  include  all  adjustments  which  are  considered
necessary for a fair presentation of the financial  position of Cathel Partners,
Ltd. (the  "Company")  at September 30, 2000 and the results of its  operations,
and cash flows for the nine-month  period then ended.  The results of operations
for  the  nine-month  period  ended  September  30,  2000  are  not  necessarily
indicative  of the  operating  results for the full year.  It is suggested  that
these financial  statements be read in conjunction with the financial statements
and related  disclosures  for the year ended  December 31, 1999  included in the
Company's Form 10-SB.

Note B - Net Income Per Share of Common Stock

     In 1997, the Financial Accounting Standards Board issued Statement No. 128,
"Earnings Per Share".  Statement No. 128 replaced the calculation of primary and
fully  diluted  earnings  per share with basic and diluted  earnings  per share.
Unlike primary earnings per share, basic earnings per share exclude any dilutive
effects of options, warrants, and convertible securities.  Dilutive earnings per
share is very similar to the  previously  reported  fully  diluted  earnings per
share. The Company has adopted Statement No. 128.

Note C - Income Taxes

     The Company  provides for the tax effects of  transactions  reported in the
financial statements. The provision if any, consists of taxes currently due plus
deferred taxes related primarily to differences  between the basis of assets and
liabilities for financial and income tax reporting.  The deferred tax assets and
liabilities,  if any  represent  the  future tax  return  consequences  of those
differences,  which will  either be taxable  or  deductible  when the assets and
liabilities are recovered or settled.  As of September 30, 2000, the Company had
no material current tax liability, deferred tax assets, or liabilities to impact
on the Company's  financial  position  because the deferred tax asset related to
the  Company's  net  operating  loss  carryforward  and was  fully  offset  by a
valuation allowance.



                                        6


<PAGE>

    At September 30, 2000,  the Company has net operating  loss carry  forwards
for income tax purposes of $1,317,186.  This carryforward is available to offset
future  taxable  income,  if any,  and expires in the year 2010.  The  Company's
utilization  of this  carryforward  against  future  taxable  income  may become
subject to an annual  limitation due to a cumulative  change in ownership of the
Company of more than 50 percent.

     The  components  of the net deferred tax asset as of September 30, 2000 are
as follows:

Deferred tax asset:
  Net operating loss carry forward      $ 447,843
  Valuation allowance                  $ (447,843)
                                         --------
Net deferred tax asset                     $ -0-
                                         ========

     The Company  recognized no income tax benefit for the loss generated in the
period from inception, June 7, 1985, to September 30, 2000.

     SFAS No. 109 requires that a valuation  allowance be provided if it is more
likely  than not that some  portion or all of a  deferred  tax asset will not be
realized.  The  Company's  ability to realize  benefit of its deferred tax asset
will depend on the generation of future taxable income.  Because the Company has
yet to recognize significant revenue from the sale of its products,  the Company
believes that a full valuation allowance should be provided.


Note D - Related Party transactions

  a. Office Space

     The Company  occupies  office space at 68  Schraalenburg  Road,  Harrington
Park,  New Jersey for a monthly  rental of $250.  The Company  has accrued  rent
expense  for the nine  months  ended  September  30,  2000 of $2,250  and $3,500
respectively.

  b. Officer Salaries

No officer has received a salary in excess of $100,000.

     For the nine months ended  September  30,  2000,  the Company has accrued a
minimal  compensation of $250 per month respectively each as compensation to the
President and the  Secretary/Treasurer  as consideration  for services while the
Company is in the development stage of development of an aggregate of $4,500 and
$3,500 respectively.


                                       7


<PAGE>

 c. Common Management

     Robert N. Schuck is both the President of the Company and HITK  Corporation
which holds  1,150,050  shares or 71.5% of the Company's  issued and outstanding
shares of stock as of September 30, 2000.

     John J. Gitlin is both Vice  President and Secretary of the Company and for
HITK Corporation.

     On March 10, 2000,  the Company  sold an  aggregate of 3,000,000  shares of
common stock to HITK Corporation for an aggregate consideration of $15,000.

     As of  September  30,  2000,  the Company  received  back for  cancellation
2,100,000 shares of common stock sold to HITK.

     On March 14,  2000,  the Company  sold an  aggregate  of 240,000  shares of
common stock as follows:  120,000  shares to Robert N. Schuck and 120,000 shares
to John J. Gitlin for an aggregate  consideration  of $1,200 in accrued salaries
or $0.005 per share.


ITEM 2. Management's Discussion and Analysis.

     Our corporation was formed on June 7, 1985,  under the laws of the State of
Delaware,  under the name of BC  Communications,  Inc. In 1985,  we conducted an
offering  and used the  proceeds  from  therefrom  to engage in the  business of
developing,  producing, distributing and programming a talk and interview format
for the commercial, cable and pay television markets. Following the offering, we
exhausted our funds on the  incomplete  production of a show and decided to seek
other  business  opportunities  that  would  offer  growth and  development.  On
February 14, 1987, we acquired  Kinetic Systems,  Inc.  ("Kinetic  Systems"),  a
Delaware  corporation,  which was in the process of developing a closed chamber,
forced hot air,  liquid  heating  system for use in  residential  and commercial
buildings.  Through  Kinetic  Systems,  we pursued  development  of the  heating
system. In February,  1990, Kinetic Systems entered into a technology and patent
license  agreement  with a  Michigan-based  manufacturer  pursuant  to which the
manufacturer  was granted a limited  license to develop,  manufacture and market
the Kinetic heating system apparatus.  The agreement subsequently expired by its
own  terms  due in  large  part  to the  manufacturer's  inability  to  complete
development of the heating  system.  On January 28, 1993, we sold 100 percent of
the issued and outstanding  Kinetic Systems shares to the Barrister Group, Ltd.,
for $100,000.  We have been inactive  since 1993. In November 1994, by amendment
to our  certificate of  incorporation,  we changed our name to Cathel  Partners,
Ltd. In January 1995, we recorded a 1,000 to 1 reverse stock split  reducing the
number of shares  outstanding  to 469,423.  In 1999, we decided to engage in the
pursuit of seeking a partnership  with a viable  business  entity.  On March 10,
2000, we completed a private placement with its major shareholder which resulted
in our receiving $15,000.00.

Development stage activities.

     The following  discussion relates to the results of our operations to date,
and our financial condition:



                                       8

<PAGE>

     For the next 12 months,  we plan to devote our  efforts to seeking a viable
business  opportunity.  We  anticipate  that the results of our  operations  may
fluctuate for the foreseeable  future due to several factors,  including whether
operating results would also be adversely  affected by our inability to locate a
profitable  business  venture.  Because  we desire  to  increase  our  operating
expenses  for  personnel  and other  general and  administrative  expenses,  our
operating  results  would be  adversely  affected  if  either a viable  business
opportunity  could not be developed or located.  Our limited  operating  history
makes accurate prediction of future operating results difficult or impossible.

     We have been a development  stage enterprise since our date of inception in
1985 to December  31,  1999.  During  this  period,  management  had devoted the
majority of their  efforts to seeking new business  opportunities,  developing a
new business,  finding a management team and seeking  sufficient working capital
through loans and through a private  placement  offering.  These activities were
funded by our management.

Results of operations.


     For the nine months ended  September 30, 2000 as compared to the six months
ended September 30, 1999

     We have  remained  inactive.  Sales,  costs of goods  sold,  gross  profit,
operating  expenses  and net  profit  were $-0- for both the nine  months  ended
September  30,  1999 and 2000.  Our  activities  during  the nine  months  ended
September 30, 1999 and 2000 consisted of preparing and filing  corporate  income
tax returns and filings for the Securities and Exchange Commission.

     Our general and administrative costs aggregated  approximately  $12,404 for
the nine  months  ended  September  30,  2000 as compared to $6,768 for the nine
months  ended  September  30, 1999  representing  an  increase  of $5,636.  This
increase  represents  professional  fees of $4,950 and the  accruing  of rent of
$1,750, officer's salary of $4,200 and office expense of $1,504.

Liquidity And Capital Resources


     As of September 30, 2000, our cash balance was $231 and working capital was
negative at ($15,702) consisting of cash of $231 and less accrued liabilities of
$15,933.

     Net (loss) from operations  amounted to $(12,404) for the nine months ended
September  30,  2000.  Cash was  provided  through the initial sale of 3,000,000
shares of common stock to HITK  Corporation  for an aggregate  consideration  of
$15,000 or $.0005 per share.  As of September  30, 2000,  we have  received back
2,100,000 of the 3,000,000 shares of our common stock previously  issued to HITK
Corporation  for  $15,000  adjusting  the per share  value of the shares sold to
$0.02 per share.  HITK Corporation is under common  management  control with the
principals of Construction Technology Industries, Inc.

     Our primary short-term needs are to seek sufficient capital to continue the
search for a viable business opportunity


                                      9 .

<PAGE>

    We expect our capital  requirements to increase over the next several years
as we expand our search for either a viable business opportunity or to develop a
profitable   business  strategy.   Our  future  liquidity  and  capital  funding
requirements will depend on numerous factors,  including the extent to which our
efforts to either find a viable business  opportunity or to develop a profitable
business,  the timing of regulatory actions, if any, regarding our entrance into
the  business,  the costs and  timing of  expansion  of our  entrance  into that
business  and the  timing  of  hiring  additional  management  to  operate  that
business.

     We believe that we must raise additional cash from either our operations or
from the personal  resources of  management  to satisfy our funding needs for at
least the next 12 months.  Thereafter,  if cash generated from operations or the
personal  resources of management is insufficient to satisfy our working capital
and capital  expenditure  requirements,  we may be  required to sell  additional
equity or debt securities or obtain additional funds.  There can be no assurance
that such financing, if required, will be available on satisfactory terms, if at
all.

     Income tax: As of September  30, 2000, we had a tax loss  carry-forward  of
$1,317,186. Our ability to utilize its tax credit carry-forwards in future years
will be subject to an annual  limitation  pursuant to the  "Change in  Ownership
Rules"  under  Section 382 of the  Internal  Revenue  Code of 1986,  as amended.
However, any annual limitation is not expected to have a material adverse effect
on our ability to utilize its tax credit carry-forwards.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Not Applicable.



                                       10




<PAGE>

                                   PART II
                                OTHER INFORMATION

Item 1. Legal Proceedings.

     No legal proceedings were brought, are pending or are threatened during the
quarter.


Item 2. Changes in Securities

    None

Item 3. Defaults upon Senior Securities

   None.

Item 4. Submission of Matters to a Vote of Security-Holders

   None.

Item 5. Other information

   None.

Item 6. Exhibits and Reports on Form 8-K

No 8-K has been filed.



                                   SIGNATURES



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




                         Cathel Partners, Ltd.
                                  (Registrant)

                                  By: /s/ Rober Schuck
                                      ------------------
                                       Robert Schuck
                                       President


Dated: May 16, 2001


Dated: May 16, 2001


                               By: /s/John Gitlin
                               ------------------
                                  John Gitlin,
                Vice President,Secretary, Treasurer and Director




<PAGE>