EXHIBIT 99.5

CATUITY NAMES FORMER VERIFONE CFO TO HEAD AUDIT COMMITTEE

DETROIT, MI and SYDNEY, Australia (Friday, Aug. 26, 2005) - Catuity, Inc.
(NASDAQ: CTTY; ASX: CAT), a provider of POS-focused solutions, today named
veteran financial executive Don Campion to its Board of Directors and as the
chairman of the Company's Audit Committee effective immediately.

The appointment of Mr. Campion, who most recently was the Chief Financial
Officer of VeriFone Inc., North America's leading manufacturer of point-of-sale
technology, fills the vacancy created by the sudden death in June of Audit
Committee Chairman Alan Gilman.

"Don brings his understanding of the point of sale market, his relationships and
more than 30 years of financial management to our board. We are a stronger
Company because of his leadership," said John Racine, President and CEO of
Catuity Inc. "As a result of Don's appointment Catuity is expected to regain
compliance with Nasdaq's Marketplace Rule that requires listed companies to
maintain three independent directors on the audit committee of the board.

Added Alexander (Sandy) Dawson, the non-executive chairman of the board, "An
executive of the caliber of Don Campion sends a clear message that we are
committed to building a team at all levels capable of delivering for our
shareholders. His experience in the capital markets; his understanding of
mergers and his record of driving profitable growth are all cornerstones of our
strategy."

Mr. Campion enjoyed a successful and diverse career in senior financial
management positions at Detroit-based General Motors. Since then he has been the
CFO at a number of companies including Oxford Automotive, Cambridge Industries,
Special Devices Inc. and, most recently at VeriFone Inc, where he played a lead
role in preparing the company for recapitalization prior to its very successful
IPO in 2005. He is currently chairman of the audit committee and a member of the
compensation committee for Haynes International, an Indiana-based leader in
manufacturing high performance alloys.

Mr. Campion will chair Catuity's Audit Committee and be a member of the
Compensation Committee. He lives in Commerce, Michigan near the company's
Detroit headquarters.

"For more than 30 years, Don Campion has seen business through critical
transitional phases and his more recent experience at restructuring and
recapitalizing companies adds great depth to our Board," said Mr. Racine. "His
experience at VeriFone has given him intimate knowledge of our business at the
POS."

Adds Mr. Campion, "Catuity competes at the intersection of two great growth
markets: payments and loyalty. The Company's business model and strategy satisfy
an unmet need and Catuity can win in this market with the right capital
structure, smart strategic mergers and old-fashioned shoe leather to generate
sales."

Catuity, Inc. makes the point of sale more profitable for its clients by
delivering products and services that reduce costs and generate new revenue.
More information on Catuity is available at its website: http://www.catuity.com.

In conjunction with the provisions of the "Safe Harbor" section to the Private
Securities Litigation Reform Act of 1995, this release may contain
forward-looking statements pertaining to future anticipated projected plans,
performance and developments, as well as other statements relating to future
operations. All such forward-looking statements are necessarily only estimates
of future results and there can be no assurance that actual results will not
materially differ from expectations. Further information on potential factors
that could affect Catuity, Inc. is included in the Company's Form 10-K, which is
filed with the US Securities & Exchange Commission.

Contact: Jack Lowry
Catuity Inc.
                  313.567.4348, ext. 202
                  jackl@catuity.com