SEC FORM 4

SEC Form 4

FORM 4

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

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934
or Section 30(h) of the Investment Company Act of 1940

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Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

1. Name and Address of Reporting Person^*

RUNDELL C A JR

(Last)

(First)

(Middle)

1806 AVE J

ADMINSTRATION BLDG RM 303

(Street)

HUNTSVILLE

77340

(City)

(State)

(Zip)

2. Issuer Name and Ticker or Trading Symbol
INTEGRATED SECURITY SYSTEMS INC [ IZZI ]

5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)

X	Director	10% Owner
X	Officer (give title below)	Other (specify below)
	President

3. Date of Earliest Transaction (Month/Day/Year)
01/12/2004

4. If Amendment, Date of Original Filed (Month/Day/Year)

6. Individual or Joint/Group Filing (Check Applicable Line)

X	Form filed by One Reporting Person
	Form filed by More than One Reporting Person

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	3. Transaction Code (Instr. 8)		4. Securities Acquired (A) or Disposed Of (D) (Instr. 3, 4 and 5)			5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4)	6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	Code	V	Amount	(A) or (D)	Price		6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
Common Stock $.01 Par Value								283,285	I	Held in Self-Directed IRA
Common Stock $.01 Par Value								279,558	I	Held in Self-Directed IRA
Common Stock $.01 Par Value								97,179	I⁽¹⁾⁽²⁾	Foot Note 1 and 2
Common Stock $.01 Par Value								31,585	D⁽²⁾
Common Stock $.01 Par Value	10/01/2003	01/13/2004	A		2,811	A	$0.27	84,908	D⁽³⁾
Common Stock $.01 Par Value	11/01/2003	01/13/2004	A		5,627	A	$0.24	90,525	D⁽³⁾
Common Stock $.01 Par Value	12/01/2003	01/13/2004	A		5,412	A	$0.24	95,947	D⁽³⁾
Common Stock $.01 Par Value								47,309	D⁽⁴⁾
Common Stock $.01 Par Value	09/04/2003	01/13/2004	A		457,206	A	$0.2	457,206	D⁽⁵⁾
Common Stock $.01 Par Value	09/04/2003	01/13/2004	A		1,224,717	A	$0.2	1,224,717	D⁽⁶⁾
Common Stock $.01 Par Value	09/04/2003	01/13/2004	A		601,747	A	$0.2	601,747	I⁽¹⁾⁽⁶⁾	Foot Note 1 and 6

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	4. Transaction Code (Instr. 8)		5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5)		6. Date Exercisable and Expiration Date (Month/Day/Year)		7. Title and Amount of Securities Underlying Derivative Security (Instr. 3 and 4)		8. Price of Derivative Security (Instr. 5)	9. Number of derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)	10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	Code	V	(A)	(D)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares	8. Price of Derivative Security (Instr. 5)		10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)

Explanation of Responses:

1. Held by The Rundell Foundation of which Mr. Rundell is a trustee. Mr. Rundell disclaims beneficial ownership for such shares.

2. In lieu of dividend on Series D Preferred Stock.

3. In lieu of interest on Bridge Loans.

4. Payment of Board Fees in Common Stock.

5. Conversion Series F Preferred Stock and all related accumulated dividend arrearage.

6. Conversion Series G Preferred Stock and all related accumulated dividend arrearage.

Remarks:

These warrants were issued in connection with a promissory note for $100,000 as noted above. Note: Overall Total Options - 1,233,426 Shares

	C. A. Rundell, Jr.	01/12/2004
	** Signature of Reporting Person	Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 4 (b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
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