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

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

                                    FORM 8-K


                Current Report Pursuant to Section 13 or 15(d) of
                       the Securities Exchange Act of 1934




         Date of Report (Date of Earliest Event Reported): July 8, 2002



                                  UNIDYN, CORP.
             (Exact Name of Registrant as Specified in its Charter)

         Nevada                          33-55254-31             87-0438639
(State or Other Jurisdiction of   (Commission File Number)     (IRS Employer
Incorporation)                                               Identification No.)


            1433 North Tech Blvd, Suite F104, Gilbert, AZ 85233-1005
                    (Address of Principal Executive Offices)

                                 (480) 507-8333
              (Registrant's Telephone Number, Including Area Code)

                                       N/A
          (Former Name or Former Address, if Changed since Last Report)

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











ITEM 5.  OTHER EVENTS.

            As previously reported, the Company has engaged the law firm of
Akerman, Senterfitt & Eidson, P.A. to investigate alleged wrongdoing on the part
of officers, directors and shareholders of UniDyn. The investigative report was
recently completed. The following is a brief summary of its findings:

         1. Individuals and entities involved in the launching of the Company in
December 1997 and early 1998, including UniDyn, Inc., a Bahamas company,
Universal Dynamics, Inc., Mearns Assurance Corp., Ira Gentry and Randy Jenkins
appear to have constituted a group (the "Group") that controlled the Company.
Such control was not disclosed to the shareholders in accordance with the
requirements of the Securities Exchange Act of 1934 (the "Exchange Act"). The
report notes, however, that definitive proof of such control would require
determining the beneficial ownership of several entities, including offshore
entities, an exercise which was beyond this scope of the investigation.
Therefore, many of the conclusions of the report, including the ones described
in Paragraphs 1, 2, 4, and 5 of this summary, cannot be confirmed without
further investigation.

         2. If the Group collectively owned more than ten percent (10%) of the
Company's voting equity, members of the Group committed several violations of
the short swing profits rule (Section 16(b) of the Exchange Act). Furthermore,
no entity has filed a Form 3 or 4 or 5, or a report on Schedule 13D or 13G based
on its ownership of more than ten percent (10%) of the Company's equity.

         3. The officers and directors of the Company used reports about the
technical progress the Company was making in developing the Sterling system and
reports of the business agreement it had reached with TechNet International, a
Japanese company ("TechNet") that would purportedly generate hundreds of
millions of dollars in sales of the Sterling system to sell shares of the
Company's stock. It is apparent that the reports of the progress in developing
the Sterling system and the reports of the sales commitments for the product
were false and misleading and constituted violations of Section 10(b) of the
Exchange Act.

         4. In the Company's private placement offerings in 1999, the Company
arranged for the loan of "free trading" shares of the Company to private
placement purchasers. The arrangements appear to have been a scheme to encourage
the sale of the private placement shares by circumventing the regulations that
restrict the resale of restricted stock. Furthermore, the "free trading" shares
appear to have been loaned by members of the Group and should have been
characterized as restricted shares as opposed to "free trading".

         5. If, as discussed above, the Group controlled the Company, there were
several transactions between members of the Group and the Company which should
have been disclosed to shareholders along with disclosure of the relationship
between the members of the Group and the Company.

         Subject to the caveats in Paragraph 1 above, it appears that the
Company and its shareholders may have a variety of significant claims under the
Securities Act of 1933 and the Exchange Act against Ira Gentry and others who
may have shared control of the Company. Although the report could not determine
the beneficial ownership of the entities that collectively appeared to control
the Company, the sale of securities through the use of false and misleading
information, such as the disclosure of the alleged contract with TechNet for the
sale of equipment relating to the Sterling project represents a clear violation
of Section 10(b) of the Exchange Act for which shareholders may have claims
without regard to the issue of control of the Company.

            The Company has delivered the investigative report to the
Enforcement Division of the Securities and Exchange Commission (the "SEC") with
the request that they undertake such further investigation and enforcement
action as they deem appropriate. The Company has pledged its full cooperation
with any further action the SEC may take.

            Copies of the full Investigative Report with Exhibits that was
delivered to the SEC Enforcement Division will be available on the UniDyn
WebSite, unidyn.com, after Monday 15th July '02






ITEM 7.   FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION AND EXHIBITS.

         (a)      Financial Statements of Business Acquired.

                           None.

         (b)      Pro Forma Financial Information.

                           None.

         (c)      Exhibits.

                      None.

                                    SIGNATURE


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


   Date:  July 9, 2002               UNIDYN, CORP.


                                  By: /s/  Jeffrey Garman
                                      -------------------------------------
                                      Jeffrey R Garman,   President and CEO