<SUBMISSION>
<ACCESSION-NUMBER>0000950142-03-002163
<TYPE>8-K
<PUBLIC-DOCUMENT-COUNT>3
<PERIOD>20031114
<ITEMS>7
<ITEMS>9
<FILING-DATE>20031114
<FILER>
<COMPANY-DATA>
<CONFORMED-NAME>ACTRADE FINANCIAL TECHNOLOGIES LTD
<CIK>0000819255
<ASSIGNED-SIC>6153
<IRS-NUMBER>133437739
<STATE-OF-INCORPORATION>DE
<FISCAL-YEAR-END>0630
</COMPANY-DATA>
<FILING-VALUES>
<FORM-TYPE>8-K
<ACT>34
<FILE-NUMBER>000-18711
<FILM-NUMBER>031004916
</FILING-VALUES>
<BUSINESS-ADDRESS>
<STREET1>200 COTTONTAIL LANE
<STREET2>VANTAGE COURT SOUTH
<CITY>SOMERSET
<STATE>NJ
<ZIP>08873
<PHONE>7328683100
</BUSINESS-ADDRESS>
<MAIL-ADDRESS>
<STREET1>200 COTTONTAIL LANE
<STREET2>VANTAGE COURT SOUTH
<CITY>SOMERSET
<STATE>NJ
<ZIP>08873
</MAIL-ADDRESS>
<FORMER-COMPANY>
<FORMER-CONFORMED-NAME>ACTRADE INTERNATIONAL LTD
<DATE-CHANGED>19930518
</FORMER-COMPANY>
</FILER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>form8k_111403.txt
<DESCRIPTION>CURRENT REPORT
<TEXT>

    As filed with the Securities and Exchange Commission on November 14, 2003


                                  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): November 14, 2003


                       ACTRADE FINANCIAL TECHNOLOGIES LTD.
             ------------------------------------------------------
             (Exact name of registrant as specified in its charter)

         DELAWARE                       0-18711                  13-3437739
 ------------------------------     ---------------          ------------------
(State or other jurisdiction of    (Commission File           (IRS Employer
       incorporation)                   Number)              Identification No.)

200 COTTONTAIL LANE, VANTAGE COURT SOUTH, SOMERSET, NJ               08873
------------------------------------------------------             --------
     (Address of principal executive offices)                     (Zip Code)

  Registrant's telephone number, including area code:      (732) 868-3100
                                                           --------------


<PAGE>

                                                                               2

ITEM 7.  FINANCIAL STATEMENTS AND EXHIBITS.

         (a)      Financial Statements.

                  Not applicable.

         (b)      Pro Forma Financial Information.

                  Not applicable.

         (c)      Exhibits.


                  EXHIBIT NO.          DESCRIPTION
                  -----------          -----------

                  99.1                 Actrade Financial Technologies Ltd.
                                       Monthly Operating Statement for the
                                       period October 1, 2003 through October
                                       31, 2003

                  99.2                 Actrade Capital Inc. Monthly Operating
                                       Statement for the period October 1, 2003
                                       through October 31, 2003

ITEM 9.  REGULATION FD DISCLOSURE.

         On October 30, 2003, Actrade Financial Technologies Ltd. (the
"Company") and one of its direct U.S. subsidiaries, Actrade Capital Inc.
("Capital"), received approval from the United States Bankruptcy Court for the
Southern District of New York (the "Bankruptcy Court") of their disclosure
statement which outlines the final liquidation plans of the Company and Capital
for a distribution of assets to creditors and shareholders. In addition, the
Bankruptcy Court set a plan confirmation hearing for December 15, 2003 at 11:00
a.m. As disclosed in the Company's Current Report on Form 8-K dated September
26, 2003, no assurance can be given that the chapter 11 plan will be accepted by
the creditors or equity holders of the Company and Capital or approved by the
Bankruptcy Court.

         Separately, on November 14, 2003, the Company and Capital each filed a
monthly operating statement for the period October 1, 2003 through October 31,
2003 (together, the "Operating Reports") with the Bankruptcy Court. Copies of
the Operating Reports of the Company and Capital are filed as Exhibits 99.1 and
99.2 hereto and incorporated by reference herein.

<PAGE>

                                                                               3

LIMITATION ON INCORPORATION BY REFERENCE

         In accordance with General Instruction B.2 of Form 8-K, the information
in this Item 9 shall not be deemed "filed" for purposes of Section 18 of the
Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise
subject to the liabilities of that Section, nor shall such information be deemed
incorporated by reference in any filing under the Securities Act of 1933, as
amended, except as shall be expressly set forth by specific reference in such a
filing. The information set forth in this Item 9 will not be deemed an admission
as to the materiality of any information required to be disclosed solely to
satisfy the requirements of Regulation FD.

CAUTIONARY STATEMENT REGARDING FINANCIAL AND OPERATING DATA

         The Company cautions readers not to place undue reliance upon the
information contained in the Operating Reports. The Operating Reports contain
financial statements and other financial information that has not been audited
by independent accountants and may be subject to future revision, reconciliation
and adjustment. The Operating Reports are in a format prescribed by applicable
bankruptcy laws and should not be used for investment purposes. The Operating
Reports contain information for periods different from those required in the
Company's reports pursuant to the Exchange Act, and that information might not
be indicative of the Company's or Capital's financial condition or operating
results for the period that would be reflected in the Company's or Capital's
financial statements or in the Company's reports pursuant to the Exchange Act.
Results set forth in the Operating Reports should not be viewed as indicative of
future results.

         In addition, it should be noted that (a) the Company has not completed
its financial statements as of or for the fiscal years ended June 30, 2002 or
June 30, 2003, or received its independent public accountants' report thereon or
filed with the Securities and Exchange Commission (the "SEC") its Annual Report
on Form 10-K for the years ended June 30, 2002 or June 30, 2003, (b) the
Company's independent public accountants, Deloitte & Touche LLP, suspended their
auditing work on the Company's financial statements for the fiscal year ended
June 30, 2002, (c) the Company has not completed its financial statements as of
and for the three months ended September 30, 2002, December 31, 2002, March 31,
2003 or September 30, 2003 or filed with the SEC its Quarterly Report on Form
10-Q for the quarters ended September 30, 2002, December 31, 2002, March 31,
2003 or September 30, 2003, and (d) as stated in the Company's December 12, 2002
press release (the "December 12 Release"), the Company's historical financial
statements and SEC filings should not, at this time, be relied upon.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

         Certain information contained in this press release constitutes
forward-looking statements for purposes of the safe harbor provisions of The
Private Securities Litigation Reform Act of 1995. Actual results or events may
differ materially from those indicated by such forward-looking statements as a
result of risks and uncertainties due to the Company's pending litigation and
ongoing internal evaluation and regulatory and law

<PAGE>

                                                                               4

enforcement investigations, each as described in the Company's press releases,
including the Company's December 12, 2002 and subsequent press releases. Other
factors that may cause results or events to differ materially from those
indicated by such forward-looking statements include, but are not limited to:
uncertainties regarding the possibility of restatements of documents previously
filed by the Company with the SEC, including restatements of the Company's
financial statements; additional facts found by the Company in connection with
the issues that are the subject of an internal evaluation; uncertainties
regarding the Company's Chapter 11 bankruptcy process, including whether or not
the chapter 11 plan recently filed by the Company and Capital will be accepted
by the creditors and equity holders of the Company and Capital or approved by
the Bankruptcy Court; uncertainties regarding the Company's ability to collect
on all its outstanding collection matters; and those factors discussed in the
Company's Form 10-Q for the quarter ending March 31, 2002, which is on file with
the SEC. In addition, any forward-looking statements represent our estimates
only as of today and should not be relied upon as representing our estimates as
of any subsequent date. While we may elect to update forward-looking statements
at some point in the future, we specifically disclaim any obligation to do so,
even if our estimates change.



                  [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

<PAGE>

                                                                               5

                                   SIGNATURES

         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.

                                        ACTRADE FINANCIAL TECHNOLOGIES LTD.



                                        By: /s/ John Fioretti
                                            -----------------------------------
                                            Name:   John Fioretti
                                            Title:  Chief Restructuring Officer



Dated: November 14, 2003

<PAGE>

                                                                               6

                                  EXHIBIT INDEX


    EXHIBIT                DESCRIPTION
    -------                -----------

    99.1                   Actrade Financial Technologies Ltd. Monthly Operating
                           Statement for the period October 1, 2003 through
                           October 31, 2003

    99.2                   Actrade Capital Inc. Monthly Operating Statement for
                           the period October 1, 2003 through October 31, 2003


</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99
<SEQUENCE>3
<FILENAME>ex99-1form8k_111403.txt
<DESCRIPTION>EXHIBIT 99.1
<TEXT>

                                                                    EXHIBIT 99.1
                                                                    ------------



PAUL, WEISS, RIFKIND, WHARTON & GARRISON LLP
Jeffrey D. Saferstein (JS/5339)
Erica Weinberger (EW/1411)
1285 Avenue of the Americas
New York, New York 10019-6064
Telephone:  (212) 373-3000
Attorneys for Debtor in Possession

UNITED STATE BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK
--------------------------------------------x
                                            :         Chapter 11
In re:                                      :         Case No. 02-16212 (ALG)
                                            :
ACTRADE FINANCIAL TECHNOLOGIES LTD.         :
                                            :
                              Debtor.       :
                                            :
--------------------------------------------x


                         MONTHLY OPERATING STATEMENT FOR
                 THE PERIOD OCTOBER 1, 2003 TO OCTOBER 31, 2003
                 ----------------------------------------------

<PAGE>

UNITED STATE BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

                                              CHAPTER 11 CASE NO. 02-16212 (ALG)


                       Actrade Financial Technologies Ltd.
================================================================================
                                     DEBTOR


                Monthly Operating Statement For
        The Period October 1, 2003 to October 31, 2003


DEBTOR'S ADDRESS:
-----------------
Actrade Financial Technologies Ltd.
7 Penn Plaza, Suite 422
New York, NY 10001

                                        Monthly Disbursements:  $          NONE
                                                                ===============


DEBTOR'S ATTORNEY:
------------------
Paul, Weiss, Rifkind, Wharton & Garrison LLP
1285 Avenue of the Americas
New York, NY 10019

                                        Monthly After Tax Loss: $            --
                                                                ===============

         The undersigned, having reviewed the attached report and being familiar
with the Debtor's financial affairs, verifies under the penalty of perjury, that
to the best of my knowledge, information and belief, the information contained
therein accurately reflects, on an unconsolidated basis, information contained
in the Debtor's books and records and public filings. As stated in previous
disclosures, no assurances can be given and no reliance should be made, on the
Debtor's books and records, and on the information contained in the Debtor's
public filings.

         The undersigned also verifies that, to the best of his knowledge,
liability, workers compensation and short-term disability insurance policies,
have been paid currently.



DATE:  November 14, 2003                By:   /s/  John Fioretti
                                             -----------------------------------
                                             John Fioretti
                                             Chief Restructering Officer
                                             Actrade Financial Technologies Ltd.


Indicate if this is an amended statement by checking here


                                                    Amended Statement  [_]

<PAGE>

                       ACTRADE FINANCIAL TECHNOLOGIES LTD.
                      (DEBTOR-IN-POSSESSION) BALANCE SHEET
                                OCTOBER 31, 2003
                             (DOLLARS IN THOUSANDS)



ASSETS

CURRENT ASSETS:
     Cash                                                              $      1
     Other current assets                                                    33
                                                                       --------
         Total Current Assets                                                34

DUE FROM SUBSIDIARIES, NET                                               18,094

INVESTMENTS IN SUBSIDIARIES                                                 320
                                                                       --------

TOTAL ASSETS                                                           $ 18,448
                                                                       ========

LIABILITIES AND STOCKHOLDERS' EQUITY
     Accrued expenses                                                  $    462
                                                                       --------

         Total Current Liabilities                                          462
Liabilities Subject to Compromise:
     Accrued expenses                                                       303
                                                                       --------
TOTAL LIABILITIES                                                           765
                                                                       --------

STOCKHOLDERS' EQUITY
     Common stock, $0.0001 par value; authorized 100,000,000 shares,
       issued and outstanding 11,849,490 shares  at October 31, 2003          1
     Additional paid in capital                                          58,102
     Accumulated deficit                                                 (1,217)
     Treasury stock at cost;  1,336,678 shares at October 31, 2003      (39,203)
                                                                       --------

    Total Stockholders' Equity                                           17,683
                                                                       --------

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                             $ 18,448
                                                                       ========


                       See Notes to Financial Statements.


                                        2
<PAGE>

                       ACTRADE FINANCIAL TECHNOLOGIES LTD.
                 (DEBTOR-IN-POSSESSION) STATEMENT OF OPERATIONS
                             (DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                                                      FOR THE PERIOD
                                                                                     DECEMBER 13, 2002
                                                                    MONTH ENDED          THROUGH
                                                                OCTOBER 31, 2003     OCTOBER 31, 2003
                                                                ----------------     ----------------
<S>                                                               <C>                   <C>
Revenue                                                           $       --            $       --
                                                                  ----------            ----------

Operating Expenses:
     General and administrative expenses                                  --                    40
                                                                  ----------            ----------

Total Operating Expenses                                                  --                    40
                                                                  ----------            ----------

Loss before reorganization items and income tax benefit                   --                   (40)

Reorganization items:
             Interest earned on accumulated cash resulting from
                Chapter 11 proceeding                                     --                    --
                                                                  ----------            ----------


Net loss                                                          $       --            $      (40)
                                                                  ==========            ==========
</TABLE>


                       See Notes to Financial Statements.


                                        3
<PAGE>

                       ACTRADE FINANCIAL TECHNOLOGIES LTD.
                             (DEBTOR-IN-POSSESSION)
                             STATEMENT OF CASH FLOWS
                             (DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                                                      FOR THE PERIOD
                                                                                     DECEMBER 13, 2002
                                                                    MONTH ENDED          THROUGH
                                                                OCTOBER 31, 2003     OCTOBER 31, 2003
                                                                ----------------     ----------------
<S>                                                               <C>                   <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
  NET LOSS                                                        $       --            $      (40)

CHANGES IN OPERATING ASSETS AND LIABILITIES:
      DUE FROM SUBSIDIARIES                                              326                  (151)
     ACCRUED EXPENSES                                                   (326)                  (45)
                                                                  ----------            ----------

NET CASH USED IN OPERATING ACTIVITIES BEFORE REORGANIZATION ITEMS         --                  (236)
                                                                  ----------            ----------

OPERATING CASH FLOW FROM REORGANIZATION ITEMS -
   BANKRUPTCY RELATED PROFESSIONAL FEES PAID                              --                    --
                                                                  ----------            ----------

NET CASH USED IN OPERATING ACTIVITIES                                     --                  (236)
                                                                  ----------            ----------


NET DECREASE IN CASH DURING THE PERIOD                                    --                  (236)

CASH BALANCE AT BEGINNING OF PERIOD                                        1                   237
                                                                  ----------            ----------

CASH BALANCE AT END OF PERIOD                                     $        1            $        1
                                                                  ==========            ==========
</TABLE>


                       See Notes to Financial Statements.


                                        4
<PAGE>

                       ACTRADE FINANCIAL TECHNOLOGIES LTD.
                    NOTES TO FINANCIAL STATEMENTS - UNAUDITED
                                OCTOBER 31, 2003
                             (DOLLARS IN THOUSANDS)


NOTE 1.  BASIS OF PRESENTATION

The accompanying unaudited financial statements of Actrade Financial
Technologies Ltd. (the "Company") have been prepared on a going concern basis,
which contemplates continuity of operations, realization of assets and
liquidation of liabilities in the ordinary course of business. These financial
statements include intercompany balances that would be eliminated, in accordance
with generally accepted accounting principles, when the results of the Company
are consolidated with all of its wholly owned subsidiaries.

NOTE 2.  SIGNIFICANT ACCOUNTING POLICIES

Financial Reporting For Bankruptcy Proceedings - In connection with the
bankruptcy proceedings, the Company is required to report in accordance with the
American Institute of Certified Public Accountant's Statement of Position 90-7
"Financial Reporting by Entities in Reorganizations under the Bankruptcy Code"
(SOP 90-7"). SOP 90-7 requires, among other things, (i) that pre-petition
liabilities that are subject to compromise be segregated in the Company's
balance sheet as liabilities subject to compromise and (ii) the identification
of all transactions and events that are directly associated with the
reorganization of the Company in Statement of Operations.

NOTE 3.  PETITION FOR RELIEF UNDER CHAPTER 11

On December 12, 2002, the Company filed a petition for relief under Chapter 11
of the United States Bankruptcy Code in the United States Bankruptcy Court for
the Southern District of New York (the "Bankruptcy Court"). Under Chapter 11,
actions to enforce certain claims against the Debtor in existence prior to the
filing of the Chapter 11 petition are stayed while the Debtor continues business
operations as a debtor-in-possession. These claims are reflected in the October
31, 2003, balance sheet as "liabilities subject to compromise." Additional
claims (liabilities subject to compromise) may arise subsequent to the filing
date resulting from rejection of executory contracts or leases, and from the
determination by the court (or agreed to by parties in interest) of allowed
claims for contingencies and other disputed amounts.

The Debtor received approval from the Bankruptcy Court to pay or otherwise honor
certain of its prepetition obligations, including wages and other employee
benefits.


                                       5
<PAGE>

                       ACTRADE FINANCIAL TECHNOLOGIES LTD.
                    NOTES TO FINANCIAL STATEMENTS - UNAUDITED
                                OCTOBER 31, 2003
                             (DOLLARS IN THOUSANDS)


NOTE 4.  REORGANIZATION COSTS

Reorganization costs include professional fees and other related expenses
attributable to the filings.

NOTE 5.  INTERCOMPANY TRANSACTIONS

Intercompany balances would be eliminated, in accordance with generally accepted
accounting principles, when the results of the Company are consolidated with all
of its wholly owned subsidiaries. The net intercompany balances that are
included on the accompanying financial statements under the caption of Due from
Subsidiaries amounted to $18,094 at October 31, 2003.

NOTE 6.  SUPPLEMENTAL FINANCIAL INFORMATION

The Company operates as a holding company. Almost all of its operating expenses
including professional fees and other related expenses attributable to the
reorganization filings are recognized and paid by its wholly owned subsidiary,
Actrade Capital, Inc., ("Capital") also a debtor-in-possession. Since the
Company is legally liable for its share of outstanding liabilities, Capital
charged back the Company through intercompany accounts for the outstanding
liabilities as of October 31, 2003. The Company paid no professional fees and
other related expenses attributable to the reorganization during the period from
December 13, 2002 through October31, 2003.

NOTE 7.  PRESS RELEASE DATED JUNE 10, 2003 ANNOUNCES
         ADDITIONAL DEVELOPMENTS

The Company on June 10, 2003 announced that, effective immediately, the Company
and all of its subsidiaries will cease writing any new business and will not
issue new Trade Acceptance Drafts. The Company also announced that it will
promptly seek to reduce Operating expenses, while focusing primarily on
collecting Capital's outstanding TAD'S receivable, and on the sale process
described below.


                                       6
<PAGE>

                       ACTRADE FINANCIAL TECHNOLOGIES LTD.
                    NOTES TO FINANCIAL STATEMENTS - UNAUDITED
                                OCTOBER 31, 2003
                             (DOLLARS IN THOUSANDS)



NOTE 8.  FORM 8K REPORT FILED WITH SECURITIES AND EXCHANGE
         COMMISSION ON AUGUST 27, 2003 (REGULATION FD
         DISCLOSURE)

The Company hired John Fioretti to serve as the Company's Chief Restructuring
Officer effective as of August 18, 2003 and he replaced the Company's Chief
Executive Officer, Mr. Richard McCormick.

NOTE 9.  FORM 8K REPORT FILED WITH SECURITIES AND EXCHANGE
         COMMISSION ON SEPTEMBER 11, 2003 (OTHER EVENTS
         REGULATION  FD DISCLOSURE)

On September 11, 2003, the Bankruptcy Court entered an order approving the
motion of the Company and Capital under Section 363 of the U.S. Bankruptcy Code
to allow the sale of certain of their intellectual property assets, including
their patents, patent applications and trademarks to The CIT Group/Commercial
Services, Inc. for $200.

NOTE 10. FORM 8K REPORT FILED WITH SECURITIES AND EXCHANGE
         COMMISSION ON SEPTEMBER 26, 2003 (OTHER EVENTS
         REGULATION  FD DISCLOSURE)

On September 25, 2003, the Company and Capital filed with the Bankruptcy Court a
joint chapter 11 plan and related disclosure statement that provides for a
distribution of their assets to their creditors and shareholders.

NOTE 11. FORM 8K REPORT FILED WITH SECURITIES AND EXCHANGE
         COMMISSION ON NOVEMBER 14, 2003 (OTHER EVENTS
         REGULATION  FD DISCLOSURE)

On October 30, 2003, the Company and Capital received approval from the
Bankruptcy Court of their disclosure statement, which outlines the final
liquidation plans of the Company and Capital for a distribution of assets to
creditors and shareholders. In addition the Bankruptcy Court set a plan
confirmation hearing for December 15, 2003 at 11:00 a.m. No assurance can be
given that the chapter 11 plan will be accepted by the creditors or equity
holders of the Company and Capital or approved by the Bankruptcy Court.


                                        7
<PAGE>

                                                                       EXHIBIT 1



                       ACTRADE FINANCIAL TECHNOLOGIES LTD.
                             (DEBTOR-IN-POSSESSION)
                             STATEMENT OF OPERATIONS
                                OCTOBER 31, 2003
                             (DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                                                                                   TOTAL MONTHLY
                                                                                             INTERCOMPANY          DISBURSEMENTS
                                                                   TOTAL MONTHLY             DISBURSEMENTS           EXCLUDING
DEBTOR COMPANY                           CASE NUMBER               DISBURSEMENTS          INCLUDED IN TOTAL        INTERCOMAPNY
--------------                           -----------               -------------          -----------------        ------------
<S>                                      <C>                       <C>                       <C>                      <C>
Actrade Financial Technlogies Ltd.       02-16212 (ALG)            $    --                   $    --                  $    --
                                                                   -------                   -------                  -------
                                                                   $    --                   $    --                  $    --
                                                                   =======                   =======                  =======
</TABLE>


                                        8

</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99
<SEQUENCE>4
<FILENAME>ex99-2form8k_111403.txt
<DESCRIPTION>EXHIBIT 99.2
<TEXT>

                                                                    EXHIBIT 99.2
                                                                    ------------



PAUL, WEISS, RIFKIND, WHARTON & GARRISON LLP
Jeffrey D. Saferstein (JS/5339)
Erica Weinberger (EW/1411)
1285 Avenue of the Americas
New York, New York 10019-6064
Telephone:  (212) 373-3000
Attorneys for Debtor in Possession

UNITED STATE BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK
----------------------------------------x
                                        :       Chapter 11
In re:                                  :       Case No. 02-16213 (ALG)
                                        :
ACTRADE CAPITAL, INC.                   :
                                        :
                        Debtor.         :
                                        :
----------------------------------------x



                         MONTHLY OPERATING STATEMENT FOR
                 THE PERIOD OCTOBER 1, 2003 TO OCTOBER 31, 2003
                 ----------------------------------------------


<PAGE>

UNITED STATE BANKRUPTCY COURT
SOUTHERN DISTRICT OF NEW YORK

                                              CHAPTER 11 CASE NO. 02-16213 (ALG)


                              ACTRADE CAPITAL, INC.
--------------------------------------------------------------------------------
                                     DEBTOR


                         Monthly Operating Statement For
                 The Period October 1, 2003 to October 31, 2003


DEBTOR'S ADDRESS:
-----------------
Actrade Capital, Inc.
200 Cottontail Lane
Vantage Court South
Somerset, NJ 08873

                                Monthly Disbursements:          $ 400,000
                                                                =========



DEBTOR'S ATTORNEY:
------------------
Paul, Weiss, Rifkind, Wharton & Garrison LLP
1285 Avenue of the Americas
New York, NY 10019

                                Monthly After Tax Income:       $ (45,000)
                                                                ==========


         The undersigned, having reviewed the attached report and being familiar
with the Debtor's financial affairs, verifies under the penalty of perjury, that
to the best of my knowledge, information and belief, the information contained
therein accurately reflects, on an unconsolidated basis, information contained
in the Debtor's books and records and public filings. As stated in previous
disclosures, no assurances can be given and no reliance should be made, on the
Debtor's books and records, and on the information contained in the Debtor's
public filings.

         The undersigned also verifies that, to the best of his knowledge,
liability, workers compensation and short-term disability insurance policies,
have been paid currently.



DATE:  November 14, 2003           By:  /s/ John Fioretti
                                        ---------------------------------------
                                        John Fioretti
                                        Chief Restructuring Officer
                                        Actrade Capital, Inc.


Indicate if this is an amended statement by checking here

                                Amended Statement       [_]

<PAGE>

                              ACTRADE CAPITAL, INC.
                      (DEBTOR-IN-POSSESSION) BALANCE SHEET
                                OCTOBER 31, 2003
                             (DOLLARS IN THOUSANDS)



ASSETS

CURRENT ASSETS:
     Cash                                                              $ 29,297

     Other current assets                                                 1,222
                                                                       --------
         Total Current Assets                                            30,519


OTHER ASSETS                                                                 10
                                                                       --------

TOTAL ASSETS                                                           $ 30,528
                                                                       ========

LIABILITIES AND STOCKHOLDERS' DEFICIT

LIABILITIES NOT SUBJECT TO COMPROMISE:
CURRENT LIABILITIES:
     Accounts payable                                                  $    949
     Accrued expenses                                                       192
                                                                       --------
         Total Current Liabilities                                        1,141
                                                                       --------

DUE TO PARENT, SUBSIDIARIES AND AFFILIATES, NET                          47,206

LIABILITIES SUBJECT TO COMPROMISE:
     Accounts payable                                                        54
     Accrued expenses                                                       270
                                                                       --------
         Total Current Liabilities Subject to Compromise                    324
                                                                       --------
   Total Liabilities                                                     48,671
                                                                       --------

STOCKHOLDERS' DEFICIT:
     Common stock                                                          --
     Additional paid in capital                                              10
     Accumulated deficit                                                (18,153)
                                                                       --------

         Total Stockholders' Deficit                                    (18,143)
                                                                       --------

TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT                            $ 30,528
                                                                       ========

                        See Notes to Financial Statements


                                        2
<PAGE>

                              ACTRADE CAPITAL, INC.
                 (DEBTOR-IN-POSSESSION) STATEMENT OF OPERATIONS
                             (DOLLARS IN THOUSANDS)


<TABLE>
<CAPTION>
                                                                                        FOR THE PERIOD
                                                                                      DECEMBER 13, 2002
                                                                    MONTH ENDED            THROUGH
                                                                  OCTOBER 31, 2003     OCTOBER 31, 2003
                                                                  ----------------     ----------------
<S>                                                                  <C>                  <C>
Revenue - Trade acceptance drafts                                    $     --             $  1,222

Other Income - Recovery of Bad Debt                                        43               15,200

Operating Expenses:
     General and administrative expenses                                  100                5,124
     Bad debt                                                              --                1,849
     Interest expense                                                      --                   26
                                                                     --------             --------
Total Operating Expenses                                                  100                6,999
                                                                     --------             --------

Income (Loss) before reorganization items and income tax benefit          (57)               9,423
                                                                     --------             --------

Reorganization items:
     Professional fees                                                    (59)              (5,128)
     Interest earned on accumulated cash resulting
       from Chapter 11 proceeding                                          27                   90
                                                                     --------             --------

                                                                          (32)              (5,038)
                                                                     --------             --------

Loss before (provision for income taxes) income tax benefit               (89)               4,385

Income tax benefit                                                         44               (1,964)
                                                                     --------             --------


Net Income (Loss)                                                    $    (45)            $  2,421
                                                                     ========             ========
</TABLE>

                        See Notes to Financial Statements


                                        3
<PAGE>

                              ACTRADE CAPITAL, INC.
                 (DEBTOR-IN-POSSESSION) STATEMENT OF CASH FLOWS
                             (DOLLARS IN THOUSANDS)


<TABLE>
<CAPTION>
                                                                                        FOR THE PERIOD
                                                                                      DECEMBER 13, 2002
                                                                    MONTH ENDED            THROUGH
                                                                  OCTOBER 31, 2003     OCTOBER 31, 2003
                                                                  ----------------     ----------------
<S>                                                                  <C>                  <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
  NET INCOME                                                         $    (45)            $  2,421
  ADJUSTMENTS TO RECONCILE NET LOSS TO NET CASH PROVIDED BY
     OPERATING ACTIVITIES:
         DEPRECIATION AND AMORTIZATION                                     --                  626
         RECOVERY OF BAD DEBT                                             (43)             (15,200)
         BAD DEBT                                                          --                1,849
         DEFERRED INCOME                                                   --                   46
         DEFERRED INCOME TAX ASSET                                         --                9,120

CHANGES IN OPERATING ASSETS AND LIABILITIES:
       TRADE ACCEPTANCE DRAFTS RECEIVABLE                                  43               21,548
       OTHER CURRENT ASSETS                                               (43)                (896)
       OTHER ASSETS                                                        --                   (1)
       ACCOUNTS PAYABLE                                                    65                  949
       ACCRUED EXPENSES                                                   305                3,620
       DUE TO PARENT, SUBSIDIARIES AND AFFILIATES                        (326)              (1,859)
       INCOME TAXES PAYABLE                                                --               (6,270)
                                                                     --------             --------

NET CASH PROVIDED BY OPERATING ACTIVITIES BEFORE
   REORGANIZATION ITEMS                                                   (44)              15,953

OPERATING CASH FLOW FROM REORGANIZATION ITEMS -
     BANKRUPTCY RELATED PROFESSIONAL FEES PAID                           (309)              (4,149)
                                                                     --------             --------

NET CASH PROVIDED BY OPERATING ACTIVITIES                                (353)              11,804
                                                                     --------             --------

NET INCREASE IN CASH DURING THE PERIOD                                   (353)              11,804

CASH BALANCE AT BEGINNING OF PERIOD                                    29,650               17,493
                                                                     --------             --------

CASH BALANCE AT END OF PERIOD                                        $ 29,297             $ 29,297
                                                                     ========             ========
</TABLE>

                        See Notes to Financial Statements


                                        4
<PAGE>

                              ACTRADE CAPITAL, INC.
                    NOTES TO FINANCIAL STATEMENTS - UNAUDITED
                                OCTOBER 31, 2003
                             (DOLLARS IN THOUSANDS)


NOTE 1.           BASIS OF PRESENTATION

The accompanying unaudited financial statements of Actrade Capital, Inc. (the
"Company") have been prepared on a going concern basis, which contemplates
continuity of operations, realization of assets and liquidation of liabilities
in the ordinary course of business. These financial statements include
intercompany balances that would be eliminated, in accordance with generally
accepted accounting principles, when the results of the Company are consolidated
with its parent and all of its wholly owned subsidiaries or affiliates.

NOTE 2.           SIGNIFICANT ACCOUNTING POLICIES

Financial Reporting For Bankruptcy Proceedings - In connection with the
bankruptcy proceedings, the Company is required to report in accordance with the
American Institute of Certified Public Accountant's Statement of Position 90-7
"Financial Reporting by Entities in Reorganizations under the Bankruptcy Code"
(SOP 90-7"). SOP 90-7 requires, among other things, (i) that pre-petition
liabilities that are subject to compromise be segregated in the Company's
balance sheet as liabilities subject to compromise and (ii) the identification
of all transactions and events that are directly associated with the
reorganization of the Company in Statement of Operations.

NOTE 3.           PETITION FOR RELIEF UNDER CHAPTER 11

On December 12, 2002, the Company filed a petition for relief under Chapter 11
of the United States Bankruptcy Code in the United States Bankruptcy Court for
the Southern District of New York (the "Bankruptcy Court"). Under Chapter 11,
actions to enforce certain claims against the Company in existence prior to the
filing of the Chapter 11 petition are stayed while the Company continues
business operations as a debtor-in-possession. These claims are reflected in the
October 31, 2003, balance sheet as "liabilities subject to compromise."
Additional claims (liabilities subject to compromise) may arise subsequent to
the filing date resulting from rejection of executory contracts or leases, and
from the determination by the court (or agreed to by parties in interest) of
allowed claims for contingencies and other disputed amounts.

The Company received approval from the Bankruptcy Court to pay or otherwise
honor certain of its prepetition obligations, including wages and other employee
benefits.


                                        5
<PAGE>

                              ACTRADE CAPITAL, INC.
                    NOTES TO FINANCIAL STATEMENTS - UNAUDITED
                                OCTOBER 31, 2003
                             (DOLLARS IN THOUSANDS)


NOTE 4.           REORGANIZATION COSTS

Reorganization costs include professional fees and other related expenses
attributable to the filings.

NOTE 5.           INTERCOMPANY TRANSACTIONS

Intercompany balances would be eliminated, in accordance with generally accepted
accounting principles, when the results of the Company are consolidated with its
parent and all of its wholly owned subsidiaries or affiliates. The net
intercompany balances that are included on the accompanying financial statements
under the caption of Due to Parent, Subsidiaries and Affiliates amounted to
$47,206 at October 31, 2003.

NOTE 6.           SUPPLEMENTAL FINANCIAL INFORMATION

The Company is the operating entity, which recognized and paid all operating
expenses including professional fees and other related expenses attributable to
the reorganization filings for itself and its parent, Actrade Financial
Technologies Ltd. ("AFTL"). The Company charged back to AFTL through
intercompany accounts for its share of outstanding liabilities as of October 31,
2003 since AFTL is legally obligated for these outstanding liabilities. The
Company paid approximately $4,149 for professional fees and other related
expenses attributable to the reorganization during the period from December 13,
2002 through October 31, 2003.

NOTE 7.           PRESS RELEASE DATED JUNE 10, 2003 ANNOUNCES
                  ADDITIONAL DEVELOPMENTS

AFTL announced on June 10, 2003 that, effective immediately, AFTL and all of its
subsidiaries will cease writing any new business and will not issue new Trade
Acceptance Drafts. AFTL also announced that it will promptly seek to reduce
operating expenses, while focusing primarily on collecting the Company's
outstanding TADs receivable, and on the sale process described below.


                                        6
<PAGE>

                              ACTRADE CAPITAL, INC.
                    NOTES TO FINANCIAL STATEMENTS - UNAUDITED
                                OCTOBER 31, 2003
                             (DOLLARS IN THOUSANDS)


NOTE 8.           REVALUATION OF DEFERRED TAX ASSET

Effective in the June, 2003 period, the Company determined that a valuation of
the Deferred Tax Asset was necessary. As of October 31, 2003 the asset is valued
at $0. The valuation allowance of $7,504 was necessary to reflect the realizable
net value of taxes deferred as operations were discontinued and the asset was
unrealizable.

NOTE 9.           FORM 8K REPORT FILED WITH SECURITIES AND EXCHANGE
                  COMMISSION ON AUGUST 27, 2003 (REGULATION FD
                  DISCLOSURE)

The Company hired John Fioretti to serve as its Chief Restructuring Officer
effective as of August 18, 2003 and he has replaced AFTL's Chief Executive
Officer, Mr. Richard McCormick.

NOTE: 10.         FORM 8K REPORT FILED WITH SECURITIES AND EXCHANGE
                  COMMISSION ON SEPTEMBER 11, 2003 (OTHER EVENTS AND
                  REGULATION FD DISCLOSURE)

On September 11, 2003, the Bankruptcy Court entered an order approving the
motion of the Company and AFTL under Section 363 of the U.S. Bankruptcy Code to
allow the sale of certain of their intellectual property assets, including their
patents, patent applications and trademarks to The CIT Group/ Commercial
Services, Inc. for $200.

NOTE 11.          FORM 8K  REPORT FILED WITH SECURITIES AND EXCHANGE
                  COMMISSION ON SEPTEMBER 23, 2003 (OTHER EVENTS
                  REGULATION  FD DISCLOSURE)

The Company received a one-time cash payment of $12,984 in settlement of certain
TAD's and bills of exchange that were previously reserved. The $12,984 was
reflected as a recovery of bad debt during the month ended September 30, 2003.

NOTE 12.          FORM 8K REPORT FILED WITH SECURITIES AND EXCHANGE
                  COMMISSION ON SEPTEMBER 26, 2003 (OTHER EVENTS
                  REGULATION  FD DISCLOSURE)

On September 25, 2003, the Company and AFTL filed with the Bankruptcy Court a
joint chapter 11 plan and related disclosure statement that provides for the
distribution of their assets to their creditors and shareholders.


                                        7
<PAGE>

                              ACTRADE CAPITAL, INC.
                    NOTES TO FINANCIAL STATEMENTS - UNAUDITED
                                OCTOBER 31, 2003
                             (DOLLARS IN THOUSANDS)


NOTE 13.          FORM 8K REPORT FILED WITH SECURITIES AND EXCHANGE
                  COMMISSION ON NOVEMBER 14, 2003 (OTHER EVENTS
                  REGULATION  FD DISCLOSURE)

On October 30, 2003, the Company and AFTL received approval from the Bankruptcy
Court of their disclosure statement, which outlines the final liquidation plans
of the Company and AFTL for a distribution of assets to creditors and
shareholders. In addition, the Bankruptcy Court set a plan confirmation hearing
for December 15, 2003 at 11:00 a.m. No assurance can be given that the chapter
11 plan will be accepted by the creditors or equity holders of the Company and
AFTL or approved by the Bankruptcy Court.


                                        8
<PAGE>

                                                                       EXHIBIT 1



                              ACTRADE CAPITAL, INC.
                             (DEBTOR-IN-POSSESSION)
                        SUMMARY OF MONTHLY DISBURSEMENTS
                                OCTOBER 31, 2003
                             (DOLLARS IN THOUSANDS)

<TABLE>
<CAPTION>
                                                                           TOTAL MONTHLY
                                                          INTERCOMPANY     DISBURSEMENTS
                                        TOTAL MONTHLY    DISBURSEMENTS       EXCLUDING
   DEBTOR COMPANY       CASE NUMBER     DISBURSEMENTS   INCLUDED IN TOTAL   INTERCOMAPNY
   --------------       -----------     -------------   -----------------   ------------
<S>                     <C>             <C>                <C>              <C>
Actrade Capital, Inc.   02-16213 (ALG)  $       400        $        --      $       400

                                        -----------        -----------      -----------
                                        $       400        $        --      $       400
                                        ===========        ===========      ===========
</TABLE>


                                        9


</TEXT>
</DOCUMENT>
</SUBMISSION>
