Washington, D.C. 20549

                                   FORM 10-QSB

     ACT OF 1934

                  For the quarterly period ended March 31, 2002


             For the transition period from _________ to _________.

                         Commission file number 1-12293

                            BROADENGATE SYSTEMS, INC.
        (Exact name of small business issuer as specified in its charter)

         Nevada                                           87-0394313
---------------------------                  -----------------------------------
(State or Other Jurisdiction of             (I.R.S. Employer Identification No.)
 Incorporation or Organization)

            3/F, Block 2, Cyber City, South Hi-tech Industrial Park,
                          Shenzhen, Guangdong Province
               (Address of Principal Executive Offices) (Zip Code)

                (Issuer'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 of 1934 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.

Yes [X]  No [_]

As of May 13, 2002,  14,393,000 shares of our common stock, $.001 par value were
outstanding.  As of such date,  the  aggregate  market value of the common stock
held by  non-affiliates,  based on the  closing  bid price on the NASD  Bulletin
Board, was approximately $3,875,749.


                      ESOFTBANK.COM, INC. and Subsidiaries

                                                                        Page No.

                          Part I. Financial Information

Item. 1 Financial Statements (Unaudited)

         Condensed consolidated statements of operations -
         Three months ended March 31, 2002 and 2001                           3

         Condensed consolidated balance sheets - March 31, 2002 and
         December 31, 2001                                                    4

         Condensed consolidated statements of cash flows - Three
         months ended March 31, 2002 and 2001                                 6

         Condensed consolidated statements of shareholders equity             8

Notes to consolidated financial statements - June 30, 2001                    9

Item 2. Management's Discussion and Analysis of Financial Condition and
         Results of Operations                                               11

                           Part II. Other Information

Item 1. Legal Proceedings                                                    13

Item 2. Changes in Securities                                                13

Item 3. Defaults Upon Senior Securities                                      13

Item 4. Submission of Matters to a Vote of Security Holders                  13

Item 5. Other Information                                                    13

Item 6. Exhibits and Reports on Form 8-K                                     13

Signatures                                                                   14


Item 1. Financial Statements



                   THREE MONTHS ENDED MARCH 31, 2001 AND 2002

                                         2002              2002             2001
                                     ------------      ------------     ------------
                                          Rmb              Rmb                US$

REVENUE                                2,117,926        2,284,122       $  275,195
COST OF SALES                         (1,443,985)      (1,689,807)        (203,591)
                                     ------------      ------------     ------------
GROSS PROFIT (LOSS)                      673,941          594,315           71,604
   EXPENSES                           (2,818,282)      (1,974,563)        (237,899)

                                    ------------      ------------      -----------
INCOME (LOSS) FROM OPERATIONS         (2,144,341)      (1,380,248)        (166,295)
   INTEREST EXPENSE                     (256,864)        (259,422)         (31,256)
   DIVIDEND INCOME                             -          493,753           59,488
   OTHER INCOME,NET                      161,535           11,060            1,333
                                    -------------     ------------      ------------
    TOTAL OTHER INCOME(EXPENSE), NET     (95,329)         245,391           29,565
                                    -------------     ------------      ------------
INCOME (LOSS) BEFORE TAXES            (2,239,670)      (1,134,857)        (136,730)

INCOME TAXES                              12,979               -                 -
                                    ------------      ------------      ------------
    MINORITY INTEREST                (2,252,649)      (1,134,857)         (136,730)
MINORITY INTEREST IN LOSS              (179,335)               -                 -
                                    ------------      ------------      ------------

NET INCOME (LOSS)                    (2,431,984)      (1,134,857)         (136,730)
                                    ============      ============      ============
INCOME (LOSS) PER SHARE                   (0.19)          (0.079)       $  (0.0095)
                                    ============      ============      ============

                                     12,920,000       14,393,000        14,393,000
                                    ============     ============       ============

   The accompanying notes are an integral part of the consolidated financial


                           CONSOLIDATED BALANCE SHEETS
                      DECEMBER 31, 2001 AND MARCH 31, 2002

                                             2001         2002           2002
                                             Rmb          Rmb            US$
                                         -----------   -----------    ----------
Cash                                     7,995,053       142,107     $   17,121
Accounts receivable                      3,192,662     4,144,842        499,379
Deposits and other                         555,987       318,959         38,429
Advances to employees                      389,008       415,478         50,058
Costs and estimated earnings in excess
   of billings on uncompleted contracts    319,444       38,487
                                        -----------    -----------    ----------
 TOTAL CURRENT ASSETS                   12,132,710     5,340,830      643,474
                                        -----------    -----------    ----------
Long-term investment                     2,800,000     2,800,000      337,349
Fixed assets                             2,432,328     2,360,968      284,454
Advances to employees                      326,000       356,185       42,914
Intangibles                              1,508,106     1,373,052      165,428
                                        -----------    -----------    ----------
 TOTAL NONCURRENT ASSETS                 7,066,434     6,890,205      830,145
                                        -----------    -----------    ----------
    TOTAL ASSETS                        19,199,144    12,231,035    1,473,619
                                        ===========    ===========    ==========
  Short-term borrowings-bank            24,000,000    16,000,000   $1,927,711
  Accounts payable                               -        18,706        2,254
  Accrued expenses
     Salaries, wages and other compensation337,048       569,845       68,656
     Employee fringe benefits            1,539,271     1,607,521      193,677
     Taxes                                  17,458        50,147        6,042
     Other                               1,183,523     1,386,700      167,072
  Customer deposits                         15,000        38,327        4,618
  Due to directors                       4,163,531     4,091,039      492,896
  Due to related parties                   390,919       502,012       60,483
  Due to employees                               -       246,616       29,712
  Billings in excess of costs and estimated
    earnings on uncompleted contracts            -       535,174       64,479
                                       -----------    -----------    -----------
 TOTAL CURRENT LIABILITIES              31,646,750    25,046,087    3,017,600
                                       -----------    -----------    -----------
MINORITY INTEREST                                -             -            -
                                       -----------    -----------    -----------
  Common stock, par value US$0.001;issued
     and outstanding-14,393,000 shares as
     of December 31,2001 and March
     31,2002                               119,462      119,462        14,393
  Additional paid-in capital            57,969,605   57,969,605     6,984,290
  Subscription receivable                 (767,411)           -             -


  Reserve funds                            347,148      347,148        41,825
  Foreign currency translation                                -             -
  Accumulated deficit                  (70,116,410) (71,251,267)   (8,584,489)
                                       -----------    -----------    -----------

                                      (12,447,606)  (12,815,052)   (1,543,981)
                                       -----------   -----------    ------------
           EQUITY                      19,199,144    12,231,035     1,473,619
                                       ===========   ===========    ============

   The accompanying notes are an integral part of the consolidated financial




                   THREE MONTHS ENDED MARCH 31, 2001 AND 2002

                                                   2001             2002               2002
                                                   Rmb               Rmb               US$
                                                -----------       -----------       -----------

Cash Flows from Operating Activities
Net loss                                        (2,431,984)       1,134,857          (136,730)
                                                -----------       ----------        -----------
Adjustments to reconcile net loss to net cash
Used in operating activities:
  Depreciation                                     147,340          247,110            29,772
  Amortization of product development costs
                                                    98,136                -                 -
  Amortization of Intangible assets                      -          135,054            16,272
  Provision for losses on receivables - Customers
                                                   265,089                -                 -
  Minority interest                                179,335                -                 -
  (Increase) decrease in
      Accounts receivable                       (1,265,554)      (1,140,580)         (137,419)
      Deposits and other                           353,710           67,028             8,076
      Costs and estimated earnings in excess of
           billings on uncompleted contracts      (107,740)        (319,444)          (38,487)

  Increase (decrease) in
       Accounts payable and accrued expenses       390,463          555,619            66,942
       Customer deposits                           (11,000)          23,327             2,811
      Billings in excess of costs and estimated
        earnings on uncompleted contracts          258,122          535,174            64,478
                                                -----------      -----------       -----------
  Total Adjustments                                307,901          103,288            12,445
                                                -----------      -----------       -----------
 Net Cash Used in Operating Activities          (2,124,083)      (1,031,569)         (124,285)
                                                -----------      -----------       -----------
 Cash Flows from Investing Activities
  Capital expenditures                              (2,000)          (5,750)             (693)
  Capitalized expenditures for
       product development costs                   169,964                -                 -
  Advances to employees                            (34,304)         (56,655)           (6,826)
 Initial Investment of minority shareholder         95,352                -                 -
                                                 -----------     -----------       -----------
Net Cash Used in Investing
  Activities                                      (301,620)         (62,405)           (7,519)
                                                 -----------     -----------       -----------
Cash Flows from Financing Activities
  Net borrowings from SiTech Holding               200,000                -
  Net short-term borrowings                              -       (8,000,000)         (963,855)
  Net borrowings from director                     571,373                -
  Proceeds from subscription receivable                  -          767,411            92,459
  Net borrowings from employees                          -          246,616            29,712
  Net borrowings from a director                         -          115,908            13,965
  Net borrowings from related parties                    -          111,093            13,385
                                                 -----------     -----------       -----------
   Net Cash Provided by (Used in)
        Financing Activities                       771,393       (6,758,972)         (814,334)
                                                 -----------     -----------       -----------



 Net Decrease in Cash                           (1,654,310)      (7,852,946)         (946,138)
 Cash, Beginning of Period                       3,221,718        7,995,053           963,259
                                                 -----------     -----------       -----------
 Cash, End of Period                             1,567,408          142,107            17,121
                                                 ===========     ===========       ===========

   The accompanying notes are an integral part of the consolidated financial


Consolidated Statements of Shareholder's Equity
Three Months Ended March 31, 2001 and 2002

                                 Common Stock            Additional     Subscription        Earnings        Reserve       Total
                                                          Paid in                         (Accumulated
                                                          Capital                           Deficit)         Funds
                          No. of Shares   Amount Rmb        Rmb        Receivable Rmb         Rmb             Rmb          Rmb
                         --------------  -----------    ------------   ---------------     -----------      -------      --------

Balance as of January1,
2002                       14,393,000      119,462      57,969,605        (767,411)      (70,116,410)      347,148    (12,447,606)

Net Loss                                                                                  (1,134,857)                  (1,134,857)

Proceeds from
subscription receivable                                                                                                   767,411
                           14,393,000      119,462      57,969,605          767,411      (71,251,267)      347,148    (12,815,052)




NOTE 1 - Basis of Presentation

The accompanying unaudited condensed consolidated financial statements have been
prepared in accordance with generally accepted accounting principles for interim
financial  information and with the  instructions to Form 10-Q and Article 10 of
Regulation  S-X.  Accordingly,  they do not include all of the  information  and
footnotes  required by generally  accepted  accounting  principles  for complete
financial statements.

The  Company  believes  that  the  interim  financial   statements  contain  all
adjustments  necessary for a fair  presentation  of the results for such interim
periods. All of these adjustments are normal recurring adjustments.  The results
of  operations  for interim  periods do not  necessarily  predict the  operating
results for the full year. The consolidated balance sheet as of December 31,2001
has been  derived  from audited  financial  statements  but does not include all
disclosures required by generally accepted accounting principles as permitted by
interim reporting  requirements.  The information included in this report should
be read in conjunction  with  Management's  Discussion and Analysis of Financial
Condition  and Results of  Operations,  the  audited  financial  statements  and
related notes included in the Company's 2001 Form 10-KSB.

For further  information,  refer to the  consolidated  financial  statements and
footnotes thereto included in the Company's annual report on Form 10-KSB for the
year ended December 31,2001.


On March 31, 2000, Natural Way Technologies,  Inc. (Natural Way) entered into an
Exchange  agreement  (the  Exchange)  with  World  Concept  Development  Limited
(World),  an independent  third party. In accordance with the Exchange,  Natural
Way acquired 100% of the issued and outstanding  shares of World in exchange for
9,300,000  post reverse split shares of Natural Way.  Prior to closing,  Natural
Way  effected a one for five  reverse  stock  split and  changed the name of the

The Exchange has been accounted for using the purchase method of accounting as a
reverse  acquisition,  whereby  the  company  issuing  its  shares to effect the
business   combination  is  determined  to  be  the  acquirer  in  the  business
combination.  This occurs when the  shareholders  of the issuer have less than a
majority  of  voting  control  of  the  combined   entity.   The  company  whose
shareholders  retain the  majority  voting  interest in the  combined  entity is
presumed the acquirer.  In the current  Exchange,  the existing  shareholders of
Natural  Way  will  retain a 27%  voting  interest  in the  combined  entity  on
completion of the Exchange.  Accordingly, World is deemed to be the acquirer and
the assets of Natural Way were  required to be fair  valued at  acquisition.  As
Natural  Way had no  assets,  as of the  date  of the  Exchange,  no fair  value
adjustment  was required.  The  historical  financial  information  prior to the
Exchange are those of World.

World, a development stage enterprise,  was incorporated on October 27, 1999, in
the British  Virgin  Islands.  World  incorporated  its wholly owned  subsidiary
ESOFTBANK Networks  (Shenzhen) Co. Ltd.  (Shenzhen) on December 30, 1999, in the
Peoples' Republic of China (PRC). World and Shenzhen were incorporated to effect
a merger,  exchange  of  capital  stock,  asset  acquisition  or other  business
combination with a domestic or foreign, private or publicly held business.

On February 21, 2000,  World via  Shenzhen,  acquired  9.52% of the  outstanding
capital of SiTech,  a company  related  through common  ownership and management
from Dr.  Hongbing Lan, a director and  stockholder of both World and SiTech for
approximately  $62,650. On the same date, Shenzhen acquired an additional 42.86%
of SiTech from SiTech Hainan  Holding Co., Ltd.  (Holdings),  a company  related
through common ownership and management,  for approximately $280,000. Since both
entities involved in the acquisition were under common control,  the transaction
was  accounted  for  at  historical   cost  in  a  manner  similar  to  that  in
pooling-of-interests   accounting.   The  cash   consideration   paid  in  these
transactions was classified as a deemed dividend in the amount of Rmb 2,840,000.
The  consolidated  financial  statements  include the results of operations  for
World and its subsidiaries from their inception.

On  February  21,  2000,  Shenzhen  also  acquired  80% of the newly  issued and
outstanding  stock of  Beijing,  a PRC  company,  from  Holdings  for an initial
capital  investment of approximately  $116,000.  The remaining 20% of Beijing is
owned by Mr. Lan Hong Yu, the brother of Dr. Hongbing Lan.

During August of 2000,  Shenzhen  acquired a 2.67% interest for Rmb 2,800,000 in
Xiangyou,  a newly formed entity, whose primary stockholder and initiator is the
Hunan Post Office  (governmental  agency). The new entity's development projects
are  to  include:  a  postage  computing  system,  telecommunication  technology
development, a postage machinery manufacturing line and other various technology
related  systems.  The acquisition will be accounted for at the lower of cost or
net realizable value.


On October 14, 2001, Shenzhen acquired 70% of the outstanding capital of Dalian,
an unrelated PRC company,  in exchange for 307,000  shares of the Company valued
at $.55 per share or  approximately  $168,675.  Dalian is a software  company in
Northeastern   China  focusing  on  project   management   software  and  system
integration. This acquisition was accounted for as a purchase in accordance with
the SFAS No. 141, "Business Combinations."


On May 29,  2000 the  Company  entered  into a  one-year  credit  facility  with
Shenzhen  Commercial Bank for RMB 16 million at 5.3125%.  The credit facility is
secured by shares in the Company owned by Dr. Lan,  director and  shareholder of
the Company.

On Aug. 25, 2001, the one-year  credit facility was extended to Aug. 25, 2002 at


The Company's financial  information is presented in U.S. dollars.  Reminbi, the
functional  currency of the Company has been converted into U.S.  dollars at the
exchange rate of 8.3 to 1.




BroadenGate  Systems,  Inc. is a software outsourcing service provider operating
in  the  People's   Republic  of  China.  The  Company  develops   comprehensive
outsourcing  solutions for systems  development and implementation  projects and
provides consulting services in the telecom, network security,  e-Business, ERP,
CRM EGIS sectors.

We believe that we are well positioned for growth in the developing  information
technology ("IT") industry in the PRC and internationally.  With the PRC joining
the WTO and the  Beijing's  2008  Olympics,  the IT  outsourcing  demand  should
increase during the next several years.

Since its inception in 1996, the company has grown with the Chinese  domestic IT
industry.  BroadenGate  is now  leveraging  its domestic  expertise to enter the
global  outsourcing  market,  and to co-op with leading  multinational  software
vendors in the Chinese market,  such as Oracle and IBM.  Building on the synergy
between  the  Chinese  and global  markets,  BroadenGate  hopes to  continue  to
increase its market share at home and win higher-margined contracts abroad.

Recent Developments

The  Company   continues  to  increase  its  business   base  by  forming  close
partnerships  with some of the leading  companies in the PRC,  including  Huawei
Technology,  which is among  the  largest  manufacturers  of  telecommunications
equipment  in Asia.  Our  revenue  mainly  base on the four  project  management
centers  which were  established  last year. We are always trying to improve the
management of the PMCS.

1. A  Telecommunication  & Internet Center: We have over 100 engineers currently
working in this PMC, and have  outstanding  contracts for over 30 million RMB in
2002 with Huawei.  We have reached an  agreement of  cooperation  with the China
Policy  Security  Bureau,  to use our  solutions  in  Internet  access,  network
management and security, which should produce significant marketing potential in
China. 2. A Development & International Center: We recently won a COBOL software
development  contract for  approximately 15 million Yen  (US1,150,000) in Dalian
with  SCM a  subsidiary  of  Mitsubishi  Corporation.  3. A  Project  Management
Software  & System  Integration  Center:  This  division  is based on the Dalian
Tongzhou  Computer  Software Co., Ltd. System  (Tongzhou),  and serves more than
1,000  clients  in  architectural,   chemical,  metallurgical,   transportation,
manufacturing and energy; 4. An E-Business and E-Banking Center:  This center is
new, but during the coming year, we anticipate building a local e-banking system
in Hainan island.

Besides  outsourcing  services,  we also  develop  software  with  ownership  of
intellectual  rights, such as BroadenGate Network Checking System. We anticipate
it will increase our revenues and lower the operating risk.

We will focus on the Chinese and  Japanese  markets this year.  However,  if the
Company is to be a dominant player in the industry,  it is critical to establish
a physical presence in the US.


Revenues. Revenues increased by $20,023 or 7.8% to $275,195 for the three months
ended March 31, 2002 from  $255,172 for the period  ended March 31,  2001.  This
increase in revenues resulted from increased software outsourcing.

Cost of Sales.  Cost of sales  increased  by $29,617 or 17% to $203,591  for the
three months ended March 31, 2002 from $173,974 for the same periods ended March
31, 2001.  Cost of sales as a percent of revenues was 74% for the first  quarter
ended March 31, 2002  compared to 68% for the same periods ended March 31, 2001.
This increase in cost of sales resulted from increased  revenues and a change in
the mix of  products  sold.  The  increase in cost of sales as a  percentage  of
revenue is attributable to an increased  percentage of sales from human resource
outsourcing, which has a lower profit margin than software development.


Selling and Administrative Expenses. Selling and administrative  expenses("SGA")
decreased by $101,653 or 30% to $237,899 for the first  quarter  ended March 31,
2002 from $339,552 for the same periods  ended March 31, 2001.  This decrease in
selling and administrative  expenses resulted from decreased marketing expenses,
decreased  research  and  development  expenses,   and  decreased   professional
expenses.  We anticipate  retaining a strict control over our expenditures.  Our
objective is to minimize  SG&A  expenditures  without  impairing our capacity to
provide services.

Other income,  Net. Other income,  net consists of interest  income and expense,
bank charges,  recovery of prior  expenses , foreign  exchange  gains or losses,
other  miscellaneous  income, and investment income.  Other income, net totallig
$29,565 for the three months ended March 31, 2002,  compared to other  expenses,
net totaled  $11,485 for the period ended March 31, 2001. This increase in other
income,  net resulted  principally from investment  income.  The total amount of
investment income was $59,488 for the first quarter of 2002,compared to zero for
the  corresponding  period of 2001. The increase resulted from the cash dividend
distributed by Xiangyou.

Income  Taxes.  Income tax expense  decreased by $ 1,564 or 100% to zero for the
three months  ended March 31, 2002 from $1,564 for the same periods  ended March
31,  2001.  Although the income of the Company  increased,  our company has been
certificated  as Hi-Tech  company by local  authority,  and the  government  has
refunded all taxes.

Minority  Interest.  Minority interest  represents the 20% interest in eSoftBank
(Beijing)  Software Systems Co. Ltd., the 47.6% of SiTech Hainan Ltd. and 30% of
Tongzhou (Dalian) Computer Co., Ltd., not owned by the Company.

As a result  of the  foregoing,  the net  loss  decreased  by$156,280  or 53% to
$136,730 for the three months ended March  31,2002 from  $293,010 for the period
ended March 31,2001.  We believe that the foregoing trend will continue.  As our
revenues  increase and expenses  decrease,  we expect that our  operations  as a
software outsourcing  services provider and subcontracting  platform will result
in  smaller  losses  and,   ultimately,   profitability.   Notwithstanding   our
expectations,   however,  there  is  no  assurance  that  we  will  ever  become

Liquidity and Capital Resources

As of March 31, 2002, we had cash of $17,121 and a deficit in working capital of
$2,374,126.  This compares with cash of $188,845 and negative working capital of
$2,206,250  as of March 31,  2001.  Our cash  decreased  because  of a refund of
borrowings and a net loss.  However,  our working capital deficit is principally
the result of our net operating losses.

Cash used in operating  activities  totaled  $124,285 for the three months ended
March 31, 2002. This compares with cash used in operating activities of $260,046
for the period  ended March 31,  2001.  The change in cash flows from  operating
activities  principally  resulted from a reduced net operating  loss for current

Cash used in  investing  activities  totaled  $7,519 for the three  months ended
March 31,  2002,compared to cash used in investing activities of $32,207 for the
period ended March 31, 2001.  This change mainly  resulted  from no  capitalized
expenditures   for  product   development   costs  and  no  other  fixed  assets
expenditures in the current period.

Cash used in financing  activities  totaled  $814,334 for the three months ended
March 31, 2002.  This  compares  with cash  provided by financing  activities of
$92,939 for the period ended March 31, 2001. The net change is  attributable  to
reduced  borrowings in the current period and no loan  repayments in the current

For the  three  months  ended  March  31,  2002,  we have no plans for any major
capital expenditures.

Based on our current level of cash,  the deficit in working  capital and current
level of expenditures  in our business,  it will be necessary to seek additional
sources of funding over the next twelve months.  Management is negotiating  with
its banks for more  project  finance to fund  operations  for the current  year.
However,  without  outside  financing  or the  sale of  stock  the  Company  has
insufficient  resources to continue its business  operation  for the next twelve
months.  No  assurance  can be given that the Company will be able to obtain any
financing or sell any of its shares.



Item 1. Legal Proceedings.


Item 2. Changes in Securities and Use of Proceeds.


Items 3 - 5. We have nothing to report under these items.

Item 6. Exhibits and Reports on Form 8-K.

(a) Exhibits - None.

(b) Reports on Form 8-K - None.



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

                                           Broadengate Systems, Inc.

                                           By: /s/ Dr. Hongbing Lan
                                               Dr. Hongbing Lan
                                               Chief Executive Officer

                                           By: /s/ Hongyu Lan
                                               Lan Hongyu
                                               Principal Accounting Officer

     Dated: May 12, 2002

         In accordance  with the Exchange Act, this report has been signed below
by the following  persons on behalf of the  Registrant and in the capacities and
on the dates indicated.

     Name                     Title                                 Date
    -------                  --------                             --------

/s/ Hongbing Lan            Chairman, Chief Executive Officer     May 12, 2002

Dr.  Hongbing Lan

/s/ Xinmin Gao              Director                              May 12, 2002

Mr.  Xinmin Gao

/s/ Fa Ding Liu             Director                              May 12, 2002

Mr.  Fa Ding Liu