Bioscrypt’s V-Station Biometric Reader Selected By Superior Tribunal of Justice of Mexico City

Toronto, ON -- October 30, 2006

Bioscrypt’s V-Station Biometric Reader Selected By Superior Tribunal of Justice of Mexico City

Merkatum Deploys Identity Management Solution for Largest Courthouse System in Latin America

Toronto , ON (October 30, 2006) - Bioscrypt Inc. (TSX: BYT), a leading provider of identity verification technology, announced today that Merkatum Corporation is installing the Company’s V-Station biometric reader as part of an identity management solution for the Superior Tribunal of Justice of Mexico City (TSJDF, Tribunal Superior de Justicia del Distrito Federal), the largest courthouse system in Latin America.

The system will help improve labor productivity across the agency using new technologies that automate the payroll preparation process. The implementation will help to reduce operating costs, enhance human resource administration, augment information transparency, and improve identity and financial control mechanisms.

The project, awarded to Merkatum by the TSJDF, will include identity management software, time and attendance terminals, smart cards, and related professional services to support the modernization of the Mexican justice system. Currently, the solution has been deployed at 35 points of entrance in 12 buildings throughout the city and will ultimately support the more than 5,300 employees of the agency.

To verify that individuals are who they claim to be, the solution will use Bioscrypt’s finger pattern matching technology in combination with a smart card. The system has been designed so a biometric template will be generated from the fingerprint captured from each user, and embedded onto a smart card. At the point of access, the individuals will present their cards to a network-enabled biometric reader and the user’s live finger will be compared with the information stored on the card. If a match is achieved the person is granted access.

“The implementation of Bioscrypt technology at the TSJDF is another example of how strong, multi-factor authentication can provide a more stringent verification process as well as a significant return on investment and improved administrative efficiencies,” said Robert L. Williams, President and CEO of Bioscrypt. “Merkatum has done an excellent job in implementing the system and we look forward sharing further success with them.”

 About Bioscrypt Inc.

Bioscrypt Inc. is a leader in identity verification technologies, providing solutions for converged physical and logical access, enabling unified authentication from Door to Desktop®.  Bioscrypt's offerings simplify the task of implementing secure access to facilities, equipment and IT networks. The company develops and sells biometric embedded solutions, access control readers and identity and access management software to protect the physical and network assets of international government agencies and leading organizations in the financial services, healthcare, and manufacturing sectors.  More information is available at www.bioscrypt.com .

About Merkatum

Merkatum Corporation ( www.merkatum.com ) is a leading, single-source provider of biometric technology software and managed services that help reduce identity fraud and security threats and increase labor productivity for government agencies, financial institutions, and corporations worldwide. The Company designs, deploys, and fully-manages “end-to-end” solutions for its clients, decreasing operational risks and acquisition costs and enabling them to comply with governmental mandates.  Merkatum’s patent-pending “emfiva®” multi-biometric identity management system fuses best-of-breed fingerprint, facial, and iris matching technologies with a fully-integrated, modular, open, scalable, and multi-purpose application environment. The system is ideal for processes requiring civilian data enrollment, credentialing, access control (physical and logical), identity background screening, fraud detection, wireless identification, time & attendance, and/or other tailor-made requirements. Merkatum is headquartered in Austin with offices in Miami and Mexico City.

 Forward-looking (safe harbour) statement

 Statements made in this news release that relate to future plans, events or performances are forward-looking statements. Any statement containing words such as "believes", "plans", "expects" or "intends" and other statements which are not historical facts contained in this release are forward-looking, and these statements involve risks and uncertainties and are based on current expectations. Consequently, actual results could differ materially from the expectations expressed in these forward-looking statements.

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Door to Desktop is a registered trademark and Bioscrypt and V-Station are trademarks of Bioscrypt Inc. All other trademarks or registered trademarks referenced herein are properties of their respective owners.

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