Acquisition will create a cutting-edge enterprise solution to address identity fraud and identity risk management BETHLEHEM, Pa. and CALGARY, Alberta, June 13 /PRNewswire-FirstCall/ -- Edentify Inc. (OTC:EDFY) (BULLETIN BOARD: EDFY) , a leading provider of identity management solutions, today announced it has signed a letter of intent to acquire Securac Corp. (OTC:SECU) (BULLETIN BOARD: SECU) , a leading global provider of enterprise governance, risk, and compliance management software and services. The deal is subject to customary closing conditions and regulatory approvals. The anticipated closing date of the transaction is July 31, 2006. Securac will become a wholly owned subsidiary of Edentify, allowing both companies to provide broader risk management solutions to organizations. "The acquisition of Securac builds on our strategic vision and is truly leading edge, by bringing identity fraud detection and prevention and identity management to the operational risk management level of an organization," says Terrence DeFranco, Chief Executive Officer of Edentify Inc. "The combination of these technologies and competencies will create new market opportunities for each of our solutions, and will establish Edentify as a first mover in this area of risk management. We have seen recently how not just financial institutions, but organizations of all types are saddled with the burden of managing the risk of who their employees, customers, and vendors are, and our total solution will assist in confronting their identity and risk management challenges, and assure compliance with government regulations, including the Sarbanes-Oxley Act." Securac provides enterprise governance, risk, and compliance management software for the public sector, financial institutions, and Global 2000 companies. Securac's software platform, Acertus(TM), which is integrated into the SAP NetWeaver core application platform, lets organizations identify, measure, and manage information and physical risks, and assess compliance with government regulations. Of 150 financial compliance process management (FCPM) software vendors operating worldwide, leading analyst firm Gartner Research ranked only 18 vendors, including Securac and its Acertus platform, in Gartner's October 2005 'Financial Compliance Process Management' report. In that report, Gartner projects new FCPM license spending will hit $9.2 billion by 2008. Securac's customers include industry giants Coca-Cola HBC, Cisco Systems, Research in Motion, and British Airways, in addition to Fortune 500 channel partners SAP, IBM and Deloitte and Touche. Securac recently reported record first quarter revenues of over $600,000, up over 230 percent from the same period last year. With this acquisition, Edentify will be able to offer banks and financial institutions Securac's Acertus risk management and compliance software, allowing risk managers to accurately assess how their identity management complies with government standards. Likewise, Securac will be able to offer Edentify's identity theft prevention and fraud detection technology as a module within the Acertus risk management platform, enabling Fortune 1000 organizations to assess their exposure to identity fraud and rapidly screen and validate the authenticity of employee, customer, and vendor identities. "As an organization focused on offering continual product improvements, R&D and enhanced market and sales support to the risk assessment and compliance management market, Securac is delighted to join forces with Edentify to grow our professional service capabilities in governance, risk management and compliance software," says Terry Allen, Chief Executive Officer of Securac Corp. "Our award-winning technology will now be made more robust by Edentify's identity fraud management software, making Edentify a crucial piece to our vision of defining the standard for operational compliance and transparency." About Edentify Edentify, Inc. ('Edentify') was formed in August 2004 with the objective of becoming the leading organization in the field of developing and deploying data analysis technology solutions for preventing identity theft and fraud. It is currently a later development-stage company and expects shortly to begin a period of growth. Edentify will seek to fulfill its goals by analyzing the means by which identity crimes are perpetrated and through the development of new technologies and procedures to assist corporations, the government, and consumers in the fight against identity fraud and related crime. Edentify owns the intellectual property rights to two strategic approaches towards the detection and prevention of identity fraud. One is a patented information- based approach that analyzes identity data information for individuals in large databases, and is capable of detecting and scoring incidences of identity manipulation and potential theft (Identity Quotient Index(TM)). Edentify will continue to market this technology to the financial services industry, as well as to large healthcare organizations and local, state, and federal government agencies. The second approach, which is still under development, is a biometric technology that will be marketed through and is named after our wholly owned subsidiary, InMotion Biometrics, Inc. ('IMB'). This novel set of algorithms combines face and voice recognition techniques for authenticating the identity of an individual. Additionally, the system is designed as a multi-modal platform capable of combining the reading of two or more biometric technologies simultaneously. Edentify is based in Bethlehem, Pa. About Securac Securac is a leading global provider of enterprise governance, risk, and compliance (GRC) management software and services for financial institutions, government sector, and Global 2000 companies. The Company has developed risk management and compliance solutions designed to enable organizations to identify, measure, and manage information and physical risks; and to assess their compliance with expanding regulatory requirements and against 'best practices' standards. Acertus(TM), Securac's integrated software platform, addresses immediate, ongoing, and strategic GRC needs with a process-driven approach that offers a clear roadmap to business performance and operational risk management. In addition, Acertus(TM) also allows its corporate users to determine compliance against national and international business practice standards, including ISO17799, BS7799, HIPAA, Privacy Acts, CT-PAT, Sarbanes- Oxley, and the Basel Accord. Forward-Looking Statement Disclaimer This press release may contain forward-looking statements that are made pursuant to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. Statements of future goals and similar statements reflecting other than historical facts constitute forward-looking statements. These forward-looking statements involve a number of risks and uncertainties, which are described in Edentify's filings with the Securities and Exchange Commission. The actual results may differ materially from any forward-looking statements due to such risks and uncertainties. Edentify undertakes no obligation to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release. Press contact: Investor Relations Contact: Mike Lizun Jens Dalsgaard Senior Vice President Redwood Consulting 27 West Athens Avenue 415-884-0348 Ardmore, Pa. 19003 610-642-8253 DATASOURCE: Edentify, Inc. CONTACT: Press contact: Mike Lizun, Senior Vice President, Gregory FCA, +1-610-642-8253, ; or Investor Relations Contact: Jens Dalsgaard, Redwood Consulting, +1-415-884-0348

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