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):
                                February 12, 2003
                              CITA BIOMEDICAL, INC.
             (Exact name of registrant as specified in its charter)


              Delaware                                  93-0962072
              --------                                  ----------
(State or other jurisdiction of             (I.R.S. Employer Identification No.)
incorporation or organization)
             9025 Wilshire Blvd. Suite 301, Beverly Hills, CA 90211
               (Address of principal executive offices) (Zip code)
                                 (310) 550-4965
              (Registrant's telephone number, including area code)
                   -------------------------------------------
              (Former name, former address and former fiscal year,
                         if changed since last report.)
                   -------------------------------------------

ITEM 5. OTHER EVENTS.

CITA  Biomedical,  Inc.  ("CITA")  has  received a notice of  default  for their
license  agreement for  Detoxification  Neuron Adaptation  ("DNA")  Intellectual
Property  developed  for the  purpose of  "resetting"  the brain  function  of a
habituated alcohol or cocaine user to its  pre-habituation  state. CITA has been
granted an extension of time in the form of a temporary non-exclusive license to
continue  utilization  of the DNA  Intellectual  Property  through  May 9, 2003,
subject to a payment of $15,000 on March 1, 2003 and  accrued  royalty  payments
due and payable on April 1, 2003, May 1, 2003 and May 9, 2003.

The license to this DNA  Intellectual  Property was  acquired  from CITA S.L., a
Spanish  corporation  operated by Dr. Juan Jose Legarda,  the inventor of CITA's
UROD process, currently used for the treatment of opiate addiction.
<PAGE>

The license  agreement  requires the payment of minimum  quarterly  royalties to
CITA S.L. in  consideration  of the exclusive right to utilize DNA  Intellectual
Property  for  treatment  of alcohol  and cocaine  dependency  within the United
States, Canada and Mexico to residents thereof.  Because of insufficient capital
to pay these minimum royalties as specified in the license  agreement,  CITA has
been  unable  to meet its  financial  obligations  under the  agreement  for the
quarter  ended  December  31,  2002  with  payments  due on  January  10,  2003.
Accordingly,  CITA S.L. has terminated  the license  agreement with CITA and has
granted a temporary non-exclusive license through May 9, 2003.

CITA will require  significant  capital investment in order to be granted use of
this license  agreement  beyond May 9, 2003 and to return to an exclusive basis.
Although CITA is in discussions with potential capital  investors,  there can be
no  assurance  that CITA will  obtain  the  capital in an amount  sufficient  to
negotiate any license use beyond May 9, 2003 and therefore to continue providing
DNA  treatments  for alcohol and  cocaine.  If CITA is  unsuccessful  in raising
additional  capital,  the  Company  may have to file for  Chapter 11  bankruptcy
protection  in the very near future.  [GRAPHIC  OMITTED]  This release  contains
projections and other forward-looking statements regarding future events and the
future  financial  performance  of CITA that  involve  risks and  uncertainties.
Readers are cautioned that these forward-looking statements are only predictions
and may differ  materially  from actual  future  events or results.  Readers are
referred  to the  documents  filed by CITA with the SEC,  specifically  the most
recent reports on Form 10-KSB and 10-QSB, each as it may be amended from time to
time,  which identify  important risk factors that could cause actual results to
differ from those  contained in the  forward-looking  statements.  The financial
information  contained in this release  should be read in  conjunction  with the
consolidated  financial  statements  and notes  thereto  included in CITA's most
recent  reports on Form 10-KSB and Form  10-QSB,  each as it may be amended from
time to time.  CITA's  results of operations for the three and nine months ended
September 30, 2002 are not necessarily  indicative of CITA's  operating  results
for future periods.

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

None required.

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.

                              CITA BIOMEDICAL, INC.

Dated: February 12, 2003                            By: /s/ Joseph Dunn
------------------------------                      ------------------------
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{"company-data": {"conformed-name": "CITA BIOMEDICAL INC", "cik": "0000700890", "assigned-sic": "8090", "irs-number": "930962072", "state-of-incorporation": "CO", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "000-10965", "film-number": "03554889"}, "business-address": {"street1": "9025 WILSHIRE BLVD", "street2": "SUITE 301", "city": "BEVERLY HILLS", "state": "CA", "zip": "90211", "phone": "7196335301"}, "mail-address": {"street1": "9025 WILSHIRE BLVD", "street2": "SUITE 301", "city": "BEVERLY HILLS", "state": "CA", "zip": "90211"}, "former-company": [{"former-conformed-name": "BLUE GRASS BREEDERS INC", "date-changed": "19930701"}, {"former-conformed-name": "SOUTHWESTERN ENVIRONMENTAL CORP", "date-changed": "19930719"}]}
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):
                                February 12, 2003
                              CITA BIOMEDICAL, INC.
             (Exact name of registrant as specified in its charter)

              Delaware                                  93-0962072
              --------                                  ----------
(State or other jurisdiction of             (I.R.S. Employer Identification No.)
incorporation or organization)
             9025 Wilshire Blvd. Suite 301, Beverly Hills, CA 90211
               (Address of principal executive offices) (Zip code)
                                 (310) 550-4965
              (Registrant's telephone number, including area code)
                   -------------------------------------------
              (Former name, former address and former fiscal year,
                         if changed since last report.)
                   -------------------------------------------

ITEM 5. OTHER EVENTS.

CITA  Biomedical,  Inc.  ("CITA")  has  received a notice of  default  for their
license  agreement for  Detoxification  Neuron Adaptation  ("DNA")  Intellectual
Property  developed  for the  purpose of  "resetting"  the brain  function  of a
habituated alcohol or cocaine user to its  pre-habituation  state. CITA has been
granted an extension of time in the form of a temporary non-exclusive license to
continue  utilization  of the DNA  Intellectual  Property  through  May 9, 2003,
subject to a payment of $15,000 on March 1, 2003 and  accrued  royalty  payments
due and payable on April 1, 2003, May 1, 2003 and May 9, 2003.

The license to this DNA  Intellectual  Property was  acquired  from CITA S.L., a
Spanish  corporation  operated by Dr. Juan Jose Legarda,  the inventor of CITA's
UROD process, currently used for the treatment of opiate addiction.
The license  agreement  requires the payment of minimum  quarterly  royalties to
CITA S.L. in  consideration  of the exclusive right to utilize DNA  Intellectual
Property  for  treatment  of alcohol  and cocaine  dependency  within the United
States, Canada and Mexico to residents thereof.  Because of insufficient capital
to pay these minimum royalties as specified in the license  agreement,  CITA has
been  unable  to meet its  financial  obligations  under the  agreement  for the
quarter  ended  December  31,  2002  with  payments  due on  January  10,  2003.
Accordingly,  CITA S.L. has terminated  the license  agreement with CITA and has
granted a temporary non-exclusive license through May 9, 2003.

CITA will require  significant  capital investment in order to be granted use of
this license  agreement  beyond May 9, 2003 and to return to an exclusive basis.
Although CITA is in discussions with potential capital  investors,  there can be
no  assurance  that CITA will  obtain  the  capital in an amount  sufficient  to
negotiate any license use beyond May 9, 2003 and therefore to continue providing
DNA  treatments  for alcohol and  cocaine.  If CITA is  unsuccessful  in raising
additional  capital,  the  Company  may have to file for  Chapter 11  bankruptcy
protection  in the very near future.  [GRAPHIC  OMITTED]  This release  contains
projections and other forward-looking statements regarding future events and the
future  financial  performance  of CITA that  involve  risks and  uncertainties.
Readers are cautioned that these forward-looking statements are only predictions
and may differ  materially  from actual  future  events or results.  Readers are
referred  to the  documents  filed by CITA with the SEC,  specifically  the most
recent reports on Form 10-KSB and 10-QSB, each as it may be amended from time to
time,  which identify  important risk factors that could cause actual results to
differ from those  contained in the  forward-looking  statements.  The financial
information  contained in this release  should be read in  conjunction  with the
consolidated  financial  statements  and notes  thereto  included in CITA's most
recent  reports on Form 10-KSB and Form  10-QSB,  each as it may be amended from
time to time.  CITA's  results of operations for the three and nine months ended
September 30, 2002 are not necessarily  indicative of CITA's  operating  results
for future periods.

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

None required.

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.

                              CITA BIOMEDICAL, INC.

Dated: February 12, 2003                            By: /s/ Joseph Dunn
------------------------------                      ------------------------