UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              Washington, DC 20549

                                    FORM 8-K

                                 CURRENT REPORT
   Pursuant to Section 13 OR 15(d) of the Securities and Exchange Act of 1934

          Date of Report (Date of earliest reported): December 12, 2005

                              GLOBALNET CORPORATION
               (Exact name of registrant as specified in charter)

--------------------------------------------------------------------------------
            Nevada                        000-24962               75-2863583
--------------------------------------------------------------------------------
(State or Other Jurisdiction of    (Commission File Number)     (IRS Employer
 Incorporation or Organization)                              Identification No.)
--------------------------------------------------------------------------------

             2616 South Loop West, Suite 660, Houston, Texas 77054
               (Address of principal executive offices) (Zip Code)

Registrant's telephone number, including area code: (630) 652-1300

                                   Copies to:
                             Gregory Sichenzia, Esq.
                            Stephen M. Fleming, Esq.
                       Sichenzia Ross Friedman Ference LLP
                           1065 Avenue of the Americas
                            New York, New York 10018
                              Phone: (212) 930-9700
                               Fax: (212) 930-9725

Check  the  appropriate  box  below  if the  Form  8-K  filing  is  intended  to
simultaneously  satisfy the filing obligation of the registrant under any of the
following provisions (see General Instruction A.2. below):

|_|   Written communications pursuant to Rule 425 under the Securities Act (17
      CFR 230.425)

|_|   Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
      240.14a-12)

|_|   Pre-commencement communications pursuant to Rule 14d-2(b) under the
      Exchange Act (17 CFR 240.14d-2(b))

|_|   Pre-commencement communications pursuant to Rule 13e-4(c) under the
      Exchange Act (17 CFR 240.13e-4(c))


<PAGE>

Item 1.01         Entry into a Material Definitive Agreement
Item 2.03         Creation of a Direct  Financial  Obligation  or an  Obligation
                  Under an Off-Balance Sheet Arrangement of a Registrant
Item 3.02         Unregistered Sales of Equity Securities

      To obtain funding for working capital, GlobalNet Corporation (the
"Company") entered into a Securities Purchase Agreement (the "Agreement") with
New Millennium Capital Partners II, LLC, AJW Qualified Partners, LLC, AJW
Offshore, Ltd. and AJW Partners, LLC (collectively, the "Investors") on December
12, 2005 for the sale of (i) $1,500,000 in callable secured convertible notes
(the "Notes") and (ii) stock purchase warrants (the "Warrants") to buy 1,500,000
shares of our common stock.

      On December 12, 2005, the Investors purchased $350,000 in Notes and
received Warrants to purchase 350,000 shares of the Company's common stock. In
addition, provided that all of the conditions in the Securities Purchase
Agreement are satisfied, on the final business day of each month, or such other
date mutually acceptable to the Company and the Investors, commencing in January
2006, the Company will issue to the Investors and the Investors will purchase an
additional agreed upon amount of Notes and Warrants until the remaining
$1,150,000 in Notes has been purchased. The Company or a majority in interest of
the Investors may terminate the obligation to issue additional Notes and Warrant
upon 30 days notice.

      The Notes bear interest at 12%, mature two years from the date of
issuance, and are convertible into our common stock, at the Investors' option,
at a conversion price, equal to the lower of (i) $0.0036 or (ii) 20% of the
average of the three lowest intraday trading prices for our common stock during
the 20 trading days before, but not including, the conversion date. As of
December 14, 2005, the average of the three lowest intraday trading prices for
our common stock during the preceding 20 trading days as reported on the
Over-The-Counter Bulletin Board was $.0001 and, therefore, the conversion price
for the secured convertible notes was $.00002. Based on this conversion price,
the Notes presently outstanding in the amount of $350,000 excluding interest,
were convertible into 17,500,000,000 shares of our common stock.

      The Company's Articles of Incorporation currently allow for issuance of a
maximum of 20,000,000,000 shares of common stock. Currently, the Company has
approximately 8,500,000,000 shares outstanding, leaving an unissued balance of
authorized shares that is not sufficient to service the maximum requirements of
all of its convertible securities. In the event we are unable to obtain an
increase in our authorized common stock, we will be required to repay the
convertible debenture and we will be subject to penalties associated with such
failure to deliver shares of common stock upon conversion of the debentures as
well as prepayment penalties. In addition, the Investors, which have a secured
lien on all of our assets and intellectual property, would be entitled to
foreclose on our assets and intellectual property. In the event that the
foregoing were to occur, significant adverse consequences to the Company would
be reasonably anticipated.

      We may prepay the Notes in the event that no event of default exists,
there are a sufficient number of shares available for conversion of the callable
secured convertible notes and the market price is at or below $.0036 per share.
The full principal amount of the Notes is due upon default under the terms of
Notes. In addition, we have granted the Investors a security interest in
substantially all of our assets and intellectual property as well as
registration rights.

      The Warrants are exercisable until five years from the date of issuance at
an exercise price of $0.0009 per share. In addition, the exercise price of the
Warrants is adjusted in the event we issue common stock at a price below market.

      The Investors have contractually agreed to restrict their ability to
convert the Notes and exercise the Warrants and receive shares of our common
stock such that the number of shares of the Company common stock held by them
and their affiliates after such conversion or exercise does not exceed 4.99% of
the Company's then issued and outstanding shares of common stock.


<PAGE>

      The sale of the Notes was completed on December 12, 2005 with respect to
$350,000 of the Notes. As of the date hereof, the Company is obligated on
$350,000 in face amount of Notes issued to the Investors. The Notes are a debt
obligation arising other than in the ordinary course of business which
constitute a direct financial obligation of the Company. In addition, the
Company is also obligated on approximately $9,000,000 in face amount of callable
secured convertible notes issued to the Investors. Certain of the Company's debt
instruments originated in periods prior to October 2003; accordingly, such debt
instruments may be converted to common stock which may be sold pursuant to Rule
144(k).

      In connection with the financing described herein, the Company has agreed
to amend the variable conversion price on all callable secured convertible
notes, aggregating to approximately $9,000,000, issued on February 6, 2003,
February 21, 2003, May 9, 2003, June 23, 2003, August 21, 2003, May 21, 2004,
June 21, 2004 and October 27, 2004 and all fundings made in 2005 to be equal 20%
of the average of the three lowest intraday trading prices for our common stock
during the 20 trading days before, but not including, the conversion date.

      The Notes and Warrants were offered and sold to the Investors in a private
placement transaction made in reliance upon exemptions from registration
pursuant to Section 4(2) under the Securities Act of 1933 and Rule 506
promulgated thereunder. Each of the Investors is an accredited investor as
defined in Rule 501 of Regulation D promulgated under the Securities Act of
1933.

      Assuming the investors purchase the remaining $1,150,000 of the Notes, the
proceeds are believed to be sufficient to fund the Company's revised operations
into the second quarter of 2006. The Company is currently reviewing its
operations, with a view towards refocusing it's operations on it's Voice Over
Internet Protocol product development and offerings. Certain wholesale product
offerings will be adjusted in support of this migration in focus. Accordingly,
previous information and projections filed on December 2, 2005, which
contemplated full wholesale product offerings and higher funding levels, should
not be relied upon.


Item 9.01 Financial Statements and Exhibits

Exhibit No.       Description
-----------       -----------

4.1               Securities Purchase Agreement dated December 12, 2005 by and
                  among the Company and New Millennium Capital Partners II, LLC,
                  AJW Qualified Partners, LLC, AJW Offshore, Ltd. and AJW
                  Partners, LLC

4.2               Form of Callable Secured Convertible dated December 12, 2005

4.3               Form of Stock Purchase Warrant dated December 12, 2005

4.4               Registration Rights Agreement dated December 12, 2005 by and
                  among the Company and New Millennium Capital Partners II, LLC,
                  AJW Qualified Partners, LLC, AJW Offshore, Ltd. and AJW
                  Partners, LLC

4.5               Letter Agreement dated December 15, 2005


<PAGE>

                                   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.

                                         GLOBALNET CORPORATION

Date: December 16, 2005                  By: /s/Mark T. Wood
                                             -----------------------------------
                                         Name:  Mark T. Wood
                                         Title: CEO
{"company-data": {"conformed-name": "GLOBALNET CORP", "cik": "0000810932", "assigned-sic": "4813", "irs-number": "752863583", "state-of-incorporation": "NV", "fiscal-year-end": "0630"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "000-24962", "film-number": "051270438"}, "business-address": {"street1": "16990 DALLAS PARKWAY SUITE 106", "street2": "SUITE 106", "city": "DALLAS", "state": "TX", "zip": "75248", "phone": "9728181058"}, "mail-address": {"street1": "16990 DALLAS PARKWAY SUITE 106", "street2": "SUITE 106", "city": "DALLAS", "state": "TX", "zip": "75248"}, "former-company": [{"former-conformed-name": "IDIAL NETWORKS INC", "date-changed": "20000316"}, {"former-conformed-name": "DESERT SPRINGS ACQUISITION CORP", "date-changed": "19960717"}, {"former-conformed-name": "BARTEL FINANCIAL GROUP INC", "date-changed": "19941021"}]}
UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              Washington, DC 20549

                                    FORM 8-K

                                 CURRENT REPORT
   Pursuant to Section 13 OR 15(d) of the Securities and Exchange Act of 1934

          Date of Report (Date of earliest reported): December 12, 2005

                              GLOBALNET CORPORATION
               (Exact name of registrant as specified in charter)

--------------------------------------------------------------------------------
            Nevada                        000-24962               75-2863583
--------------------------------------------------------------------------------
(State or Other Jurisdiction of    (Commission File Number)     (IRS Employer
 Incorporation or Organization)                              Identification No.)
--------------------------------------------------------------------------------

             2616 South Loop West, Suite 660, Houston, Texas 77054
               (Address of principal executive offices) (Zip Code)

Registrant's telephone number, including area code: (630) 652-1300

                                   Copies to:
                             Gregory Sichenzia, Esq.
                            Stephen M. Fleming, Esq.
                       Sichenzia Ross Friedman Ference LLP
                           1065 Avenue of the Americas
                            New York, New York 10018
                              Phone: (212) 930-9700
                               Fax: (212) 930-9725

Check  the  appropriate  box  below  if the  Form  8-K  filing  is  intended  to
simultaneously  satisfy the filing obligation of the registrant under any of the
following provisions (see General Instruction A.2. below):

|_|   Written communications pursuant to Rule 425 under the Securities Act (17
      CFR 230.425)

|_|   Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
      240.14a-12)

|_|   Pre-commencement communications pursuant to Rule 14d-2(b) under the
      Exchange Act (17 CFR 240.14d-2(b))

|_|   Pre-commencement communications pursuant to Rule 13e-4(c) under the
      Exchange Act (17 CFR 240.13e-4(c))
Item 1.01         Entry into a Material Definitive Agreement
Item 2.03         Creation of a Direct  Financial  Obligation  or an  Obligation
                  Under an Off-Balance Sheet Arrangement of a Registrant
Item 3.02         Unregistered Sales of Equity Securities

      To obtain funding for working capital, GlobalNet Corporation (the
"Company") entered into a Securities Purchase Agreement (the "Agreement") with
New Millennium Capital Partners II, LLC, AJW Qualified Partners, LLC, AJW
Offshore, Ltd. and AJW Partners, LLC (collectively, the "Investors") on December
12, 2005 for the sale of (i) $1,500,000 in callable secured convertible notes
(the "Notes") and (ii) stock purchase warrants (the "Warrants") to buy 1,500,000
shares of our common stock.

      On December 12, 2005, the Investors purchased $350,000 in Notes and
received Warrants to purchase 350,000 shares of the Company's common stock. In
addition, provided that all of the conditions in the Securities Purchase
Agreement are satisfied, on the final business day of each month, or such other
date mutually acceptable to the Company and the Investors, commencing in January
2006, the Company will issue to the Investors and the Investors will purchase an
additional agreed upon amount of Notes and Warrants until the remaining
$1,150,000 in Notes has been purchased. The Company or a majority in interest of
the Investors may terminate the obligation to issue additional Notes and Warrant
upon 30 days notice.

      The Notes bear interest at 12%, mature two years from the date of
issuance, and are convertible into our common stock, at the Investors' option,
at a conversion price, equal to the lower of (i) $0.0036 or (ii) 20% of the
average of the three lowest intraday trading prices for our common stock during
the 20 trading days before, but not including, the conversion date. As of
December 14, 2005, the average of the three lowest intraday trading prices for
our common stock during the preceding 20 trading days as reported on the
Over-The-Counter Bulletin Board was $.0001 and, therefore, the conversion price
for the secured convertible notes was $.00002. Based on this conversion price,
the Notes presently outstanding in the amount of $350,000 excluding interest,
were convertible into 17,500,000,000 shares of our common stock.

      The Company's Articles of Incorporation currently allow for issuance of a
maximum of 20,000,000,000 shares of common stock. Currently, the Company has
approximately 8,500,000,000 shares outstanding, leaving an unissued balance of
authorized shares that is not sufficient to service the maximum requirements of
all of its convertible securities. In the event we are unable to obtain an
increase in our authorized common stock, we will be required to repay the
convertible debenture and we will be subject to penalties associated with such
failure to deliver shares of common stock upon conversion of the debentures as
well as prepayment penalties. In addition, the Investors, which have a secured
lien on all of our assets and intellectual property, would be entitled to
foreclose on our assets and intellectual property. In the event that the
foregoing were to occur, significant adverse consequences to the Company would
be reasonably anticipated.

      We may prepay the Notes in the event that no event of default exists,
there are a sufficient number of shares available for conversion of the callable
secured convertible notes and the market price is at or below $.0036 per share.
The full principal amount of the Notes is due upon default under the terms of
Notes. In addition, we have granted the Investors a security interest in
substantially all of our assets and intellectual property as well as
registration rights.

      The Warrants are exercisable until five years from the date of issuance at
an exercise price of $0.0009 per share. In addition, the exercise price of the
Warrants is adjusted in the event we issue common stock at a price below market.

      The Investors have contractually agreed to restrict their ability to
convert the Notes and exercise the Warrants and receive shares of our common
stock such that the number of shares of the Company common stock held by them
and their affiliates after such conversion or exercise does not exceed 4.99% of
the Company's then issued and outstanding shares of common stock.
The sale of the Notes was completed on December 12, 2005 with respect to
$350,000 of the Notes. As of the date hereof, the Company is obligated on
$350,000 in face amount of Notes issued to the Investors. The Notes are a debt
obligation arising other than in the ordinary course of business which
constitute a direct financial obligation of the Company. In addition, the
Company is also obligated on approximately $9,000,000 in face amount of callable
secured convertible notes issued to the Investors. Certain of the Company's debt
instruments originated in periods prior to October 2003; accordingly, such debt
instruments may be converted to common stock which may be sold pursuant to Rule
144(k).

      In connection with the financing described herein, the Company has agreed
to amend the variable conversion price on all callable secured convertible
notes, aggregating to approximately $9,000,000, issued on February 6, 2003,
February 21, 2003, May 9, 2003, June 23, 2003, August 21, 2003, May 21, 2004,
June 21, 2004 and October 27, 2004 and all fundings made in 2005 to be equal 20%
of the average of the three lowest intraday trading prices for our common stock
during the 20 trading days before, but not including, the conversion date.

      The Notes and Warrants were offered and sold to the Investors in a private
placement transaction made in reliance upon exemptions from registration
pursuant to Section 4(2) under the Securities Act of 1933 and Rule 506
promulgated thereunder. Each of the Investors is an accredited investor as
defined in Rule 501 of Regulation D promulgated under the Securities Act of
1933.

      Assuming the investors purchase the remaining $1,150,000 of the Notes, the
proceeds are believed to be sufficient to fund the Company's revised operations
into the second quarter of 2006. The Company is currently reviewing its
operations, with a view towards refocusing it's operations on it's Voice Over
Internet Protocol product development and offerings. Certain wholesale product
offerings will be adjusted in support of this migration in focus. Accordingly,
previous information and projections filed on December 2, 2005, which
contemplated full wholesale product offerings and higher funding levels, should
not be relied upon.

Item 9.01 Financial Statements and Exhibits

Exhibit No.       Description
-----------       -----------

4.1               Securities Purchase Agreement dated December 12, 2005 by and
                  among the Company and New Millennium Capital Partners II, LLC,
                  AJW Qualified Partners, LLC, AJW Offshore, Ltd. and AJW
                  Partners, LLC

4.2               Form of Callable Secured Convertible dated December 12, 2005

4.3               Form of Stock Purchase Warrant dated December 12, 2005

4.4               Registration Rights Agreement dated December 12, 2005 by and
                  among the Company and New Millennium Capital Partners II, LLC,
                  AJW Qualified Partners, LLC, AJW Offshore, Ltd. and AJW
                  Partners, LLC

4.5               Letter Agreement dated December 15, 2005
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.

                                         GLOBALNET CORPORATION

Date: December 16, 2005                  By: /s/Mark T. Wood
                                             -----------------------------------
                                         Name:  Mark T. Wood
                                         Title: CEO