Code:
on 1:text:!search *:#mychannel:{
  var %search = $2
  var %lines = $lines(database.txt)
  var %currentline = 1
  var %total = 0
  while (%currentline <= %lines) {
    var %data = $read(database.txt,w,%search $+ *,%currentline)
    if (%data != $null) {
      msg #mychannel %data
      inc %total
    }
    var %currentline = $calc($readn + 1)
  }
  msg $mychannel %total found.
}


That will fix it. I forgot that $N's don't work in a loop.

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