UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 10-QSB
[X} QUARTERLY report under section 13 or 15(d) of the Securities
Exchange Act of 1934 for the PERIOD ended AUGUST 31, 1999.
[ ] Transition report under section 13 or 15(d) of the Securities
Exchange Act of 1934.
COMMISSION FILE NUMBER: 33-55254-43
Virtual Gaming Enterprises, Inc.
(Exact name of registrant as specified in its charter)
Nevada 87-0485308
(State of Organization) (I.R.S. Employer
Identification No.)
2580 SEASCAPE GLEN, ESCONDIDO, CA 92026
(Address of Principal Executive Offices)
Registrant's Telephone Number, Including Area Code: (760) 510-0188
Check whether the issuer: (1) has filed all reports required to be filed by
Section 13 or 15(d) of the Exchange Act during the past 12 months (or for
such shorter period that the registrant was required to file such reports),
and (2) has been subject to such filing requirements for the past 90 days.
Yes [X] No [ ]
Transitional Small Business Disclosure Format: Yes [ ] No [X]
2,576,322 Common Shares, $0.001 Par Value, Issued and Outstanding
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PART I
FINANCIAL INFORMATION
INDEPENDENT ACCOUNTANTS REPORT
Board of Directors
Virtual Gaming Enterprises, Inc.
Escondido, CA
I have reviewed the Books and Records of Virtual Gaming Enterprises, Inc.
for the Quarter Ended August 31, 1999, and in particular, the Balance Sheet
at August 31, 1999 and the Statement of Income and Expense for the three
months ended August 31, 1999.
During the process of my review, various tests were conducted to ascertain
the completeness of the books and records and to assure the accuracy of the
data contained within.
Although the scope of the review does not constitute an audit, the review
and examination was conducted in such a manner so as to comply with
generally accepted accounting standards.
It is my opinion that the books and records comply with those standards in
all manners and aspects and that they accurately represent the present
condition of the company.
Attached hereto, please find a summary of the financial status of the company.
/S/Harry M Samuels
Accountant and Financial Advisor
Hollywood, FL
2
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Virtual Gaming Enterprises, Inc.
10-Q Summary
Period Type Fiscal
Fiscal Year End 05/31
Period Start 06/01/99
Period End 08/31/99
Cash 141,435
Current Assets 79,775
Fixed Assets 5,000
Accumulated Depreciation <1,250>
Intangible Assets 752,829
Total Assets 977,789
Current Liabilities -0-
Long Term Liabilities 390,000
Common Stock 2,183
Stockholders Equity 585,606
Total Liabilities & Equity 977,789
Revenues -0-
Total Revenues -0-
Operating Expenses <556,569>
Net Loss <556,569>
Loss Per Share <.02>
3
<PAGE>
Part II
OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS
The company is not currently involved in any litigation. The Company was
the subject of an Administrative Proceeding filed by the securities and
Exchange Commission, file number 33-55254-43 regarding a cease-and-desist
proceeding and stop order proceeding instituted pursuant to Section 8(d)
of the Securities Act of 1933 and Section 21C of the Securities Exchange
Act of 1934. Without admitting or denying the findings of these
proceedings the Company agreed to cease-and-desist from committing or
causing any violation, and any future violation, of Section 13(a) of the
Exchange Act and Rules 13a-1 and 13a-13 there under and agreed to the
suspension of the Company's Form S-8.
ITEM 2. CHANGES IN SECURITIES
Inapplicable/None.
ITEM 3. DEFAULTS UPON SENIOR SECURITIES
Inapplicable/None.
ITEM 4. SUBMISSION OF MATTER TO A VOTE OF SECURITY HOLDERS
Inapplicable/None.
ITEM 5. OTHER INFORMATION
Inapplicable/None.
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
A. EXHIBITS
Exhibit Number Status Title
2 (*) Plan of acquisition, reorganization,
arrangement, liquidation, or succession
3(I) (*) Articles of Incorporation
3(II) (*) By-laws
4 (*) Instruments defining the rights of
security holders including indentures
(N/A)
10 (*) Material Contracts
11 (*) Statements re: computation of per share
earnings
15 (**) Letter on unaudited interim financial
information
18 (*) Letter on change in Accounting
Principals (N/A)
19 (*) Reports furnished to security holder
(None)
22 (*) Published report regarding matters
submitted to vote (N/A)
23 (*) Consents of Experts and Counsel
24 (**) Power of Attorney
27 (**) Financial Data Schedule
99 (*) Additional Exhibits (N/A)
---------------------------------------
(*) Incorporated by reference on Form 10-KSB filed on May 1, 2000.
(**) Provided herewith.
B. REPORTS ON FORM 8-K
None
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SIGNATURES
In accordance with the requirements of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto
duly authorized.
VIRTUAL GAMING ENTERPRISES, INC.
By: /s/ Virgil G. Williams
----------------------
President & CEO
Date: May 1, 2000
By: /s/ Brenda J. Williams
----------------------
Secretary & treasurer
Date: May 1, 2000
5
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<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
BALANCE SHEET AND STATEMENTS OF OPERATIONS AND IS QUALIFIED IN ITS ENTIRETY
BY REFERENCE TO SUCH 10QSB FOR THE QUARTER ENDED AUGUST 31, 1999.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> MAY-31-2000
<PERIOD-END> AUG-31-1999
<CASH> 141435
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 221210
<PP&E> 5000
<DEPRECIATION> 1250
<TOTAL-ASSETS> 977789
<CURRENT-LIABILITIES> 0
<BONDS> 0
0
0
<COMMON> 2183
<OTHER-SE> 585606
<TOTAL-LIABILITY-AND-EQUITY> 977789
<SALES> 0
<TOTAL-REVENUES> 0
<CGS> 0
<TOTAL-COSTS> 556569
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> (556569)
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (556569)
<EPS-BASIC> (0.02)
<EPS-DILUTED> (0.02)
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