**UNITED      STATES SECURITIES AND EXCHANGE COMMISSION**

**FORM      10-QSB**

|  x | **QUARTERLY                REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE                ACT OF                1934** |
|---------|------------------------------------------------------------------------------------------------------------------------------------------|

| For                the quarterly period ended: | June                30, 2007 |
|------------------------------------------------|------------------------------|

|   | OR |
|--------|----|

|  o | **TRANSITION                REPORT PURSUANT SECTION 13 OR 15(d) OF THE EXCHANGE                ACT** |
|---------|------------------------------------------------------------------------------------------------------|

| For                the transition period from: |   | to |   |
|------------------------------------------------|--------|----|--------|

| Commission                file number: | 000-30375 |
|----------------------------------------|-----------|

| Las                Vegas Gaming, Inc.                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (Exact                name of small business issuer as specified in its                charter)                                                                                                                                                                                                                                                                                                                                                                                                 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |   |   |
| Nevada                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   | 88-0392994 |
| (State                or other jurisdiction of incorporation or organization)                                                                                                                                                                                                                                                                                                                                                                                                                   |   | (I.R.S.                Employer Identification No.) |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| 4000                West Ali Baba Lane, Suite D, Las Vegas, Nevada 89118                                                                                                                                                                                                                                                                                                                                                                                                                        |
| (Address                of principal executive offices)                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| (702)                871-7111                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| (Issuer’s                telephone number)                                                                                                                                                                                                                                                                                                                                                                                                                                                |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| (Former                name, former address and former fiscal year, if changed since last                report)                                                                                                                                                                                                                                                                                                                                                                                |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| Check                whether the issuer (1) 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                 o |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| Indicate                by check mark whether the registrant is a shell company (as defined                in                Rule 12b-2 of the Exchange Act). Yes  o  No                 x                                                                                                                                                                                                                                                                                  |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| **APPLICABLE                ONLY TO CORPORATE ISSUERS**                                                                                                                                                                                                                                                                                                                                                                                                                                         |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| State                the number of shares outstanding of each of the issuer’s classes of common                equity, as of the latest                                                                                                                                                                                                                                                                                                                                                   |
| practicable                date:                                                                                                                                                                                                                                                                                                                                                                                                                                                                | 11,668,653                shares of Common Stock Series A, $.001 par value, as of June 30,                2007 |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| Transitional                Small Business Disclosure Format (check one):  Yes  o Nox                                                                                                                                                                                                                                                                                                                                                                                       |

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***Table          of Contents***

**LAS        VEGAS GAMING, INC.**

**FORM        10-QSB**

**TABLE        OF CONTENTS**

|                                                  |                                                                                                                                   | **Page**  |
|-------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------|----------------|
| **PART                    I - FINANCIAL INFORMATION** | 1                                                                                                                                      |
|                                                  |                                                                                                                                   |           |
| Item                    1.        | Financial                    Statements                                                                                                | 1              |
|                                                  | Consolidated                    Balance Sheets                                                                                         | 1              |
|                                                  | Consolidated                    Statements of                    Operations                                                            | 2              |
|                                                  | Consolidated                  Statements of Operations                                                                                 | 3              |
|                                                  | Consolidated                    Statements of Stockholders’                    Equity                                            | 4              |
|                                                  | Consolidated                    Statements of Cash Flow                                                                                | 5              |
|                                                  | Notes                    to Unaudited Consolidated Financial                    Statements                                             | 6              |
|                                                  |                                                                                                                                   |           |
| Item                    2.             | Management’s                    Discussion and Analysis of Financial Condition                    and Results of Operations |           |
|                                                  | Critical                    Accounting Policies and                    Estimates                                                       | 14             |
|                                                  | Recent                    Accounting Pronouncements                                                                                    | 14             |
|                                                  | Results                    of Operations                                                                                               | 16             |
|                                                  | Liquidity                    and Capital Resources                                                                                     | 16             |
|                                                  | Off                    Balance Sheet Financing                                                                                         | 19             |
|                                                  | Qualitative                    and Quantitative Disclosures about Market                    Risk                                       | 20             |
|                                                  |                                                                                                                                   |           |
| Item                    3.             | Controls                    and Procedures                                                                                             | 20             |
|                                                  |                                                                                                                                   |
| **PART                    II - OTHER INFORMATION**    | 21                                                                                                                                     |
|                                                  |                                                                                                                                   |
| Item                    1.             | Legal                    Proceedings                                                                                                   | 21             |
| Item                    2.             | Unregistered                    Sales of Equity Securities                                                                             | 21             |
| Item                    3.             | Defaults                    Upon Senior Securities                                                                                     | 22             |
| Item                    4.             | Submission                    of Matters to a Vote of Security                    Holders                                              | 22             |
| Item                    5.             | Other                    Information                                                                                                   | 22             |
| Item                    6.             | Exhibits                                                                                                                               | 22             |

**_________________________________**

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***Table          of Contents***

**PART      I– FINANCIAL INFORMATION**

**Item      1.   Financial Statements.**

**LASVEGAS      GAMING, INC. AND SUBSIDIARIES**

**CONDENSED      CONSOLIDATED BALANCE SHEETS**

| **ASSETS**                                                                                                                                                           |   | **December                31,****2006** |        |   | **June                30,****2007** |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------|-------------|--------|-------------------------------------|--------|
| **Current                assets**                                                                                                                                    |   |                                    |        |   | **(Unaudited)**                     |   |
| Cash                                                                                                                                                                 |   | $                                       | 1,675,588   |   |                                | $      | 1,774,351 |   |
| Investment                in marketable trading securities                                                                                                           |   |                                    | 150,806     |   |                                |   | 134,261 |   |
| Accounts                receivable, net of allowance of $9,096 and $18,999                                                                                           |   |                                    | 466,222     |   |                                |   | 478,072 |   |
| Inventories                                                                                                                                                          |   |                                    | 514,972     |   |                                |   | 1,238,477 |   |
| Prepaid                expenses, deposits and other                                                                                                                  |   |                                    | 576,090     |   |                                |   | 211,927 |   |
| Jackpot                reserve deposits                                                                                                                              |   |                                    | 4,154,190   |   |                                |   | 1,610,579 |   |
|                                                                                                                                                                 |   |                                    | 7,537,868   |   |                                |   | 5,447,667 |   |
| **Equipment                and software, net of accumulated depreciation of $1,329,140 and                $1,383,844**                                               |   |                                    | 917,835     |   |                                |   | 944,037 |   |
|                                                                                                                                                                 |   |                                    |        |   |                                |   |   |   |
| **Other                assets**                                                                                                                                      |   |                                    |        |   |                                |   |   |   |
| Goodwill                                                                                                                                                             |   |                                    | 955,277     |   |                                |   | 955,277 |   |
| Trademarks,                copyrights, patents and other identifiable intangibles, net of accumulated                amortization of $616,169 and $857,518           |   |                                    | 1,800,066   |   |                                |   | 1,558,718 |   |
| Other                                                                                                                                                                |   |                                    | 116,878     |   |                                |   | 114,247 |   |
|                                                                                                                                                                 |   | $                                       | 11,327,924  |   |                                | $      | 9,019,946 |   |
| **LIABILITIES                AND STOCKHOLDERS' EQUITY**                                                                                                              |   |                                    |        |   |                                |   |   |   |
|                                                                                                                                                                 |   |                                    |        |   |                                |   |   |   |
| **Current                liabilities**                                                                                                                               |   |                                    |        |   |                                |   |   |   |
| Accounts                payable and accrued expenses                                                                                                                 |   | $                                       | 1,189,947   |   |                                | $      | 792,872 |   |
| Current                portion of long-term debt                                                                                                                     |   |                                    | 1,310,874   |   |                                |   | 1,608,643 |   |
| Progressive                jackpot liability                                                                                                                         |   |                                    | 1,625,051   |   |                                |   | 1,489,156 |   |
|                                                                                                                                                                 |   |                                    | 4,125,872   |   |                                |   | 3,890,671 |   |
| **Long-term                debt**                                                                                                                                    |   |                                    | 3,144,903   |   |                                |   | 2,634,512 |   |
| **Conditionally                redeemable equity**                                                                                                                   |   |                                    |        |   |                                |   |   |   |
| Series                B Convertible Preferred Stock, $.001 par value, 346,140 and 139,750                shares                issued and outstanding                |   |                                    | 1,730,700   |   |                                |   | 698,750 |   |
|                                                                                                                                                                 |   |                                    | 1,730,700   |   |                                |   | 698,750 |   |
| **Stockholders'                equity**                                                                                                                              |   |                                    |        |   |                                |   |   |   |
| Convertible                Preferred Stock, $.001 par, 10,000,000 shares authorized:                                                                                 |   |                                    |        |   |                                |   |   |   |
| Series                A: 536,400 and 0 shares issued and outstanding                                                                                                 |   |                                    | 536         |   |                                |   | — |   |
| Series                C: 50,000 and 47,000 shares issued and outstanding                                                                                             |   |                                    | 50          |   |                                |   | 47 |   |
| Series                D:  125,000 shares issued and outstanding                                                                                            |   |                                    | 125         |   |                                |   | 125 |   |
| Series                E:  351,000 and 625,400 shares issued and                outstanding                                                                 |   |                                    | 351         |   |                                |   | 625 |   |
| Common                Stock Series A and Common stock $.001 par, 90,000,000 shares authorized,                9,819,680 and 11,668,653 shares issued and outstanding |   |                                    | 9,820       |   |                                |   | 11,669 |   |
| Deferred                compensation                                                                                                                                 |   |                                    | (123,031    | )      |                                |   | (565,793 | ) |
| Additional                paid-in capital                                                                                                                            |   |                                    | 21,576,045  |   |                                |   | 26,254,089 |   |
| Less                due from officers and stockholders                                                                                                               |   |                                    | —     |   |                                |   | (129,000 | ) |
| Deficit                                                                                                                                                              |   |                                    | (19,137,447 | )      |                                |   | (23,775,750 | ) |
|                                                                                                                                                                 |   |                                    | 2,326,449   |   |                                |   | 1,796,013 |   |
|                                                                                                                                                                 |   | $                                       | 11,327,924  |   |                                | $      | 9,019,946 |   |

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***Table            of Contents***

**LAS      VEGAS GAMING, INC. AND SUBSIDIARIES**

**CONDENSED      CONSOLIDATED STATEMENTS OF OPERATIONS**

**THREE      MONTHS ENDED JUNE 30, 2006 AND 2007 (UNAUDITED)**

|                                                                        |   | **2006** |       |   | **2007** |   |
|-----------------------------------------------------------------------------|--------|----------|------------|--------|----------|--------|
|                                                                        |   |     |       |   |     |   |
| **Revenues**                                                                |   |     |       |   |     |   |
|     Casino                games                         |   | $        | 361,550    |   |     | $      | 432,467 |   |
|     Product                sales                        |   |     | 341,998    |   |     |   | 332,425 |   |
|     Other                                               |   |     | 452,230    |   |     |   | 322,229 |   |
|                                                                        |   |     | 1,155,778  |   |     |   | 1,087,121 |   |
|                                                                        |   |     |       |   |     |   |   |   |
| **Costs                and expenses**                                       |   |     |       |   |     |   |   |   |
|     Casino                games                         |   |     | 285,536    |   |     |   | 264,940 |   |
|     Product                costs                        |   |     | 241,381    |   |     |   | 206,757 |   |
|     Other                                               |   |     | 320,793    |   |     |   | 328,041 |   |
|                                                                        |   |     | 847,710    |   |     |   | 799,738 |   |
|                                                                        |   |     |       |   |     |   |   |   |
| **Gross                operating income**                                   |   |     | 308,068    |   |     |   | 287,383 |   |
|                                                                        |   |     |       |   |     |   |   |   |
| **Other                operating expenses**                                 |   |     |       |   |     |   |   |   |
|     Selling,                general, and administrative |   |     | 919,377    |   |     |   | 1,534,657 |   |
|     Research                and development             |   |     | 171,157    |   |     |   | 260,623 |   |
|     Depreciation                and amortization        |   |     | 194,682    |   |     |   | 215,886 |   |
|                                                                        |   |     | 1,285,216  |   |     |   | 2,011,166 |   |
|                                                                        |   |     |       |   |     |   |   |   |
| **Operating                loss**                                           |   |     | (977,148   | )      |     |   | (1,723,783 | ) |
|                                                                        |   |     |       |   |     |   |   |   |
| **Other                income and expense**                                 |   |     |       |   |     |   |   |   |
|     Finance                costs                        |   |     | (519,670   | )      |     |   | (430,894 | ) |
|     Interest                and other income            |   |     | 61,364     |   |     |   | 36,269 |   |
|                                                                        |   |     |       |   |     |   |   |   |
| **Net                loss**                                                 |   | $        | (1,435,454 | )      |     | $      | (2,118,408 | ) |
|                                                                        |   |     |       |   |     |   |   |   |
| **Net                loss per share**                                       |   | $        | (0.15      | )      |     | $      | (0.19 | ) |
|                                                                        |   |     |       |   |     |   |   |   |
| **Weighted                average shares outstanding**                      |   |     | 9,397,435  |   |     |   | 11,432,153 |   |

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***Table            of Contents***

**LASVEGAS      GAMING, INC. AND SUBSIDIARIES**

**CONDENSED      CONSOLIDATED STATEMENTS OF OPERATIONS**

**SIX      MONTHS ENDED JUNE 30, 2006 AND 2007 (UNAUDITED)**

|                                                                        |   | **2006** |       |   | **2007** |   |
|-----------------------------------------------------------------------------|--------|----------|------------|--------|----------|--------|
|                                                                        |   |     |       |   |     |   |
| **Revenues**                                                                |   |     |       |   |     |   |
|     Casino                games                         |   | $        | 817,283    |   |     | $      | 863,175 |   |
|     Product                sales                        |   |     | 796,611    |   |     |   | 744,450 |   |
|     Other                                               |   |     | 878,102    |   |     |   | 735,548 |   |
|                                                                        |   |     | 2,491,996  |   |     |   | 2,343,173 |   |
|                                                                        |   |     |       |   |     |   |   |   |
| **Costs                and expenses**                                       |   |     |       |   |     |   |   |   |
|     Casino                games                         |   |     | 812,407    |   |     |   | 587,550 |   |
|     Product                costs                        |   |     | 556,387    |   |     |   | 494,581 |   |
|     Other                                               |   |     | 650,354    |   |     |   | 668,477 |   |
|                                                                        |   |     | 2,019,148  |   |     |   | 1,750,608 |   |
|                                                                        |   |     |       |   |     |   |   |   |
| **Gross                operating income**                                   |   |     | 472,848    |   |     |   | 592,565 |   |
|                                                                        |   |     |       |   |     |   |   |   |
| **Other                operating expenses**                                 |   |     |       |   |     |   |   |   |
|     Selling,                general, and administrative |   |     | 1,579,072  |   |     |   | 3,481,238 |   |
|     Research                and development             |   |     | 373,157    |   |     |   | 599,520 |   |
|     Depreciation                and amortization        |   |     | 341,710    |   |     |   | 432,045 |   |
|                                                                        |   |     | 2,293,939  |   |     |   | 4,512,803 |   |
|                                                                        |   |     |       |   |     |   |   |   |
| **Operating                loss**                                           |   |     | (1,821,091 | )      |     |   | (3,920,238 | ) |
|                                                                        |   |     |       |   |     |   |   |   |
| **Other                income and expense**                                 |   |     |       |   |     |   |   |   |
|     Finance                costs                        |   |     | (660,997   | )      |     |   | (816,793 | ) |
|     Interest                and other income            |   |     | 108,337    |   |     |   | 98,728 |   |
|                                                                        |   |     |       |   |     |   |   |   |
| **Net                loss**                                                 |   | $        | (2,373,751 | )      |     | $      | (4,638,303 | ) |
|                                                                        |   |     |       |   |     |   |   |   |
| **Net                loss per share**                                       |   | $        | (0.26      | )      |     | $      | (0.43 | ) |
|                                                                        |   |     |       |   |     |   |   |   |
| **Weighted                average shares outstanding**                      |   |     | 9,129,971  |   |     |   | 10,815,514 |   |

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***Table          of Contents***

**LAS      VEGAS GAMING, INC. AND SUBSIDIARIES**

**CONDENSED      CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY**

**SIX      MONTHS ENDED JUNE 30, 2007 (UNAUDITED)**

|                                                                                                      |   | Series                A ConvertiblePreferredStock Par                Value |   |   | Series                C ConvertiblePreferredStockPar                Value |   |   | Series                D ConvertiblePreferredStockPar                Value |   |   | Series                E ConvertiblePreferredStockPar                Value |   |   | CommonStockPar                Value |   |   | DeferredCompensation |   |   | AdditionalPaid-InCapital |   |   | Less                Due FromOfficers                andStockholders |   |   | Deficit |       |
|-----------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------|--------|--------|---------------------------------------------------------------------------|--------|--------|---------------------------------------------------------------------------|--------|--------|---------------------------------------------------------------------------|--------|--------|-------------------------------------|--------|--------|----------------------|--------|--------|--------------------------|--------|--------|---------------------------------------------------------------------|--------|--------|---------|------------|
| Balances,                January 1, 2007                                                                  |   | $                                                                               | 536    |   |                                                                      | $      | 50     |                                                                      |   | $      | 125                                                                       |   |   | $                                   | 351    |   |                 | $      | 9,820  |                     |   | $      | (123,031                                                            | )      |   | $       | 21,576,045 |   |   | $ | — |   |   | $ | (19,137,447 | ) |
| Net                loss                                                                                   |   |                                                                            |   |   |                                                                      |   |   |                                                                      |   |   |                                                                      |   |   |                                |   |   |                 |   |   |                     |   |   |                                                                |   |   |    |       |   |   |   |   |   |   |   | (4,638,303 | ) |
| Exercise                of warrants and options                                                           |   |                                                                            |   |   |                                                                      |   |   |                                                                      |   |   |                                                                      |   |   |                                |   |   |                 |   | 345    |                     |   |   |                                                                |   |   |    | 589,528    |   |   |   | (129,000 | ) |   |   |   |   |
| Issuance                of warrants                                                                       |   |                                                                            |   |   |                                                                      |   |   |                                                                      |   |   |                                                                      |   |   |                                |   |   |                 |   |   |                     |   |   |                                                                |   |   |    | 705,288    |   |   |   |   |   |   |   |   |   |
| Stock                based compensation                                                                   |   |                                                                            |   |   |                                                                      |   |   |                                                                      |   |   |                                                                      |   |   |                                |   |   |                 |   |   |                     |   |   | (623,711                                                            | )      |   |    | 660,016    |   |   |   |   |   |   |   |   |   |
| Vesting                of warrants                                                                        |   |                                                                            |   |   |                                                                      |   |   |                                                                      |   |   |                                                                      |   |   |                                |   |   |                 |   |   |                     |   |   | 180,949                                                             |   |   |    |       |   |   |   |   |   |   |   |   |   |
| Issuance                of Common Stock Series A to officer and board member                              |   |                                                                            |   |   |                                                                      |   |   |                                                                      |   |   |                                                                      |   |   |                                |   |   |                 |   | 100    |                     |   |   |                                                                |   |   |    | 499,900    |   |   |   |   |   |   |   |   |   |
| Conversion                of Series A Convertible Preferred Stock to Common Stock Series                A |   |                                                                            | (536   | )      |                                                                      |   |   |                                                                      |   |   |                                                                      |   |   |                                |   |   |                 |   | 536    |                     |   |   |                                                                |   |   |    | —    |   |   |   |   |   |   |   |   |   |
| Conversion                of Series B Convertible Preferred Stock to Common Stock Series                A |   |                                                                            |   |   |                                                                      |   |   |                                                                      |   |   |                                                                      |   |   |                                |   |   |                 |   | 852    |                     |   |   |                                                                |   |   |    | 851,598    |   |   |   |   |   |   |   |   |   |
| Conversion                of Series C Convertible Preferred Stock to Common Stock Series                A |   |                                                                            |   |   |                                                                      |   | (3     | )                                                                         |   |   |                                                                      |   |   |                                |   |   |                 |   | 15     |                     |   |   |                                                                |   |   |    | (12        | ) |   |   |   |   |   |   |   |   |
| Sales                of Series E Convertible Preferred Stock                                              |   |                                                                            |   |   |                                                                      |   |   |                                                                      |   |   |                                                                      |   |   |                                | 274    |   |                 |   |   |                     |   |   |                                                                |   |   |    | 1,371,726  |   |   |   |   |   |   |   |   |   |
| Balances,                June 30, 2007                                                                    |   | $                                                                               | (0     | )      |                                                                      | $      | 47     |                                                                      |   | $      | 125                                                                       |   |   | $                                   | 625    |   |                 | $      | 11,669 |                     |   | $      | (565,793                                                            | )      |   | $       | 26,254,089 |   |   | $ | (129,000 | ) |   | $ | (23,775,750 | ) |

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***Table          of Contents***

**LASVEGAS      GAMING, INC. AND SUBSIDIARIES**

**CONDENSED      CONSOLIDATED STATEMENTS OF CASH FLOW**

**FOR      THE SIX MONTHS ENDED JUNE 30, 2006 AND 2007 (UNAUDITED)**

|                                                                                                                                    |   | **June                30** |          |
|-----------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------|---------------|
|                                                                                                                                    |   | **2006**                   |          |   | **2007** |   |
| **Operating                activities**                                                                                                 |   |                       |          |   |   |   |
| Net                loss                                                                                                                 |   | $                          | (2,373,751    | ) |   | $ | (4,638,303 | ) |
| Investment                in marketable security received from licensing                                                                |   |                       | —       |   |   |   | 16,545 |   |
| Depreciation                and amortization of equipment and software                                                                  |   |                       | 219,376       |   |   |   | 190,698 |   |
| Amortization                of debt issuance cost and intangibles                                                                       |   |                       | 712,068       |   |   |   | 671,161 |   |
| Stock-based                compensation                                                                                                 |   |                       | 211,183       |   |   |   | 755,076 |   |
| Other                                                                                                                                   |   |                       | —       |   |   |   | 40,974 |   |
| Changes                in operating assets and liabilities                                                                              |   |                       |          |   |   |   |   |   |
| Accounts                receivable                                                                                                      |   |                       | 256,092       |   |   |   | (11,850 | ) |
| Inventories                                                                                                                             |   |                       | (90,097       | ) |   |   | (723,505 | ) |
| Prepaid                expenses, deposits and other                                                                                     |   |                       | 5,010         |   |   |   | 325,819 |   |
| Jackpot                reserve deposits                                                                                                 |   |                       | 180,661       |   |   |   | 2,543,611 |   |
| Accounts                payable and accrued expenses                                                                                    |   |                       | (228,850      | ) |   |   | (139,324 | ) |
| Progressive                jackpot liability                                                                                            |   |                       | 107,590       |   |   |   | (135,895 | ) |
| Net                cash used in operating activities                                                                                    |   |                       | (1,000,718    | ) |   |   | (1,104,993 | ) |
|                                                                                                                                    |   |                       |          |   |   |   |   |   |
| **Investing                activities**                                                                                                 |   |                       |          |   |   |   |   |   |
| Purchase                of property and equipment                                                                                       |   |                       | (79,452       | ) |   |   | (216,900 | ) |
| Collection                of receivable from officer/shareholder                                                                        |   |                       | 155,179       |   |   |   | — |   |
| Net                cash provided by (used for) investing activities                                                                     |   |                       | 75,727        |   |   |   | (216,900 | ) |
|                                                                                                                                    |   |                       |          |   |   |   |   |   |
| **Financing                activities**                                                                                                 |   |                       |          |   |   |   |   |   |
| Proceeds                from prior year’s litigation settlements                                                                  |   |                       | 90,486        |   |   |   | 28,754 |   |
| Debt                repayments                                                                                                          |   |                       | (3,721        | ) |   |   | (3,721 | ) |
| Net                proceeds from Senior Secured Convertible Note                                                                        |   |                       | 1,833,000     |   |   |   | — |   |
| Issuance                of Series E preferred stock                                                                                     |   |                       | —       |   |   |   | 1,372,000 |   |
| Exercise                of warrants for common stock                                                                                    |   |                       | —       |   |   |   | 203,123 |   |
| Redemption                of Series B preferred stock                                                                                   |   |                       | —       |   |   |   | (179,500 | ) |
| Net                cash provided by financing activities                                                                                |   |                       | 1,919,765     |   |   |   | 1,420,656 |   |
|                                                                                                                                    |   |                       |          |   |   |   |   |   |
| **Net                increase in cash and cash equivalents**                                                                            |   | ** **                 | **994,774**   |   |   | ** ** | **98,763** |   |
| **Cash                and cash equivalents, beginning of period**                                                                       |   | ** **                 | **1,672,381** |   |   | ** ** | **1,675,588** |   |
| **Cash                and cash equivalents, end of period**                                                                             |   | **$**                      | **2,667,155** |   |   | **$** | **1,774,351** |   |
|                                                                                                                                    |   |                       |          |   |   |   |   |   |
| **Non-cash                investing and financing activities**                                                                          |   |                       |          |   |   |   |   |   |
| Common                stock issued for acquisition of technology rights                                                                 |   | $                          | 1,400,000     |   |   |   |   |   |
| Conversion                of Series B Convertible Preferred Stock to Common Stock                Series A                          |   |                       | 25,000        |   |   | $ | 852,450 |   |
| Issuance                of warrants                                                                                                     |   |                       | 2,088,652     |   |   |   |   |   |
| Exercise                of stock warrants and options for accrued expense                                                               |   |                       | 87,750        |   |   |   |   |   |
| Exercise                of stock warrants and options for subscription receivable                                                       |   |                       |          |   |   |   | 129,000 |   |
| Conversion                of Series C Convertible Preferred Stock to Common Stock                Series A                          |   |                       | 30            |   |   |   | 15 |   |
| Common                Stock Series A acquired from officer/shareholder in payment of stock                subscription notes receivable |   |                       | 242,122       |   |   |   |   |   |
| Exercise                of warrants in settlement of accounts payable                                                                   |   |                       |          |   |   |   | 257,750 |   |
| Issuance                of warrants to refinance Senior Secured Convertible Notes                                                       |   |                       |          |   |   |   | 667,000 |   |

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***Table          of Contents***

**LASVEGAS      GAMING, INC. AND SUBSIDIARIES**

**NOTES      TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**

**1.  Nature      of operations:**

| ·   | the                February 2005 acquisition of AdLine Gaming, Inc., a subsidiary of                AdLine                Network, LLC, whereby we acquired significant technology that supports                the                PortalVision system and its related applications;                and |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the                February 2006 acquisition from AdLine Network, LLC of the rights                to                technology related to the ability to accept wagers through WagerVision                from the homes of players. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

** 2.  Basis      of Presentation**

**3.  Jackpot      Reserve Deposits**

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***Table          of Contents***

**LAS        VEGAS GAMING, INC. AND SUBSIDIARIES**

**NOTES        TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL        STATEMENTS(Continued)**

**4.  Equipment      and Software**

|                                                                                                                                                                                                                                                                                                                                                          |   | **December                31, 2006** |      |   | **June                30, 2007****Unaudited** |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------|-----------|--------|-----------------------------------------------|--------|
| Software                                                                                  |   | $                                    | 404,946   |   |                                          | $      | 428,800 |   |
| Production                equipment                                                       |   |                                 | 1,484,348 |   |                                          |   | 1,424,805 |   |
| Equipment,                furniture, and fixtures                                                                                                                                                                                                                                                                                                             |   |                                 | 314,053   |   |                                          |   | 430,649 |   |
| Leasehold                improvements                                                     |   |                                 | 43,627    |   |                                          |   | 43,627 |   |
|                                                                                                                                                                                                                                                                                                                                                          |   |                                 | 2,246,974 |   |                                          |   | 2,327,881 |   |
| Less                accumulated depreciation                                                                                                                                                                                                                                                                                                                  |   |                                 | 1,329,139 |   |                                          |   | 1,383,844 |   |
|                                                                                                                                                                                                                                                                                                                                                          |   | $                                    | 917,835   |   |                                          | $      | 944,037 |   |

**5.  Debt**

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***Table          of Contents***

**LAS        VEGAS GAMING, INC. AND SUBSIDIARIES**

**NOTES        TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL        STATEMENTS(Continued)**

|                                                                                                                                                                                                                                                                                                                                                                      |   | **December                31, 2006** |      |   | **June                30, 2007****Unaudited** |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------|-----------|--------|-----------------------------------------------|--------|
| Bridge                financing                                                                       |   | $                                    | 3,766,182 |   |                                          | $      | 3,528,527 |   |
| Settlement                due third parties                                                                                                                                                                                                                                                                                                                               |   |                                 | 678,433   |   |                                          |   | 707,186 |   |
| Other                notes                payable                                                     |   |                                 | 11,162    |   |                                          |   | 7,442 |   |
|                                                                                                                                                                                                                                                                                                                                                                      |   |                                 | 4,455,777 |   |                                          |   | 4,243,155 |   |
| Less                amounts due within one year                                                                                                                                                                                                                                                                                                                           |   |                                 | 1,310,874 |   |                                          |   | 1,608,643 |   |
|                                                                                                                                                                                                                                                                                                                                                                      |   | $                                    | 3,144,903 |   |                                          | $      | 2,634,512 |   |

**6.  Stockholders'      Equity**

*Series      A Convertible Preferred Stock.  *

*Series      B Convertible Preferred Stock.  *

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***Table          of Contents***

**LAS        VEGAS GAMING, INC. AND SUBSIDIARIES**

**NOTES        TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL        STATEMENTS(Continued)**

*Series      C Convertible Preferred Stock.  *

*Stock      Warrants and Options.*

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***Table          of Contents***

**LAS        VEGAS GAMING, INC. AND SUBSIDIARIES**

**NOTES        TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL        STATEMENTS(Continued)**

| Beginning                Balance, January 1, 2007                                                                                                                                                                                                                                                               |   |   | 6,461,741 |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-----------|--------|
|                                                                                                                                                                                                                                                                                                            |   | $      | 1.65      |   |
| Granted                                                    |   |   | 833,000   |   |
|                                                                                                                                                                                                                                                                                                            |   | $      | 4.26      |   |
| Exercised                                                  |   |   | (345,123  | )      |
|                                                                                                                                                                                                                                                                                                            |   | $      | 1.70      |   |
| Forfeited                                                  |   |   | (341,756  | )      |
|                                                                                                                                                                                                                                                                                                            |   | $      | 1.57      |   |
| Ending                Balance, June 30, 2007                                                                                                                                                                                                                                                                    |   |   | 6,607,862 |   |
|                                                                                                                                                                                                                                                                                                            |   | $      | 1.98      |   |

**7.  Progressive      Jackpots**

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***Table          of Contents***

**LAS        VEGAS GAMING, INC. AND SUBSIDIARIES**

**NOTES        TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL        STATEMENTS(Continued)**

|                                                                                                                                                                                                                                              |   | **December                31, 2006**             |       |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------|------------|
|                                                                                                                                                                                                                                              |   | **Progressive                Jackpot Liability** |       |   | **Gross****Commitment** |   |
| **Nevada                Numbers**                                                                                                                                                                                                                 |   |                                             |       |   |   |   |
| Present                value of $5.0 million base progressive jackpot, payable in 20 equal                annual                installments using a 4.91% discount rate, the prevailing 20-year                Treasury                Bond rate |   | $                                                | 3,293,613  |   |   | $ | 3,293,613 |   |
| Present                value at 4.91% of the $1,306,433 increase to the progressive jackpot                meter                                                                                                                                  |   |                                             | 860,577    |   |   |   | 860,577 |   |
| Less                portion insured through conventional insurance providers                                                                                                                                                                      |   |                                             | (2,900,000 | ) |   |   | — |   |
| **Other                Games**                                                                                                                                                                                                                    |   |                                             | 370,861    |   |   |   | 1,370,861 |   |
|                                                                                                                                                                                                                                              |   | $                                                | 1,625,051  |   |   | $ | 5,525,051 |   |

|                                                                                                                                                                                                                                              |   | **June                30, 2007**                 |       |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------|------------|
|                                                                                                                                                                                                                                              |   | **Progressive                Jackpot Liability** |       |   | **Gross****Commitment** |   |
| **Nevada                Numbers**                                                                                                                                                                                                                 |   |                                             |       |   |   |   |
| Present                value of $5.0 million base progressive jackpot, payable in 20 equal                annual                installments using a 5.28% discount rate, the prevailing 20-year                Treasury                Bond rate |   | $                                                | 3,203,559  |   |   | $ | 3,203,559 |   |
| Present                value at 4.92% of the $1,355,046 increase to the progressive jackpot                meter                                                                                                                                  |   |                                             | 868,194    |   |   |   | 868,194 |   |
| Less                portion insured through conventional insurance providers                                                                                                                                                                      |   |                                             | (2,900,000 | ) |   |   | — |   |
| **Other                Games**                                                                                                                                                                                                                    |   |                                             | 317,403    |   |   |   | 1,317,403 |   |
|                                                                                                                                                                                                                                              |   | $                                                | 1,489,156  |   |   | $ | 5,389,156 |   |

**8.  Income      Taxes**

*Accounting for Uncertainty      in Income Taxes - An Interpretation of FASB Statement No. 109*

**9.  Acquisition      of Technology**

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***Table          of Contents***

**LAS        VEGAS GAMING, INC. AND SUBSIDIARIES**

**NOTES        TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL        STATEMENTS(Continued)**

**10.  Segment      Information**

|                                   |   | **Six                months ended June 30,** |       |
|----------------------------------------|--------|----------------------------------------------|------------|
|                                   |   | **2006**                                     |       |   | **2007** |   |
| Revenue                                |   |                                         |       |   |   |   |
| Casino                Games            |   | $                                            | 817,283    |   |   | $ | 863,175 |   |
| Product                Sales           |   |                                         | 796,611    |   |   |   | 744,450 |   |
| Other                                  |   |                                         | 878,102    |   |   |   | 735,548 |   |
|                                   |   | $                                            | 2,491,996  |   |   | $ | 2,343,173 |   |
| Operating                income (loss) |   |                                         |       |   |   |   |   |   |
| Casino                Games            |   | $                                            | 4,876      |   |   | $ | 275,625 |   |
| Product                Sales           |   |                                         | 240,224    |   |   |   | 249,869 |   |
| Other                                  |   |                                         | 227,748    |   |   |   | 67,071 |   |
| Unallocated                            |   |                                         | (2,293,939 | ) |   |   | (4,512,803 | ) |
|                                   |   | $                                            | (1,821,091 | ) |   | $ | (3,920,238 | ) |

|                               |   | **December                31, 2006** |       |   | **June                30, 2007** |   |
|------------------------------------|--------|--------------------------------------|------------|--------|---------------------------------------|--------|
| Identifiable                assets |   |                                 |       |   |                                  |   |
| Casino                Games        |   | $                                    | 7,219,569  |   |                                  | $      | 6,067,478 |   |
| Product                Sales       |   |                                 | 466,536    |   |                                  |   | 547,611 |   |
| Other                              |   |                                 | 441,242    |   |                                  |   | 370,906 |   |
| Unallocated                        |   |                                 | 3,200,577  |   |                                  |   | 2,033,951 |   |
|                               |   | $                                    | 11,327,924 |   |                                  | $      | 9,019,946 |   |

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***Table          of Contents***

**LAS        VEGAS GAMING, INC. AND SUBSIDIARIES**

**NOTES        TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL        STATEMENTS(Continued)**

|                                |   | **Six                months ended June 30,** |    |
|-------------------------------------|--------|----------------------------------------------|---------|
|                                |   | **2006**                                     |    |   | **2007** |   |
| Capital                expenditures |   |                                         |    |   |   |   |
| Casino                Games         |   | $                                            | 43,680  |   |   | $ | 139,496 |   |
| Product                Sales        |   |                                         | – |   |   |   | 1,509 |   |
| Other                               |   |                                         | 24,914  |   |   |   | 30,538 |   |
| Unallocated                         |   |                                         | 10,858  |   |   |   | 45,358 |   |
|                                |   | $                                            | 79,452  |   |   | $ | 216,900 |   |

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***Table          of Contents***

**Item      2.  Management’s Discussion and Analysis of      Financial Condition and Results of Operations.**

*You      should read the following discussion and analysis together with our unaudited      consolidated financial statements and the accompanying notes. This discussion      contains forward-looking statements, within the meaning of Section 27A of the      Securities Act of 1933, as amended, Section 21E of the Securities Exchange      Act      of 1934, as amended, and the Private Securities Litigation Reform Act of 1995,      including statements regarding our expected financial position, business and      financing plans. Some of the forward-looking statements can be identified by      the      use of forward-looking terms such as “believes,” “expects,” “may,” “will,”“should,” “could,” “seek,” “intends,” “plans,” “estimates,” “anticipates,” or      other comparable terms. Forward-looking statements involve inherent risks and      uncertainties which could cause actual results to differ materially from those      in the forward-looking statements, including those discussed herein and      elsewhere in our Form 10-KSB for the year ended December 31, 2006.  We      caution readers not to place undue reliance upon any such forward-looking      statements, which speak only as of the date made. These historical financial      statements may not be indicative of our future performance.*

**Overview**

**CriticalAccounting      Policies and Estimates**

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***Table          of Contents***

*Revenue      Recognition*

*PortalVision.*
** **
** **

*Casino      Games.*
** **

*Products.*

*Other.*

*Goodwill*

*Income      Taxes*

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***Table          of Contents***

*Accounting for Uncertainty in Income Taxes - An Interpretation of FASB      Statement No. 109*

*Stock-based      Compensation*

*Accounting for Stock-based Compensation*
*Share Based Payment*

*Marketable      Securities*

*Equipment      and Software and Depreciation*

**Recent      Accounting Pronouncements**

*Fair Value Measurements*
*The Fair Value Option for Financial Assets and      Financial Liabilities-Including an Amendment of SFAS No. 115,*

**Results      of Operations**

*Six      Months Ended June 30, 2007 Compared with Six Months Ended June 30,      2006*

*Revenue.*

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***Table          of Contents***

*Costs      and Expenses.  *

* Operating      Expenses.*

----

***Table          of Contents***

*Finance      Costs.*

* Interest      and Other Income.*

**Liquidity      and Capital Resources**

*Cash*

*Capital      Expenditures*

*Sources      of Capital*

----

***Table          of Contents***

| ·   | a                Warrant Agreement to purchase 2,500,000 shares of our Common Stock                Series                A at an exercise price of $1.48 for five years beginning on March                31,                2006, but subject to the limitation that the shares issued upon exercise,                together with shares issuable under the CAMOFI Note, cannot result                in the                beneficial ownership of more than 4.99% of our issued and outstanding                shares of Common Stock Series A. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | a                Security Agreement that secures the repayment of the CAMOFI note                and our                performance under the related agreements and grants to CAMOFI a security                interest in our assets, including all goods, all contract rights                and                intangibles, all accounts, all documents, all letter-of-credit rights,                all                instruments and chattel paper, all commercial tort claims, all deposit                accounts and cash, excluding cash tied to jackpot requirements, all                investment property, all supporting obligations, all files, records,                books                of account, business papers and computer programs, and all products                and                proceeds of the forgoing                collateral. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | a                Registration Rights Agreement, as amended, that requires us to have                declared effective by the SEC by December 26, 2007, a registration                statement for the offer and sale of 125% of all shares of Common                Stock                Series A issuable upon conversion of the CAMOFI Note, issuable exercise                of                all warrants issued to CAMOFI, and issued or issuable under the terms                and                conditions of the bridge financing from                CAMOFI. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | a                Subsidiary Guarantee that obligates our subsidiaries to guarantee                our                performance under the CAMOFI Note and related                agreements. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | a                Lock-Up Agreement that restricts Russell R. Roth from selling his                shares                of Common Stock Series A for a period of six months following the                effective date of the registration                statement. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

*Outlook*

**Off      Balance Sheet Financing**

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***Table          of Contents***

**Qualitative      and Quantitative Disclosures about Market      Risk**

**Item      3.   **
**Controls      and Procedures**

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***Table            of Contents***

**PART      II – OTHER INFORMATION**

**Item      1.   Legal Proceedings.**

**Item      2.   Unregistered Sales of Equity      Securities.**

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***Table          of Contents***

**Item3.  Defaults      Upon Senior      Securities.**

**Item      4.   Submission of Matters to a Vote of Security      Holders.**

**Item      5.   Other Information.**

**Item6.  Exhibits**

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***Table            of Contents***

**SIGNATURE**

|   |                           | **Las                Vegas Gaming, Inc.** |
|--------|--------------------------------|-------------------------------------------|
|   |                           | (Registrant)                              |
|   |                           |                                      |   |   |
| Date:  | August                14, 2007 | By:                                       | /s/                Jon D. Berkley |   |
|   |                           |                                      | Jon                D. Berkley |   |
|   |                           | Its:                                      | President                and Chief Executive Officer |   |
|   |                           |                                      | (Principal                Executive Officer) |   |
|   |                           |                                      |   |   |
| Date:  | August                14, 2007 | By:                                       | /s/                Bruce A. Shepard |   |
|   |                           |                                      | Bruce                A. Shepard |   |
|   |                           | Its:                                      | Chief                Financial Officer |   |
|   |                           |                                      | (Principal                Financial Officer) |   |

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***Table            of Contents***

**EXHIBIT      INDEX**

| **Exhibit** |   | **Document                Description**                                                                |   | **Page** |
|-------------|--------|--------------------------------------------------------------------------------------------------------|--------|----------|
| 10.1        |   | Executive                Employment Agreement of Jon D. Berkley dated May                15, 2007      |   | 25       |
| 31.1        |   | Certifications                pursuant to Section 302 of the Sarbanes-Oxley                Act of 2002 |   | 26       |
| 31.2        |   | Certifications                pursuant to Section 302 of the Sarbanes-Oxley                Act of 2002 |   | 27       |
| 32.1        |   | Certifications                pursuant to Section 906 of the Sarbanes-Oxley                Act of 2002 |   | 28       |

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***Table            of Contents***

**EXHIBIT      10.1**

**EXECUTIVE      EMPLOYMENT AGREEMENT**

| Candidate:                   | Jon                D. Berkley                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
|------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Position:                    | President,                CEO and Board Member                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| Salary:                      | $270,000                annually                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
| Insurance:                   | Health                plan commensurate with other Company Executives                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| Vacation:                    | 4                weeks                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| Severance:                   | 1                month of salary for each month worked, up to a maximum of 12 months                (other                than for cause)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| Equity:                      | Initial                Grant:  400,000 options with exercise price at current Series E                ($5.00)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|                         | Subsequent                option grants:·  225,000                after a total of $5.5 million raised under Series E·  100,000                after a total of $7.0 million raised under Series E·  125,000                after 10,000 PV units deployed and billed at approved prices·  100,000                after the LVGI stock price trades above $10 for 20 consecutive trading                days or cliff event above such price·  50,000                after the LVGI stock price trades above $20 for 20 consecutive trading                days or cliff event above such price  |
| Parameters:                  | The                initial grant will vest 25% June 4, 2007 and 25% each anniversary                thereafter.Subsequent                grants will vest 34% immediately upon achievement and 33% each anniversary                thereafter.All                grants, except the initial one will be of non-qualified                options.  The initial grant will be half qualified and half                non-qualified.All                grants will vest immediately upon a change in control.All                grants will have an exercise price equal to the then market                price.                                                    |
| Other                Issues: | Candidate                has a family trip previously planned from July 16 – August 2,                2007.  Time off granted as leave without pay — No paid vacation                time taken.                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| Start                Date:   | June                4, 2007                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |

| /s/                Russell R. Roth                                               |   | /s/                Jon D. Berkley        |
|----------------------------------------------------------------------------------|--------|------------------------------------------|
| Russ                Roth, Chairmanand                representing Board Approval |   | Jon                D. Berkley, Candidate |
| 15-May-07                                                                        |   | 15-May-07                                |

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***Table            of Contents***

**EXHIBIT      31.1**

**CERTIFICATIONS**

| 1.   | I                have reviewed this quarterly report on Form 10-QSB of Las Vegas Gaming,                Inc.; |
|----------------|---------------------------------------------------------------------------------------------------------------|

| 2.   | Based                on my knowledge, this report does not contain any untrue statement                of a                material fact or omit to state a material fact necessary to make                the                statements made, in light of the circumstances under which such statements                were made, not misleading with respect to the period covered by this                report; |
|----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.   | Based                on my knowledge, the financial statements, and other financial information                included in this report, fairly present in all material respects                the                financial condition, results of operations and cash flows of the                small                business issuer as of, and for, the periods presented in this                report; |
|----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.   | The                small business issuer’s other certifying officer(s) and I are responsible                for establishing and maintaining disclosure controls and procedures                (as                defined in the Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal                control over financial reporting (as defined in Exchange Act Rules                13a-15(f) and 15d-15(f)) for the small business issuer and                have: |
|----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | a. | Designed                such disclosure controls and procedures, or caused such disclosure                controls and procedures to be designed under our supervision, to                ensure                that material information relating to the small business issuer,                including                its consolidated subsidiaries, is made known to us by others within                those                entities, particularly during the period in which this report is                being                prepared; |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | b. | [Omitted]; |
|--------|----|------------|

|   | c. | Evaluated                the effectiveness of the small business issuer’s disclosure controls and                procedures and presented in this report our conclusions about the                effectiveness of the disclosure controls and procedures, as of the                end of                the period covered by this report based on such evaluation;                and |
|--------|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | d. | Disclosed                in this report any change in the small business issuer’s internal control                over financial reporting that occurred during the small business                issuer’s                most recent fiscal quarter (the small business issuer’s fourth fiscal                quarter in the case of an annual report) that has materially affected,                or                is reasonably likely to materially affect, the small business issuer’s                internal control over financial reporting;                and |
|--------|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.   | The                small business issuer’s other certifying officer(s) and I have disclosed,                based on our most recent evaluation of internal control over financial                reporting, to the small business issuer’s auditors and the audit committee                of the small business issuer’s board of directors (or persons performing                the equivalent functions): |
|----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| a.   | All                significant deficiencies and material weaknesses in the design or                operation of internal control over financial reporting which are                reasonably likely to adversely affect the small business issuer’s ability                to record, process, summarize and report financial information;                and |
|----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| b.   | Any                fraud, whether or not material, that involves management or other                employees who have a significant role in the small business issuer’s                internal control over financial                reporting. |
|----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Date:  August                14, 2007 |   | By:    | /s/                Jon D. Berkley                                                                                                                        |
|-------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                            |   |   | Jon                D. Berkley, Chief Executive Officer and                President     (Principal Executive                Officer) |

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***Table            of Contents***

**EXHIBIT      31.2**

**CERTIFICATIONS**

| 1.   | I                have reviewed this quarterly report on Form 10-QSB of Las Vegas Gaming,                Inc; |
|----------------|--------------------------------------------------------------------------------------------------------------|

| 2.   | Based                on my knowledge, this report does not contain any untrue statement                of a                material fact or omit to state a material fact necessary to make                the                statements made, in light of the circumstances under which such statements                were made, not misleading with respect to the period covered by this                report; |
|----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 3.   | Based                on my knowledge, the financial statements, and other financial information                included in this report, fairly present in all material respects                the                financial condition, results of operations and cash flows of the                small                business issuer as of, and for, the periods presented in this                report; |
|----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 4.   | The                small business issuer’s other certifying officer(s) and I are responsible                for establishing and maintaining disclosure controls and procedures                (as                defined in the Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal                control over financial reporting (as defined in Exchange Act Rules                13a-15(f) and 15d-15(f)) for the small business issuer and                have: |
|----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | a. | Designed                such disclosure controls and procedures, or caused such disclosure                controls and procedures to be designed under our supervision, to                ensure                that material information relating to the small business issuer,                including                its consolidated subsidiaries, is made known to us by others within                those                entities, particularly during the period in which this report is                being                prepared; |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | b. | [Omitted]; |
|--------|----|------------|

|   | c. | Evaluated                the effectiveness of the small business issuer’s disclosure controls and                procedures and presented in this report our conclusions about the                effectiveness of the disclosure controls and procedures, as of the                end of                the period covered by this report based on such evaluation;                and |
|--------|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | d. | Disclosed                in this report any change in the small business issuer’s internal control                over financial reporting that occurred during the small business                issuer’s                most recent fiscal quarter (the small business issuer’s fourth fiscal                quarter in the case of an annual report) that has materially affected,                or                is reasonably likely to materially affect, the small business issuer’s                internal control over financial reporting;                and |
|--------|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 5.   | The                small business issuer’s other certifying officer(s) and I have disclosed,                based on our most recent evaluation of internal control over financial                reporting, to the small business issuer’s auditors and the audit committee                of the small business issuer’s board of directors (or persons performing                the equivalent functions): |
|----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| a.   | All                significant deficiencies and material weaknesses in the design or                operation of internal control over financial reporting which are                reasonably likely to adversely affect the small business issuer’s ability                to record, process, summarize and report financial information;                and |
|----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| b.   | Any                fraud, whether or not material, that involves management or other                employees who have a significant role in the small business issuer’s                internal control over financial                reporting. |
|----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| Date:  August                14, 2007 |   | By:    | /s/                Bruce A. Shepard                                                                  |
|-------------------------------------------------|--------|--------|------------------------------------------------------------------------------------------------------|
|                                            |   |   | Bruce                A. Shepard, Chief Financial Officer(Principal Financial                Officer) |

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**EXHIBIT      32.1**

**CERTIFICATIONS      PURSUANT TO**

**SECTION      906 OF THE SARBANES-OXLEY ACT OF 2002**

| 1.   | The                Report fully complies with the requirements of Section 13(a) or 15(d)                of                the Securities Exchange Act of 1934;                and |
|----------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2.   | The                information contained in the Report fairly presents, in all material                respects, the financial condition and result of operations of the                Company. |
|----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| By:    | /s/                Jon D. Berkley                                                  | Dated: |                   August 14, 2007 |
|--------|------------------------------------------------------------------------------------|--------|---------------------------------------------|
|   | Jon                D. Berkley                                                      |   |                                        |
| Title: | Chief                Executive Officer(Principal                Executive Officer) |   |                                        |
|   |                                                                               |   |                                        |
|   |                                                                               |   |                                        |
| By:    | /s/                Bruce A. Shepard                                                | Dated: |                   August 14, 2007 |
|   | Bruce                A. Shepard                                                    |   |                                        |
| Title: | Chief                Financial Officer(Principal                Financial Officer) |   |                                        |

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***Table            of Contents***