UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549


                                    FORM 10-Q

(Mark one)

(X)   QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE
      SECURITIES AND EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD
      ENDED SEPTEMBER 30, 2002

OR

( )   TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE
      SECURITIES AND EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD
      FROM ___________ TO ___________

      COMMISSION FILE NUMBER 0-13415


                   CONSOLIDATED RESOURCES HEALTH CARE FUND II
             (Exact name of registrant as specified in its charter)


                  Georgia                                       58-1542125
        (State or other jurisdiction                         (I.R.S. Employer
     of incorporation or organization)                      Identification No.)


1175 Peachtree Street, Suite 850, Atlanta, GA                      31106
  (Address of principal executive offices)                      (Zip Code)


                                 (404) 873-1919
              (Registrant's telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months, and (2) has been subject to such filing requirements
for the past 90 days.    Yes        No  x
                            ----      ----

Indicate by check mark whether registrant is an accelerated filer (as defined in
Rule 12b-2 of the Exchange Act).   Yes       No  x
                                      ----     ----


<PAGE>


                          Part I. Financial Information

                   Consolidated Resources Health Care Fund II
                      Condensed Consolidated Balance Sheets


<TABLE>
<CAPTION>


                                                          September 30,
                                                              2002            December 31,
                                                           (Unaudited)           2001
                                                         ---------------    ---------------
<S>                                                          <C>                <C>
ASSETS
Current assets:
    Cash and cash equivalents                                $2,257,183         $1,496,189
    Accounts receivable,  net of allowance for doubtful
    accounts of $11,947 and $8,934, respectively                324,405            468,264
    Prepaid expenses and other                                    3,738             22,577
                                                         ---------------    ---------------
        Total current assets                                  2,585,326          1,987,030

Property and equipment
    Land                                                        178,609            178,609
    Buildings and improvements                                7,220,080          7,192,829
    Equipment and furnishings                                 1,347,651          1,259,391
                                                         ---------------    ---------------
                                                              8,746,340          8,630,829

    Accumulated depreciation and amortization               (6,377,896)        (6,005,933)
                                                         ---------------    ---------------
        Net property and equipment                            2,368,444          2,624,896
                                                         ---------------    ---------------

Other
    Restricted escrows and other deposits                       637,595            621,000
    Deferred loan costs, net of accumulated amortization
    of $16,682 and $17,460, respectively                         14,869             15,646
                                                         ---------------    ---------------
        Total other assets                                      652,464            636,646
                                                         ---------------    ---------------

                                                             $5,606,234         $5,248,572
                                                         ===============    ===============
</TABLE>


See accompanying notes to condensed consolidated financial statements.


                                                                          Page 2
<PAGE>


<TABLE>
<CAPTION>


                                                           September 30,
                                                               2002           December 31,
                                                            (Unaudited)          2001
                                                         ----------------    --------------
<S>                                                          <C>                <C>
LIABILITIES AND PARTNERS' EQUITY (DEFICIT)
Current liabilities:
    Current maturities of long-term debt                     $    92,283        $   90,464
    Accounts payable                                             234,676           119,524
    Accrued expenses                                             587,262           499,553
    Accrued management fees                                        ---               ---
    Due to related party                                          84,333            52,631
    Deposit liabilities                                          103,616           173,500
                                                         ----------------    --------------

        Total current liabilities                              1,102,170           935,672
                                                         ----------------    --------------

Long-term obligations, less current maturities                 3,700,091         3,774,945
                                                         ----------------    --------------

        Total liabilities                                      4,802,261         4,710,617
                                                         ----------------    --------------

Partners' equity (deficit):
    Limited partners                                             939,382           684,005
    General partners                                           (135,409)         (146,050)
                                                         ----------------    --------------
        Total partners' equity                                   803,973           537,955
                                                         ----------------    --------------

                                                             $ 5,606,234        $5,248,572
                                                         ================    ==============
</TABLE>


See accompanying notes to condensed consolidated financial statements.


                                                                          Page 3
<PAGE>


                   Consolidated Resources Health Care Fund II
                 Condensed Consolidated Statements of Operations
                                   (Unaudited)


<TABLE>
<CAPTION>


                                     Three months ended             Nine months ended
                                        September 30,                 September 30,
                                     2002           2001           2002           2001
                                 -------------  -------------  -------------  -------------
<S>                                <C>            <C>            <C>            <C>
Revenue:
    Operating revenues             $2,024,222     $2,005,608     $6,361,737     $5,976,529
    Interest income                    22,652         22,900         62,577         49,590
                                 -------------  -------------  -------------  -------------
        Total revenue               2,046,874      2,028,508      6,424,314      6,026,119
                                 -------------  -------------  -------------  -------------

Expenses:
    Operating expenses              1,744,387      1,709,431      5,366,527      5,110,937
    Depreciation &
    amortization                      126,659        122,735        372,741        367,617
    Interest                           71,371         69,073        217,424        216,834
    Partnership administration
      costs                           105,883          7,286        201,604         60,080
                                 -------------  -------------  -------------  -------------

Total expenses                      2,048,300      1,908,525      6,158,296      5,755,458
                                 -------------  -------------  -------------  -------------

Net income (loss)                    $(1,426)       $119,983       $266,018      $ 270,661

                                 =============  =============  =============  =============

Net income (loss) per L.P. unit       $(0.09)        $  7.68       $  17.03       $  17.32


                                 =============  =============  =============  =============

L.P. units outstanding                 15,000         15,000         15,000         15,000
                                 =============  =============  =============  =============
</TABLE>


See accompanying notes to condensed consolidated financial statements.


                                                                          Page 4
<PAGE>


                   Consolidated Resources Health Care Fund II
                 Condensed Consolidated Statements of Cash Flows
                                   (Unaudited)


<TABLE>
<CAPTION>


                                                               Nine months ended
                                                                 September 30,
                                                             2002             2001
                                                         -------------     ------------
<S>                                                        <C>              <C>
Operating Activities:
    Cash received from residents and government
    agencies                                                6,505,596        5,971,299
    Cash paid to suppliers and employees                  (5,378,330)      (5,032,588)
    Property Taxes Paid                                      (54,580)              ---
    Interest received                                          62,577           49,590
    Interest paid                                           (217,424)        (216,824)
                                                         -------------     ------------

        Cash provided by operating activities                 917,839          771,477

Investing Activities:
    Additions to property and equipment                     (115,512)        (267,881)

Financing Activities:
    Principal payments on long-term debt                     (73,035)         (67,774)
    Increase (decrease) in amount due to related party         31,702         (15,913)
                                                         -------------     ------------
    Cash used in financing activities                        (41,333)         (83,687)
                                                         -------------     ------------

Net increase in cash and cash equivalents                     760,994          419,908
Cash and cash equivalents, beginning of period              1,496,189        1,105,822
                                                         -------------     ------------

Cash and cash equivalents, end of period                   $2,257,183       $1,525,730
                                                         =============     ============
</TABLE>


See accompanying notes to condensed consolidated financial statements.


                                                                          Page 5
<PAGE>


                   Consolidated Resources Health Care Fund II
                 Condensed Consolidated Statements of Cash Flows
                                   (Unaudited)


                                                         Nine months ended
                                                           September 30,
                                                        2002           2001
                                                   --------------   ------------
Reconciliation of net income to cash
provided by (used in) operating activities:

   Net income                                         $  266,018    $ 270,661

      Depreciation and amortization                      372,741      367,617


      Changes in assets and liabilities:

          Accounts receivable                            143,859      (5,230)

          Restricted escrows                            (16,595)     (35,817)

          Prepaid expenses and other assets               18,839        6,045

          Accounts payable and accrued liabilities       132,977      168,199
                                                   --------------   ------------

Cash provided by (used in) operating activities        $ 917,839    $ 771,477
                                                   ==============   ============


See accompanying notes to condensed consolidated financial statements.


                                                                          Page 6
<PAGE>


                   CONSOLIDATED RESOURCES HEALTH CARE FUND II
              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

                               September 30, 2002


NOTE 1.

The financial  statements are unaudited and reflect all adjustments  (consisting
only of normal recurring  adjustments)  which are, in the opinion of management,
necessary  for a fair  presentation  of the  financial  position  and  operating
results of Consolidated  Resources Health Care Fund II (the  "Partnership")  for
the  interim  periods.  The results of  operations  for the three  months  ended
September 30, 2002, are not necessarily indicative of the results to be expected
for the year ending December 31, 2002.

NOTE 2.

The  consolidated  financial  statements  should be read in conjunction with the
consolidated  financial  statements  and  the  notes  thereto  contained  in the
Partnership's  Annual Report on Form 10-K for the year ended  December 31, 2001,
as  filed  with  the  Securities  and  Exchange  Commission,  a copy of which is
available  upon  request by writing to WelCare  Service  Corporation-II  at Post
Office Box 8779, Atlanta, Georgia 31106.

NOTE 3.

A  summary  of  compensation   paid  to  or  accrued  for  the  benefit  of  the
Partnership's  general partners and their affiliates and amounts  reimbursed for
costs incurred by these parties on the behalf of the Partnership are as follows:

                                                           Nine months ended
                                                             September 30,

                                                            2002        2001
                                                            ----        ----
Charged to operating expenses:
    Property management and oversight management
    fees...........................................      $64,635      $60,509

Financial accounting, data processing,
    tax reporting, legal and compliance,
    investor relations and supervision
    of outside services............................      $201,604     $60,080


                                                                          Page 7
<PAGE>


NOTE 4.

Net income or loss per limited  partnership  (L.P.) unit represents that portion
attributable to L.P. units in each period presented, which is 96% of such income
or loss. The remaining 4% is attributable to the general partners,  Consolidated
Associates II and WelCare Service Corporation-II.


                                                                          Page 8
<PAGE>


ITEM 2      MANAGEMENT'S  DISCUSSION  AND  ANALYSIS OF FINANCIAL  CONDITION  AND
            RESULTS OF OPERATIONS

Certain statements contained in this Management  Discussion and Analysis are not
based on historical  facts,  but are  forward-looking  statements that are based
upon numerous  assumptions  about future conditions that may ultimately prove to
be inaccurate.  Actual events and results may materially differ from anticipated
results described in such statements.  The Partnership's ability to achieve such
results  is  subject  to  certain  risks  and  uncertainties.   Such  risks  and
uncertainties  include, but are not limited to, additional changes in healthcare
reimbursement  systems and rates,  the  availability  of capital and  financing,
changes to amounts  recorded as revenues due to final  resolution of amounts due
to and from third-party  payors,  and other factors  affecting the Partnership's
business that may be beyond its control.

At September 30, 2002, the  Partnership  had two general  partners (the "General
Partners"),   Consolidated   Associates   II  ("CA-II")   and  WelCare   Service
Corporation-II,  as managing general partner  ("WSC-II" or the "Managing General
Partner").

Results of Operations

Revenues:
---------

Operating revenues increased by $18,614 for the quarter ended September 30, 2002
as compared  to the same period for the prior year and by $385,208  for the nine
months ended  September  30, 2002, as compared to the  nine-month  period of the
prior year. At September 30, 2002 the occupancy rate at the nursing facility was
87.4%, as compared to 89.1% at September 30, 2001, and the occupancy rate of the
retirement  facility was 90.1%,  as compared to 88% at September  30, 2002.  The
slight increase in operating revenues for the third quarter was primarily due to
the occupancy increase at the retirement  facility and increased patient service
and  ancillary  revenues  at the  retirement  facility,  offset  in  part by the
occupancy  decline  and a reduction  in the quality mix  variance at the nursing
facility.  The  operating  revenues  increase  for  the  nine-month  period  was
primarily due to increased occupancy at both facilities in the first quarter and
positive Medicare rate and mix variances at the nursing facility, an increase in
the number of assisted  living unit rentals and periodic  rate  increases at the
retirement facility during the second quarter.

Expenses:
---------

Operating expenses increased by $34,956 for the quarter ended September 30, 2002
as compared  to the same period for the prior year and by $255,591  for the nine
months ended  September  30, 2002,  as compared to the same period for the prior
year.  The  increases  are  primarily  due to  increased  labor  expenses due to
increased  services  to  residents,  and an  increase  in the need for  contract
services and supply at the retirement  facility,  partially offset by reductions
in labor and contract services costs at the nursing center.

Net Income:
-----------

The  Partnership had a net loss of $1,426 during the quarter ended September 30,
2002  compared to net income of $119,983  for the same quarter of the prior year
due primarily to increases in


                                                                          Page 9
<PAGE>


partnership  administration costs and a smaller increase in operating costs. Net
income for the nine months ended  September 30, 2002  decreased by $4,643 due to
the same factors.

Liquidity and Capital Resources:
--------------------------------

At  September  30,  2002,  the  Partnership  held cash and cash  equivalents  of
$2,257,183,  an increase of $760,994  from  December 31, 2001.  The current cash
balance will be necessary to meet the Partnership's  current obligations and for
operating reserves.  In addition,  cash balances maintained at the Partnership's
two  facilities  must  be  maintained  in  accordance  with  operating  reserves
established by HUD.

The  Partnership's  two facilities  produced  sufficient  revenues to meet their
operating  and  debt  service   obligations.   Management  believes  that  these
facilities  will  produce  positive  cash flow for the year ending  December 31,
2002;  however,  no  assurance  can be given that the  facilities  will  produce
positive cash flow if revenues decline.

As of September 30, 2002, the Partnership was not obligated to perform any major
capital  expenditures or renovations.  The Managing General Partner  anticipates
that any repairs, maintenance or capital expenditures will be financed with cash
reserves, HUD replacement reserves and cash flow from operations.

Significant   changes  have  and  will   continue  to  be  made  in   government
reimbursement  programs, and such changes could have a material impact on future
reimbursement formulas. The Balance Budget Act of 1997 has targeted the Medicare
program for reductions in spending  growth for skilled  nursing  facilities over
the next five years,  primarily  through the  implementation  of the prospective
payment system ("PPS")  reimbursement system. The Partnership's nursing facility
changed to the PPS reimbursement system on January 1, 1999.  Management believes
that  continued and increased  reductions in therapy  costs,  the use of general
purchasing agents and other expense reduction measures should in part offset the
effect of any rate reductions  arising from the PPS  reimbursement  system.  The
Partnership can give no assurance that payments under such program in the future
will  remain  at a level  comparable  to the  present  level  or  increase,  and
decreases in the level of payments  could have a material  adverse effect on the
Partnership.

New Accounting Pronouncements:
------------------------------

In December 2003, the Financial  Accounting  Standards  Board ("FASB")  issued a
revision to SFAS No.  132,  "Employers'  Disclosures  about  Pensions  and Other
Postretirement  Benefits."  This  statement  does not change the  measurement or
recognition  aspects  for  pensions  and  other  postretirement  benefit  plans;
however, it does revise employers' disclosures to include more information about
the plan assets, obligations to pay benefits and funding obligations.  SFAS 132,
as revised,  is generally  effective for financial  statements with fiscal years
ending after December 15, 2003. The adoption of the required  provisions of SFAS
132, as revised,  is not expected to have a material effect on the Partnership's
consolidated financial statements.

In May 2003,  the FASB issued SFAS No. 150,  "Accounting  for Certain  Financial
Instruments with  Characteristics  of both Liabilities and Equity." SFAS No. 150
clarifies the  definition  of a liability as currently  defined in FASB Concepts
Statement No. 6,  "Elements of Financial  Statements,"  as well as other planned
revisions. This statement requires a financial instrument


                                                                         Page 10
<PAGE>


that embodies an  obligation  of an issuer to be  classified as a liability.  In
addition,  the statement  establishes  standards for the initial and  subsequent
measurement of these financial instruments and disclosure requirements. SFAS 150
is effective for financial  instruments  entered into or modified  after May 31,
2003 and for all other  matters,  is  effective  at the  beginning  of the first
interim period beginning after June 15, 2003.

In April 2003,  the FASB issued SFAS No. 149,  "Amendment  of  Statement  133 on
Derivative Instruments and Hedging Activities." SFAS No. 149 amends SFAS No. 133
for decisions made by the FASB's  Derivatives  Implementation  Group, other FASB
projects dealing with financial  instruments,  and in response to implementation
issues raised in relation to the  application of the definition of a derivative.
This  statement is generally  effective for  contracts  entered into or modified
after June 30,  2003 and for  hedging  relationships  designated  after June 30,
2003. The adoption of SFAS 149 is not expected to have a material  effect on the
Partnership's financial position or results of operations.

In January 2003, the FASB issued  Interpretation  ("FIN") No. 46, "Consolidation
of Variable  Interest  Entities" and in December 2003, a revised  interpretation
was issued (FIN No. 46, as  revised).  In general,  a variable  interest  entity
("VIE") is a corporation,  partnership, trust, or any other legal structure used
for business  purposes  that either does not have equity  investors  with voting
rights  or has  equity  investors  that  do  not  provide  sufficient  financial
resources for the entity to support its activities. FIN 46, as revised, requires
a VIE to be consolidated  by a Partnership if that  Partnership is designated as
the  primary  beneficiary.  The  interpretation  applies to VIEs  created  after
January 31, 2003,  and for all financial  statements  issued after  December 15,
2003 for VIEs in which an enterprise  held a variable  interest that it acquired
before February 1, 2003. The adoption of FIN 46, as revised,  is not expected to
have a material  effect on the  Partnership's  financial  position or results of
operations.

ITEM 3      QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

The Partnership has not entered into any transactions using derivative financial
instruments  or other market risk  sensitive  instruments  and believes that its
exposure to market risk  associated with other  financial  instruments  (such as
investments and borrowings) and interest rate risk is not material.


ITEM 4      CONTROLS AND PROCEDURES.


This report on Form 10-Q covers the fiscal quarter ended  September 30, 2002. As
of the  end of  that  period,  no  evaluation  procedure  was  specified  by the
Securities and Exchange Commission with respect to the Partnership's  disclosure
controls and procedures (as now defined by Rules  13a-15(e) and 15d-15(e)  under
the Securities  Exchange Act of 1934, as amended (the "Exchange Act")). In fact,
the concept of disclosure  controls and  procedures  had not yet been defined by
the  above-referenced   rules.   However,  in  light  of  the  recently  adopted
requirements  with  respect  to  disclosure  controls  and  procedures,  John F.
McMullan,  the principal  executive  officer and chief financial  officer of the
managing general partner of the Partnership, who performs such functions for the
Partnership,  has evaluated the effectiveness of the design and operation of the
Partnership's   disclosure  controls  and  procedures  in  connection  with  the
preparation  of this  report


                                                                         Page 11
<PAGE>


on Form 10-Q. Based on that evaluation,  he has concluded that the Partnership's
disclosure  controls and  procedures  are  effective at ensuring  that  required
information is made available to him for disclosure in the Partnership's reports
filed under the Exchange Act.  However,  the Partnership is not timely in filing
its reports with the Securities and Exchange  Commission.  The Partnership is in
the process of bringing its filings with the Securities and Exchange  Commission
up to  date  and in  connection  with  those  efforts  intends  to  improve  its
disclosure  controls and procedures such that material  information will be made
available on a timely basis for disclosure in required reports.


In connection with such review, Mr. McMullan also conducted a preliminary review
of the  Partnership's  internal  control  over  financial  reporting.  While the
Managing Partner (MCII) has an informal system of internal  controls,  given the
size of the Partnership and the control  structures in place at each subsidiary,
management does not believe that any material  weaknesses  exist in the internal
controls  that could have a material  effect on the  financial  reporting of the
Partnership.   Management   intends  to  conduct   additional   reviews  of  the
Partnership's  systems of internal  control,  including  control over  financial
reporting,  and will  seek  appropriate  advice  from its  independent  auditors
regarding recommendations for improving such controls. No changes were been made
in internal control over financial  reporting during the quarter covered by this
report.




                           Part II - Other Information

ITEM 6  EXHIBITS AND REPORTS ON FORM 8-K

Exhibit 31.1 Certification Pursuant to 17 CFR 240.13a-14.

Exhibit 32.1 Certification  Pursuant to 18 U.S.C.  Section 1350, as adopted
             pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.


                                                                         Page 12
<PAGE>


                                   SIGNATURES

Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned, thereunto duly authorized.




                   CONSOLIDATED RESOURCES HEALTH CARE FUND II

                         By: WELCARE SERVICE CORPORATION - II
                             Managing General Partner



Date: August 5, 2004           By:/s/John F. McMullan
      --------------              ------------------------------------
                                   John F. McMullan
                                   Chief Financial Officer



Date: August 5, 2004           By:/s/ Marilyn McMullan
      --------------             ------------------------------------
                                  Marilyn McMullan
                                  Assistant Secretary


                                                                         Page 13