**UNITED
      STATES**


**SECURITIES
      AND EXCHANGE COMMISSION**


**WASHINGTON,
      D.C. 20549**





**FORM
      10-QSB**





**x
      QUARTERLY REPORT
      PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES**


**EXCHANGE
      ACT OF 1934**





**1-9370**





(COMMISSION
      FILE NUMBER)





**FOR
      THE QUARTERLY PERIOD MARCH 31, 2007**





FOR





**RECEIVABLE
      ACQUISITION & MANAGEMENT CORPORATION**




(Exact
      Name of Registrant as Specified in the Charter)





DELAWARE
            
            13-3186327(State
                of Other Jurisdiction of Incorporation)
            
            (I.R.S.
                Employer Identification Number)





2500
      Plaza 5


Harborside
      Financial Center


Jersey
      City, NJ 07311


201-633-4715





Check
      whether the Registrant (1) has filed all reports required by Section 13 or
      15(d)
      of the Securities Exchange Act of 1934 during the preceding 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 oNo
x




As
      of May
      15, 2007, there were 17,104,569 shares of the Registrant’s Common Stock, $0.001
      par value per share, outstanding.





Transitional
      Small Business Disclosure Format Yes o No x








**RECEIVABLE
        ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
        TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
        31, 2007 AND 2006 (UNAUDITED)**


**TABLE
      OF CONTENTS**





PART
                I
            
            FINANCIAL
                INFORMATIONITEM
                1.
            
            FINANCIAL
                STATEMENTS
            
            3ITEM
                2.
            
            MANAGEMENT’S
                DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION &
                OPERATIONS
            
            20RISK
                FACTORS
            
            25ITEM
                3.
            
            CONTROLS
                AND PROCEDURES
            
            26PART
                II
            
            OTHER
                INFORMATIONITEM
                1.
            
            LEGAL
                PROCEEDINGS
            
            26ITEM
                2.
            
            UNREGISTERED
                SALES OF EQUITY SECURITIES AND USE OF PROCEEDS
            
            27ITEM
                3.
            
            DEFAULTS
                UPON SENIOR SECURITIES
            
            27ITEM
                4.
            
            SUBMISSION
                OF MATTERS TO A VOTE OF SECURITY HOLDERS
            
            27ITEM
                5.
            
            OTHER
                INFORMATION
            
            27ITEM
                6.
            
            EXHIBITS
            
            28SIGNATURES
            
            
            
            29




**THIS
      REPORT CONTAINS FORWARD-LOOKING STATEMENTS THAT INVOLVE RISKS AND UNCERTAINTIES.
      SUCH STATEMENTS ARE BASED ON CURRENT EXPECTATIONS, ASSUMPTIONS, ESTIMATES AND
      PROJECTIONS ABOUT THE COMPANY AND ITS INDUSTRY. FORWARD-LOOKING STATEMENTS
      ARE
      SUBJECT TO KNOWN AND UNKNOWN RISKS, UNCERTAINTIES AND OTHER FACTORS THAT MAY
      CAUSE ACTUAL RESULTS, LEVELS OF ACTIVITY, PERFORMANCE, ACHIEVEMENTS AND
      PROSPECTS TO BE MATERIALLY DIFFERENT FROM THOSE EXPRESSED OR IMPLIED BY SUCH
      FORWARD-LOOKING STATEMENTS. THE COMPANY UNDERTAKES NO OBLIGATION TO UPDATE
      PUBLICLY ANY FORWARD-LOOKING STATEMENTS FOR ANY REASON EVEN IF NEW INFORMATION
      BECOMES AVAILABLE OR OTHER EVENTS OCCURRING IN THE FUTURE.**





2


**RECEIVABLE
        ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
        TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
        31, 2007 AND 2006 (UNAUDITED)**


**INDEX
      TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS - UNAUDITED**


**FOR
      THE THREE MONTHS ENDED MARCH 31, 2007 AND 2006**




PagesCondensed
                Consolidated Balance Sheetas
                of March 31, 2007 - Unaudited
            4Condensed
                Consolidated Statements of Income (Operations)For
                the Six Months and Three MonthsEnded
                March 31, 2007 and 2006 - Unaudited
            5Condensed
                Consolidated Statements of Cash Flows For the Six MonthsEnded
                March 31, 2007 and 2006 - Unaudited
            6Notes
                to Condensed Consolidated Financial Statements
            7-19




3


**RECEIVABLE
          ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
          TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
          31, 2007 AND 2006 (UNAUDITED)**
 **CONDENSED
        CONSOLIDATED BALANCE SHEET (UNAUDITED)**
 **MARCH
        31, 2007**
  **ASSETS****CURRENT
                  ASSETS**Cash
              
              $
              230,401Prepaid
                  Expenses
              
              
              151Finance
                  receivables - short term
              
              
              224,494Security
                  Deposit
              
              
              7,512**Total
                  current assets**
              
              
              462,558**OTHER
                  ASSETS**Finance
                  receivables - long-term
              
              
              455,790**Total
                  other assets**
              
              
              455,790**TOTAL
                  ASSETS**
              
              $
              918,348**LIABILITIES
                  AND STOCKHOLDERS' EQUITY (DEFICIT)****CURRENT
                  LIABILITIES**Accrued
                  and other expenses
              
              $
              66,227Notes
                  Payable -short term
              
              
              213,658**Total
                  current liabilities**
              
              
              279,885**LONG
                  TERM LIABILITIES**Notes
                  payable -long term
              
              
              198,093**TOTAL
                  LIABILITIES**
              
              
              477,978**STOCKHOLDERS'
                  EQUITY (DEFICIT)**Preferred
                  stock, par value $10 per share;authorized
                  10,000,000 shares, 0 shares issuedand
                  outstanding at December 31, 2006
              
              
              -Common
                  stock, par value $.001 per share; 325,000,000 shares authorizedand
                  19,078,917 shares issued and 16,928,917outstanding at March 31,
                  2007.
              
              
              19,078Additional
                  paid-in capital
              
              
              820,230**Total
                  paid-in capital**
              
              
              839,308Accumulated
                  deficit
              
              
              (183,938
              )**Total
                  paid-in capital and accumulated deficit**
              
              
              655,370Less
                  : Cost of treasury stock (2,150,000 shares)
              
              
              (215,000
              )**Total
                  stockholders' equity (deficit)**
              
              
              440,370**TOTAL
                  LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)**
              
              $
              918,348


The
      accompanying notes are an integral part of the condensed consolidated financial
      statements.





4


**RECEIVABLE
          ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
          TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
          31, 2007 AND 2006 (UNAUDITED)**
 **FOR
                      THE SIX MONTHS ENDED**
                      **MARCH
                        31,**
                  
                  **FOR
                      THE THREE MONTHS ENDED**
                      **MARCH
                        31,****2007**
                  
                  **2006**
                  
                  **2007**
                  
                  **2006****REVENUES**Financing
                      income
                  
                  $
                  119,737
                  
                  $
                  174,573
                  
                  $
                  47,962
                  
                  $
                  98,437Gain
                      on sales of finance receivable
                  
                  
                  18,334
                  
                  
                  19,334
                  
                  
                  18,334
                  
                  
                  19,334Service
                      income and other
                  
                  
                  70,265
                  
                  
                  97,086
                  
                  
                  24,897
                  
                  
                  52,978**TOTAL
                      INCOME**
                  
                  
                  208,336
                  
                  
                  290,993
                  
                  
                  91,193
                  
                  
                  170,749**COSTS
                      AND EXPENSES**Selling,
                      general and administrative
                  
                  
                  378,129
                  
                  
                  351,216
                  
                  
                  188,417
                  
                  
                  178,743**Total
                      costs and expenses**
                  
                  
                  378,129
                  
                  
                  351,216
                  
                  
                  188,417
                  
                  
                  178,743**NET
                      (LOSS) BEFORE OTHER INCOME**
                  
                  
                  (169,793
                  )
                  
                  (60,223
                  )
                  
                  (97,224
                  )
                  
                  (7,994
                  )**OTHER
                      INCOME (LOSS)**Loss
                      on sale of finance receivables
                  
                  
                  (15,205
                  )
                  
                  (5,409
                  )
                  
                  (15,205
                  )
                  
                  -Interest
                      income
                  
                  
                  356
                  
                  
                  494
                  
                  
                  190
                  
                  
                  238Total
                      other Income (Loss)
                  
                  
                  (14,849
                  )
                  
                  (4,915
                  )
                  
                  (15,015
                  )
                  
                  238**NET
                      (LOSS) BEFORE PROVISION FOR INCOME TAX**
                  
                  $
                  (184,642
                  )
                  $
                  (65,138
                  )
                  $
                  (112,239
                  )
                  $
                  (7,756
                  )**PROVISION
                      FOR INCOME TAXES**
                  
                  
                  -
                  
                  
                  -
                  
                  
                  -
                  
                  
                  -**NET(LOSS)
                      BEFORE PREFERRED STOCK DIVIDEND**
                  
                  
                  (184,642
                  )
                  
                  (65,138
                  )
                  
                  (112,239
                  )
                  
                  (7,756
                  )**LESS
                      PREFERRED STOCK DIVIDEND**
                  
                  
                  -
                  
                  
                  (20,000
                  )
                  
                  -
                  
                  
                  (10,000
                  )**NET
                      (LOSS) APPLICABLE TO COMMON STOCK**
                  
                  $
                  (184,642
                  )
                  $
                  (85,138
                  )
                  $
                  (112,239
                  )
                  $
                  (17,756
                  )**BASIC
                      INCOME (LOSS) PER COMMON SHARE**
                  
                  $
                  (0.01
                  )
                  $
                  (0.00
                  )
                  $
                  (0.01
                  )
                  $
                  (0.00
                  )**WEIGHTED
                      AVERAGE OUTSTANDING SHARES****OF
                      COMMON STOCK - BASIC**
                  
                  
                  16,959,466
                  
                  
                  17,103,307
                  
                  
                  16,811,139
                  
                  
                  17,808,917


The
      accompanying notes are an integral part of the condensed consolidated financial
      statements.





5


**RECEIVABLE
        ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
        TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
        31, 2007 AND 2006 (UNAUDITED)**


**2007**
              
              **2006****CASH
                  FLOWS FROM OPERATING ACTIVITIES:**Net
                  (Loss)
              
              $
              (184,642
              )
              $
              (85,138
              )**Adjustments
                  to reconcile net (loss) to****net
                  cash provided by (used in) operating activities:****Changes
                  in Certain Assets and Liabilities**Proceeds
                  from sale of portfolio - net of gain
              
              
              227,907
              
              
              117,277Acquisition
                  of finance receivables, net of buybacks
              
              
              (397,808
              )
              
              (207,459
              )Collections
                  applied to principal on finance receivables
              
              
              337,202
              
              
              210,187(Increase)
                  Decrease in Prepaid expenses
              
              
              (151
              )
              
              -(Increase)
                  in security deposit
              
              
              (7,512
              )
              
              -(Decrease)
                  in accounts payable - trade
              
              
              -
              
              
              (14,693
              )Increase
                  (decrease) accrued expenses
              
              
              32,174
              
              
              6,963Decrease
                  in other payable
              
              
              -
              
              
              (30,000
              )(Decrease)
                  Increase in Income Taxes
              
              
              (1,900
              )
              
              -**Net
                  cash provided by (used in) operating activities**
              
              
              5,270
              
              
              (2,863
              )**CASH
                  FLOWS FROM FINANCING ACTIVITIES**Repurchase
                  of retired common stock
              
              
              (55,000
              )
              
              -Repurchase
                  of warrants
              
              
              -
              
              
              (112,600
              )Payments
                  on notes payable
              
              
              (174,509
              )
              
              -Proceeds
                  from from Note Payable
              
              
              300,000
              
              
              -**Net
                  cash provided by (used in) financing activities**
              
              
              70,491
              
              
              (112,600
              )**NET
                  INCREASE (DECREASE) IN CASH**
              
              
              75,761
              
              
              (115,463
              )**CASH
                  AND CASH EQUIVALENTS - BEGINNING OF PERIOD**
              
              
              154,640
              
              
              212,424**CASH
                  AND CASH EQUIVALENTS - END OF PERIOD**
              
              $
              230,401
              
              $
              96,961**SUPPLEMENTAL
                  DISCLOSURE OF CASH FLOW INFORMATION****Issuance
                  of Common Stock for:**Conversion
                  of notes payable
              
              $
              -
              
              $
              16,897Conversion
                  of preferred stock
              
              $
              800,000
              
              $
              -Conversion
                  of preferred stock payable
              
              $
              20,000
              
              $
              -**Retirement
                  of Common Stock for:**Repurchase
                  of Common Stock - Non cash
              
              $
              160,000
              
              $
              -




The
      accompanying notes are an integral part of the condensed consolidated financial
      statements.





6


**** **RECEIVABLE
        ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
        TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
        31, 2007 AND 2006 (UNAUDITED)**


***NOTE
                1-***
            ***SUMMARY
                OF SIGNIFICANT ACCOUNTING
                POLICIES***





***A.***
            ***THE
                COMPANY AND
                PRESENTATION***





The
      condensed consolidated unaudited interim financial statements included herein
      have been prepared by Receivable Acquisition and Management Corporation and
      Subsidiaries (the "Company"), formerly Feminique Corporation and Subsidiaries
      without audit, pursuant to the rules and regulations of the Securities and
      Exchange Commission (the "SEC"). Certain information and footnote disclosures
      normally included in the financial statements prepared in accordance with
      accounting principles generally accepted in the United States of America have
      been condensed or omitted as allowed by such rules and regulations, and the
      Company believes that the disclosures are adequate to make the information
      presented not misleading. It is suggested that these condensed consolidated
      financial statements be read in conjunction with the September 30, 2006 audited
      consolidated financial statements and the accompanying notes thereto. While
      management believes the procedures followed in preparing these condensed
      consolidated financial statements are reasonable, the accuracy of the amounts
      are in some respects dependent upon the facts that will exist, and procedures
      that will be accomplished by the Company later in the year.





The
      management of the Company believes that the accompanying unaudited condensed
      consolidated financial statements contain all adjustments (including normal
      recurring adjustments) necessary to present fairly the operations, changes
      in
      stockholders' equity (deficit), and cash flows for the periods
      presented.




On
      November 25, 2003, the Company incorporated a wholly owned subsidiary Receivable
      Acquisition and Management Corp of New York ("Ram"). This corporation plans
      to
      purchase, manage and collect defaulted consumer receivables.





On
      April
      21, 2004, the Company amended its certificate of incorporation to increase
      its
      authorized number of shares of common stock from 75,000,000 shares to
      325,000,000 shares. This amendment was approved by the Company's shareholders
      at
      its April 20, 2004 annual meeting.




7


***NOTE
              1-***
            ***SUMMARY
                OF SIGNIFICANT ACCOUNTING POLICIES
                (CONTINUED)***




***B.***
              ***FINANCE
                  RECEIVABLES***





The
      Company on December 15, 2003, acquired defaulted consumer receivable portfolios
      for $569,071 with a face value of $15,985,138. Another portfolio with face
      value
      of $18,944,048 was acquired for $331,501. The Company accounts for its
      investment in finance receivables under the guidance of Statement of Position
      ("SOP") 03-3, "Accounting for Loans or Certain Debt Securities Acquired in
      a
      Transfer." This SOP limits the yield that may be accreted (accretable yield)
      to
      the excess of the Company's estimate of undiscounted expected principal,
      interest and other cash flows (cash flows expected at the acquisition to be
      collected) over the Company's initial investment in the finance receivables.
      Subsequent increases in cash flows expected to be collected are recognized
      prospectively through adjustment of the finance receivables yield over its
      remaining life. Decreases in cash flows expected to be collected are recognized
      as impairment to the finance receivable portfolios. The Company's proprietary
      collections model is designed to track and adjust the yield and carrying value
      of the finance receivables based on the actual cash flows received in relation
      to the expected cash flows. The
      Company acquired on April 19, 2004 a third portfolio with a face value of
      $447,390 for $31,317.





The
      Company, on September 16, 2004 put $97,763 on deposit for a fourth portfolio.
      However, the Company did not take possession of the portfolio and received
      a
      full refund in October 2004.





The
      Company acquired on October 10, 2004 a new portfolio with a face value of
      $2,107,132 for $100,444. The Company will use for this portfolio the "Recovery
      Method" for revenue recognition under which no revenue is recognized until
      the
      investment amount of $100,444 has been recovered.





On
      November 23, 2004 the Company sold the portfolio with an original face value
      of
      $18,944,048 and an acquisition price of $331,051 for a sale price of $293,250.
      The Company recognized a gain of $87,514 on the sale. The carrying value of
      the
      portfolio at the time of sale was $205,736.





During
      the quarter ending March 31, 2005, the Company acquired portfolios for $487,280.
      The Company will use for these portfolios the "Recovery Method" for revenue
      recognition under which no revenue is recognized until the investment amount
      of
      $487,280 has been recovered.





The
      Company acquired on April 11, 2005 a portfolio with a face value of $5,500,000
      for $375,000. The Company will apply the "Recovery Method" for revenue
      recognition under which no revenue is recognized until the investment amount
      of
      $375,000 has been recovered.





The
      Company acquired the fourth tranche of a forward flow on June 2, 2005 with
      a
      face value of $619,275 for $37,660. The Company will apply the "Recovery Method"
      for revenue recognition under which no revenue is recognized until the
      investment amount of $37,660 has been recovered.





8


**RECEIVABLE
        ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
        TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
        31, 2007 AND 2006 (UNAUDITED)**


***NOTE
              1-***
            ***SUMMARY
                OF SIGNIFICANT ACCOUNTING POLICIES
                (CONTINUED)***





***B.***
            ***FINANCE
                RECEIVABLES
                (CONTINUED)***





During
      the quarter ending June 30, 2005, the Company acquired total portfolios for
      $412,660. The Company will use for these portfolios the "Recovery Method" for
      revenue recognition under which no revenue is recognized until the investment
      amount of $412,660 has been recovered.





On
      July
      12, 2005, the Company sold the portfolio with an original face value of
      $3,674,498 and an acquisition price of $233,330 for a sales price of $168,767.
      The Company will recognize a loss in the fourth quarter. The Company retained
      approximately $92,000 in face value of paying accounts.





During
      the quarter ending September 30, 2005 the Company acquired total portfolios
      for
      $239,162. The Company will use for these portfolios the "Recovery Method" for
      revenue recognition under which no revenue is recognized until the investment
      amount of $239,162 has been recovered.





On
      November 22, 2005 the Company sold a portfolio with an acquisition price of
      $172,827 for $112,290. The Company recognized a loss of $5,409 on the
      sale.





During
      the quarter ending March 31, 2006, the Company acquired total portfolios for
      $207,459. The Company will use for these portfolios the "Recovery Method" for
      revenue recognition under which no revenue is recognized until the investment
      amount of $207,459 has been recovered.





During
      the quarter ending March 31, 2006 the Company sold a portfolio with a carrying
      value of $4,987 for $24,321. The Company recognized a gain of $19,344 on the
      sale.





During
      the quarter ending June 30, 2006, the Company acquired total portfolios for
      $434,726. The Company will use for these portfolios the "Recovery Method" for
      revenue recognition under which no revenue is recognized until the investment
      amount of $434,726 has been recovered.





The
      Company sold a financial receivable portfolio on April 28, 2006. The face amount
      of the portfolio is $4,107,881. The portfolio was sold for $205,394 or
      approximately 5% of the portfolio's face value. The Company recognized a gain
      of
      $180,256 on the sale.





During
      the quarter ending September 30, 2006, the Company acquired total portfolios
      for
      $117,944. The Company will use for these portfolios the "Recovery Method" for
      revenue recognition under which no revenue is recognized until the investment
      amount of $117,944 has been recovered.





9


**RECEIVABLE
        ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
        TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
        31, 2007 AND 2006 (UNAUDITED)**


***NOTE
                1-***
            ***SUMMARY
                OF SIGNIFICANT ACCOUNTING POLICIES
                (CONTINUED)***





***B.***
            ***FINANCE
                RECEIVABLES
                (CONTINUED)***





During
      the quarter ending December 31, 2006, the Company acquired total portfolios
      for
      $73,560. The Company will use for these portfolios the “Recovery Method” for
      revenue recognition under which no revenue is recognized until the investment
      amount of $73,560 has been recovered.





During
      the quarter ended March 31, 20007, the Company acquired total porfolios for
      $324,248. The Company will use for these portfolios the "Recovery Method" for
      revenue recognition under which no revenue is recognized until the investment
      amount of $324,248 has been recovered.





During
      the quarter ended March 31, 20007 the Company sold several portfolios for a
      total sales price of $231,036. The Company recognized a net gain of $3,129
      on
      these sales. The Company retained approximately $488,335 in face amount of
      these
      portfolios.





In
      the
      event that cash collections would be inadequate to amortize the carrying
      balance, an impairment charge would be taken with a corresponding write-off
      of
      the receivable balance. Accordingly, the Company does not maintain an allowance
      for credit losses. The
      agreements to purchase the aforementioned receivables include general
      representations and warranties from the sellers covering account holder death
      or
      bankruptcy, and accounts settled or disputed prior to sale. The representation
      and warranty period permitting the return of these accounts from the Company
      to
      the seller is typically 90 to 180 days.





Any
      funds
      received from the seller of finance receivables as a return of purchase price
      are referred to as buybacks. Buyback funds are simply applied against the
      finance receivable balance received. They are not included in the Company's
      cash
      collections from operations nor are they included in the Company's cash
      collections applied to principal amount. Gains on sale of finance receivables,
      representing the difference between sales price and the unamortized value of
      the
      finance receivables, are recognized when finance receivables are
      sold.





10


**RECEIVABLE
        ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
        TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
        31, 2007 AND 2006 (UNAUDITED)**


***NOTE1-***
            ***SUMMARY
                OF SIGNIFICANT ACCOUNTING POLICIES
                (CONTINUED)***




***B.***
            ***FINANCE
                RECEIVABLES
                (CONTINUED)***





Changes
      in finance receivables for the six months ended March 31, 2007 is as
      follows:




**2006**Balance
                  at beginning of year October 1, 2006
              
              $
              847,584Acquisition
                  of finance receivables
              
              
              397,808Cash
                  collections applied to principal
              
              
              (337,202
              )Sale
                  of portfolio - net of gain
              
              
              (227,907
              )Balance
                  at the end of the year
              
              $
              680,283Estimated
                  Remaining Collections ("ERC")*
              
              $
              2,639,532


*
            Estimated
                remaining collection refers to the sum of all future projected cash
                collections from acquired portfolios. ERC is not a balance sheet
                item,
                however, it is provided for informational purposes. Income recognized
                on
                finance receivables was $119,737 and $174,573 for the six months
                ended
                March 31, 2007 and 2006
                respectively.




Under
      SOP-03-3 debt security impairment is recognized only if the fair market value
      of
      the debt has declined below its amortized costs. Currently no amortized costs
      are below fair market value. Therefore, the Company has not recognized any
      impairment for the finance receivables.




**C.** **PRINCIPLES
      OF CONSOLIDATION**




The
      consolidated financial statements include the accounts of the Company and its
      subsidiaries. All significant inter-company accounts and transactions have
      been
      eliminated in consolidation.




**D.** **CASH
      AND CASH EQUIVALENTS**




The
      Company considers all highly liquid debt instruments and other short-term
      investments with an initial maturity of three months or less to be cash or
      cash
      equivalents. There were no cash equivalents as of March 31, 2007.




**D.** **CASH
      AND CASH EQUIVALENTS (CONTINUED)**




The
      Company maintains cash and cash equivalents balances at financial institutions
      that are insured by the Federal Deposit Insurance Corporation up to $100,000.
      At
      March 31, 2007, the Company’s had an uninsured cash balance of
      $130,401.




**E.** **FURNITURE
      AND EQUIPMENT**




Furniture
      and equipment when acquired will be stated at cost. Depreciation will be
      provided using straight-line method over the estimated useful lives of the
      assets. Maintenance and repairs are charged to operations when incurred. When
      assets are sold or
      otherwise disposed of, the asset accounts and related accumulated depreciation
      accounts are relieved, and any gain or loss is included in
      operations.




11


**RECEIVABLE
          ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
          TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
          31, 2007 AND 2006 (UNAUDITED)**
  ***NOTE
                    1-***
                  ***SUMMARY
                      OF SIGNIFICANT ACCOUNTING POLICIES
                      (CONTINUED)***




**F.** **INCOME
      TAXES**




The
      Company has adopted the provisions of Statement of Financial Accounting
      Standards ("SFAS") No. 109, Accounting for Income Taxes. The statement requires
      an asset and liability approach for financial accounting and reporting of income
      taxes, and the recognition of deferred tax assets and liabilities for the
      temporary differences between the financial reporting bases and tax bases of
      the
      Company's assets and liabilities at enacted tax rates expected to be in effect
      when such amounts are realized or settled.




**G.** **USE
      OF ESTIMATES**




The
      preparation of financial statements in conformity with accounting principles
      generally accepted in the United States of America requires management to make
      estimates and assumptions that affect the reported amounts of assets and
      liabilities and disclosures of contingent assets and liabilities at the date
      of
      the financial statements and the reported amounts of revenues and expenses
      during this reported period. Actual results could differ from those
      estimates.




**H.** **STOCK-BASED
      COMPENSATION**




Effective
      December 31, 2005, the Company adopted the provisions of Financial Accounting
      Standards Board Statement of Financial Accounting Standard ("SFAS") No. 123(R),
      "Share-Based Payments," which establishes the accounting for employee
      stock-based awards. Under the provisions of SFAS No.123(R), stock-based
      compensation is measured at the grant date, based on the calculated fair value
      of the award, and is recognized as an expense over the requisite employee
      service period (generally the vesting period of the grant). The Company adopted
      SFAS No. 123(R) using the modified prospective method and, as a result, periods
      prior to December 31, 2005 have not been restated. The Company recognized
      stock-based compensation for awards issued under the Company's stock option
      plans in other income/expenses included in the Consolidated Statement of
      Operations. Additionally, no modifications were made to outstanding stock
      options prior to the adoption of SFAS No. 123(R), and no cumulative adjustments
      were recorded in the Company's financial statements.




Prior
      to
      December 31, 2005, the Company accounted for stock-based compensation in
      accordance with provisions of Accounting Principles Board Opinion No. 25 ("APB
      No. 25"), "Accounting for Stock Issued to Employees," and related
      interpretations. Under APB No. 25, compensation cost was recognized based on
      the
      difference, if any, on the date of grant between the fair value of the Company's
      stock and the amount an employee must pay to acquire the stock. The Company
      grants stock options at an exercise price equal to 100% of the market price
      on
      the date of grant. Accordingly, no compensation expense was recognized for
      the
      stock option grants in periods prior to the adoption of SFAS No.
      123(R).




12


**RECEIVABLE
          ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
          TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
          31, 2007 AND 2006 (UNAUDITED)**


***NOTE
                1-***
            ***SUMMARY
                OF SIGNIFICANT ACCOUNTING POLICIES
                (CONTINUED)***




The
      Company measures compensation expense for its non-employee stock-based
      compensation under the Financial Accounting Standards Board (FASB) Emerging
      Issues Task Force (EITF) Issue No. 96-18, "Accounting for Equity Instruments
      that are Issued to Other Than Employees for Acquiring, or in Conjunction with
      Selling, Goods or Services". The fair value of the option issued is used to
      measure the transaction, as this is more reliable than the fair value of the
      services received.




**H.** **STOCK-BASED
      COMPENSATION (CONTINUED)**




The
      fair
      value is measured at the value of the Company's common stock on the date that
      the commitment for performance by the counterparty has been reached or the
      counterparty's performance is complete. The fair value of the equity instrument
      is charged directly to compensation expense and additional paid-in
      capital.




**I.** **REVENUE
      RECOGNITION**




Revenue
      is recognized based on AICPA Statement of Position 03-3, if the management
      is
      reasonably comfortable with expected cash flows. In the event, expected cash
      flows cannot be reasonably estimated, the Company will use the "Recovery Method"
      under which revenues are only recognized after the initial investment has been
      recovered.




**J.
      EARNINGS (LOSS) PER SHARE OF COMMON STOCK**




Historical
      net income (loss) per common share is computed using the weighted average number
      of common shares outstanding. Diluted earnings per share (EPS) include
      additional dilution from common stock equivalents, such as stock issuable
      pursuant to the exercise of stock options and warrants. Common stock equivalents
      were not included in the computation of diluted earnings per share when the
      Company reported a loss because to do so would be antidilutive for periods
      presented.




The
      following is a reconciliation of the computation for basic and diluted EPS


March
                  31,
              
              March
                  31,2007
              
              2006Net
                  (Loss)
              
              
              (184,642
              )
              
              (85,138
              )Weighted-average
                  common sharesoutstanding
                  (Basis)
              
              
              16,959,466
              
              
              17,103,307





For
      the
      six months ending March 31, 2007 and 2006, options and warrants were not  included
      in the computation of diluted EPS because inclusion would have been  antidilutive.
      There were 2,096,000 and 2,296,000 common stock equivalents at  March  31,
      2007
      and 2006 respectively.




13


**RECEIVABLE
          ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
          TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
          31, 2007 AND 2006 (UNAUDITED)**


***NOTE
                1-***
            ***SUMMARY
                OF SIGNIFICANT ACCOUNTING POLICIES
                (CONTINUED)***




**K.** **RECENT
      ACCOUNTING PRONOUNCEMENTS**




In
      October 2003, the American Institute of Certified Public Accountants issued
      Statement of Position ("SOP") 03-03, "Accounting for Loans or Certain Securities
      Acquired in a Transfer." This SOP proposes guidance on accounting for
      differences between contractual and expected cash flows from an investor's
      initial investment in loans or debt securities acquired in a transfer if those
      differences are attributable, at least in part, to credit quality.




This
      SOP
      is effective for loans acquired in fiscal years beginning after December 15,
      2004. This SOP would limit the revenue that may be accrued to the excess of
      the
      estimate of expected future cash flows over a portfolio's initial cost of
      accounts receivable acquired. The SOP would require that the excess of the
      contractual cash flows over expected cash flows not be recognized as an
      adjustment of revenue, expense, or on the balance sheet. The SOP would freeze
      the internal rate of return, referred to as IRR, originally estimated when
      the
      accounts receivable are purchased for subsequent impairment testing. Rather
      than
      lower the estimated IRR if the original collection estimates are not received,
      the carrying value of a portfolio would be written
      down to maintain the original IRR. Increases in expected future cash flows
      would
      be recognized prospectively through adjustment of the IRR over a portfolio's
      remaining life. The SOP provides that previously issued annual financial
      statements would not need to be restated. Management has decided on the early
      adoption of the application of this SOP.




In
      May
      2003, the FASB issued SFAS Statement No. 150, "Accounting for Certain Financial
      Instruments with Characteristics of both Liabilities and Equity". This statement
      establishes standards for how an issuer classifies and measures certain
      financial instruments with characteristics of both liabilities and equity.
      It
      requires that an issuer classify a financial instrument that is within its
      scope
      as a liability (or an asset in some circumstances). This statement is effective
      for financial instruments entered into or modified after May 31, 2003 and
      otherwise is effective at the beginning of the first interim period beginning
      after June 15, 2003, except for mandatory redeemable financial instruments
      of
      nonpublic entities, if applicable. It is to be implemented by reporting the
      cumulative effect of a change in an accounting principle for financial
      instruments created before the issuance date of the Statement and still existing
      at the beginning of the interim period of adoption. The adoption of this
      statement did not have a significant impact on the Company's results of
      operations or financial position.




In
      May
      2005, the FASB issued SFAS 154, "Accounting Changes and Error Corrections -
      a
      replacement of APB Opinion No. 20 and FASB Statement No. 3" (SFAS 154), which
      requires a retrospective application to prior periods' financial statements
      of
      changes in accounting principle for all periods presented. This statement
      replaces APB Opinion No. 20 which required that most voluntary changes in
      accounting principle be recognized by including in net income of the period
      of
      the change the cumulative effect of changing to the new accounting principle.
      The provisions of SFAS 154 are effective for fiscal years beginning after
      December 15, 2006. Currently there is no impact on the Company.




14


**RECEIVABLE
          ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
          TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
          31, 2007 AND 2006 (UNAUDITED)**


***NOTE
                1-***
            ***SUMMARY
                OF SIGNIFICANT ACCOUNTING POLICIES
                (CONTINUED)***




**K.** **RECENT
      ACCOUNTING PRONOUNCEMENTS (CONTINUED)**




In
      September 2006, the SEC staff issued Staff Accounting Bulletin No. 108,
      Considering the Effects of Prior Year Misstatements when Quantifying
      Misstatements in Current Year Financial Statements (SAB 108). SAB 108 was issued
      in order to eliminate the diversity in practice surrounding how public companies
      quantify financial statement misstatements. SAB 108 requires that registrants
      quantify errors using both a balance sheet and income statement approach and
      evaluate whether either approach results in a misstated amount that, when all
      relevant quantitative and qualitative factors are considered, is material.
      SAB108 must be implemented by the end of the Company's first fiscal year ending
      after November 15, 2007. The Company does not expect SAB 108 to have any
      material impact on financial reporting or disclosures.




In
      March
      2006, the FASB issued FASB Statement No. 156, Accounting for Servicing of
      Financial Assets - an amendment of FASB Statement No. 140. This
      Statement:




1.
      Requires an entity to recognize a servicing asset or servicing liability each
      time it undertakes an obligation to service a financial asset by entering into
      a
      servicing contract under certain situations.




2.
      Requires all separately recognized servicing assets and servicing liabilities
      to
      be initially measured at fair value, if practicable.




3.
      Permits an entity to choose either the amortization method or the fair value
      measurement method subsequent measurement methods for each class of separately
      recognized servicing assets and servicing liabilities:




4.
      At its
      initial adoption, permits a one-time reclassification of available-for-sale
      securities to trading securities by entities with recognized servicing rights,
      without calling into question the treatment of other available-for-sale
      securities under Statement 115, provided that the available-for-sale securities
      are identified in some manner as offsetting the entity's exposure to changes
      in
      fair value of servicing assets or servicing liabilities that a servicer elects
      to subsequently measure at fair value.




5.
      Requires separate presentation of servicing assets and servicing liabilities
      subsequently measured at fair value in the statement of financial position
      and
      additional disclosures for all separately recognized servicing assets and
      servicing liabilities.




We
      do not
      expect FASB No. 156 to have a material impact on our financial reporting, and
      we
      are currently evaluating the impact, if any, the adoption of FASB No. 156 will
      have on our disclosure requirements. The statement becomes effective after
      the
      beginning of the first fiscal year that begins after September 30,
      2006.




15





***NOTE
                1-***
            ***SUMMARY
                OF SIGNIFICANT ACCOUNTING POLICIES
                (CONTINUED)***




**K.** **RECENT
      ACCOUNTING PRONOUNCEMENTS (CONTINUED)**




In
      September 2006, the FASB issued FASB Statement No. 157, Fair Value Measurements.
      This Statement defines fair value, establishes a framework for measuring fair
      value in generally accepted accounting principles (GAAP), and expands
      disclosures about fair value measurements.




This
      Statement applies under other accounting pronouncements that require or permit
      fair value measurements, the Board having previously concluded in those
      accounting pronouncements that fair value is the relevant measurement attribute.
      Accordingly, this Statement does not require any new fair value measurements.
      FASB Statement No. 157 will be effective for our financial statements issued
      for
      our fiscal year beginning October 1, 2008. We do not expect the adoption of
      FASB
      Statement No. 157 to have a material impact on our financial reporting, and
      we
      are currently evaluating the impact, if any, the adoption of FASB Statement
      No.
      157 will have on our disclosure requirements.




In
      June
      2006, the Financial Accounting Standards Board ("FASB") issued FASB
      Interpretation No. 48, "Accounting for Uncertainty in Income Taxes - an
      interpretation of FASB Statement No. 109" (FIN 48), which prescribes a
      recognition threshold and measurement attribute for the financial statement
      recognition and measurement of a tax position taken or expected to be taken
      in a
      tax return. FIN 48 also provides guidance on derecognition, classification,
      interest and penalties, accounting in interim periods, disclosure and
      transition. FIN 48 will be effective for our fiscal year beginning October
      1,
      2007. We do not expect the adoption of FIN 48 to have a material impact on
      our
      financial reporting and disclosure.




**L.** **RECLASSIFICATION**




Certain
      amounts in the March 31, 2006 Financial Statements have been reclassified to
      conform to the 2007 presentation. The reclassifications have no effect on the
      net loss for six months ended March 31,2007.




***NOTE
              2-***
            ***NOTES
                PAYABLE***




A.
      On
      June 10, 2005, the Company agreed to repurchase 1,000,000 warrants at $.10
      per
      warrant. The Company has paid $30,000 and was to pay the remaining $70,000
      over
      16 months. The note has been paid off.




B.
      The
      Company issued on April 10, 2006 a private convertible note offering in the
      amount of $300,000. The Company intended to repay the holder of the convertible
      note in 18 payments of $ 18,155 from the date of issuance of the convertible
      note at a rate of 11% per annum on or before October 7, 2007 (the "Maturity
      Date"). However the Company repaid $116,000 of the principal on May 11, 2006.
      The repayment terms, as of May 11, 2006 were restated as $11,738, per month
      until October 7, 2007. The interest rate of 11% per annum will not change.
      The
      note was paid off in its entirety on March 30, 2007.




16


**RECEIVABLE
          ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
          TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
          31, 2007 AND 2006 (UNAUDITED)**


***NOTE
              2-***
            ***NOTES
                PAYABLE
                (CONTINUED)***




C.
      The
      Company issued on October 30, 2006 a note payable for the value of $150,000
      in
      exchange for the retirement of 2,000,000 shares of common stock for $200,000.
      The company paid $50,000 in cash and issued a note payable of $150,000 for
      the
      balance. The terms are as follows: The first twelve months the company will
      pay
      $5,000 per month and pay $7,500 per month thereafter until the note is
      satisfied. The note has no interest payable terms.




D.
      The
      Company issued on January 8, 2007 a private note offering in the amount of
      $300,000. The Company intends to pay the holder of the note in 24 fixed monthly
      payments of $14,546 from the date of issuance of the note at a rate of 15%
      per
      annum on or before January 9, 2009 (the "Maturity Date”).




***NOTE
              3-***
            ***STOCK
                OPTIONS***




In
      April
      2004, the Company adopted a stock option plan upon approval by the shareholders
      art the Annual General Meeting under which selected eligible key employees
      of
      the Company are granted the opportunity to purchase shares of the Company's
      common stock. The plan provides that 37,500,000 shares of the Company's
      authorized common stock be reserved for issuance under the plan as either
      incentive stock options or non-qualified options. Options are granted at prices
      not less than 100 percent of the fair market value at the end of the date of
      grant and are exercisable over a period of ten years or a long as that person
      continues to be employed or serve on the on the Board of Directors, whichever
      is
      shorter. At March 31, 2007, the Company had 950,000 options outstanding under
      this plan.




***NOTE
              4-***
            ***INCOME
                TAXES***




Income
      Taxes are provided for the tax effects of transactions reported in the financial
      statements and consist of taxes currently due. Deferred taxes related to
      differences between the basis of assets and liabilities for financial and income
      tax reporting will either be taxable or deductible when the assets or
      liabilities are recovered or settled. The difference between the basis of assets
      and liabilities for financial and income tax reporting
      are not material therefore, the provision for income taxes from
      operations consist
      of income taxes currently payable.




The
      Company's effective tax rate is different than what would be expected if the
      statutory rates were applied to "net income (loss) before income taxes"
      primarily because of expenses deductible for financial reporting purposes that
      are not deductible for tax purposes allowed.




There
      was
      no provision for income tax for the six months ended March 31, 2007 and
      2006.




At
      March
      31, 2007 and 2006 the Company had an accumulated deficit approximating $183,938
      and 103,339, available to offset future taxable income through
      2027.




17


**RECEIVABLE
          ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
          TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
          31, 2007 AND 2006 (UNAUDITED)**
 March
                        31,
                    
                    March
                        31,2007
                    
                    2006Deferred
                        tax assets
                    
                    $
                    64,378
                    
                    $
                    36,169Less:
                        valuation allowance
                    
                    
                    ($64,378
                    )
                    
                    ($36,169
                    )Totals
                    
                    $
                    -
                    
                    $
                    -


***NOTE
              5-***
            ***STOCKHOLDERS'
                EQUITY (DEFICIT)***





**COMMON
      STOCK**




There
      were 325,000,000 shares of common stock authorized, with 19,078,917 and
      17,808,917 shares issued, and 16,928,917 and 17,808,917 outstanding at March
      31,
      2007 and 2006, respectively. The par value for the common stock is $.001 per
      share.




The
      following details the stock transactions for the six months ended March 31,
      2007
      and 2006.





On
      February 23, 2007 the Company issued an additional 200,000 shares of common
      stock to Artemis Hedge Fund, Ltd. to resolve all outstanding accrued
      dividends.




The
      Company issued to the holder of the note payable, 2,253,000 shares of common
      stock at $0.0075 per share on November 28, 2005 as a conversion of warrants
      into
      common stock. In lieu of payment in the amount of $16,897 the shares were
      purchased through a $16,897 reduction of the note payable.




The
      Company repurchased 201,000 warrants at a price of $0.10 per warrant on November
      18, 2005. The total repurchase price was $20,100.




The
      Company repurchased 500,000 warrants at a price of $0.125 per warrant on
      November 18, 2005. The total repurchase price was $62,500.




The
      Company repurchased 200,000 warrants at a price of $0.10 per warrant on November
      18, 2005. The total repurchase price was $20,000.




The
      Company received $1,500 for the exercise of 200,000 warrants at $.0075 per
      share
      in September 2006. The Company issued 200,000 shares of common stock in November
      2006.




The
      Company repurchased 150,000 shares of common stock during May 2006. The shares
      were accounted for as a prepaid asset until November 2006. The shares were
      repurchased for $.10 per share for a total amount of $15,000. The shares were
      accounted for as Treasury Stock in November 2006.




18


**RECEIVABLE
        ACQUISITION AND MANAGEMENT CORPORATION AND SUBSIDIARIES**
 **NOTES
        TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS**
 **MARCH
        31, 2007 AND 2006 (UNAUDITED)**


***NOTE
              5-***
            ***STOCKHOLDERS'
                EQUITY
                (DEFICIT)(CONTINUED)***





On
      October 31, 2006 the Company reached a settlement agreement with a shareholder
      whereby the shareholder agreed to cancel 2,000,000 shares of that shareholder's
      common stock and release the Company from all claims in consideration of
      a
      payment of $200,000. The settlement agreement was completed on October 31,
      2006.
      The shares were accounted for as Treasury Stock in November 2006.




***NOTE
              5-***
            ***STOCKHOLDERS'
                EQUITY (DEFICIT)
                (CONTINUED)***





**PREFERRED
      STOCK**





On
      October 28, 2006 the Company reached an agreement with Artemis Hedge Fund Ltd
      the holder of 80,0000 Series A Convertible Preferred Stock at $10 par value
      to
      convert the preferred shares into 800,000 shares of the Company's common stock
      .
      Additionally the Company agreed to issue 70,000 shares of common stock for
      all
      accrued dividends and an additional 200,000 shares as an inducement to convert
      at $0.80 per share. There were 10,000,000 shares of preferred stock authorized,
      no shares outstanding as of December 31, 2006




There
      were 10,000,000 shares of preferred stock authorized, with 80,000 issued and
      outstanding as of March 31, 2006. The par value for the preferred shares is
      $10
      per share.





**TREASURY
      STOCK**





The
      Company reports treasury stock at cost. The company accounts for treasury stock
      as an unallocated reduction in of stockholder's equity. In the 3 months ending
      December 31, 2006 the company purchased 2,150,000 shares of treasury stock.




19





**ITEM
      2.**  **MANAGEMENTS’S
      DISCUSSION & ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
      OPERATIONS.**





This
      “Management’s Discussion and Analysis of Financial Condition and Results of
      Operations” should be read in conjunction with “Management’s Discussion and
      Analysis of Financial Condition and Results of Operations” in the Annual Report
      on Form 10-K as of and for the year ended September 30, 2006 as filed with
      the
      Securities and Exchange Commission. Cautionary Statements Pursuant to Safe
      Harbor Provisions of the Private Securities Litigation Reform Act of 1995:





This
      report contains forward-looking statements within the meaning of the federal
      securities laws. These forward-looking statements involve risks, uncertainties
      and assumptions that, if they never materialize or prove incorrect, could cause
      the results of the Company to differ materially from those expressed or implied
      by such forward-looking statements. All statements, other than statements of
      historical fact, are forward-looking statements, including statements regarding
      overall trends, gross margin trends, operating cost trends, liquidity and
      capital needs and other statements of expectations, beliefs, future plans and
      strategies, anticipated events or trends, and similar expressions concerning
      matters that are not historical facts. The risks, uncertainties and assumptions
      referred to above may include the following:


·
                changes
                    in the business practices of credit originators in terms of selling
                    defaulted consumer receivables or outsourcing defaulted consumer
                    receivables to third-party contingent fee collection
                    agencies;
 
 ·
                ability
                    to acquire sufficient
                    portfolios;
  ·
              ability
                  to recover sufficient amounts on acquired
                  portfolios;
  ·
              a
                  decrease in collections if bankruptcy filings increase or if bankruptcy
                  laws or other debt collection laws
                  change;
  ·
                changes
                    in government regulations that affect the Company’s ability to collect
                    sufficient amounts on its acquired or serviced
                    receivables;
 ·
              the
                  Company’s ability to retain the services of recovery
                  partners;
 ·
                  changes
                      in the credit or capital markets, which affect the Company’s ability to
                      borrow money or raise capital to purchase or service defaulted
                      consumer
                      receivables;
  ·
              the
                  degree and nature of the Company’s competition;
                  and
  ·
              our
                  ability to respond to changes in technology and increased competition;
  ·
              the
                  risk factors listed from time to time in the Company’s filings with the
                  Securities and Exchange
                  Commission.




20




**Overview**





The
      Company is now engaged in purchase and recovery of performing, sub-performing
      and non-performing consumer receivables. These receivables are acquired at
      deep
      discounts and outsourced for collections on a contingency basis. The Company
      also manages Ramco Income Fund, Ltd, a Bermuda domiciled mutual fund with $2.1
      million in invested capital. The Company continues to seek additional capital
      to
      invest into additional portfolios. The Company recently entered into a Heads
      of
      Terms agreement with a bank in United Kingdom which calls for a minimum
      commitment of €25,000,000 into Ramco Income Fund. There is no assurance that
      this commitment will result in actual investment in the Fund. Concurrently,
      the
      Company has entered into an agreement with a Germany based bank and loan
      servicer to assist in acquiring and serving non-performing and sub-performing
      loans in Germany. The Company also manages two Special Purpose Vehicles funded
      with non-recourse notes that have invested in two different portfolios with
      approximately $3.35 million under management. The Company does hold any equity
      in these vehicles only receives servicing income and may receive some of the
      residual cash flow after the investors have recouped their investment and agreed
      upon return.




**RESULTS
      OF OPERATIONS**




**Overview**





The
      Company continues to execute its long term strategy. However, due continued
      prevalence of high prices, we have not been able to scale up our investments
      in
      consumer charge-offs. The Company is currently focusing on raising capital
      to
      invest in non-performing and sub-performing loans in Germany. We have a standby
      lender with a commitment to lend up to $500,000. The following table summarizes
      collections, revenues, operating expenses, income before taxes and fully diluted
      net income.


**Quarter
                  Ended March 31, 2007 & 2006****2007**
              
              **2006**
              
              **$
                  Change**
              
              **%
                  Change**Net
                  Collections
              
              $
              236,339
              
              $
              258,217
              
              
              ($21,878
              )
              
              -8
              %Finance
                  Income
              
              $
              47,962
              
              $
              98,437
              
              
              ($50,475
              )
              
              -51
              %as
                  a % of Collections
              
              
              20
              %
              
              38
              %Servicing
                  Income
              
              $
              24,897
              
              $
              52,978
              
              
              ($28,081
              )
              
              -53
              %Gain
                  on Sale
              
              $
              18,344
              
              $
              19,334Operating
                  Expenses
              
              $
              188,417
              
              $
              178,743
              
              $
              9,674
              
              
              5
              %Loss
              
              
              ($112,239
              )
              
              ($17,756
              )
              
              ($94,483
              )
              
              -532
              %Fully
                  Diluted EPS
              
              
              ($0.010
              )
              
              ($0.001
              )
              
              ($0.009
              )
              
              -900
              %




**Revenue**





The
      Company generated $91,193 in revenue during the quarter ended March 31, 2007
      versus $170,749 for quarter ended March 31, 2006. Total revenue included $47,962
      finance income, $24,897 servicing income and $18,334 from gain on sale of a
      portfolio. In the quarter ended March 31, 2007 finance income decreased by
      approximately 51% or $50,475 compared to the quarter ended March 31, 2006 and
      servicing income decreased by approximately 53 % or $28,081 when compared to
      quarter ended March 31, 2006. The company recognized approximately 20 % of
      net
      cash collections as revenue during the quarter ended March 31, 2007 versus
      38%
      during the quarter ended March 31, 2006. This is largely because the Company
      is
      carrying only one portfolio on the interest method basis. The Company collected
      $236,339 during the quarter but recognized only $47,962 as revenues. The
      percentage of cash collected recognized as revenue remains well below the
      industry average of 70%. Finance income is expected to decline due to
      redemptions from our managed fund, Ramco Income Fund Ltd. During the quarter,
      the company acquired two portfolios are being carried on a cost recovery basis.
      The Company may apply the interest rate method to other portfolios acquired
      during the current quarter once there is confidence in the expected recovery
      curve.




21




**Operating
      Expenses**





Total
      operating expenses increased by 5% to $188,417 for the three months ended March
      31, 2007 versus $178,743 for  the
      quarter ended March 31, 2006 and sequentially decreased slightly from the first
      quarter ended December 31, 2006.





***Rent
      and Occupancy*** ****





Rent
      and
      occupancy expenses were $12,227 for the three months ended March 31, 2007 versus
      $12,946 for the quarter ended March 31, 2006.




***Depreciation*** ****





The
      Company did not record any depreciation expense for the three months ended
      March
      31, 2007.




**Purchase
      of defaulted receivables**





During
      the three months ended March 31, 2007, the Company acquired defaulted consumer
      receivables portfolios with aggregate face value amount of $4,632,119 at a
      cost
      of $324,248. As a part of its strategy, the Company does not do any in-house
      collection, but outsources collection to carefully selected specialist debt
      collection agencies. The Company is currently working with four collection
      agencies on a contingency basis. The contingency fees averaged 25% during the
      quarter.





***Portfolio
      Data***





The
      following table shows the Company’s portfolio buying activity during the
      quarter, among other things, the purchase price, actual cash collections and
      estimated cash collection as of March 31, 2007 .


**Purchase
                    Period**
                
                **Purchase
                    Price(1)**
                
                **Actual
                    Cash Collection (2)**
                
                **Estimated
                    (3)**12/31/2003
                
                $
                569,070
                
                $
                1,693,966
                
                $
                91,3104/11/2005
                
                $
                375,000
                
                $
                346,014
                
                $
                204,2657/25/2005
                
                $
                177,668
                
                $
                232,954
                
                $
                76,4003/9/2006
                
                $
                121,972
                
                $
                65,415
                
                $
                152,6574/7/2006
                
                $
                331,974
                
                $
                291,208
                
                $
                168,7006/7/2006
                
                $
                70,020
                
                $
                64,937
                
                $
                43,78612/31/04-12/20/06
                
                $
                780,875
                
                $
                627,948
                
                $
                1,118,1371/7/2007
                
                $
                324,248
                
                $
                26,343
                
                $
                784,277


(1)
            Purchase
                price refers to the cash paid to a seller to acquire defaulted
                receivables, plus certain capitalized expenses, less the purchase
                price
                refunded by the seller due to the return of non-compliant accounts
                (also
                defined as buybacks). Non-compliant refers to the contractual
                representations and warranties between the seller and the Company.
                These
                representations and warranties from the sellers generally cover account
                holders’ death or bankruptcy and accounts settled or disputed prior to
                sale. The seller can replace or repurchase these
                accounts.




22




(2)
            Actual
                cash collections net of recovery cost or
                sale.





(3)
            Total
                estimated collections refers to the actual cash collections, including
                cash sales, plus estimated remaining collections. The Company will
                take an
                impairment charge if the actual recoveries fall short of expected
                recoveries.




When
      the
      Company acquires a portfolio of defaulted receivables, it estimates the expected
      recovery of the portfolio. A 36 to 60 month projection of cash collections
      is
      created for each portfolio. Only after the portfolio has established probable
      and estimable performance in excess of projections will the accretable yield
      be
      increased and recognized as revenue. If actual cash collections are less than
      the original forecast, the Company will take an impairment charge. Collection
      activities commence within 30 days of purchase, which allows for adequate time
      to scrub the portfolio for deceased, settled, incarcerated and bankruptcy filed
      accounts. For modeling and revenue recognition purposes, the company uses 15
      calendar days.





***Recovery
      Partners***





The
      Company outsources all its recovery activities to carefully selected debt
      collection agencies and network of collection attorneys with specific collection
      expertise. The company is currently using four collection agencies and several
      law firms in the U.S. and U.K. The average contingent collections fee is 27%
      which rises during the later years of recovery.





***Seasonality***





Collections
      tend to be higher in the first and second quarters of the year and lower in
      the
      third and fourth quarter of the year, due to consumer payment patterns in
      connection with seasonal employment, income tax refunds and holiday spending
      habits.





***Currency
      Risk***





The
      Company has been acquired and continues to acquire defaulted receivable
      portfolios in the United Kingdom and such purchase may expose the company to
      adverse currency risks.




**Liquidity
      and Capital Resources**





As
      of
      March 31, 2007, the Company had working capital of $182,673 versus working
      capital of $237,224 at March 31, 2006. The decline in working capital is largely
      due to debt financing done in the current quarter. Working capital sequentially
      improved by $49,277 from the quarter ended December 31, 2006 due to portfolio
      sales. The Company believes that funds generated from operations, together
      with
      existing cash will be sufficient to finance its operations for the foreseeable
      future. For the six month ended March 31, 2007, the Company had net cash of
      $230,401versus $96,961 at the end of March 31, 2006. Net cash provided by
      operating activities was $5,270 for the six month ended March 31, 2007 versus
      ($2,863) for the six months ended March 31, 2006. Net cash provided by financing
      activities was $70,491 for the six month ended March 31, 2007 versus ($112,600)
      during the six month ended March 31, 2006. The Company raised $300,000 through
      a
      note offering and pre-paid an outstanding note payable. The Company also bought
      back 2,000,000 shares of common stock in a privately negotiated transaction
      for
      $200,000. The Company did not raise any capital through issuance of securities
      during the six month ended March 31, 2006. Our primary investing activity to
      date has been the purchase of charged-off consumer receivable portfolios. During
      the quarter ended March 31, 2006, we invested at a cost of $324,248
      in three portfolios with a face value of $4,632,119 .




23





Cash
      generated from operations is depended upon the Company’s ability to collect on
      its defaulted consumer receivables. Many factors, including the economy,
      purchase price and the Company’s ability to retain the services of its recovery
      partners, are essential to generate cash flows. Fluctuations in these factors
      that cause a negative impact on the Company’s business could have a material
      negative impact on its expected future cash flows. During the quarter, the
      Company generated approximately $236,339 from collections during the quarter
      ended March 31, 2007 versus $258,217 during the quarter ended March 31, 2006.
      Our servicing revenue continues to decline due to management’s ongoing plan to
      redeem all the outstanding shares of the Bermuda Fund that the Company manages.





The
      Company believes that funds generated from operations, together with existing
      cash will be sufficient to finance its operations for the foreseeable future
      The
      Company is in discussion with several potential joint venture partners to scale
      up our investments. There is no assurance that the negotiations would be
      successful.





***Income
      Taxes***





We
      did
      not record any income tax provision for the quarter ended March 31, 2007.




***Contractual
      Obligation***





The
      Company entered into a twenty four month lease with Regus Inc. at $2,985 per
      month plus variable expenses that include telecommunication, copier, postage
      and
      delivery charges.





***Market
      Outlook for Charged-off Receivables***





Prices
      remain high in the charge off market and we have taken advantage of it sell
      some
      of our older portfolios. We
      expect
      that over time, many of these new entrants to the market, whose business model
      may be based on less than a multi-disciplined approach to purchasing and
      collecting, will not generate the returns they anticipated. This may then reduce
      their ability to access capital and potentially may require them to sell their
      remaining portfolios and exit the market . Also,
      the
      sellers are increasing turning to large buyers that has hampered our ability
      to
      invest our available cash.




**Critical
      Accounting Policy & Estimates**





Our
      Management’s Discussion and Analysis of Financial Condition and Results of
      Operations section discusses our condensed consolidated financial statements,
      which have been prepared in accordance with accounting principles generally
      accepted in the United States of America as promulgated by the Public Company
      Accounting Oversight Board. The preparation of these financial statements
      requires management to make estimates and assumptions that affect the reported
      amounts of assets and liabilities at the date of the financial statements and
      the reported amount of revenues and expenses during the reporting period. On
      an
      ongoing basis, management evaluates its estimates and judgments, including
      those
      related to revenue recognition, accrued expenses, financing operations, and
      contingencies and litigation. Management bases its estimates and judgments
      on
      historical experience and on various other factors that are believed to be
      reasonable under the circumstances, the results of which form the basis for
      making judgments about the carrying value of assets and liabilities that are
      not
      readily apparent from other sources. Actual results may differ from these
      estimates under different assumptions and conditions. The most significant
      accounting estimates inherent in the preparation of our financial statements
      include estimates as to the appropriate carrying value of certain assets and
      liabilities which are not readily apparent from other sources. These accounting
      policies are described at relevant sections in this discussion and analysis
      and
      in the condensed consolidated financial statements included in this quarterly
      report.





The
      Company utilizes the interest method under guidance provided by the AICPA issued
      Statement of Position (“SOP”) 03-03 to determine income recognized on finance
      receivables. In October 2004, the American Institute of Certified Public
      Accountants issued Statement of Position (“SOP”) 03-03, “Accounting for Loans or
      Certain Securities Acquired in a Transfer.” This SOP proposes guidance on
      accounting for differences between contractual and expected cash flows from
      an
      investor’s initial investment in loans or debt securities acquired in a transfer
      if those differences are attributable, at least in part, to credit quality.
      This
      SOP is effective for loans acquired in fiscal years beginning after
      March 15, 2005. The SOP would limit the revenue that may be accrued to the
      excess of the estimate of expected future cash flows over a portfolio’s initial
      cost of accounts receivable acquired. The SOP would require that the excess
      of
      the contractual cash flows over expected cash flows not be recognized as an
      adjustment of revenue, expense, or on the balance sheet. The SOP would freeze
      the internal rate of return, referred to as IRR, originally estimated when
      the
      accounts receivable are purchased for subsequent impairment testing. Rather
      than
      lower the estimated IRR if the original collection estimates are not received,
      the carrying value of a portfolio would be written down to maintain the original
      IRR. Increases in expected future cash flows would be recognized prospectively
      through adjustment of the IRR over a portfolio’s remaining life. The SOP
      provides that previously issued annual financial statements would not need
      to be
      restated. Management is in the process of evaluating the application of this
      SOP.




24




**OFF-BALANCE
      SHEET ARRANGEMENTS**




The
      Company has no off-balance sheet arrangements




**RISK
      FACTORS**





IN
      ADDITION TO OTHER INFORMATION IN THIS REPORT, YOU SHOULD CONSIDER THE FOLLOWING
      RISK FACTORS CAREFULLY. THESE RISKS MAY IMPAIR THE COMPANY'S OPERATING RESULTS
      AND BUSINESS PROSPECTS AS WELL AS THE MARKET PRICE OF THE COMPANY'S COMMON
      STOCK.





PENNY
      STOCK REGULATIONS AND REQUIREMENTS FOR LOW PRICED STOCK





The
      SEC
      adopted regulations which generally define a "penny stock" to be any non-Nasdaq
      equity security that has a market price of less than $5.00 per share, subject
      to
      certain exceptions. Based upon the price of the Common Stock as currently traded
      on the NASDAQ Bulletin Board, the Company's Common Stock is subject to Rule
      15g-9 under the Exchange Act which imposes additional sales practice
      requirements on broker-dealers which sell securities to persons other than
      established customers and "accredited investors." For transactions covered
      by
      this rule, a broker-dealer must make a special suitability determination for
      the
      purchaser and have received a purchaser's written consent to the transaction
      prior to sale. Consequently, this rule may have a negative effect on the ability
      of stockholders to sell common shares of the Company in the secondary
      market.




25




**ITEM
      3.**  **CONTROLS
      AND PROCEDURES**





**Evaluation
      of disclosure controls and procedures**





As
      of the
      end of the period covered by this report, our Chief Executive Officer and
      Chief
      Financial Officer conducted an evaluation of the effectiveness of our disclosure
      controls and procedures (as defined in Rule 13a-15(e) and Rule 15d-15(e)
      of the Securities Exchange Act of 1934, as amended (the "Exchange Act")).
      Based upon this evaluation, our Chief Executive Officer and Chief Financial
      Officer concluded that our disclosure controls and procedures are effective
      to ensure that information required to be disclosed by us in the reports
      that we file or submit under the Exchange Act are recorded, processed, summarized
      and reported, within the time periods specified in the Securities and Exchange
      Commission's rules and forms.





In
      addition, no change in our internal control over financial reporting occurred during
      the fiscal quarter ended March 31, 2007 that has materially affected, or is
      reasonably likely to materially affect, our internal control over financial reporting.




**PART
      II**




**OTHER
      INFORMATION**





**ITEM
      1.**  **LEGAL
      PROCEEDINGS**





From
      time
      to time, the Company may become involved in various lawsuits and legal
      proceedings which arise in the ordinary course of business. However, litigation
      is subject to inherent uncertainties, and an adverse result in these or other
      matters may arise from time to time that may harm the Company’s business. Except
      for the following, the Company is currently not aware of nor has any knowledge
      of any such legal proceedings or claims that we believe will have, individually
      or in the aggregate, a material adverse affect on our business, financial
      condition or operating results:




·
            On
                April 23, 2004, Reliant Industries, Inc., Michael Wong and Debbie
                Wong
                filed a complaint with the Supreme Court of the State of New York
                Suffolk
                County against Biopharmaceuticals, Inc. and Edward Fine.
                Biopharmaceuticals, Inc. is the Company’s former name. The plaintiffs
                allege that the Company together with the other defendant committed
                fraud,
                breach of contract and negligence. The plaintiffs are seeking monetary
                payments for any loss that they may suffer as a result of the alleged
                fraud, breach of contract and negligence as well as legal fees, punitive
                damages and costs disbursements. The amount in question is $104,000
                which
                was properly settled with newly issued shares and the Company has
                all
                executed documents as evidence and the matter dates back to 1996.
                The
                Company denies all allegations and intends to defend this action
                vigorously. To date there has been no development in this
                case.




26




·
            On
                June 29, 2005, Allied Surgical Centers Management, LLC, et al. (“Allied”)
                filed a complaint against the Company seeking declaratory and injunctive
                relief in connection with contracts entered in April 2005 between
                Allied
                and the Company pursuant to which the Company acquired various account
                receivables from Allied (the “Contracts”). Such compliant was filed in the
                Superior Court of the State of California, For the County of Los
                Angeles,
                Central District. Allied is seeking a declaratory judgment from the
                court
                which would exclude various account receivables (the “Disputed Account
                Receivables”) from the Contracts. Allied is also seeking a temporary
                restraining order and preliminary injunction restricting the Company
                from
                attempting to seize or collecting the Disputed Account Receivables.
                The
                Company filed a cross complaint on July 15, 2005. In the cross complaint,
                the Company is seeking an accounting, a mandatory injunction for
                specific
                performance of the Contracts and damages in the amount of $21,000,000
                in
                connection with Allied’s alleged breach of contract, fraud, intentional
                interference with prospective economic advantage, breach of good
                faith,
                breach of fiduciary duty, conversion and slander. The Company and
                Allied
                have reached a settlement in connection with this matter. Allied
                has
                dropped all its claims and agreed to pay all funds received since
                the
                purchase of Allied’s portfolio in April, 2005. The settlement agreement
                was executed on February 10, 2006 and the Company received the first
                settlement payment on March 1, 2006 and continues to receive monthly
                payments according to the settlement
                agreement.




**·**
            On
                September 9, 2005 the Company filed a complaint with the Supreme
                Court of
                the State of New York - County of New York against Triton Capital,
                Inc.,
                Southern Capital Associates, Inc., JMS Collections, LLC., Wendt Law
                Office, James Roscetti, and Dave Dwyer for breach of contract, conversion,
                deceptive business practices and unjust enrichment. The Company is
                seeking
                an amount no less than $46,931. The Company reached a settlement
                with the
                defendants.




**ITEM
      2.**  **UNREGISTERED
      SALE OF EQUITY SECURITIES AND USE OF PROCEEDS**





None.




**ITEM
      3.**  **DEFAULTS
      UPON SENIOR SECURITIES**





Not
      Applicable.





**ITEM
      4.**  **SUBMISSION
      OF MATTERS TO A VOTE OF SECURITY HOLDERS**





Not
      Applicable.




**ITEM
      5.**  **OTHER
      INFORMATION**





Not
      Applicable




27




**ITEM
      6.**  **EXHIBITS**




Exhibits:


Exhibit
                Number
              
              Description31.1
              
              Certification
                  pursuant to Section 302 of the Sarbanes-Oxley Act of
                  2002.32.1
              
              Certification
                  pursuant to Section 906 of the Sarbanes-Oxley Act of
                  2002.




28




**SIGNATURES**





In
      accordance with the requirements of the Exchange Act, the Company has caused
      this report to be signed by the undersigned, thereunto duly
      authorized.


**RECEIVABLE
                ACQUISITION & MANAGEMENT CORPORATION**Date:
                May 17, 2007
            By:
            /s/ Max
              KhanMax
                Khan
              Chief
                  Executive Officer
                Chief
                  Financial Officer
                Director




In
      accordance with the Exchange Act, this report has been signed below by the
      following persons on behalf of the registrant and in the capacities and on
      the
      dates indicated:


By:
              **/s/ Max
                Khan**Max
                  Khan
                Chief
                      Executive Officer,Chief
                    Financial Officer and Director
                  Date:May
                        17, 2007
  29