SECURITIES AND EXCHANGE COMMISSION

                                 FORM 10Q

                          WASHINGTON, D.C. 20549

              QUARTERLY REPORT UNDER SECTION 13 OR 15 (d) OF
                    THE SECURITIES EXCHANGE ACT OF 1934

For Quarter Ended September 30,1999           Commission File Number 2-2996

                           DI-AN CONTROLS, INC.
           Exact Name of Registrant as specified in its charter

    MASSACHUSETTS                                  04-2237138
State of Incorporation                I.R.S. Employer Identification Number

    530 West Street
    Braintree, Massachusetts                                       02184
Address of principal executive offices                            Zip Code

Shares of Common Stock outstanding as of: March 31, 1999     826,405 shares

Registrant's telephone number, including area code: (781) 848 - 1299

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


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DI-AN CONTROLS, INC.
BALANCE SHEET


                                   SEPTEMBER 30         SEPTEMBER 30
                                        1999                 1998

ASSETS

CURRENT ASSETS

     CASH                                99,861             51,145
     ACCOUNTS RECEIVABLE                 79,405             59,351
     LESS: ALLOWANCE, BAD DEBTS         (    0)            (13,715)
     INVENTORY                          140,777             275,105
          TOTAL                         320,044             371,886
EQUIPMENT AND IMPROVEMENTS

     MACHINERY AND EQUIPMENT             63,938              63,938
     LEASEHOLD IMPROVEMENTS                   0              34,322
     LESS: ACCUM DEPRECIATION           (63,938)            (98,260)
          NET                                 0                   0

OTHER ASSETS

     CASH SURRENDER VALUE
     OFFICER'S LIFE INSURANCE            31,947              32,231
     DEPOSITS                             2,917               2,917
     DEFERRED CHARGES                         0              34,344
     OTHER                                5,057                 641
          TOTAL, OTHER ASSETS            39,921              70,133

     TOTAL ASSETS                       359,964             442,020


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DI-AN CONTROLS, INC.
LIABILITIES AND STOCKHOLDERS DEFECIT


                                      SEPTEMBER 30     SEPTEMBER 30
                                          1999             1998

CURRENT LIABILITIES

     ACCOUNTS PAYABLE                     11,171               47,992
     RESERVE, WARRANTIES                  10,000               10,000
     DEFERRED REVENUE                     12,000                    0
     NOTE, PRINCIPAL STOCKHOLDER       1,582,741            1,586,400
     DUE TO RELATED PARTIES            3,712,717            3,408,237
     PAYROLL TAXES PAYABLE                 1,449                    0
     UNEARNED INCOME                           0               27,730

TOTAL LIABILITIES                      5,330,078            5,080,359



STOCKHOLDERS' DEFICIT

     COMMON STOCK                         82,641               82,641
     CAPITAL, EXCESS OF PAR            1,124,451            1,124,451
     RETAINED EARNINGS               (6,044,120)          (5,891,744)
     CURRENT EARNINGS                  (133,086)               46,312


TOTAL STOCKHOLDERS' DEFICIT          (4,970,114)          (4,648,340)

TOTAL LIABILITIES
     AND STOCKHOLDERS' DEFICIT       (4,970,114)          (4,638,340)




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DI-AN CONTROLS, INC.
STATEMENT OF OPERATIONS AND STOCKHOLDERS' DEFICIT

                                     SEPTEMBER 30     SEPTEMBER 30
                                         1999             1998
REVENUE
     NET SALES                       467,789             547,670
     SERVICE REVENUES                 19,292              19,567
     OTHER INCOME                          0                   0
          TOTAL REVENUE              487,081             567,237

COSTS AND EXPENSES
     COST OF SALES & SERVICES        281,570             195,760
     SELLING EXPENSES                 53,948              54,218
     GENERAL AND ADMIN  EXPENSE      137,892             128,172
     INTEREST                        153,742             142,319
          TOTAL EXPENSES             627,152             520,925

NET GAIN (LOSS)                     (141,759)             34,700

STOCKHOLDERS BEGINNING DEFICIT    (6,044,120)         (4,684,653)

STOCKHLDERS' DEF. END OF QUARTER  (4,970,114)         (4,638,341)

NET GAIN (LOSS) PER SHARe             ($0.17)              $0.04



                           MANAGEMENT DISCUSSION

SUMMARY OF RESULTS OF OPERATIONS (UNAUDITED)


Interest expense of $141,496.00 was incurred on short term loans to fund
current operations.

Management has determined that the consequences of its YEAR 2000 issues
would not have any material affect on the results of operations or on the
company's financial condition. This determination is the result of thorough
testing by company staff.

LIQUIDITY

A principal stockholder has loaned the company funds to carry out company
operations.

BASIS OF PRESENTATION

The financial information included herein is unaudited; however, such
information reflects all adjustments (consisting solely of normal recurring
adjustments) which are, in the opinion of management, necessary for a fair
statement of results for the interim periods.

The results of operations for the period ending June 30, 1999  are not
necessarily indicative of the results to be expected for the full year.


SALES OF UNREGISTERED SECURITIES (DEBT OR EQUITY):  NONE

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.

                                   DI/AN CONTROLS, INC.



Date   November 18, 1999                              By Robert D. Kodis
                                                    Robert D. Kodis
                                                    President/Treasurer