UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 10549
                                   FORM 10-QSB

                 QUARTERLY REPORT UNDER SECTION 11 OR 15 (d) of
                              EXCHANGE ACT OF 1934
                   FOR THE QUARTER PERIOD ENDING JUNE 30, 2002


                         DIAPULSE CORPORATION OF AMERICA
             (Exact Name of registrant as specified on its charter)


         Delaware                                            135671991
---------------------------                          --------------------------
(State or other jurisdiction of)                         (I.R.S. Employer
incorporation of organization                          Identification Number)

321 East Shore Road
Great Neck, New York                                           11023
--------------------                                 --------------------------
(Address of principal offices)                               (Zip Code)


Registrant's telephone number,
including area code                                         516-466-3030
                                                       --------------------

Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by section 12 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 __X__      No _____

As of June 30, 2002 there were 3,960,730 shares of common stock outstanding.


Transitional Small Business Disclosure Format:

Yes [   ]                                          No [ X ]



<PAGE>


                         DIAPULSE CORPORATION OF AMERICA

                              INDEX TO FORM 10-QSB

PART I. FINANCIAL INFORMATION
--------------------------------------------------------------------------------

       ITEM 1.        FINANCIAL STATEMENTS

                      BALANCE SHEETS (UNAUDITED)
                        June 30, 2002                                      3- 4

                      STATEMENTS OF OPERATIONS (UNAUDITED)
                        Six  Months ended June 30, 2002                       5

                      STATEMENTS OF CASH FLOWS (UNAUDITED)
                        Six Months ended June 30, 2002                        6

                      NOTES TO UNAUDITED FINANCIAL STATEMENTS                 7

       ITEM 2.        MANAGEMENT'S DISCUSSION AND ANALYSIS                    8


PART II.  OTHER INFORMATION
--------------------------------------------------------------------------------

       ITEM 1.  LEGAL PROCEEDINGS                                          9-10

       ITEM 2.  CHANGES IN SECURITIES                                        11

       ITEM 3.  DEFAULTS UPON SENIOR SECURITIES                              11

       ITEM 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS          11

       ITEM 5.  OTHER INFORMATION                                            11

       ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K                             11


SIGNATURES
--------------------------------------------------------------------------------

       SIGNATURE PAGE                                                        12

                                      - 2 -


<PAGE>

                         DIAPULSE CORPORATION OF AMERICA
                                 BALANCE SHEETS

<TABLE>
<CAPTION>
                                                                                     June 30, 2002        Dec.31, 2001
                                                                                       Unaudited             Audited
                                                                                     -------------        ------------
                                    Assets

<S>                                                                                  <C>                 <C>
  Current Assets:
    Cash and cash equivalents                                                             $175,213            $287,200
    Current portion of accounts receivable, net of
      Allowance for doubtful accounts of  $1,829,709 at
      June 30, 2002 and $1,615,658 at December 31, 2001                                    426,075             365,032
    Inventories                                                                            101,848              64,178
    Commission advances                                                                    143,589             164,623
    Other current assets                                                                    15,795               7,498
                                                                                     -------------        ------------

        Total current assets                                                               862,520             888,531
                                                                                     -------------        ------------

    Property and equipment, net                                                             78,912              88,914
                                                                                     -------------        ------------


   Other assets:
    Accounts receivable, net of current portion                                            581,195             498,076
    Commission advances to related parties                                                 263,320             278,854
    Security deposits                                                                       20,226              20,226
                                                                                     -------------        ------------

            Total other assets                                                             864,741             797,156
                                                                                     -------------        ------------

            Total Assets                                                                $1,806,173          $1,774,601
                                                                                     -------------        ------------
                                                                                     -------------        ------------
</TABLE>

                        See Notes to Financial Statements

                                      - 3 -


<PAGE>

                         DIAPULSE CORPORATION OF AMERICA
                                 BALANCE SHEETS

                Liabilities and Stockholder's Equity (Deficiency)

<TABLE>
<CAPTION>
                                                                                       June 30, 2002        Dec. 31, 2001
                                                                                         Unaudited            Audited
                                                                                       -------------        ------------

<S>                                                                                    <C>                   <C>
   Current Liabilities:
     Current portion of  amounts due to officer/stockholder                              $100,000              $100,000

     Accounts payable and accrued liabilities including
       $104,233 and $116,708 to related parties in
       2002 and 2001                                                                      607,023               550,903
     Accrued income taxes and related interest                                               -                   20,155
                                                                                       ----------           -----------

            Total current liabilities                                                     707,023               671,058

     Long-term portion of amounts due to officer                                        2,397,269             2,396,789
                                                                                       ----------           -----------

             Total Liabilities                                                          3,104,292             3,067,847
                                                                                       ----------           -----------

   Stockholders' equity:
     Common stock - $.025 par value:
       Authorized 15,000,000 shares, issued 3,962,058
       Shares in 2002 and 2001                                                             99,051                99,051
     Additional paid-in capital                                                         2,293,272             2,293,272
     Accumulated deficit                                                              (3,688,114)           (3,683,241)
                                                                                       ----------           -----------
                                                                                      (1,295,791)           (1,290,918)

   Less treasury stock 1,328 shares in 2002 and 2001 at cost                              (2,328)               (2,328)
                                                                                       ----------           -----------

             Total stockholders' equity (Deficiency)                                  (1,298,119)           (1,293,246)
                                                                                       ----------           -----------

   Total liabilities and stockholders' equity                                          $1,806,173            $1,774,601
                                                                                       ----------           -----------
                                                                                       ----------           -----------

</TABLE>


                        See Notes to Financial Statements

                                     - 4 -


<PAGE>

                         DIAPULSE CORPORTION OF AMERICA
                            STATEMENTS OF CASH FLOWS
                                   (UNAUDITED)

<TABLE>
<CAPTION>
                                                                                   SIX MONTHS ENDED
                                                                                       JUNE 30
                                                                                      ---------
                                                                           2002                     2001
                                                                       ----------                -----------
<S>                                                                    <C>                        <C>
Cash Flows From Operating Activities:
  Net income (Loss)                                                    $  (4,873)                 $ (55,980)
                                                                       ----------                 ----------
Adjustments to reconcile net income to net cash
  Provided by operating activities:
  Depreciation and amortization                                            10,002                      2,526
  Changes in operating assets and liabilities:
  (Increase) in accounts receivable                                     (144,162)                  ( 95,659)
  (Increase) Decrease in commission advances                               36,568                   (55,579)
  (Increase) in inventories                                              (37,670)                    (4,768)
  (Increase) in other assets                                              (8,297)                    (6,330)
  Increase in accounts payable and
    Accrued liabilities                                                    56,120                     92,577
  (Decrease) in income taxes payable                                     (20,155)                   (91,320)
                                                                       ----------                 ----------

         Total adjustments                                              (107,594)                  (158,553)
                                                                       ----------                 ----------
         Net cash (used in) operating
          Activities                                                    (112,467)                  (214,533)
                                                                       ----------                 ----------
Net cash used in investing activities, capital
   Expenditures                                                             -                        (4,272)
                                                                       ----------                 ----------
Cash flow from financing activities:
Net increase in due to officer                                              -                         51,126
Increase in long term portion of amounts
   due to officer                                                             480                     61,675


     Net cash provided by

     Financing activities                                                     480                    112,801
                                                                       ----------                 ----------
     Net (decrease) in cash
           and cash equivalents                                         (111,987)                  (106,004)
Cash and cash equivalents -
  Beginning of Period                                                     287,200                    416,738
                                                                       ----------                 ----------
Cash and cash equivalents -
  End of Period                                                          $175,213                   $310,734
                                                                       ----------                 ----------
                                                                       ----------                 ----------

</TABLE>

                        See Notes to Financial Statements

                                       -5-


<PAGE>




                         DIAPULSE CORPORATION OF AMERICA
                              STATEMENTS OF INCOME
                                   (UNAUDITED)

<TABLE>
<CAPTION>
                                                                                SIX MONTHS ENDED
                                                                                   JUNE 30
                                                                                   -------
                                                                          2002                   2001
                                                                        --------               ---------

<S>                                                                     <C>                    <C>
Net Sales and rentals                                                    $706,642              $ 897,446

Cost of sales and rentals                                                  80,826                 33,608
                                                                        ---------              ---------

          Gross Margin                                                    625,816                863,838


Operating Expenses:
  Selling, general and administrative                                     558,319                787,765
  Interest expense (principally to related parties)                        73,252                113,766
                                                                        ---------              ---------

          Total Operating Expenses                                        631,571                901,531
                                                                        ---------              ---------

         Net Operating Income (Loss)                                      (5,755)               (37,693)
Interest and other income                                                   2,354                  9,272
                                                                        ---------              ---------

         Income before Provision for Income Taxes                         (3,401)               (28,421)
Provision for Income Taxes                                                  1,472                 27,559
                                                                        ---------              ---------
          Net Income (Loss)                                             $ (4,873)              $(55,980)
                                                                        ---------              ---------
                                                                        ---------              ---------

           Basic Earnings Per Share                                       $  0.00                $  0.01
                                                                        ---------              ---------
                                                                        ---------              ---------

          Weighted Average Number of Common

          Shares Outstanding                                            3,960,730              3,960,730
                                                                        ---------              ---------
                                                                        ---------              ---------
</TABLE>


                        See Notes to Financial Statements

                                      - 6-


<PAGE>


                         DIAPULSE CORPORATION OF AMERICA
                          NOTES TO FINANCIAL STATEMENTS

1.       Basis of presentation

         The balance sheets of Diapulse Corporation of America as of June 30,
2002, and the related statements of income and cash flows for the six months
ended June 30, 2002, and 2001 have been prepared by the Company without audit.
In the opinion of management, all adjustments (which included only normal
recurring adjustments) necessary to present fairly the financial position,
results of operations and changes in cash flows for the six months ended June
30, 2002 and 2001 and for all periods presented have been made. Certain
information and footnote disclosures normally included in financial statements
prepared in accordance with generally accepted accounting principles have been
omitted. It is suggested that these financial statements be read in conjunction
with the financial statements and notes thereto included in the Company's
December 31, 2001 annual report to shareholders. There have been no changes of
significant accounting policies since December 31, 2001. Results of operations
for the six month period ended are not necessarily indicative of the results
that may be expected for the year ending December 31, 2002.

2.  Income Taxes

         The Company accounts for income taxes under the asset and liability
method.

3.  Inventories

         Inventories as of June 30, 2002 and December 31, 2001 consisted of the
following:

                                              June 30            December. 31
                                              -------            ------------
                                                2002                 2001
                                                ----                 ----

Parts, components and subassemblies          $ 93,826              $ 49,541
Finished goods                                  8,022                14,637
                                             --------              --------
          Total Inventories                   101,848                64,178
                                             --------              --------
                                             --------              --------






                                       -7-


<PAGE>



                         DIAPULSE CORPORATION OF AMERICA

                           PART II - OTHER INFORMATION
                For the Six months Ended June 30, 2002 and 2001

Results of Operations

         Net sales and rentals for the current six months decreased by 190,804
to $706,642 from last year's comparable six month period of $ 897,446. This was
due primarily to lower machine sales and rentals.

         Operating expenses for the current six months decreased to $558,319
from last year's comparable six month period of $787,765. This was due mainly to
reserve for bad debts set up in June 2001.

Liquidity and Capital Resources

         As of June 30, 2002, the Company had working capital of $155,497 and a
current ratio of 1.22 to 1. This represents a decrease in working capital since
December 31, 2001 of $61,976.

         The Company intends to fund its future operations, pursue research and
development of current and future products and expand operations through product
rental and sales.

Impact of Inflation

         Although the Company has not attempted to calculate the effect of
inflation, management does not believe inflation has had a material effect on
its results of operations. Material increases in costs and expenses in the
future could have a significant impact on the Company's operating results to the
extent that the effect of such increases cannot be transferred to its customers.

Forward-Looking Information

         The Private Securities Litigation Reform Act of 1995 provides a "safe
harbor" for certain forward-looking statements made by the Company in its
disclosures to the public. There is certain information contained herein in the
Company's press releases and in oral statements made by authorized officers of
the Company which are forward-looking statements, as defined by such Act. When
used herein, in the Company's press releases and in such oral statements, the
words "estimate", "project", "anticipate", "expect", "intend", "believe",
"plans", and similar expressions are intended to identify forward-looking
statements. Because such forward-looking statements involve risks and
uncertainties, there are important factors that could cause actual results to
differ materially from those expressed or implied by such forward-looking
statements

                                       -8-
<PAGE>

                         DIAPULSE CORPORATION OF AMERICA

                           PART II - OTHER INFORMATION
                For the Six Months Ended June 30, 2002 and 2001

Item 1.  Legal Proceedings

The Company was involved as plaintiff in litigation filed in August 1994,
alleging deceptive acts and practices, false advertising, unfair competition,
breach of fiduciary duty under New York Law and under Federal Law. The complaint
demands damages in an unspecified amount for compensatory, punitive and treble
damages, profits and attorneys' fees. In early 2000, a settlement agreement was
reached whereby all claims against the Company were dismissed with prejudice,
and the defendant agreed to pay the Company the sum of $50,000 with interest
rate of 9% per year, in 30 level monthly installment payments of $1,867.41. The
agreement further provided that in the event of failure to make the installment
payments when due, the entire balance would immediately become due and payable,
and the Company would be entitled to enter a judgement for the balance. The
agreement also provides for the defendants to refrain from engaging in certain
marketing practices in the future. The defendant failed to make the required
payments due since January 2001. As of March 31, 2002, the Summary Judgement is
still pending.

A former employee sued the Company in 1997 for certain unpaid deferred salary. A
settlement was reached in the sum of $95,000, whereby the Company agreed to pay
the former employee seven (7) installments of $13,571 payable every six months
beginning March 2000. The first five payments have been made, and the balance
due him is $27,143 as of this date.

A former employee of the Company , who was terminated in May 1999, filed five
small claim actions against the Company and other employees and an
officer-shareholder of the Company . Each action seeks $3,000 in damages. The
former employee's son also filed one small claim action against the Company and
an employee and an officer-shareholder of the Company. Most of the cases allege
various employment contract and/or labor violations; some allege liability for
property allegedly held or used by the Company. All actions were instituted
after the employee was terminated from employment . It is the opinion of counsel
that the actions filed by the former employee and his son are either meritless
or frivolous. The action is now on the nonjury trial calendar for 2002.

The Company filed a claim with one of its insurance carriers for loss of, and
damage to, property that was being stored with a storage company. The insurance
carrier was unable to process the claim because the storage company refused to
allow access to inspect the property unless the insurance carrier agreed not to
exercise its right of subrogation. The property remains at the storage company
facility pending final resolution of the claim. In September 2001, the storage
company sued the Company for approximately $80,000. The Company denies liability
on the merits of the case and also has raised the statute of limitations as a
partial defense. Counsel ventures no opinion on the ultimate outcome, but
believes there are good defenses, although some liability is possible.

                                       -9-
<PAGE>

                         DIAPULSE CORPORATION OF AMERICA

                           PART II - OTHER INFORMATION
                For the Six Months Ended June 30, 2002 and 2001

An independent sales representative of the Company sued the Company for unpaid
commissions in excess of $75,000. Arbitration awarded the sales representative
$73,000. The Company has instituted an arbitration proceeding against the
independent sales representative to recover machines, equipment and loss of
revenue estimated at $150,000. Legal counsel advises that the Company has a
strong case. Management anticipates that the amount payable to the
representative will not be made as a result of this action.

                                      -10-


<PAGE>



Item 2.  Changes in Securities

None

Item 3.  Defaults Upon Senior Securities

None.

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

None.

Item 5.  Other Information

Not applicable.

Item 6.  Exhibits and Reports on Form 8-K

          (a)  Exhibits Filed: None

          (b)  Reports on Form 8-K: None.



                                      -11-


<PAGE>


                                   SIGNATURES

Pursuant to the requirements of Section 11 or 15 (d) 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.

                                              DIAPULSE CORPORATION OF AMERICA
                                                        Registrant


                                          By     /s/ Jesse Ross, President
                                             ----------------------------------
                                                   Jesse Ross, President

                                          Date: August 12, 2002











                                     - 12 -