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

                                  FORM 10-QSB

[X] QUARTERLY REPORT UNDER SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT
   OF 1934
For the quarterly period ended September 30, 2006

[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT
For the transition period from       to

Commission File No. 000-05474

              NORTH AMERICAN GAMING AND ENTERTAINMENT CORPORATION

                    Delaware                           75-2571032
       -------------------------------     ---------------------------------
       (State or other jurisdiction of     (IRS Employer Identification No.)
       incorporation or organization)

                13150 Coit Road, Suite 125, Dallas, Texas 75240
       		-----------------------------------------------
                   (Address of principal executive offices)

                                (972) 671-1133
                          --------------------------
                          (Issuer's telephone number)

Check  whether the issuer (1) filed all reports required to be filed by Section
13 or 15(d) of the  Exchange Act during the past 12 months (or for such shorter
period that the registrant was required to file such reports), and (2) has been
subject to such filing requirements for the past 90 days.
                         [X] YES    [ ] NO

Indicate by check mark whether the registrant is a shell company (as defined in
Rule 12b-2 of the Exchange Act.
                         [X]    YES  [ ] NO

                 APPLICABLE TO ISSUERS INVOLVED IN BANKRUPTCY
                  PROCEEDINGS DURING THE PRECEDING FIVE YEARS

Check whether  the  registrant  filed  all documents and reports required to be
filed by Section 12, 13 or 15 (d) of the Exchange Act after the distribution of
securities under a plan confirmed by a court.
                 [ ]    YES    [ ] NO

                     APPLICABLE ONLY TO CORPORATE ISSUERS

State the number of shares outstanding   of  each  of  the  issuer's classes of
common  equity,  as  of  the  latest  practicable  date:  September  30,  2006:
24,216,058

Transitional Small Business Disclosure Format (check one)   Yes [ ] No [X]


<PAGE>

<TABLE>
<CAPTION>


NORTH AMERICAN GAMING AND ENTERTAINMENT CORPORATION
BALANCE SHEETS (UNAUDITED)


                                               	September 30,      December 31,
                                                    2006              2005
                                            	 (UNAUDITED)
						-------------	   ------------
<S>						<C>			<C>

ASSETS
Current assets:

Cash                                         	$	3,026      $	  2,504
Interest receivable                                    30,599        	 21,620
						-------------	   ------------
Total current assets                                   33,625            24,124

Property and equipment,
   net of accumulated deprecation     			3,213 		  3,125
Note receivable                                       133,000       	133,000
						-------------	   ------------

Total assets					$     169,838      $	160,249
						=============	   ============
LIABILITIES AND STOCKHOLDERS' DEFICIT
Current liabilities:
Notes payable					$     365,204      $	265,512
Accounts payable and accrued liabilities               92,306            65,578
Preferred stock dividends payable                      15,003            15,003
						-------------	   ------------
Total current liabilities                             472,513         	346,093
						-------------	   ------------
Commitments and contingencies

Stockholders' Deficit:
Common stock, $.01 par value, 100,000,000
   shares authorized, 41,788,552 shares
   issued                  			      417,886       	417,886
Additional paid-in capital                            489,214       	489,214
Treasury stock, 17,572,494 shares, at cost           (489,258)         (489,258)
Accumulated deficit                                  (720,517)         (603,686)
						-------------	   ------------
Total stockholders deficit                           (302,675)         (185,844)
						-------------	   ------------

Total liabilities and stockholders' deficit     $     169,838      $	160,249
						=============	   ============


</TABLE>




                                       1
The accompanying notes are an integral part of the financial statements.




<PAGE>

<TABLE>
<CAPTION>

NORTH AMERICAN GAMING AND ENTERTAINMENT CORPORATION
STATEMENTS OF OPERATIONS (UNAUDITED)



                                                       THREE MONTHS                 NINE MONTHS
                                                    ENDED SEPTEMBER 30,         ENDED SEPTEMBER 30,
                                                 2006                2005    2006                2005
						 -----------  -----------    -----------  -----------
<S>							<C>	<C>		<C>	<C>

Costs and expenses:

General and administrative expenses              $    37,996  $    37,954    $   103,391  $   118,799
						 -----------  -----------    -----------  -----------
Operating loss                                       (37,996)     (37,954)      (103,391)    (118,799)

Interest expense                                      (8,053)      (5,446)       (22,419)     (16,607)
Interest income                                        2,993        3,017          8,979        9,003
Miscellaneous income                                       -       57,058              -       57,058
						 -----------  -----------    -----------  -----------
Loss before provision
 for income taxes                                    (43,056)     (16,675)      (116,831)     (69,345)

Provision for income taxes                                 -            -              -            -
						 -----------  -----------    -----------  -----------
Net loss                                         $   (43,056) $   (16,675)   $  (116,831) $   (69,345)
						 ===========  ===========    ===========  ===========
Basic loss per share                                       *            *              *            *
						 ===========  ===========    ===========  ===========
Basic weighted average shares outstanding         24,216,058   24,216,058     24,216,058   24,216,058
						 ===========  ===========    ===========  ===========


</TABLE>


*Less than $.005 per share



                                       2
The accompanying notes are an integral part of the financial statements.


<PAGE>

<TABLE>
<CAPTION>


NORTH AMERICAN GAMING AND ENTERTAINMENT CORPORATION
STATEMENTS OF CASH FLOWS (UNAUDITED)

								Nine Months Ended September 30,
                                                     		      2006            2005
								----------------  -------------
<S>								<C>			<C>

Cash Flows From Operating Activities:
Net loss                                         		$	(116,831) $     (69,345)
Adjustments to reconcile net loss to net cash used in
   operating activities:
      Depreciation expense                               		     974            135
      Changes in operating assets and liabilities:
   Increase in:
   Accounts receivable                                     		       -        (25,000)
   Interest receivable                               			  (8,979)        (9,003)
   Increase in:
      Accounts payable and accrued liabilities      			  39,428         19,660
								----------------  -------------
Net Cash Used In Operating Activities            			 (85,408)       (83,553)
								----------------  -------------
Cash Flows From Investing Activities:
   Purchase of furniture and fixtures                			  (1,062)        (3,679)
   Repayments on advances                                  		       -         75,000
								----------------  -------------
Net Cash Provided By (Used In) Investing Activities  			  (1,062)    	 71,321
								----------------  -------------
Cash Flows From Financing Activities:
   Borrowings under note payable                      			  89,992         67,500
   Payments on notes payable                         			  (3,000)       (35,000)
								----------------  -------------
Net Cash Provided By Financing Activities             			  86,992         32,500
								----------------  -------------
Net  Increase (Decrease) in Cash                         		     522        (20,268)

Cash, beginning of period                             			   2,504         18,017
								----------------  -------------
Cash, end of period                                   		$	   3,026  $	 38,285
								================  =============
Cash paid during the period for:
   Interest							$	  11,899  $	    671
								================  =============

</TABLE>
                                       3
The accompanying notes are an integral part of the financial statements.


<PAGE>
NORTH AMERICAN GAMING AND ENTERTAINMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
NINE MONTHS ENDED SEPTEMBER 30, 2006

1.  OPINION OF MANAGEMENT

The preceding  financial  information has been prepared by the Company pursuant
to the rules and regulations  of the Securities and Exchange Commission ("SEC")
and,  in  the  opinion  of  the Company,  includes  all  normal  and  recurring
adjustments necessary for a fair statement of the results of each period shown.
Certain information and footnote disclosures normally included in the financial
statements  prepared in accordance  with  U.S.  generally  accepted  accounting
principles  have   been   condensed  or  omitted  pursuant  to  SEC  rules  and
regulations.  The Company believes  that  the  disclosures made are adequate to
make the information presented not misleading.

Results  for  the  nine months ended September 30,  2006  are  not  necessarily
indicative of the results to be realized during the full year.  These financial
statements should be  read  in  conjunction with the Company's Annual Report on
Form 10-KSB for the year ended December 31, 2005.

The accompanying financial statements  have  been  prepared  assuming  that the
Company  will continue as a going concern.  However, the Company currently  has
no sources  of  revenue and its cash flow needs will soon exhaust the available
cash.  Management  plans  to continue operating the business and pursue various
business, investment and financing opportunities.

2.  NOTE RECEIVABLE

In March 2004, the Company  entered  into a loan agreement with US Daylighting,
L.L.C. (Daylighting).  Under the terms of the Note, the Company is to initially
advance up to $150,000 to Daylighting,  with  interest  due monthly at 9%.  The
Company may advance an additional $150,000 and has the option  to  convert  the
total  of all advances ($300,000) into a 25% interest in Daylighting.  Advances
under the  note  are due within six months of demand being made by the Company,
and the note is in  default  as  of September 30, 2006.  The note is secured by
various membership interests of Daylighting.   As  of  September  30, 2006, the
Company has advanced $133,000 under this note, and accrued interest  receivable
on  this  note  is $30,599 as of September 30, 2006.  No allowance for doubtful
accounts is considered  necessary,  due  to  the  terms  of the note payable to
related party, discussed in Note 3.

3.  NOTES PAYABLE

In May 2004, the Company issued a 12% promissory note to an  unrelated party in
the amount of $110,000, due in 90 days.  The note is unsecured,  and guaranteed
by  an  officer  of  the  Company.   The note has been renewed in August  2004,
February  2005,  August  2005, and February  2006,  and  August  2006.   As  of
September 30, 2006 the balance  of  the  note  is  $101,992 and the note is due
February  18,  2007.   At each renewal date, the renewal  amount  included  any
outstanding principal and accrued interest payable.

                                       4

In July 2004, the Company  issued an 8% promissory note to a related party, due
in 180 days.  The note has been  renewed  in  January  2005, July 2005, January
2006 and July 2006, and as of September 30, 2006, the balance  of  the  note is
$250,212, and the note is due December 2006. The note is collateralized by  the
note  receivable from Daylighting.  Under the terms of the current renewal, the
related  party  lender's  sole  remedy  for  collection  is  to  foreclose  the
collateral note receivable from Daylighting and seek recovery from Daylighting.
The  related  party  lender also agreed it had no claim against the Company for
any deficiency in the  collection,  by the Company, of the note receivable from
Daylighting.  Interest expense on the note payable to related party was $12,331
and $1,989 for the nine months ended September 30, 2006 and 2005, respectively.

Other notes payable in the amount of  $12,700 at September 30, 2006, consist of
amounts due to former preferred stockholders  of the Company.  Those notes bear
interest at 9% and were payable in 2001.  The notes  are  unsecured  and are in
default at September 30, 2006.

4.    PENDING CHANGE OF CONTROL

On  September  26,  2006, the Company entered into an Agreement Concerning  the
Exchange of Common Stock with Xi'an Jin Chi An Automobile Development Co., Ltd.
("JCA"), a Chinese company.  Under  the  Agreement,  JCA will merge with newly-
formed  subsidiary of the Company, and the shareholders  of  JCA  will  receive
shares of  Series  C  Convertible  Preferred Stock that carry 93% of the voting
power of the Company, resulting in a  change  of control and the acquisition of
an  operating business in China. The Preferred Stock  will  be  converted  into
approximately  93%  of the outstanding common stock of the Company following an
amendment to the Company's  certificate  of incorporation to be approved by the
stockholders of the Company to increase the  number of authorized shares and to
effect a one-for-ten reverse split of the common stock. A copy of the Agreement
was filed as an exhibit to a Form 8-K filed on  September 26, 2006. JCA and its
subsidiary  are  engaged  in the sale of automobile  parts  and  supplies  from
approximately four locations  in  and  around  the city of Xi'an, China. Annual
revenues from such sales currently exceed approximately $5 million.

ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATION

LIQUIDITY AND CAPITAL RESOURCES

General: Until August 20, 2001, the Company was  engaged  in  the  video gaming
business  through  its  partial ownership of three operating companies.   These
companies operated video  poker  machines  located in truck stops in Louisiana.
Effective August 20, 2001, the Company sold its interests in these companies.

General Condition.  The Company ended the quarter  with $3,026 in cash, $30,599
in  accrued  interest receivable, $3,213 in property and  equipment  (net)  and
$133,000 in note  receivable.  Total liabilities were $472,513 at September 30,
2006 and consist of  accounts payable and accrued liabilities of $92,306, notes
payable of $365,204 and  preferred  stock  dividends  payable  of $15,003.  The
Company's current liabilities increased from approximately $346,000 at December
31,  2005 to approximately $473,000 at September 30, 2006.  This  increase  was
due primarily  to  the  increase  in  accrued  interest  payable and additional
amounts borrowed on notes payable.

                                       5

PLAN OF OPERATIONS

Effective  August  20,  2001, the Company sold its interests  in  video  gaming
business for cash and notes receivable. During 2003, the Company sold the notes
receivable for cash. As a  result,  the  Company  has no on-going operations or
revenues.  The  Company's  plan  is  to  continue  exploring   for  acquisition
opportunities  and  the  financing  required  to  buy  and support an operating
business (see Note 4 to the financial statements). During  2006 the Company has
continued to rely on advances from related parties to pay our  basic  level  of
operating expense.


See  Note  4  to  the  financial  statements.  Upon the acquisition of JCA, the
Company  will  become  an operating company, with headquarters  in  the  United
States and all business  operations  in  and  around  the  city of Xi'an in the
Peoples Republic of China. The subsidiaries of the Company will  be  engaged in
the  retail  sale  of automobile parts from approximately four  locations.  The
details of the acquired companies, including audited financial statements and a
Management's Discussion  and Analysis and Plan of Operations, will be contained
in a Form 8-K filed shortly  after  the  closing of the acquisition, which will
occur  after  completion of due diligence and  receipt  of  Chinese  regulatory
approvals.

Our independent  accountants have expressed substantial doubt about our ability
to continue as a going concern.

RESULTS OF OPERATIONS

Comparison of the nine months ended September 30, 2006 to the nine months ended
September 30, 2005.

Operating Income (Expense)

The Company recorded  an  operating  loss  of  $116,831  comprised primarily of
general  and  administrative costs during the nine months ended  September  30,
2006, compared  to  an  operating  loss  of $69,345 also comprised primarily of
general and administrative costs for the nine  months ended September 30, 2005.
The increase in the loss from operations for the  nine  months  ended September
30,  2006  as  compared  to the loss from operations for the nine months  ended
September 30, 2005 is due  to  an  increase in general and administrative costs
during 2006.

Interest Expense

The Company incurred interest expense  of  $22,419  for  the  nine months ended
September 30, 2006, compared to $16,607 for the nine months ended September 30,
2005.   The  increase in interest expense is due to additional borrowings  from
related and unrelated parties.

Interest Income and Miscellaneous Income

The Company recorded  interest  income  of  $8,979  for  the  nine months ended
September  30,  2006,  related  to  interest income on the convertible  secured
promissory note with U.S.

                                       6


<PAGE>

Daylighting, L.L.C., compared to interest  income of $9,003 for the nine months
ended September 30, 2005.

ITEM 3.  CONTROLS AND PROCEDURES

a)  Within the 90-day period prior to the date  of  this report, we carried out
   an  evaluation,  under  the supervision and with the  participation  of  our
   management,  including the  Chief  Executive  Officer  and  Chief  Financial
   Officer, of the  effectiveness of the design and operation of our disclosure
   controls and procedures  pursuant  to Rule 13a-14 of the Securities Exchange
   Act of 1934 (the "Exchange Act"). Based  upon  that  evaluation,  the  Chief
   Executive  officer and Chief Financial Officer concluded that our disclosure
   controls and  procedures  are  effective in timely alerting them to material
   information relating to the Company  required to be included in our Exchange
   Act  filings.   The two Executive Officers  responsible  for  the  financial
   reporting and disclosure  are  in direct control of the books and records of
   the Company and are involved first-hand  in  the decision making process for
   material transactions.

b)  There have been no significant changes in our internal controls or in other
   factors, which could significantly affect internal  controls  subsequent  to
   the date we carried out our evaluation.



NORTH AMERICAN GAMING AND ENTERTAINMENT CORPORATION
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
NINE MONTHS ENDED SEPTEMBER 30, 2006

Forward Looking Statements

Certain   statements  contained  in  this  Report  on  Form  10-QSB,  including
statements  of  the  Company's  current  expectations,  intentions,  plans  and
beliefs,   and  statements  containing  the  words  "believes",  "anticipates,"
"estimates," "expects," or "may," are forward-looking statements, as defined in
Section 21D  of  the  Securities  Exchange  Act  of 1934.  Such forward-looking
statements  involve  known and unknown risk, uncertainties  and  other  factors
which may cause the actual  results, performance, timing or achievements of the
Company to be materially different  from  any  results,  performance, timing or
achievements expressed or implied by such forward-looking statements.




                                       7


<PAGE>
PART II - OTHER INFORMATION

Items 1 through 5 not applicable.

ITEM 6.    EXHIBITS

(a)   Exhibits required to be filed by Item 601 of Regulation S-B:

31.1  Certification of Chief Executive  Officer  and  Chief  Financial  Officer
      Under Section 302 of the Sarbanes-Oxley Act of 2002

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



                                       8

                                  SIGNATURES

In accordance with Section 13 or 15(d) of the Securities Exchange  Act of 1934,
the  Company  has  duly  caused  this report to be signed on its behalf by  the
undersigned, thereunto duly authorized.

                                         NORTH AMERICAN GAMING AND
                                         ENTERTAINMENT CORPORATION


November 20, 2006
                                        /s/ E. H. Hawes,  II,  President
                                        --------------------------------
                                            E. H. Hawes,  II,  President
                                            and  Chief Executive Officer
                                           (Principal  Executive Officer
                                            and Principal Financial and
                                            Accounting Officer)




                                       9


<PAGE>