UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                              Washington D.C. 20549

                                   FORM 10-QSB

(Mark One)

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

                               For the quarterly period ended November 30, 2006
                                                              -----------------

[  ]     TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT

                For the transition period from               to
                                               -------------    --------------

                                                Commission File Number 1-15913
                                                                       -------

                      UNITED STATES BASKETBALL LEAGUE, INC.
                      -------------------------------------
        (Exact Name of Small Business Issuer as Specified in Its Charter)


              Delaware                                  06-1120072
              --------                                  ----------
  (State or Other Jurisdiction of                    (I.R.S. Employer
  Incorporation or Organization)                   Identification Number)


                    46 Quirk Road, Milford, Connecticut 06460
                    -----------------------------------------
                    (Address of Principal Executive Offices)


                                 (203) 877-9508
                                 --------------
                (Issuer's Telephone Number, Including Area Code)


                    -----------------------------------------
         (Former Name, Former Address and Former Fiscal Year, if Changed
                               Since Last Report)


         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. Yes[X] No[ ]

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

         State the number of shares outstanding of each of the issuer's classes
of common equity as of the latest practicable date. As of December 29, 2006,
there were 3,482,527 shares of Common Stock, $.01 par value per share,
outstanding.

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


<PAGE>


                      UNITED STATES BASKETBALL LEAGUE, INC.
                                      INDEX


                                                                            PAGE
 PART I.   FINANCIAL INFORMATION                                            ----

Item 1.   UNAUDITED FINANCIAL STATEMENTS.

          Consolidated Balance Sheets - November 30, 2006
          and February 28, 2006...............................................3

          Consolidated Statements of Operations for the three and
          nine months ended November 30, 2006 and 2005........................4

          Consolidated Statement of Stockholders'
          Deficiency..........................................................5

          Consolidated Statements of Cash Flows for the
          nine months ended November 30, 2006 and 2005 .......................6

          Notes to Consolidated Financial Statements .........................7

Item 2.   Management's Discussion and Analysis or Plan of Operation  ........11

Item 3.   Controls and Procedures ...........................................12

PART II.  OTHER INFORMATION .................................................13

Item 6.   Exhibits   ........................................................13


                                       2


<PAGE>




                                     PART I
                              FINANCIAL INFORMATION

ITEM 1.         CONSOLIDATED FINANCIAL STATEMENTS.


              UNITED STATES BASKETBALL LEAGUE, INC. AND SUBSIDIARY
              ----------------------------------------------------
                           CONSOLIDATED BALANCE SHEETS
                           ---------------------------
<TABLE>
<CAPTION>

                                                               November 30,                  February 28,
ASSETS                                                             2006                          2006
------
                                                           ----------------------        ----------------------
                                                               (Unaudited)
<S>                                                        <C>                           <C>
CURRENT ASSETS:
         Cash and cash equivalents                         $         7,985               $         5,517
         Marketable equity securities                               42,113                        47,404
         Inventory                                                   8,573                         8,573
         Prepaid expenses and other current assets                     600                           600
                                                           ----------------------        ----------------------
Total current assets                                                59,271                        62,094


PROPERTY AND PLANT, NET                                            258,876                       262,770
                                                           ----------------------        ----------------------
Total assets                                               $       318,147               $       324,864
                                                           ======================        ======================
LIABILITIES AND STOCKHOLDERS' DEFICIENCY
----------------------------------------

CURRENT LIABILITIES:
         Accounts payable and accrued expenses             $        53,877               $        74,953
         Judgment reserve                                          150,000                             -
         Credit card obligations                                   109,267                        88,967
         Due to related parties                                    781,963                       758,644
         Current portion of mortgage payable                        10,146                         9,969
                                                           ----------------------        ----------------------

Total current liabilities                                        1,105,253                       932,533
Long-term portion of mortgage payable                               77,218                        84,754
                                                           ----------------------        ----------------------
Total Liabilities                                                1,182,471                     1,017,287
                                                           ----------------------        ----------------------
STOCKHOLDERS' DEFICIENCY
          Common stock, $0.01 par value; 30,000,000
            shares authorized; issued  and outstanding
            3,522,502 and 3,527,602, shares respectively            35,225                        35,276
          Preferred stock,  $0.01 par value; 2,000,000
            shares authorized; 1,105,679 shares issued
            and outstanding                                         11,057                        11,057
          Additional paid-in-capital                             2,668,155                     2,671,929
          Deficit                                               (3,536,307)                   (3,368,231)
          Treasury stock, at cost; 39,975 shares                   (42,454)                      (42,454)
                                                           ----------------------        ----------------------
Total stockholders' deficiency                                    (864,324)                     (692,423)
                                                           ----------------------        ----------------------
Total liabilities and stockholders' deficiency             $       318,147               $       324,864
                                                           ======================        ======================
</TABLE>


See notes to consolidated financial statements.


                                       3


<PAGE>



              UNITED STATES BASKETBALL LEAGUE, INC. AND SUBSIDIARY
              ----------------------------------------------------
                      CONSOLIDATED STATEMENTS OF OPERATIONS
                      -------------------------------------
                                   (Unaudited)
<TABLE>
<CAPTION>

                                                                     Three Months Ended                Nine Months Ended
                                                            ----------------------------------- -------------------------------
                                                               November 30,      November 30,     November 30,   November 30,
                                                                   2006             2005              2006           2005
                                                            ----------------- ----------------- -------------------------------
<S>                                                         <C>               <C>                 <C>             <C>
REVENUES:
         Initial franchise fees                             $          -      $          -        $               $     5,000
         Continuing franchise fees                                 5,000            26,250           109,250          168,750
         Sponsorship/advertising                                  61,000            25,000           188,500          105,000
         Other                                                    16,274            13,200            43,930           39,900
                                                            ----------------- ----------------- ----------------  -------------
                                                                  82,274            64,450           341,680          318,650
                                                            ----------------- ----------------- ----------------  -------------

OPERATING EXPENSES:
         Judgment reserve                                        150,000                 -           150,000                -
         Consulting                                                2,850             9,400           105,850          113,200
         Team and post-season festival expenses                        -               222             1,491           20,650
         Referee fees                                                600               450            46,141           48,110
         Salaries                                                 14,950            11,469            44,850           35,425
         Travel and promotion                                     14,659            20,219            61,231           38,021
         Depreciation                                              1,298             1,298             3,894            3,894
         Other                                                    16,236            18,244            61,827           84,464
                                                            ----------------- ----------------- ----------------  -------------
                                                                 200,593            61,302           475,284          343,764
                                                            ----------------- ----------------- ----------------  -------------
Income (loss) from operations                                   (118,319)            3,148          (133,604)         (25,114)
                                                            ----------------- ----------------- ----------------  -------------

OTHER INCOME (EXPENSES):
          Net gain (loss) from marketable equity securities      (10,621)          (14,070)          (11,877)         (13,250)
          Interest expense                                        (9,635)           (4,561)          (22,692)         (10,247)
          Interest and dividend income                                 9                 6                97               36
                                                            ----------------- ----------------- ----------------  -------------
                                                                 (20,247)          (18,625)          (34,472)         (23,461)
                                                            ----------------- ----------------- ----------------  -------------
NET INCOME (LOSS)                                           $   (138,566)     $    (15,477)     $   (168,076)     $   (48,575)
                                                            ================= ================= ================  =============

Earnings (loss) per common share:
         Basic                                              $       (.04)     $       (.00)     $       (.05)     $      (.01)
                                                            ----------------- ----------------- ----------------- -------------
         Diluted                                            $       (.04)     $       (.00)     $       (.05)     $      (.01)
                                                            ----------------- ----------------- ----------------- -------------
WEIGHTED AVERAGE NUMBER OF
  COMMON SHARES OUTSTANDING
         Basic                                                  3,482,527        3,487,627         3,483,377        3,483,627
                                                            ----------------- ----------------- ----------------- -------------
         Diluted                                                4,588,206        4,593,306         4,589,056        4,589,306
                                                            ----------------- ----------------- ----------------- -------------

</TABLE>

See notes to consolidated financial statements.


                                       4


<PAGE>


              UNITED STATES BASKETBALL LEAGUE, INC. AND SUBSIDIARY
              ----------------------------------------------------
               CONSOLIDATED STATEMENT OF STOCKHOLDERS' DEFICIENCY
               --------------------------------------------------
                                   (Unaudited)
                                    ---------
<TABLE>
<CAPTION>

                               Common Stock            Preferred Stock
                            ----------------------  ---------------------   Additional                           Total
                            Shares                  Shares                   Paid-in                 Treasury  Stockholders'
                            Outstanding    Amount   Outstanding   Amount     Capital      Deficit      Stock    Deficiency
                            -----------   --------  -----------  --------   ----------  -----------  --------  -----------
<S>                         <C>           <C>       <C>          <C>        <C>         <C>          <C>       <C>
Balance February 28, 2006     3,527,602   $ 35,276    1,105,679  $ 11,057   $2,671,929  $(3,368,231) $(42,454) $ (692,423)
Cancellation of Stock            (5,100)       (51)           -         -       (3,774)           -        -       (3,825)
Net loss                              -          -            -         -            -     (168,076)       -     (168,076)
                            -----------   --------  -----------  --------   ----------  -----------  --------  -----------
Balance November 30, 2006     3,522,502   $ 35,225    1,105,679  $ 11,057   $2,668,155  $(3,536,307) $(42,454) $ (864,324)
                            ===========   ========  ===========  ========   ==========  ===========  ========= ===========

</TABLE>


See notes to consolidated financial statements.


                                       5


<PAGE>


              UNITED STATES BASKETBALL LEAGUE, INC. AND SUBSIDIARY
              ----------------------------------------------------
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                      -------------------------------------
                                   (Unaudited)

<TABLE>
<CAPTION>

                                                                                        Nine Months Ended
                                                                            November 30,                 November 30,
                                                                                2006                         2005
                                                                                ----                         ----
<S>                                                                         <C>                          <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
         Net income (loss)                                                  $(168,076)                   $ (48,575)
         Adjustments to reconcile net income(loss) to
            net cash provided by (used in) operating activities:
                  Depreciation                                                  3,894                        3,894
                  Judgment payable reserve                                    150,000                            -
                  Shares issued for services                                        -                        6,000
                  Non-cash compensation                                        (3,825)                           -

                   Change in operating assets and liabilities:
                       Marketable equity securities                            5,291                        23,672
                       Accounts payable and accrued expenses
                                                                              (21,076)                     (67,487)
                       Credit card obligations                                 20,300                            -
                                                                        ----------------------       ----------------------
         Net cash used in operating activities                                (13,492)                     (82,496)
                                                                        ----------------------       ----------------------

CASH FLOWS FROM FINANCING ACTIVITIES:
         Loans from (repayments to) related parties                            23,319                       98,735
         Decrease in mortgage payable                                          (7,359)                      (6,707)
                                                                        ----------------------       ----------------------

         Net cash provided by financing activities                             15,960                       92,028
                                                                        ----------------------       ----------------------
NET INCREASE(DECREASE) IN CASH AND CASH EQUIVALENTS                             2,468                        9,532

CASH AND CASH EQUIVALENTS, beginning of period                                  5,517                        2,770
                                                                        ----------------------       ----------------------
CASH AND CASH EQUIVALENTS, end of period                                $       7,985                $      12,302
                                                                        ======================       ======================
SCHEDULE OF NON-CASH TRANSACTION:
         Acquisition of marketable equity securities in exchange for
           increase in amount due to related party                      $           -                $      68,674
</TABLE>


See notes to consolidated financial statements.


--------------------------------------------------------------------------------



                                       6


<PAGE>


              UNITED STATES BASKETBALL LEAGUE, INC. AND SUBSIDIARY
              ----------------------------------------------------
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                   ------------------------------------------
                       NINE MONTHS ENDED NOVEMBER 30, 2006
                       -----------------------------------
                                   (Unaudited)


1.   Description of Business and Basis of Presentation:
     -------------------------------------------------

     United States Basketball League, Inc. ("USBL"), incorporated in Delaware on
     May 29, 1984  operates a  professional  summer  basketball  league  through
     franchises  located  in the United  States.  Its  wholly  owned  subsidiary
     Meisenheimer Capital Real Estate Holdings, Inc. ("MCREH") owns a commercial
     building in Milford, Connecticut.

     At November 30, 2006,  USBL and MCREH  (collectively,  the  "Company")  had
     negative  working  capital  of  $1,045,982,  a  stockholders' deficiency of
     $864,324 and accumulated losses of $3,536,307.  This factor, as well as the
     Company's  reliance  on  related  parties  (see  Notes 6 and 9),  create an
     uncertainty as to the USBL's ability to continue as a going concern.

     The  Company is making  efforts to raise  equity  capital,  revitalize  the
     league and market new franchises.  However,  there can be no assurance that
     the Company will be successful in accomplishing its objectives.  Because of
     the  uncertainties  surrounding  the ability of the Company to continue its
     operations,  there is  substantial  doubt  about the  Company's  ability to
     continue as a going concern.  The consolidated  financial statements do not
     include any adjustments  that might be necessary  should the USBL be unable
     to continue as a going concern.

     The  accompanying  unaudited  consolidated  financial  statements have been
     prepared  by the  Company  pursuant  to the  rules and  regulations  of the
     Securities and Exchange Commission.  Accordingly,  they may not include all
     of  the  information  and  footnotes  required  by  accounting   principles
     generally accepted in the United States for complete financial  statements.
     In the opinion of management,  the unaudited  financial  statements reflect
     all adjustments, which include only normal recurring adjustments, necessary
     for a fair presentation.  Operating results for the nine-month period ended
     November 30, 2006 may not necessarily be indicative of the results that may
     be  expected  for the year  ending  February  28,  2007.  The  notes to the
     consolidated  financial  statements  should be read in conjunction with the
     notes to the consolidated  financial  statements contained in the Company's
     Form 10-KSB for the year ended February 28, 2006.

2.   Summary of Significant Accounting Policies:
     ------------------------------------------

     Principles  of  consolidation  - The  accompanying  consolidated  financial
     statements  include  the  accounts  of  USBL  and  MCREH.  All  significant
     intercompany accounts and transactions have been eliminated.

     Fair value  disclosures - The carrying  amounts of the Company's  financial
     instruments, which consist of cash and cash equivalents,  marketable equity
     securities, accounts payable and accrued expenses, credit card obligations,
     due to related parties and mortgage  payable,  approximate their fair value
     due to  their  short  term  nature  or  based  upon  values  of  comparable
     instruments.

     Cash and cash  equivalents  - The Company  considers all highly liquid debt
     instruments  purchased  with a maturity of three  months or less to be cash
     equivalents.


                                       7
<PAGE>


     Marketable equity securities - Marketable equity securities are recorded at
     fair value with unrealized  gains and losses included in income.  Effective
     March 1, 2005,  marketable  equity  securities with a fair value of $68,674
     were  transferred to the Company from its affiliate  Meisenheimer  Capital,
     Inc.  ("MCI") in exchange for a $33,071 decrease in the amount due from MCI
     and a $35,603 increase in the amount due to MCI. The Company has classified
     its investment in marketable equity securities as trading  securities.  The
     change in net unrealized  holding gain (loss)  included in earnings for the
     three months and nine months  ended  November  30, 2006 was  $(10,621)  and
     $(23,444), respectively.

     Inventory - Inventory consists of USBL trading cards,  basketball uniforms,
     sporting  equipment and printed  promotional  material and is stated at the
     lower of cost or market.  Certain  inventory  was obtained  through  barter
     transactions  whereby the USBL granted suppliers various  advertising space
     (print) and airtime  (television)  in return for the  supplier's  products.
     These  transactions  were  accounted  for based upon the fair values of the
     assets and services involved in the transactions.

     Depreciation  expense - Depreciation  is computed  using the  straight-line
     method over the building's estimated useful life (approximately 30 years).

     Revenue  recognition  - The Company  generally  uses the accrual  method of
     accounting in these financial  statements.  However, due to the uncertainty
     of collecting  royalty and franchise  fees from the  franchisees,  the USBL
     records  these  revenues  upon  receipt of cash  consideration  paid or the
     performance of related services by the franchisee. Franchise fees earned in
     nonmonetary  transactions  are recorded at the fair value of the  franchise
     granted  or the  service  received,  based on which  value is more  readily
     determinable. Upon the granting of the franchise, the Company has performed
     essentially all material conditions related to the sale. The offering price
     of a new franchise at November 30, 2006 was $200,000.

     The Company  generates  advertising  revenue  from fees for arena  signage,
     tickets,  and program and year book advertising space.  Advertising revenue
     is recognized over the period that the advertising  space is made available
     to the user.

     Fees charged to teams to allow them to relocate are  recognized  as revenue
     upon  collection  of the fee.  Souvenir  sales,  which are generated on the
     Company's web site,  are recorded  upon shipment of the order.  Essentially
     all orders are paid by credit card.

     Income taxes - Deferred tax assets and liabilities are determined  based on
     differences  between  financial  reporting  and tax  bases  of  assets  and
     liabilities,  and are  measured  using the  enacted tax rates and laws that
     will be in effect when the differences are expected to reverse. A valuation
     allowance has been fully provided for the deferred tax asset (approximating
     $907,000) resulting from the net operating loss carryforward.

     As of November 30, 2006, the Company had a net operating loss  carryforward
     of approximately  $2,268,000 available to offset future taxable income. The
     carryforward  expires in varying  amounts  through year ended  February 28,
     2027.

     Estimates - The  preparation  of financial  statements in  conformity  with
     generally  accepted  accounting  principles  requires  management  to  make
     estimates and  assumptions  that affect the reported  amounts of assets and
     liabilities and disclosure of contingent assets and liabilities at the date
     of the  financial  statements  and the  reported  amounts of  revenues  and
     expenses  during the


                                       8


<PAGE>



     reporting period. Actual results could differ from those estimates.

     Advertising costs - Advertising costs are expensed as incurred.

     Stock-based  compensation  - Stock  compensation  is accounted  for at fair
     value  in  accordance  with  SFAS  No.  123  and  123(R),  "Accounting  for
     Stock-Based  Compensation."  No stock options were granted  during 2006 and
     2005 and none are outstanding at November 30, 2006.

     Earnings (loss) per share - SFAS No. 128, "Earnings Per Share", establishes
     standards  for computing and  presenting  earnings  (loss) per share (EPS).
     SFAS No. 128 requires dual presentation of basic and diluted EPS. Basic EPS
     excludes  dilution  and is  computed by dividing  net income  available  to
     common  stockholders  by the  weighted  average  number  of  common  shares
     outstanding  for the period.  Diluted EPS reflects the  potential  dilution
     that could occur if stock options or convertible  securities were exercised
     or converted  into common stock.  The Company did not include the 1,105,679
     shares of convertible  preferred  stock in its  calculation of diluted loss
     per  share  for  all  periods  presented  as the  result  would  have  been
     antidilutive.

     Comprehensive   income  -  Other  comprehensive  income  (loss)  refers  to
     revenues,   expenses,  gains  and  losses  that  under  generally  accepted
     accounting principles are included in comprehensive income but are excluded
     from net  income  (loss)  as these  amounts  are  recorded  directly  as an
     adjustment  to  stockholders'  equity.   Comprehensive  income  (loss)  was
     equivalent to net income (loss) for all periods presented.

     Referee  fees - The  Company's  principal  obligation  under the  franchise
     agreements is to provide referees for the league.


3.   Property and Plant, Net
     -----------------------

     Property and plant, net consists of:


                                 November 30,    February 28,
                                    2006            2006
                               --------------   ------------
                                (unaudited)

     Land                      $      121,253   $    121,253
     Building                         155,747        155,747
                               --------------   ------------
     Total                            277,000        277,000

     Accumulated depreciation         (18,124)      ( 14,230)
                               --------------   ------------

     Property, net             $      258,876   $    262,770
                               ==============   ============

     MCREH leases the property to USBL and to other tenants on a  month-to-month
     basis.  Rental  income from the other  tenants  (which is included in other
     revenues in the consolidated  statements of operations) for the nine months
     ended November 30, 2006 and 2005 was $42,600 and $39,000, respectively.


                                       9


<PAGE>


4.   Judgment Payable
     ----------------

     In  December  2006,  the Company  learned  that  Lexcar,  LLC was granted a
     default  judgment  against  the  Company  on May 9,  2006 in the  amount of
     $186,378 in an action  pending in the United States  District Court for the
     Southern  District of New York.  The action alleged that the Company failed
     to make a payment due of $25,000 and failed to repurchase  the  Westchester
     Wildlife franchise for $150,000.

     The Company has not yet  retained  counsel in this matter and the amount of
     the ultimate loss is not determinable with certainty at this time. However,
     the  Company  recorded a judgment  reserve  expense  and  related  judgment
     reserve  liability  in the amount of  $150,000  in the three  months  ended
     November 30, 2006 to provide a reserve for the ultimate  resolution  of the
     litigation.

5.   Credit Card Obligations
     -----------------------

     USBL uses credit  cards of related  parties to pay for  certain  travel and
     promotion  expenses.  USBL has  agreed  to pay the  credit  card  balances,
     including  related  interest.  The credit card obligations bear interest at
     rates  ranging up to 30% and are due in monthly  installments  of principal
     and interest.

6.   Due to Related Parties
     ----------------------

     Due to related parties consists of:
<TABLE>
<CAPTION>

                                                                      November 30,       February 28,
                                                                         2006               2006
                                                                     -------------     --------------
                                                                       Unaudited
     <S>                                                               <C>                <C>
     Loans payable to Spectrum Associates, Inc. ("Spectrum"),
       a corporation controlled by the two officers of USBL,
       interest at 6%, due on demand                                   $428,920            $416,519
     Loans payable to the two officers of USBL and their mother,
       interest at 6%, due on demand                                    261,028             256,076
     Note payable to mother of the two officers of USBL,
       interest at 6%, due December 31, 2006 (in December 2006,
       maturity was extended to December 31, 2011)                       50,000              50,000
     Due to MCI, due on demand                                           42,015              36,049
                                                                     -------------     --------------

     Total                                                             $781,963            $758,644
                                                                     =============     ==============
</TABLE>

     For the nine months ended November 30, 2006 and 2005,  certain interest due
     under these loans were waived by the respective lenders.


7.   Mortgage Payable
     ----------------

     The  mortgage  bears  interest  at 7.06% per  annum,  is payable in monthly
     installments  of principal  and interest of $1,362  through July 2008,  and
     provides for a balloon  payment of $69,373 in August 2008.  The mortgage is
     guaranteed by the Company's officers. Future maturities of the mortgage are
     as follows:

     Year Ending February 28,
     ------------------------
         2007                   $   2,610
         2008                      10,697
         2009                      74,057
                                ---------

         TOTAL                  $  87,364
                                =========

8.   Stockholders' Equity
     --------------------

     Each share of common stock has one vote.  Each share of preferred stock has
     five votes,  is entitled to a 2%  non-cumulative  annual  dividend,  and is
     convertible at any time into one share of common stock.


                                       10


<PAGE>


9.   Related Party Transactions
     --------------------------

     In the nine  months  ended  November  30, 2006 and 2005,  USBL  included in
     continuing  franchise  fees  revenues  from  MCI  of  $75,000  and  $75,000
     respectively.

     In the nine  months  ended  November  30,  2006  and  2005,  USBL  received
     advertising   revenues  from  Spectrum   totaling  $188,500  and  $105,000,
     respectively.

     In the nine months ended November 30, 2006 and 2005,  MCREH received rental
     income from Cadcom,  Inc., a corporation  controlled by the two officers of
     USBL, totaling $42,600 and $39,000, respectively.

     In the nine  months  ended  November  30, 2006 and 2005,  USBL  included in
     consulting fees expenses to MCI of $90,000 and $90,000 respectively.


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

OVERVIEW

     It is  anticipated  that the Company  will  continue  to rely on  financial
assistance from affiliates. The Meisenheimer family is fully committed to making
the  Company a  profitable  operation  and also  making the League a viable one.
Given the current lack of capital,  the Company has not been able to develop any
new programs to revitalize the League,  nor has it been able to hire  additional
sales and promotional personnel. As a result, the Company is currently dependent
on the efforts of Daniel T.  Meisenheimer,  III and two other  employees for all
marketing efforts.  Their efforts have not resulted in any substantial  increase
in the number of franchises.  The NBA has established a developmental basketball
league known as the  National  Basketball  Developmental  League  ("NBDL").  The
Company  believes  that the  establishment  of this league,  consisting of eight
teams,  will have no effect on the  Company's  season,  since the NBDL season as
presently  constituted  runs  from  November  through  March.  Further,  nothing
prohibits  a NBDL player from  playing in the USBL.  Accordingly,  and as of the
present time,  the Company does not perceive the NBDL as a competitor.  However,
with the  establishment  of the  NBDL,  it is  unlikely  that,  at least for the
present time, the Company can develop any meaningful relationship with the NBA.

THREE MONTHS ENDED NOVEMBER 30, 2006 AS COMPARED TO NOVEMBER 30, 2005

     Franchise fees revenues decreased $21,250 from $26,250 in 2005 to $5,000 in
2006.  This  decrease  is  directly  related to the  failure  of the  individual
franchises  to pay their  franchise  fees to the  Company.  The  franchises  are
generating  lower revenues due to poor attendance at games and therefore can not
pay  their  annual  royalty  fees  to the  Company.  As a  result,  the  Company
anticipates that the franchise fees will continue to be  uncollectible  from the
franchises in the foreseeable future.

     Sponsorship and advertising revenues increased $36,000 from $25,000 in 2005
to $61,000 in 2006. In both years, all sponsorship and advertising revenues were
received from the Company's affiliate Spectrum Associates.

     Operating  expenses  increased $139,291 from $61,302 in 2005 to $200,593 in
2006. This increase was due to the $150,000 judgment reserve expense recorded to
provide for the ultimate  resolution of the  litigation  described in Note 4 and
Item 1 of Part II.

     Net loss  increased  $123,089 from $15,477 in 2005 to $138,566 in 2006. The
increase is due  primarily to the  $150,000  judgment  reserve  expense in 2006,
offset  partially by $17,824 higher  revenues and $10,709 lower other  operating
expenses in 2006.


                                       11


<PAGE>


NINE MONTHS ENDED NOVEMBER 30, 2006 AS COMPARED TO NOVEMBER 30, 2005

     Aggregate franchise fees decreased to $109,250 for the first nine months of
2006 from $173,750 for the first nine months of 2005.  Franchise fees of $75,000
were received from MCI in both years,  but third party  franchise fees decreased
from  $98,750 in 2005 to $34,250 in 2006.  The  decrease  in  franchise  fees is
primarily  due  to  the  financial  instability  of  the  individual  franchises
constituting  the  League  as a result of poor  attendance  at the games and the
resultant  inability of the franchisees to pay the Company the royalty fees owed
by them.  Sponsorship and advertising revenues totaled $188,500 during the first
nine months of 2006 as compared to $105,000 in the first nine months of 2005. In
both years all  sponsorship  and  advertising  revenues  were  received from the
Company's affiliate Spectrum  Associates.  $306,100 and $219,000 of the 2006 and
2005 revenues, respectively, were derived from various related parties.

     Operating  expenses increased $131,520 from $343,764 in 2005 to $475,284 in
2006,  primarily due to the $150,000  judgment reserve expense recorded in 2006.
Operating  expenses for each of the periods included  management fees of $90,000
to MCI for management  services,  including the services provided to the Company
by Daniel T. Meisenheimer, III and Richard Meisenheimer.

     Interest  expense  increased to $22,692 in 2006,  as compared to $10,247 in
2005. The increase is a result of higher interest on credit card  obligations in
2006.

     Net loss  increased  $119,501 from $48,575 in 2005 to $168,076 in 2006. The
increase is due primarily to the $150,000  judgment  reserve expense in 2006 and
the $64,500  decrease in franchise fee revenues,  offset by the $83,500 increase
in advertising revenues and the $18,480 decrease in other operating expenses.

LIQUIDITY AND CAPITAL RESOURCES

     The Company had cash of $7,985 and a working  capital deficit of $1,045,982
at November 30, 2006.  The Company's  statement of cash flows reflects cash used
in operations of $13,492 in 2006,  which results  primarily from the $18,076 net
loss, offset partially by depreciation of $3,894. Net cash provided by financing
activities was $15,960 in 2006.

     The Company's  ability to generate cash flow from franchise royalty fees is
dependent on the financial stability of the individual  franchises  constituting
the League.  Each  franchise is confronted  with meeting its own fixed costs and
expenses,  which are primarily  paid from revenues  generated  from  attendance.
Experience  has shown that USBL is generally the last creditor to be paid by the
franchise. If attendance has been poor, USBL has from time to time only received
partial  payment and, in some cases,  no payments at all. The Company  estimates
that it requires at least $300,000 of working capital to sustain operations over
a 12-month period. Assuming that all of the teams pay their annual royalty fees,
this would amount to approximately $200,000.  However, the Company believes that
given prior  experience it is more  realistic to  anticipate  lower royalty fees
because  some of  these  teams  are  simply  not  able to  generate  significant
attendance  at  games.  Accordingly,  if  the  Company  is  unable  to  generate
additional  sales of franchises  within the next 12 months it will again have to
rely on  affiliates  for loans and  revenues to assist it in meeting its current
obligations.  With respect to long term needs,  the Company  recognizes  that in
order for the League and USBL to be successful, USBL has to develop a meaningful
sales and  promotional  program.  This will require an  investment of additional
capital.  Given the Company's  current financial  condition,  the ability of the
Company to raise additional  capital other than from affiliates is questionable.
At the  current  time  the  Company  has no  definitive  plan as to how to raise
additional capital.


                                       12


<PAGE>


     As discussed under the heading "Legal Proceedings" below, on May 9, 2006, a
default  judgment in the aggregate amount of $186,377.79 was entered against the
Company in favor of  Lexcar,  LLC, a Delaware  limited  liability  company.  The
Company  does not have the funds to pay this  judgment and may be forced to seek
protection under the United States Bankruptcy laws.

ITEM 3.  CONTROLS AND PROCEDURES.

     Under  the  supervision  and  with  the  participation  of our  management,
including our principal executive and financial officers,  we have evaluated the
effectiveness  of the  design  and  operation  of our  disclosure  controls  and
procedures as of November 30, 2006 and, based on such evaluation,  our principal
executive  and  financial  officers  have  concluded  that  these  controls  and
procedures  were not effective as we failed to disclose the  commencement of the
legal proceeding  giving rise to the default judgment  referred to below.  There
were no significant  changes in our internal  control over  financial  reporting
that  occurred  during the quarter ended  November 30, 2006 that has  materially
affected,  or is reasonably  likely to materially  affect,  our internal control
over financial reporting.

     Disclosure  controls and procedures  are our controls and other  procedures
that are designed to ensure that  information  required to be disclosed by us in
the  reports  that  we  file or  submit  under  the  Exchange  Act is  recorded,
processed,  summarized  and reported,  within the time periods  specified in the
Securities and Exchange  Commission's rules and forms.  Disclosure  controls and
procedures  include,  without  limitation,  controls and procedures  designed to
ensure that  information  required to be  disclosed by us in the reports that we
file under the Exchange Act is accumulated  and  communicated to our management,
including our principal  executive and financial  officers,  as  appropriate  to
allow timely decisions regarding required disclosures.



                                     PART II
                                OTHER INFORMATION

Item 1.   Legal Proceedings.

     On May 9, 2006,  Lexcar,  LLC was  granted a default  judgment  against the
Company in an action known as Lexcar, LLC, a Delaware Limited Liability Company,
                              --------------------------------------------------
D/B/A The Westchester  Wildfire v. United States  Basketball  League,  Inc. (the
---------------------------------------------------------------------------
"Action"), which is pending in the United States District Court for the Southern
District of New York.  The Action alleged that: (i) the Company failed to make a
payment due of $25,000,  and (ii) the Company  defaulted  on its  obligation  to
repurchase a franchise from the plaintiff. The default judgment in the aggregate
amount of $186,377.79  included the amount of the claim with interest thereon at
8%, plus attorney's fees, costs and disbursements.  The default judgment remains
outstanding to date.

Item 6.   Exhibits.

Exhibit No.:    Description:
-----------     -----------
31.1            Certification of principal executive officer

31.2            Certification of principal financial officer

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


                                      13


<PAGE>


                                   SIGNATURES

     In accordance  with the  requirements  of the Exchange Act, the  registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.


                                   UNITED STATES BASKETBALL LEAGUE, INC.


                                   By: /s/Daniel T. Meisenheimer, III
                                      ----------------------------------
                                       Daniel T. Meisenheimer, III
                                       Chairman and President

                                   By: /s/Richard C. Meisenheimer
                                      ----------------------------------
                                       Richard C. Meisenheimer
                                       Chief Financial Officer and
                                       Director


Date:  January 22, 2007



                                       15

<PAGE>

                                  EXHIBIT INDEX


Exhibit No.:   Description:
-----------    -----------


31.1           Certification of principal executive officer

31.2           Certification of principal financial officer

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






                                       16