UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C.  20549



FORM 10-QSB



xQUARTERLY REPORT UNDER SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934



For the quarterly period endedJune 30, 2006



oTRANSITION REPORT UNDER SECTION 13 OR

15(d) OF THE SECURITIES EXCHANGE ACT OF 1934



Commission file number000-25415



Twin Faces East Entertainment Corporation

(Exact name of small business issuer as specified in its charter)



Nevada
        94-3326901(State or other jurisdiction of incorporation or organization)
        (IRS Employer Identification No.)




2857 Hartwick Pines Dr.

Henderson, Nevada 89052

(Address of principal executive offices)



(702) 617-8832

(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.              YesxNoo



Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).                                                                                                                       YesxNoo



The number of shares of Common Stock, $0.001 par value, outstanding on August 21, 2006, was 11,862,348 shares.



Transitional Small Business Disclosure Format (check one):  Yesx
			Noo



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PART 1  FINANCIAL INFORMATION



Item 1. Financial Statements.



Twin Faces East Entertainment Corporation

(a Development Stage Company)

Condensed Balance Sheet

(unaudited)



|                                        |                                                     |                                                      | June 30,   
|--------------------------------------- | --------------------------------------------------- | ---------------------------------------------------- | -----------
|                                        |                                                     |                                                      | 2006       
|Assets                                  |                                                     |                                                     
|                                        |                                                     |                                                      |            
|Current assets:                         |                                                     |                                                     
|                                        | Cash and equivalents                                | $                                                    | 5          
|                                        |                                                     | Total current assets                                 |            
|                                        |                                                     |                                                      |            
|                                        |                                                     |                                                      | $          
|                                        |                                                     |                                                      |            
|Liabilities and Stockholders' (Deficit) |                                                     |                                                     
|                                        |                                                     |                                                      |            
|Current liabilities:                    |                                                     |                                                     
|                                        | Accrued salaries and benefits                       | $                                                    | 1,188,030  
|                                        | Other accrued expenses                              |                                                      | 2,264,053  
|                                        | Accrued payroll taxes                               |                                                      | 206,888    
|                                        | Stockholders' advances                              |                                                      | 458,749    
|                                        | Note payable                                        |                                                      | 40,900     
|                                        | Note payable - related party                        |                                                      | 445,000    
|                                        |                                                     | Total current liabilities                            |            
|                                        |                                                     |                                                      |            
|Commitments and contingencies           |                                                     | -                                                   
|                                        |                                                     |                                                      |            
|                                        |                                                     |                                                      |            
|                                        |                                                     |                                                      |            
|Stockholders' (deficit):                |                                                     |                                                     
|                                        | Preferred stock, $0.001 par value, 5,000,000 shares |                                                      |            
|                                        |                                                     | authorized, no shares issued and outstanding         |            
|                                        | Common stock, $0.001 par value, 20,000,000 shares   |                                                      |            
|                                        |                                                     | authorized, 11,862,348 shares issued and outstanding |            
|                                        | Additional paid-in capital                          |                                                      | 2,037,706  
|                                        | (Deficit) accumulated during development stage      |                                                      | (6,653,183)
|                                        |                                                     |                                                      |            
|                                        |                                                     |                                                      |            
|                                        |                                                     |                                                      | $          



The accompanying notes are an integral part of these financial statements.



1



---





Twin Faces East Entertainment Corporation

(a Development Stage Company)

Condensed Statements of Operations

for the three and six months ended June 30, 2006 and 2005

and for the period December 5, 1997 (inception) to June 30, 2006

(unaudited)



December 5, 1997For the three months ended
        For the six months ended
        (inception) toJune 30,
        June 30,
        June 30,2006
        2005
        2006
        2005
        2006Pre-Operating RevenueInterest income
        $
        -
        $
        -
        $
        -
        $
        -
        $
        878Pre-Operating Expenses:Professional services
        
        23,500
        
        11,010
        
        38,500
        
        30,053
        
        1,750,392Salaries and benefits
        
        40,340
        
        54,372
        
        101,321
        
        101,600
        
        2,690,842Travel
        
        9,258
        
        17,570
        
        14,193
        
        28,187
        
        372,542Automobile
        
        5,637
        
        11,888
        
        10,234
        
        19,804
        
        359,465Transportation
        
        -
        
        -
        
        -
        
        -
        
        152,469Miscellaneous
        
        246
        
        797
        
        726
        
        827
        
        91,076Insurance
        
        
        
        556
        
        -
        
        6,670
        
        222,492Telephone
        
        1,548
        
        291
        
        2,202
        
        1,425
        
        95,226Office and postage
        
        3,686
        
        444
        
        8,856
        
        2,802
        
        137,954Entertainment and meals
        
        -
        
        -
        
        -
        
        -
        
        152,413Pre-production costs
        
        -
        
        -
        
        -
        
        -
        
        107,797Advertising
        
        -
        
        -
        
        -
        
        -
        
        1,823Depreciation and amortization
        
        -
        
        -
        
        -
        
        -
        
        1,10384,215
        
        96,928
        
        176,032
        
        191,368
        
        6,135,594Net pre-operating (loss)
        
        (84,215)
        
        (96,928)
        
        (176,032)
        
        (191,368)
        
        (6,134,716)Other income (expenses):Gain on forgiveness of debt
        
        -
        
        -
        
        -
        
        -
        
        148,870Loss on investment
        
        -
        
        -
        
        -
        
        -
        
        (230,000)Interest
        
        (17,362)
        
        (17,313)
        
        (34,725)
        
        (30,407)
        
        (311,737)Total other income (expense)
        
        (17,362)
        
        (17,313)
        
        (34,725)
        
        (30,407)
        
        (392,867)Net (loss) before provision for income taxes
        
        (101,577)
        
        (114,241)
        
        (210,757)
        
        (221,775)
        
        (6,527,583)Provision for income taxes
        
        -
        
        -
        
        -
        
        -
        
        -Net (loss) from continuing operations
        
        (101,577)
        
        (114,241)
        
        (210,757)
        
        (221,775)
        
        (6,527,583)(Loss) from discontinued operations
        
        -
        
        -
        
        -
        
        -
        
        (125,600)Net (loss)
        $
        (101,577)
        $
        (114,241)
        $
        (210,757)
        $
        (221,775)
        $
        (6,653,183)Weighted average number ofcommon shares outstanding - basic and fully diluted
        
        11,862,348
        
        11,702,348
        
        11,862,348
        
        11,066,271Net (loss) per share - basic and fully diluted
        $
        (0.01)
        $
        (0.01)
        $
        (0.02)
        $
        (0.02)




The accompanying notes are an integral part of these financial statements.



2



---



Twin Faces East Entertainment Corporation

(a Development Stage Company)

Condensed Statement of Cash Flows

for the three and six months ended June 30, 2006 and 2005

and for the period December 5, 1997 (inception) to June 30, 2006

(unaudited)



December 5, 1997For the six months ended
        
        (inception) toJune 30,
        
        June 30,2006
        2005
        
        2006Cash flows from operating activitiesNet (loss)
        $
        (210,757)
        $
        (221,775)
        $
        (6,653,183)Loss on investment
        
        -
        
        -
        
        230,000Adjustments to reconcile net (loss) to net cash(used) by operating activities:Depreciation and amortization expense
        
        -
        
        -
        
        1,103Shares issued for consulting services
        
        -
        
        18,500
        
        515,992Shares issued for commission expense - related party
        
        -
        
        -
        
        20,000Shares issued for employment enticement
        
        -
        
        -
        
        5,000Shares issued for debt enticement
        
        -
        
        -
        
        20,000Shares issued for preproduction costs - related party
        
        -
        
        -
        
        10,000Shares issued for salaries - related party
        
        -
        
        375,000
        
        949,450Shares issued for accrued expenses
        
        -
        
        75,000
        
        75,000Forgiveness of accrued salaries and benefits
        
        -
        
        -
        
        155,000Changes in operating assets and liabilities:Increase (decrease) in accrued salaries and benefits
        
        8,065
        
        (319,600)
        
        1,188,030Increase in other accrued expenses
        
        152,095
        
        72,978
        
        2,264,053Increase in accrued payroll tax
        
        15,852
        
        
        
        206,888Net cash (used) by operating activities
        
        (34,745)
        
        103
        
        (1,012,667)Cash flows from investing activitiesPurchase of equipment
        
        -
        
        -
        
        (1,103)Investment in Magellan International, Inc.
        
        -
        
        -
        
        (180,000)Net cash (used) by investing activities
        
        -
        
        -
        
        (181,103)Cash flows from financing activitiesForgiveness of interest
        
        34,725
        
        -
        
        129,738Stockholders' advances
        
        -
        
        -
        
        458,749Proceeds from long-term debt
        
        -
        
        -
        
        485,900Issuance of common stock
        
        -
        
        -
        
        119,388Net cash provided by financing activities
        
        34,725
        
        -
        
        1,193,775Net increase (decrease) in cash
        
        (20)
        
        103
        
        5Cash and equivalents - beginning
        
        25
        
        7
        
        -Cash and equivalents - ending
        $
        5
        $
        110
        $
        5Supplemental disclosures:Interest paid
        $
        -
        $
        -
        $
        -Income taxes paid
        $
        -
        $
        -
        $
        -Non-cash transactions:Shares issued for consulting services
        $
        -
        $
        -
        $
        513,832Number of shares issued for consulting services
        
        -
        
        -
        
        2,789,889Shares issued for salaries - related party
        $
        -
        $
        -
        $
        674,450Number of shares issued for salaries - related party
        
        -
        
        -
        
        3,350,000Shares issued to invest in Pangaea Education Systems, Inc.
        $
        -
        $
        -
        $
        1,500Number of shares issued to invest in Pangaea Education Systems, Inc.
        
        -
        
        -
        
        1,500,000Shares issued for employment enticement
        $
        -
        $
        -
        $
        5,000Number of shares issued for employment enticement
        
        -
        
        -
        
        50,000Shares issued for debt inticement
        $
        -
        $
        -
        $
        20,000Number of shares issued for debt enticement
        
        -
        
        -
        
        333,333Shares issued for contractual payment to acquire Magellan
        $
        -
        $
        -
        $
        50,000Number of shares issued for contractual payment to acquire Magellan
        
        -
        
        -
        
        500,000Shares issued for commission expense
        $
        -
        $
        -
        $
        20,000Number of shares issued for commision expense
        
        -
        
        -
        
        200,000Shares issued for accrued expenses
        $
        -
        $
        -
        $
        75,000Number of shares issued for accrued expenses
        
        -
        
        -
        
        300,000Shares issued for preproduction costs
        $
        -
        $
        -
        $
        10,000Number of shares issued for preproduction costs
        
        -
        
        -
        
        100,000




The accompanying notes are an integral part of these financial statements.



3



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Twin Faces East Entertainment Corporation

(a Development Stage Company)

Notes to Unaudited Financial Statements



Note 1  Basis of presentation



The condensed interim financial statements included herein, presented in accordance with United States generally accepted accounting principles and stated in US dollars, have been prepared by the Company, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission.  Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations, although the Company believes that the disclosures are adequate to make the information presented not misleading.



These statements reflect all adjustments, consisting of normal recurring adjustments, which in the opinion of management are necessary for fair presentation of the information contained therein.  It is suggested that these condensed interim financial statements be read in conjunction with the financial statements of the Company for the year ended December 31, 2005 and notes thereto included in the Companys 10-KSB annual report.  The Company follows the same accounting policies in the preparation of interim reports.



Results of operation for the interim period are not indicative of annual results.



Note 2  Going concern



The Companys financial statements are prepared using the generally accepted accounting principles applicable to a going concern, which contemplates the realization of assets and liquidation of liabilities in the normal course of business.  However, the Company has not commenced its planned principal operations.  Without realization of additional capital, it would be unlikely for the Company to continue as a going concern.



The Company has been in the development stage since its inception.  As noted above, the Company is in the development stage and, accordingly, has not yet generated revenues from operations. Since its inception, the Company has been engaged substantially in financing activities and developing its product line, setting up its e-commerce website, and incurring substantial costs and expenses. As a result, the Company incurred accumulated net losses from December 5, 1997 (inception) through the period ended June 30, 2006 of ($6,653,183). Capital advances from stockholders are the Companys only current source of funds.  As such, the Companys continued existence is dependent upon obtaining sufficient investor interest and financing in order to commence development of its entertainment industry business, and achieving future profitable operations.  The accompanying financial statements do not include
any adjustments that might be required should the Company be unable to recover the value of its assets or satisfy its liabilities.



Note 3  Accrued salaries and benefits



During the three months ended June 30, 2006, the Company did not accrue nor pay any salary to its officers for the 8th consecutive quarter.



As of June 30, 2006, the Company has accrued salaries and benefits totaling $1,188,030 due to officers and employees of the Company.



4



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Twin Faces East Entertainment Corporation

(a Development Stage Company)

Notes to Unaudited Financial Statements



Note 4  Accrued expenses



During the three months ended June 30, 2006, the Company has accrued expenses totaling $2,264,053



Note 5  Stockholder advances



The advances from the three individuals, who are officers, directors and shareholders, are non-interest bearing and are expected to be repaid with anticipated new funds from further equity offerings.  As of June 30, 2006 , the balance owed is $458,749.



Note 6  Notes payable



On September 24, 2000, the Companys Board of Directors accepted a loan agreement for $40,900.  On the following business day after the weekend opening of the film, the lender will receive a total of $50,000, which includes $40,900 of principal and $9,100 of interest.  In addition, the lender will receive the greater of $25,000 or 2% of the opening box office gross of the film.  Currently, this project is in the negotiation process and actual production has not commenced.  As of June 30, 2006, the amount owed is $40,900, respectively.



Note 7  Notes payable  related party



On October 21, 2001, the Companys Board of Directors accepted three separate loan agreements at $110,000 each funded in October 2001, November 2001, and April 2002.  Each loan bears interest at 20%, and is payable in either cash of $132,000 or $154,000 worth of the Companys $0.001 par value restricted common stock on an annual basis.  Additional consideration includes 333,333 shares per note of the Companys $0.001 par value common stock bearing the Rule 144 restriction.  Currently, the Company is in default and is in the process of negotiating new terms with the lender.



On April 29, 2002, the Companys Board of Directors accepted a loan agreement for $115,000.  The loan bears interest at 3% per annum.  The interest payments of $3,450 are due annually at the anniversary date of the loan agreement.  The unpaid principal and interest on this loan is due in one balloon payment on April 29, 2005.  Currently, the Company is in default and is in the process of negotiating new terms with the lender.



The four loan agreements are with four entities that are shareholders of the Company. All entities are controlled and owned by one individual who is also a shareholder of the Company.  As of June 30, 2006, the aggregate amount owed is $445,000, respectively.



On July 1, 2005, the Company received a notice from the management and owner of the four entities indicating that all interest would be waived from July 1, 2005 until funding was received by the Company.  For the six months ended June 30, 2006, the Company recorded donated capital in the amount of $34,725, respectively.



The Company has recorded $17,362 interest expense for the three months ended June 30, 2006.



5



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Twin Faces East Entertainment Corporation

(a Development Stage Company)

Notes to Unaudited Financial Statements



Note 8  Stockholders (deficit)



The Company is authorized to issue 20,000,000 shares of its $0.001 par value common stock and 5,000,000 shares of its $0.001 par value preferred stock.



As of June 30, 2006, there have been no additional equity transactions since December 31, 2005.



Note 9  Stock options



The Company has reserved for issuance an aggregate of 500,000 shares of common stock for issuance under its 1998 Stock Option Plan and Non-Employee Directors Plan (the Directors Plan).  On January 1, 2000, the Companys Board of Directors adopted the 2000 Stock Option Plan which provides for issuance of an additional 600,000 shares of common stock on similar terms to its 1998 Stock Option Plan (collectively referred to as the Stock Option Plans), as described below.  Generally, all options terminate ninety days after a change in control of the Company.



Stock Option Plans

The Stock Option Plans provide for the issuance of both qualified (incentive) and non-qualified stock options to employees, officers, directors, consultants and independent contractors of the Company.  Qualified stock options may be granted at an exercise price equal to the fair market value per share of the Companys common stock on the date of grant.  Non-qualified stock options may be granted at an exercise price not less than eighty-five percent of the fair market value per share of the Companys common stock on the date of grant.  Each option granted will be exercisable for a term not more than ten years after the date of grant, and may be fully vested at the date of grant.



Directors Plan

Each non-employee director will receive an option to purchase 50,000 shares of common stock.  The options of non-employee directors will be exercisable according to the Stock Option Plans, except that options granted under the Directors Plan may not be exercised more than five years after the date of grant.



Six months ended
June 30, 2006
        Six months ended
June 30, 2005Shares
        Weighted Average Exercise Price
        Shares
        Weighted Average Exercise PriceOutstanding at beginning of period
        500,000
        $0.65
        500,000
        $0.65Granted
        --
        --
        --
        --Exercised
        --
        --
        --
        --Lapsed or cancelled
        300,000
        $0.25
        --
        --Outstanding at end of period
        200,000
        $1.25
        500,000
        $0.65Options exercisable at end of period
        200,000
        
        500,000Options available for future grant
        600,000
        
        600,000Weighted average minimum fair value of options granted during the period
        $0
        
        $0






6



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Twin Faces East Entertainment Corporation

(a Development Stage Company)

Notes to Unaudited Financial Statements



Effective January 1, 2006, the Company adopted SFAS No. 123R, Share-Based Payment, using the modified prospective approach. SFAS No. 123R replaces SFAS No. 123,  Accounting for Stock-Based Compensation , and supersedes Accounting Principles Board (APB) Opinion No. 25,  Accounting for Stock Issued to Employees . SFAS No. 123R requires the cost of all share-based payments to employees, including grants of employee stock options, to be recognized in the financial statements based on their fair values measured at the grant date, or the date of later modification, over the requisite service period. In addition, under the modified prospective approach, SFAS No. 123R requires unrecognized cost (based on the amounts previously disclosed in pro forma footnote disclosures) related to options vesting after the date of initial adoption to be recognized in the financial
statements over the remaining requisite service period.  The adoption of SFAS No. 123R had no impact on the financial statements as of June 30, 2006.



Prior to January 1, 2006, the Company accounted for stock-based compensation using the intrinsic value method prescribed by Accounting Principles Board Opinion No. 25, Accounting for Stock Issued to Employees, under which no compensation cost for stock options is recognized for stock options awards granted at or above fair market value.  Had compensation expense for the Companys Stock Option Plan been determined based upon fair values at the grant dates for awards under those plans in accordance with Statement of Financial Accounting Standards No. 123 (SFAS 123) Accounting for Stock-Based Compensation, the Companys net loss available to common stockholders would not have been effected for the six months ended June 30, 2006 as reported.



The following table presents summarized information about stock options outstanding as of June 30, 2006.



Options Outstanding
        Options ExercisableRange of Exercise Prices
        Number Outstanding at 6/30/06
        Weighted Average Remaining Contractual Life
        Weighted Average Exercise Price
        Number Outstanding at 6/30/06
        Weighted Average Exercise Price$1.00
        200,000
        .40 years
        $1.25
        200,000
        $1.25




Note 10  Commitments and contingencies



The Company has entered into employment contracts with certain officers.  The contracts are for a period of five years each.  In consideration, the officers have agreed that they would not directly or indirectly compete against the Company for a period of one year following termination of employment.  The contracts have expired and new contracts have been negotiated and are expected to be signed upon receipt of funding.



For the period ended June 30, 2006 the Company estimated federal and state payroll taxes of $206,888 related to stock issuances and accumulated salary and benefits to officers and directors.



On September 30, 2004, the Company entered into a Writer Development Agreement with an individual whereby the individual will perform writing services specific to a single project in



7



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Twin Faces East Entertainment Corporation

(a Development Stage Company)

Notes to Unaudited Financial Statements



exchange for $2,500 upon receipt of funding equal to or greater than $2,000,000 from the sale of the project and a one-time stock issuance of 10,000 shares of the Companys $.001 par value common stock.  During the nine months ended September 30, 2005, the Company issued the 10,000 shares.



On October 15, 2004, the Company entered into a distribution agreement with Lights Up Ministries, Inc. a Connecticut not for profit corporation to distribute its Sunday in Manhattan musical. Per the agreement, the Company will pay the producer 20% of collections after all distribution costs. The terms of the agreement commence on the date of signing and shall continue in perpetuity.



On November 10, 2004, the Company entered into a consulting agreement with an individual to provide consulting services valued at $100,000, and $5,000 per month effective March 1, 2005 related to the promotion and sale of productions produced by the Company. Per the Agreement, the Company has also agreed to issue 175,000 shares of its $.001 par value restricted stock no later than January 10, 2005 to the individual. The agreement is valid from the date of signing until the termination date of May 31, 2005 at which time the $5,000 monthly fee took affect.



Note 11Related party transactions



The Company does not lease or rent any property.  Physical facilities are provided at minimal charge by a director.  Such costs are immaterial to the financial statements and, accordingly, have not been reflected therein.  The officers and directors of the Company are involved in other business activities and may, in the future, become involved in other business opportunities.  If a specific business opportunity becomes available, such persons may face a conflict in selecting between the Company and their other business interests.  The Company has not formulated a policy for the resolution of such conflicts.



Note 12Reclassification



The accounts for the comparative periods have been reclassified to conform to the presentation adopted in the current year.



8



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FORWARD-LOOKING STATEMENTS



This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.  All statements other than statements of historical fact are forward-looking statements for purposes of federal and state securities laws, including, but not limited to, any projections of earnings, revenue or other financial items; any statements of the plans, strategies and objections of management for future operations; any statements concerning proposed new services or developments; any statements regarding future economic conditions or performance; any statements or belief; and any statements of assumptions underlying any of the foregoing.



Forward-looking statements may include the words may, could, estimate, intend, continue, believe, expect or anticipate or other similar words.  These forward-looking statements present our estimates and assumptions only as of the date of this report.  Except for our ongoing securities laws, we do not intend, and undertake no obligation, to update any forward-looking statement.



Although we believe that the expectations reflected in any of our forward-looking statements are reasonable, actual results could differ materially from those projected or assumed in any of our forward-looking statements.  Our future financial condition and results of operations, as well as any forward-looking statements, are subject to change and inherent risks and uncertainties.  The factors impacting these risks and uncertainties include, but are not limited to:



o
        our current lack of working capital;


o
        the receipt of loans from officers and directors;


o
        increases in interest rates or our cost of borrowing or a default under any material debt agreements;


o
        deterioration in general or regional economic conditions;


o
        adverse state or federal legislation or regulation that increases the costs of compliance, or adverse findings by a regulator with respect to existing operations;


o
        loss of customers or sales weakness;


o
        inability to achieve future sales levels or other operating results;


o
        the unavailability of funds for capital expenditures; and


o
        operational inefficiencies in distribution or other systems.




For a detailed description of these and other factors that could cause actual results to differ materially from those expressed in any forward-looking statement, please see Factors That May Affect Our Plan of Operation in this document.







9



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Item 2. Plan of Operation



Overview



Twin Faces was incorporated on December 5, 1997 under the laws of the State of Delaware and reincorporated under the laws of the State of Nevada on June 17, 1998.  We are in the development stage as a producer and developer of entertainment properties.  Our products include documentary film footage of Dr. Albert Einstein and feature film and television scripts.  A summary of our properties is as follows:



Einstein Properties



The Einstein Properties are the result of Dr. Smolanoffs acquisition of the films from Peter A. Buckey.  Peter A. Buckey, the son of one of Albert Einsteins oldest and closest friends, provides a rare insight into Albert Einsteins private life, opinions, and foibles that are now folded into unique and rare videos. We own original 16mm film footage of rare moments such as the family vacation when Einstein wrote that fateful letter to Franklin D. Roosevelt that led to the Manhattan Project. Peter was Einsteins driver, and companion initiating extensive dialogue, keeping copious notes, and storing and recording priceless memories.



Pages From A Rabbit Journal



Pages From A Rabbit Journal(, a childrens book and future film script was created by Dr. Smolanoff, President of the Company. The story is of The Rabbit Familys adventures in their travels through the forest with many character developments along the path of their journey. The story has been turned into a series of twenty-two minute animated video episodes, each a cliff-hanger and with a positive childrens message.



The Town That Arrested Santa Claus



The Town That Arrested Santa Claus(.  A fully illustrated childrens story with a merry cast of Christmas characters in the newly discovered village of Forgottenville. Children of all ages will delight in this unique classic tale, rich with the true meaning and tradition of Christmas. Santa and Forgottenvilles citizens are almost tricked by Dr. S. Neak, until a young child comes to Santas rescue. This is anticipated to become a Christmas classic and will be available in book, CD and may become a television animated special.



Hidden Treasures of the World



This is a series of one hour, made for television specials, showcasing specific geographic locations in the world where billion dollar plus treasure discoveries were made. The first documentary St. Lavra from Kiev Russia is complete and ready for distribution.



A Real Man



A Real Man is a story of a band of African American brothers, growing up in the ghetto with hard choices to be made.  The lead character needs to decide the future of his unborn



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child with his girlfriend- giving up the ways of the street or to let them both (mother & child) go and allow them to grow up as he did- fatherless.  This script was written by Johnnie King, Director of Film Development of the Company. This project has been reviewed with various outside funding sources and is a project in negotiation process with the Company.  Actual production will not commence until we have sufficient capital for production and marketing.



Sunday In Manhattan



Sunday in Manhattan is a DVD version of the Broadway Play by the same name.  It is a new and original live action, feature length, sound and talking motion Product in color, recorded originally in the English language, telling a complete and continuous story of Billy Sunday the baseball evangelist, with all necessary dialogue, music, lyrics and sound effects.



Street Justice



Street Justice is an action drama set on the streets of Bronx, New York.  It is the story of growing up in an infested neighborhood rancid with drugs and all manner of ghetto life.  More important it is the story of a young African American man who found a way to survive on the street without becoming a creature of the street.  As the story progresses he finds himself in a confrontational situation with the street hardened police beating his drug dealing brother to death in an arrest attempt.  He is conflicted about doing the right thing for his brother while understanding the police actions, and finds himself in the middle of the conflict, and the middle of the world which he fought so hard to escape.  The film is presently engaged in discussions with distributors and funding sources.



Music Duplication and Distribution Agreement



On October 20, 2003, we entered into a Music Duplication and Distribution Agreement with Pro Image, Inc. (PI) a New York corporation, relating to the duplication and distribution of a music, narrated CD titled The Town That Arrested Santa Claus (Santa), written by Michael Smolanoff, President of the Company, and owned by the Company. PI agreed to duplicate and place into distribution a CD of Santa and provide all services and personnel necessary and appropriate to render such duplication services; and all materials required for the scheduled duplication and delivery of the completed CD. PI agreed to provide the following services related to the program:



A.
        CD cover and script and/or lyrics as provided by us


B.
        Packaging, marketing and sales in English (only)


C.
        Best efforts distributing through associates and contacts in USA (only)




The term of the agreement commenced on October 20, 2003 and will continue for a period of five years.



We agreed to split Adjusted Gross Income equally (50/50) with PI.  As of June 30, 2006, we have not received any income from this agreement.





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Writer Development Agreement



On September 20, 2004, we entered into a Writer Development Agreement with Damian Lanfranchi, wherein Mr. Lanfranchi agreed to perform writing services for our proposed Einstein Project.  Conditioned upon Mr. Lanfranchis full performance, we agreed to compensate Mr. Lanfranchi with a one-time advance against royalty payments of $2,500 upon receipt of funding equal to or greater than $2 million from any source, a one-time stock issuance of 10,000 shares of our common stock (issued March 3, 2005) and royalty payments of 5% of the net profits received if a motion picture is made and sold, and/or a DVD/video released, and/or a book is published based on Mr. Lanfranchis work.  Royalty fees will be paid at the end of each quarter after receipt of monies and offset against the advance of $2,500.



Distribution Agreement  Sunday In Manhattan



On October 15, 2004, we entered into a Distribution Agreement with Lights Up Ministries Inc., a Connecticut not for profit Corporation, (Producer) with reference to the live musical production presently entitled Sunday in Manhattan (the Product) and available on DVD.  As the Distributor, we have the right to edit the Product in order to meet market specifications and requirements such as censorship and broadcast standards in countries within the Territory (consists of universe including, without limitation, all territories, commonwealths and possessions, and ships and airlines flying the flag or any country included therein).  Additionally, we have the exclusive right to distribute, exhibit, exploit, market, televise, advertise, publicize, distribute trailers and promotional materials, enter into commercial tie-ups and merchandising agreements, use,
change, and translate into any language, create foreign versions, change titles, authorize exhibition, use of trademarks and names and logos, make copies in any form of media or medium, broadcast and telecast including internet sales, extract promotional segments for viewing, use of voices and music, to use talent and writers names and likenesses, to add credits, and to allow commercial broadcasts to sell advertising and inset other announcements.  The term of the agreement commenced on October 15, 2004 and will continue in perpetuity.  We will be entitled to collect all monies payable in connection with the Rights under any sub-distribution agreement whenever such monies are payable.  All gross revenues will be disbursed as follows: 1) As Distributor, we will deduct and retain from any collections an amount equal to all out-of-pocket distribution expenses incurred in connection with the Product; 2) the Producer will earn as Producers fee a percentage of all monies payable in
connection with our exercise of the rights granted in the agreement, in the percentage amount equal to 20% of the remaining amount after our deductions for out-of-pocket distribution expenses; and 3) all collections remaining after the deductions set forth above shall be payable to us.  As of June 30, 2006, we have not generated any revenues from this property.



We have yet to generate revenues from operating activities and there is a substantial going concern issue as to whether we will ever be able to produce and market our films and generate sufficient, if any, revenues to satisfy our working capital requirements.  Since inception we have been dependent on the sale of our equity securities and loans from affiliates to satisfy our working capital requirements.  We continue to have a working capital deficiency that raises substantial concern regarding our ability to continue as a going concern.





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Plan of Operation



During the next twelve months we plan to focus our efforts on our development and production of our properties described above.



We have finished The Town That Arrested Santa Claus, a fully illustrated childrens story book narrative in animation, with the assistance of Pro Image, Inc.  We are working to have this fully illustrated childrens story in distribution for Christmas 2006.  Additionally, we are working on our Einstein documentary with several distributors.  Presently, we are also engaged in discussions with distributors and funding sources for the film Street Justice.



Satisfaction of our cash obligations for the next 12 months.Our plan of operation has been stalled by our lack of cash. Under our current plan of operation we will be required to generate at least $800,000 (minimal cash requirement) to continue in operation for the next 12 months. We have entered into an investment agreement and promissory note with Johnnie King, Director of Film Development for the Company, for the investment of $8,000,000 in combination of preferred stock and debt.  We have also entered into an investment agreement with Michael Smolanoff, President of the Company, wherein he agreed to make a $4,000,000 equity investment in the Company upon settlement of a lawsuit in his favor.  We are anticipating receipt of the funds during fiscal 2006.  If and when we receive the funds we will file a Form 8-K.



Going Concern



The consolidated financial statements included in this filing have been prepared in conformity with generally accepted accounting principles that contemplate the continuance of the Company as a going concern.  The Companys cash position may be inadequate to pay all of the costs associated with production and marketing.  Management intends to use borrowings and security sales to mitigate the effects of its cash position, however no assurance can be given that debt or equity financing, if and when required will be available.  The financial statements do not include any adjustments relating to the recoverability and classification of recorded assets and classification of liabilities that might be necessary should the Company be unable to continue existence.



Summary of any product research and development that we will perform for the term of our plan of operation.We do not anticipate performing any significant product research and development under our plan of operation.



Expected purchase or sale of plant and significant equipment.We do not anticipate the purchase or sale of any plant or significant equipment, as such items are not required by us at this time or in the next 12 months.



Significant changes in the number of employees.Although the employment agreements with all employees have expired, the Company continues to utilize the services of Dr. Smolanoff, Stan Teeple, Johnnie King and Janet Teeple as necessary to maintain the business.  Mr. King and Mrs. Teeple are accruing salaries at a reduced compensation rate, and Mssr.







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King/Teeple/Smolanoff are being reimbursed for certain expenses and benefits.  None of the employees work full time but devote whatever time is necessary for them to assist in the operations of the Company.  Therefore, we will need to hire full time operational staff and obtain employment and/or consulting agreements with the key employees as our operations commence.



Liquidity and Capital Resources



Investment Agreement and Promissory Note



On June 20, 2003, we entered into an Investment Agreement with Johnnie King, our Director of Film Development.  On September 29, 2003, we executed a new Investment Agreement with Mr. King to extend the funding dates that we previously agreed on in the June 20th agreement.  On November 16, 2004, we amended that agreement to extend the funding dates until September 29, 2005 and on November 3, 2005 we extended the funding dates to be within 10 days of the receipt of funds.  Pursuant to the terms of the agreement, Mr. King will make a direct $4,000,000 cash investment through the purchase of series C preferred stock.  Within 30 days of funding we will issue 1,000,000 shares of our series C preferred stock to Mr. King.  The stock will carry conversion rights to common on an annual basis the first week of the funding month each year commencing the month of funding, for a period of 4 years
according to the formula below.



The preferred stock shall be converted to common stock in the Company on the following dates:



One year from funding date, conversion of 250,000 shares preferred stock to common stock,

Two years from funding date, conversion of 250,000 shares preferred stock to common stock,

Three years from funding date, conversion of 250,000 shares preferred stock to common stock,

Four years from funding date, conversion of 250,000 shares preferred stock to common stock.



We will issue a 5% cash dividend on the principle amount of the unconverted preferred stock, payable in common stock as follows:



One year from funding date, $200,000 of common stock,

Two years from funding date, $120,000 of common stock,

Three years from funding date, $100,000 of common stock,

Four years from funding date, $50,000 of common stock.



At our option the preferred stock shall be converted according to either of the following:



Option 1- Average prior 30 days closing price on current quoted exchange or quotation service so the market value of the common stock issued is one million five hundred thousand dollars ($1,500,000).  For example, if the funding date is December 29, 2006, and if the 30-day average quoted closing price is $1 per share on December 29, 2007, Mr. King will receive



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1,500,000 shares of common stock for his 250,000 shares of preferred stock for a valuation conversion of 6 common shares for each preferred share.



Option 2- The stock may be converted at a conversion ratio of 2 common shares for each preferred share.  For example, if the funding date is December 29, 2006, on December 29, 2007 we may convert the 250,000 shares of preferred stock to 500,000 shares of common stock in the Company.



On June 20, 2003, we executed a Promissory Note with Johnnie King, our Director of Film Development for the principal amount of $4,000,000.  On September 29, 2003, we executed a new Promissory Note to extend the funding dates under the note.  On November 16, 2004, we amended that agreement to extend the funding date until September 29, 2005 and on November 3, 2005, we extended the funding dates to be within 10 days of the receipt of funds and the due date is on or before five years from the funding date.  Pursuant to the note we promise to pay to the order of Johnnie King the sum of $4,000,000 together with interest thereon at 10% per annum as prescribed below.  The sum and interest shall be paid in the following manner:



Interest due one year from funding date-

Payable as $400,000 worth of 144 restricted stock or $400,000 cash

Interest due two years from funding date-

Payable as $400,000 worth of 144 restricted stock or $400,000 cash

Interest due three years from funding date-

Payable as $400,000 worth of 144 restricted stock or $400,000 cash

Interest due four years from funding date-

Payable as $400,000 worth of 144 restricted stock or $400,000 cash



At the principal due date of the note, we agree to pay to Mr. King, at our option either $4,400,000 cash or $4,800,000 worth of 144 restricted stock.



We may prepay the promissory note at any time, without penalty, by delivery of the principal amount in cash and appropriate pro-rata interest as prescribed above.



As of the date of this filing we have not yet received any funds from Mr. King.  Upon receipt of funds we will file a Form 8-K.



Investment Agreement/Preferred Stock Purchase



On November 11, 2003, we executed an Investment Agreement/Preferred Stock Purchase with Michael Smolanoff, Ph.D., our President, wherein he agreed to make a direct cash investment into the Company as a result of proceeds from his pending Bronx County New York legal action (lawsuit).  The first funding date of the investment will be no later than 30 days after the first receipt of funds from the lawsuit and the final funding date shall be no later than 30 days after the final payment from the lawsuit.  The amount of the investment is the lesser of four million dollars ($4,000,000) or fifty percent (50%) of the total amount received from the lawsuit.  Within 30 days of the first funding date, we will issue one million (1,000,000) shares of our series C preferred Stock to Dr. Smolanoff.  The stock will carry conversion rights to common on an annual basis the first week of the funding month each year commencing the month of funding, for a period of 4 years.



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The preferred stock shall be converted to common stock in the Company on the following dates:



One year from first funding date, conversion of 250,000 shares preferred stock to common stock,

Two years from first funding date, conversion of 250,000 shares preferred stock to common stock,

Three years from final funding date, conversion of 250,000 shares preferred stock to common stock,

Four years from final funding date, conversion of 250,000 shares preferred stock to common stock.



At our option the stock shall be converted according to either of the following:




Option 1-Average prior 30 days closing price on current quoted exchange so that market value of the common issued is one million five hundred thousand dollars.  For example, if funding date is December 29, 2006, and if the 30-day average quoted closing price is $1 per share on December 29, 2007, Dr. Smolanoff would receive 1,500,000 shares of common stock for his 250,000 shares of preferred stock for a valuation conversion of 6 common shares for each preferred share.



Option 2-The stock may be converted at a conversion ratio of 2 common shares for each preferred share.  For example, if funding date is December 29, 2006, on December 29, 2007 we may convert the 250,000 shares of preferred stock to 500,000 shares of common stock.



We also agreed to issue a 5% cash dividend on the principle amount of the unconverted preferred stock, payable in common stock as follows:



One year from first funding date, cash dividend in common stock,


Two years from first funding dated, cash dividend in common stock,


Three years from final funding date, cash dividend in common stock,


Four years from final funding date, cash dividend in common stock.




As of the date of this filing we have not yet received any funds from Dr. Smolanoff. Upon receipt of funds we will file a Form 8-K.



A critical component of our operating plan impacting our continued existence is the ability to obtain additional capital through additional equity and/or debt financing. We do not anticipate enough positive internal operating cash flow until such time as we can generate substantial revenues from fees earned as a result of our documentary films of Dr. Albert Einstein and feature film and television scripts, which may take the next few years to fully realize.  In the event we cannot obtain the necessary capital to pursue our strategic plan, we may have to cease or significantly curtail our operations. This would materially impact our ability to continue operations.



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Our near term cash requirements are anticipated to be offset through the receipt of funds from private placement offerings and loans obtained through private sources and persons affiliated with the Company.  Since inception, we have financed cash flow requirements through debt financing and issuance of common stock for cash and services.  As we expand operational activities, we may continue to experience net negative cash flows from operations, pending receipt of servicing or licensing fees, and will be required to obtain additional financing to fund operations through common stock offerings and bank borrowings to the extent necessary to provide working capital.



Over the next twelve months we believe that existing capital and anticipated funds from operations will not be sufficient to sustain operations and planned expansion. Consequently, we will be required to seek additional capital in the future to fund growth and expansion through additional equity or debt financing or credit facilities. No assurance can be made that such financing would be available, and if available it may take either the form of debt or equity. In either case, the financing could have a negative impact on our financial condition and our stockholders.



We anticipate incurring operating losses over the next twelve months.  Our lack of operating history makes predictions of future operating results difficult to ascertain. Our prospects must be considered in light of the risks, expenses and difficulties frequently encountered by companies in their early stage of development.  Such risks include, but are not limited to, an evolving and unpredictable business model and the management of growth. To address these risks we must, among other things, obtain a customer base, implement and successfully execute our business and marketing strategy, continue to develop and produce projects, respond to competitive developments, and attract, retain and motivate qualified personnel.  There can be no assurance that we will be successful in addressing such risks, and the failure to do so can have a material adverse effect on our business prospects,
financial condition and results of operations.



Off-Balance Sheet Arrangements



We do not have any off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that is material to investors.



FACTORS THAT MAY AFFECT OUR PLAN OF OPERATION



Twin Faces has historically lost money and losses may continue in the future, which may cause us to curtail operations.



Since our inception we have incurred a net loss of $6,653,183.  Future losses are likely to occur, as we are dependent on spending money to pay for our operations. No assurances can be given that we will be successful in reaching or maintaining profitable operations.  Accordingly, we may experience liquidity and cash flow problems. If our losses continue, our ability to operate may be severely impacted.





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Twin Faces will need to raise additional capital or debt funding to sustain operations.



We will require additional capital to sustain operations and we may need access to additional capital or additional debt financing to establish revenues.  In addition, to the extent that we have a working capital deficit and cannot offset the deficit from profitable sales we may have to raise capital to repay the deficit and provide more working capital to permit growth in revenues. We have substantially curtailed our operations in anticipation of receiving $8 million pursuant to an investment agreement and promissory note with Johnnie King, Director of Film Development.  We cannot be assured that financing whether from external sources or related parties will be available if needed or on favorable terms. Our inability to obtain adequate financing will result in the need to reduce the pace of business operations.



Our independent auditors have added an explanatory paragraph to their audit opinions issued in connection with our financial statements for the years ended December 31, 2005 and December 31, 2004, which states that the financial statements raise substantial doubt as to our ability to continue as a going concern. Our ability to make operations profitable or obtain additional funding will determine our ability to continue as a going concern. Our financial statements do not include any adjustments that might result from the outcome of this uncertainty. We expect to be able to continue operations for twelve months based on funds from our operations and from the investment agreement and promissory note with Johnnie King for an investment of $8,000,000 in combination of preferred stock and debt.  Also, from an investment agreement with Michael Smolanoff for an investment of up to $4,000,000
upon settlement of a lawsuit in his favor.  If we do not receive the funds, as referred, we may not be able to continue operations for twelve months.



We are subject to a working capital deficit, which means that our current assets on June 30, 2006 were not sufficient to satisfy our current liabilities and, therefore, our ability to continue operations is at risk.



We had a working capital deficit for the period ended June 30, 2006, which means that our current liabilities exceeded our current assets on June 30, 2006 by $4,603,615.  Current assets are assets that are expected to be converted to cash within one year and, therefore, may be used to pay current liabilities as they become due. Our working capital deficit means that our current assets on June 30, 2006 were not sufficient to satisfy all of our current liabilities on those dates.  If our ongoing operations do not begin to provide sufficient profitability to offset the working capital deficit, we may have to raise capital or debt to fund the deficit or curtail future operations.



Our common stock is deemed to be a low priced Penny Stock, which may make it more difficult for investors to sell their shares due to suitability requirements.



Our common stock is deemed to be a "penny stock" as that term is defined in Rule 3a51-1 promulgated under the Securities Exchange Act of 1934.  These requirements may reduce the potential market for our common stock by reducing the number of potential investors. This may make it more difficult for investors in our common stock to sell shares to third parties or to otherwise dispose of them. This could cause our stock price to decline. Penny stocks are stock:





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
        With a price of less than $5.00 per share;



        That are not traded on a "recognized" national exchange;



        Whose prices are not quoted on the NASDAQ automated quotation system (NASDAQ listed stock must still have a price of not less than $5.00 per share); or



        In issuers with net tangible assets less than $2.0 million (if the issuer has been in continuous operation for at least three years) or $10.0 million (if in continuous operation for less than three years), or with average revenues of less than $6.0 million for the last three years.




Broker/dealers dealing in penny stocks are required to provide potential investors with a document disclosing the risks of penny stocks. Moreover, broker/dealers are required to determine whether an investment in a penny stock is a suitable investment for a prospective investor.



We could fail to attract or retain key personnel, which could be detrimental to our operations.



Our success largely depends on the efforts and abilities of key executives, including Michael Smolanoff Ph.D., our Chief Executive Officer. The loss of the services of Dr. Smolanoff could materially harm our business because of the cost and time necessary to find a successor.  Such a loss would also divert management attention away from operational issues. We presently do not maintain key-man life insurance policies on Dr. Smolanoff. We also have other key employees who manage our operations and if we were to lose their services, senior management would be required to expend time and energy to replace and train their replacements.  To the extent that we are smaller than our competitors and have fewer resources we may not be able to attract the sufficient number and quality of staff.



Item 3. Controls and Procedures.



We maintain disclosure controls and procedures designed to ensure that information required to be disclosed in reports filed under the Securities Exchange Act of 1934, as amended, is recorded, processed, summarized and reported within the specified time periods. We conducted an evaluation, with the participation of Michael Smolanoff, our Chief Executive Officer, and Stanley Teeple, our Chief Financial Officer, of the effectiveness of the design and operation of our disclosure controls and procedures, as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended, as of June 30, 2006, to ensure that information required to be disclosed by us in the reports filed or submitted by us under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the Securities Exchange Commissions rules and forms, including
to ensure that information required to be disclosed by us in the reports filed or submitted by us under the Exchange Act is accumulated and communicated to our management, including our principal executive and principal accounting officer, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure. Based on that evaluation, Dr. Smolanoff and Mr. Teeple have concluded that as of June 30, 2006, our disclosure controls and procedures were not effective at the reasonable assurance level due to the material weaknesses described below.



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In light of the material weaknesses described below, we performed additional analysis and other post-closing procedures to ensure our consolidated financial statements were prepared in accordance with generally accepted accounting principles. Accordingly, we believe that the financial statements included in this report fairly present, in all material respects, our financial condition, results of operations and cash flows for the periods presented.



A material weakness is a control deficiency (within the meaning of the Public Company Accounting Oversight Board (PCAOB) Auditing Standard No. 2) or combination of control deficiencies, that results in more than a remote likelihood that a material misstatement of the annual or interim financial statements will not be prevented or detected. Management has identified the following two material weaknesses which have caused management to conclude that, as of June 30, 2006, our disclosure controls and procedures were not effective at the reasonable assurance level:



1.
        We were unable to meet our requirements to timely file this quarterly report on Form 10-QSB for the period ended June 30, 2006. Management evaluated the impact of our inability to timely file periodic reports with the Securities and Exchange Commission on our assessment of our disclosure controls and procedures and has concluded that the control deficiency that resulted in the inability to timely make these filings represented a material weakness.




2.
        Due to our current lack of working capital, we do not maintain a sufficient complement of finance and accounting personnel with adequate depth and skill in the application of generally accepted accounting principles as demonstrated by significant adjustments to our financial statements identified by our independent registered accounting firm in the preparation of this quarterly report. In addition, we did not maintain a sufficient complement of finance and accounting personnel to handle the matters necessary to timely file our Form 10-QSB for the six months ended June 30, 2006. Management evaluated the impact of our lack of sufficient finance and accounting personnel on our assessment of our disclosure controls and procedures and has concluded that the control deficiency that resulted in our lack of sufficient personnel represented a material weakness.




To address these material weaknesses, management performed additional analyses and other procedures to ensure that the financial statements included herein fairly present, in all material respects, our financial position, results of operations and cash flows for the periods presented.



Remediation of Material Weaknesses



To remediate the material weaknesses in our disclosure controls and procedures identified above, in addition to working with our independent auditors, we have continued to seek investment capital adequate enough to satisfy our working capital requirements, which to date has been unavailable.







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Changes in Internal Control over Financial Reporting



Except as noted above, there were no changes in our internal control over financial reporting, as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act, during our most recently completed fiscal quarter that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.



PART II  OTHER INFORMATION



Item 1.
        Legal Proceedings.




We are not presently a party to any material litigation, nor to the knowledge of management is any litigation threatened against us, which may materially affect us.



Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.



None.




Item 3.
        Defaults Upon Senior Securities.




None.



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




None.



Item 5.
        Other Information.




None.



Item 6.
        Exhibits.




31.1*
        Certification of Michael Smolanoff Pursuant to Section 302 of the Sarbanes-Oxley Act31.2*
        Certification of Stanley L. Teeple Pursuant to Section 302 of the Sarbanes-Oxley Act32.1*
        Certification of Michael Smolanoff Pursuant to Section 906 of the Sarbanes-Oxley Act32.2*
        Certification of Stanley L. Teeple Pursuant to Section 906 of the Sarbanes-Oxley Act


* Filed herewith



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SIGNATURES



Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.



TWIN FACES EAST ENTERTAINMENT CORPORATION

(Registrant)



By:/s/
			Stanley L. Teeple

Stanley L. Teeple, Chief Financial Officer


(On behalf of the registrant and as


principal financial officer)




Date: September 21, 2006



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