U. S. SECURITIES AND EXCHANGE COMMISSION

                              Washington, DC 20549

                                   Form 10-QSB

/X/ QUARTERLY  REPORT UNDER  SECTION 13 OR 15(D) OF THE  SECURITIES EXCHANGE ACT
    OF 1934

         For the quarterly period ending March 31, 2003

                                       Or

/_/ TRANSITION  REPORT UNDER SECTION 13 OR 15(d) OF  THE SECURITIES EXCHANGE ACT
    OF 1934

For the transition period from _________ to ____________

                          Commission File No. 333-93475

                    CORNERSTONE MINISTRIES INVESTMENTS, INC.
                    ----------------------------------------
        (Exact name of small business issuer as specified in its charter)

Georgia                                                 58-2232313
--------------------------------------------------------------------------------
(State or other jurisdiction                (IRS Employer Identification Number)
of incorporation or organization)

2450 Atlanta Highway, Suite 904, Cumming, GA                    30040
--------------------------------------------------------------------------------
(Address of principal executive office)                       (Zip Code)

Issuer's telephone number, including area code: (678)-455-1100

Formerly, Cornerstone Ministries Investments, Inc.  Changed February 26, 2003
--------------------------------------------------------------------------------
Former name, address and former fiscal year, if changed since last report.

Check  whether  the issuer  (1) filed all  reports  required  to be filed by the
Section 13 or 15(d) of the  Securities  Exchange  Act of 1934 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 past 90 days.

                  Yes__X_                   No___

As of February 28, 2003, there were issued and outstanding 531,136 shares of the
common stock of the issuer.

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


<PAGE>

                    Cornerstone Ministries Investments, Inc.

                                      Index

                                                                            Page

Form 10-QSB Title Page                                                       1

Index                                                                        2

PART I. FINANCIAL INFORMATION

     Item 1. Financial Statements

          Accountant's Review Report                                         F-1

          Consolidated Balance Sheet as of March 31, 2003                    F-2

          Consolidated Statements of Income (Loss) and Retained Earnings
          (Deficit)  for the Three  Months ended March 31, 2002 and 2003     F-3

          Consolidated  Statements of Changes in Stockholders Equity For
          the Three Months ended March 31, 2002 and 2003                     F-4

          Consolidated Statements of Cash Flows for the Three
          Months ended March 31, 2002 and 2003                               F-5

          Notes to Financial Statements                                      F-6

     Item 2. Management's Discussion and Analysis of
             Financial Condition and Results of Operation                    3

     Item 3. Controls and Procedures                                         4

PART II. OTHER INFORMATION

     Item 1. Legal Proceedings                                               5

     Item 2. Changes in Securities and Use of Proceeds                       5

     Item 3. Defaults on Senior Securities                                   5

     Item 4. Submission of Matters to a Vote of Security Holders             5

     Item 5. Other Information                                               5

     Item 6. Exhibits and Reports on Form 8-K                                5

Signatures                                                                   5

Certifications                                                               5


                                                                             2

<PAGE>

                           ROBERT N. CLEMONS, CPA, PA
                                   PO BOX 1670
                           DELAND, FLORIDA 32721-1670

To The Board of Directors
Cornerstone Ministries Investments, Inc.

We have reviewed the  accompanying  consolidated  balance  sheet of  Cornerstone
Ministries  Investments,  Inc. as of March 31, 2003 and the related consolidated
statements  of  income  (loss)  &  retained  earnings   (deficit),   changes  in
stockholder's equity and cash flows for the three months ended March 31, 2003 in
accordance  with  Statements on Standards  for  Accounting  and Review  Services
issued  by  the  American  Institute  of  Certified  Public   Accountants.   All
information  included in these financial statements is the representation of the
management of Cornerstone Ministries Investments, Inc.

A review consists  principally of inquiries of Company  personnel and analytical
procedures  applied to financial data. It is substantially less in scope than an
audit in accordance with generally accepted auditing standards, the objective of
which is the expression of an opinion  regarding the financial  statements taken
as a whole. Accordingly, we do not express such an opinion.

Based on our review, we are not aware of any material  modifications that should
be made to the accompanying  financial statements and supplementary  information
in  order  for  them to be in  conformity  with  generally  accepted  accounting
principles.


/s/ Robert N. Clemons, CPA, PA

DeLand, Florida
May 13, 2003


                                                                             F-1

<PAGE>

CORNERSTONE MINISTRIES INVESTMENTS, INC. & SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
MARCH 31, 2002 & 2003
                                                        03/31/02       03/31/03
ASSETS
Cash in banks                                       $  3,695,015   $  4,159,125
Pre-funded project costs                                 596,326      1,042,325
Real estate loans, net                                34,226,079     71,655,754
Bond holdings                                          5,287,592      2,629,250
Fixed assets, net                                        235,097        877,349
Deferred tax asset                                       284,796        387,915
Goodwill                                                 500,955        388,549
Other intangible assets, net                             599,220      1,402,542
Real estate held for sale                                333,864        340,000
Other assets                                              10,714         75,740
                                                    ------------   ------------
TOTAL ASSETS                                        $ 45,769,658   $ 82,958,549
                                                    ============   ============

LIABILITIES & SHAREHOLDER'S EQUITY
Investor certificates & accrued interest            $ 42,066,164   $ 79,156,351
Accounts and other payables                              590,065        667,849
Building mortgage                                        195,359        186,863
Deferred income taxes                                     33,941              0
                                                    ------------   ------------
TOTAL LIABILITIES                                     42,885,529     80,011,063
                                                    ------------   ------------
SHAREHOLDER'S EQUITY
Series A Convertible Preferred Stock, no par
       value; 235,000 shares authorized, no
   shares issued & outstanding                                 0              0
Common Stock, $0.01 Par Value, 10 million shares
   authorized; 531,136 shares issued & outstanding         5,290          5,311
Paid in capital                                        3,281,139      3,294,889
Retained earnings (deficit)                             (402,300)      (279,465)
Treasury Stock                                                 0        (73,249)
                                                    ------------   ------------
TOTAL SHAREHOLDER'S EQUITY                             2,884,129      2,947,486
                                                    ------------   ------------
TOTAL LIABILITIES &
  SHAREHOLDER'S EQUITY                              $ 45,769,658   $ 82,958,549
                                                    ============   ============


SEE ACCOMPANYING NOTES                                                       F-2

<PAGE>

CORNERSTONE MINISTRIES INVESTMENTS, INC. & SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME (LOSS) & RETAINED EARNINGS (DEFICIT)
FOR THE THREE MONTHS ENDED MARCH 31, 2002 & 2003

                                                        03/31/02      03/31/03
INCOME
Loan interest & fees earned                           $ 1,161,700   $ 1,875,208
Real estate & other income                                134,839        63,274
                                                      -----------   -----------
TOTAL INCOME                                            1,296,539     1,938,482
                                                      -----------   -----------
Investor interest expense                                 843,292     1,557,317
Marketing expenses                                        106,997       106,487
Operating & personnel expenses                            318,819       528,610
                                                      -----------   -----------
TOTAL EXPENSES                                          1,269,108     2,192,414
                                                      -----------   -----------
Operating income (loss)                                    27,431      (253,932)
Income tax (provision) benefit                            (41,015)      113,946
                                                      -----------   -----------
NET INCOME (LOSS)                                        ($13,584)    ($139,986)
                                                      ===========   ===========

Retained earnings as previously reported                 ($30,744)    ($139,479)
Correction of error, Note 2                              (357,972)            0
                                                      -----------   -----------
Beginning retained earnings (deficit) as restated        (388,716)     (139,479)
Net income (loss)                                         (13,584)     (139,986)
                                                      -----------   -----------
Ending retained earnings (deficit)                      ($402,300)    ($279,465)
                                                      ===========   ===========


SEE ACCOMPANYING NOTES                                                       F-3

<PAGE>


CORNERSTONE MINISTRIES INVESTMENTS, INC. & SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDER'S EQUITY
FOR THE THREE MONTHS ENDED MARCH 31, 2002 & 2003
<TABLE>
<CAPTION>
                                                                                                RETAINED
                                                          COMMON        PAID-IN     PREFERRED   EARNINGS     TREASURY       TOTAL
                                                           STOCK        CAPITAL       STOCK     (DEFICIT)      STOCK        EQUITY
<S>               <C> <C>                               <C>           <C>           <C>         <C>         <C>           <C>
BALANCE, DECEMBER 31, 2001                              $     5,287   $ 3,279,491   $       0   ($388,716)  $         0   $2,896,062
Net income (loss) for the 1st quarter as restated           (13,584)      (13,584)
Capital contribute d                                              3         1,648       1,651
                                                        -----------   -----------   ---------   ---------   -----------   ----------
BALANCE, MARCH 31, 2002                                 $     5,290   $ 3,281,139   $       0   ($402,300)  $         0   $2,884,129
                                                        ===========   ===========   =========   =========   ===========   ==========
BALANCE, DECEMBER 31, 2002                              $     5,309   $ 3,293,641   $       0   ($139,479)  $         0   $3,159,471
Net income (loss)                                          (139,986)     (139,986)
Capital contribute d                                              2         1,248       1,250
Treasury shares acquired                                    (73,249)      (73,249)
                                                        -----------   -----------   ---------   ---------   -----------   ----------
                                                        $     5,311   $ 3,294,889   $       0   ($279,465)  ($   73,249)  $2,947,486
                                                        ===========   ===========   =========   =========   ===========   ==========
</TABLE>

SEE ACCOMPANYING NOTES                                                       F-4

<PAGE>

CORNERSTONE MINISTRIES INVESTMENTS, INC. & SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 2002 & 2003

                                                        03/31/02       03/31/03
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)                                      ($13,584)      ($139,986)
Adjustments to reconcile net income to cash
  from operations-
Depreciation & amortization                              36,785          21,162
Changes in-
Pre-funded project costs                               (141,742)       (433,305)
Accrued bond interest, net                              (19,439)         14,312
Accrued loan interest & deferred loan fees             (285,519)        204,635
Deferred taxes                                           (7,377)       (113,682)
Other intangibles                                       (72,708)       (347,741)
Investor interest payable                              (170,308)        444,945
Accounts & other payables                               457,887         442,729
Dividends payable                                      (171,834)       (168,640)
Other assets                                             22,769         (58,476)
                                                    -----------    ------------
NET CASH PROVIDED (USED) BY OPERATIONS                 (365,070)       (134,047)
                                                    -----------    ------------
CASH FLOWS FROM INVESTING ACTIVITIES:
Real estate loans made & purchased                   (3,584,838)    (10,431,739)
Loan principal payments received                         86,785       3,078,398
Bonds redeemed                                           38,500          31,250
Fixed assets purchased                                   21,977        (544,898)
Treasury stock acquired                                       0         (73,249)
Real estate costs capitalized                            (2,351)              0
                                                    -----------    ------------
NET CASH (USED) BY INVESTING                         (3,439,927)     (7,940,238)
                                                    -----------    ------------
CASH FLOWS FROM FINANCING ACTIVITIES:
Investor certificates sold                            7,841,938      12,285,881
Investor certificates redeemed                       (3,249,199)     (1,551,857)
Building mortgage principle payments                     (1,835)         (2,363)
Stock issued                                              1,651           1,250
                                                    -----------    ------------
NET CASH PROVIDED BY FINANCING                        4,592,555      10,732,911
                                                    -----------    ------------
NET CHANGE IN CASH                                      787,558       2,658,626
Cash at beginning of period                           2,907,457       1,500,499
                                                    -----------    ------------
CASH AT END OF PERIOD                               $ 3,695,015    $  4,159,125
                                                    ===========    ============

Supplemental Information-
Interest paid during the period                     $ 1,018,072    $  1,122,675
Income taxes paid during the period                 $         0    $          0


SEE ACCOMPANYING NOTES                                                       F-5

<PAGE>

             CORNERSTONE MINISTRIES INVESTMENTS, INC. & SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The  accompanying  Consolidated  Financial  Statements  include the  accounts of
Cornerstone  Ministries  Investments,  Inc.,  Wellstone  Communities,  Inc.  and
Wellstone  Financial  Group,  LLC  (collectively  "The  Company").  The  Company
originates and purchases mortgage loans made to faith-based  organizations.  The
Company offers  specialized  programs for churches,  not-for-profit  sponsors of
senior  housing and  affordable  housing  programs.  The Company also invests in
similar real estate projects for the purpose of selling at a profit, or leasing.
Substantially all of the Company's loans and investments are in projects located
in the Southeastern United States.

The Company recognizes interest income from loans (both interest and fees) as it
is earned in accordance with SFAS Nos. 65 & 91.

The Company has adopted  SFAS No. 142  effective  January 1, 2002.  The expenses
associated  with  organizing the  corporation  and beginning  business have been
capitalized and are being amortized over 60 months.

Management  aggressively  monitors and evaluates its loan credit risks including
the  borrower's  adherence  to loan terms,  delinquencies,  and ongoing  project
status.  Based on these and other judgement  factors,  the Company  provides for
possible  loan  losses  when  needed to reduce  recorded  loans to fair value in
accordance  with  SFAS  No.107.  As  of  the  balance  sheet  date  no  loan  is
substantially in arrears;  therefore,  no allowance for loan losses is reflected
in the accompanying statements.

Cash and cash equivalents  include checking accounts and short term certificates
with original maturities of 90 days of less.

Property  and  equipment  are  valued at cost when  purchased.  Depreciation  is
provided on the  straight-line  method over the  estimated  useful  lives of the
assets,  which are generally  three to five years for furnishings and equipment,
and 40 years for the Company's owned offices.

Interest on Investor Certificates is accrued from the date of issuance,  and may
be paid semi- annually. Investors holding five year certificates in multiples of
$10,000 may receive interest monthly.

Income taxes are provided  for the tax effects of  transactions  reported in the
financial  statements  and consist of taxes  currently due plus  deferred  taxes
related  primarily  to the  difference  between  the methods of  accounting  for
depreciation  and loan  fees  for  financial  and  tax-reporting  purposes.  The
deferred  taxes  represent  the  estimated  future  tax  consequences  of  those
differences,  which  will be either  taxable or  deductible  when the assets and
liabilities are


                                                                             F-6

<PAGE>

recovered or settled.  Accelerated  depreciation methods and shorter asset lives
are used for tax reporting, and straight-line depreciation is used for financial
statement reporting.  The Company calculates deferred taxes under the provisions
of SFAS No. 109 which  provides for deferred  tax assets and  liabilities  to be
carried on the balance sheet at current tax rates.

Management   uses  estimates  and   assumptions  in  preparing  these  financial
statements in accordance with generally accepted  accounting  principles.  Those
estimates and assumptions affect the reported amounts of assets and liabilities,
the disclosure of contingent  assets and liabilities,  and the reported revenues
and expenses. Actual results could vary from the estimates that are used.

Certain report classifications used in prior year financial statements have been
reclassified to conform to current year presentation.

NOTE 2 - CORRECTION OF PREVIOUS FINANCIAL STATEMENTS

The Company has retroactively  restated prior period's financial  statements for
corrections to it=s method of recognizing  fees  associated  with mortgage loans
required by SFAS 91. As of December 31, 2000 the Company deferred  unearned loan
fees net of related taxes,  together aggregating  $275,440.  In addition,  costs
associated  with its stock  offerings  have been  reclassified  from  intangible
assets to a reduction of the associated paid-in capital account.

NOTE 3 - FIXED ASSETS

As of March 31, 2003, the Company's fixed assets are composed of:
        Office Condominiums                                       $792,659
        Office Computers, Furnishings, Software & Equipment         88,570
        Vehicles                                                    37,730
        Less: Accumulated Depreciation                             (41,610)
                                                                  --------
        Fixed Assets, Net                                         $877,349

NOTE 4 - COMMITMENTS

The Company has no material lease commitments at March 31, 2003. The Company has
entered into an  Administrative  Services  Agreement  with  Cornerstone  Capital
Advisors,  Inc. (CCA) to provide loan administration,  including the application
and  closing  process  and  loan  accounting;   investor  relations;   marketing
collateral;  administration  of  computers,  computer  networks  and  management
information systems; photo copying; and, maintenance of records, record keeping,
bookkeeping  and  accounting.  The  Company  is  obligated  to pay  directly  or
reimburse  actual  expenses to be billed  monthly by CCA.  The  agreement is for
renewable  one-year terms and it may be terminated by either party upon 60 days'
written  notice.  It is  anticipated  that after the first quarter of 2003,  the
Company  will not have any  employees  of its own and  accordingly,  CCA will be
subject to the supervision of the Board of Directors.  As of March 31, 2003, CCA
had not incurred any material expenses to be billed to the Company.


                                                                             F-7

<PAGE>

NOTE 5-REAL ESTATE LOANS RECEIVABLE

At March  31,  2003 the  Company  had Real  Estate  Loans on  church  and  other
not-for-profit properties as follows:
                   Mortgage Loans                    $71,595,884
                   Accrued Interest                      573,180
                   Unearned Loan Fees                   (513,310)
                                                     -----------
                   Total Real Estate Loans           $71,655,754

 These loans mature over a period beginning in 2003 and ending in 2012.

NOTE 6 - INTANGIBLE ASSETS
The  Company  has  adopted  SFAS 142  "Goodwill  and  Other  Intangible  Assets"
effective January 1, 2002. Goodwill associated with the Company's acquisition of
Presbyterian Investor's Fund, Inc. (PIF) is carried at $388,549. Management does
not believe impairment of this asset has occurred and accordingly,  no provision
for impairment loss has been recorded.  Other Intangible Assets consist of costs
incurred to register the  Company's  debt  securities  and  commissions  paid or
accrued on the sale of debt  securities.  These are amortized on a straight line
basis over the period the securities are outstanding, generally 5 years.

NOTE 7 - INCOME TAXES
Income tax expense  (benefit)  consists of  estimated  federal and state  income
taxes on the company's taxable income,  and the change in components of deferred
tax assets and  liabilities.  The deferred tax asset is comprised of  provisions
for deductible temporary differences,  principally depreciation and amortization
methods and accelerated lives, and reporting of loan fees earned.

Components of income tax benefit for the period ended March 31, are:

Current:  Federal        $   8,993
            State            1,834
Deferred: Federal           87,651
            State           15,468
                         ---------
                         $ 113,946

The Company has pending with the Department of the Treasury, a request to change
its accounting method with respect to loan fees which would approximate the book
treatment under SFAS Nos. 65 and 91.


                                                                             F-8

<PAGE>

NOTE 8 - CASH CONCENTRATION

A cash  concentration  risk arises when the Company has more cash in a financial
institution  than is covered by  insurance.  At March 31, 2003,  the Company had
cash in excess of insured limits totaling $3,465,605.

NOTE 9-SECURITIES OFFERINGS

In the normal course of business,  the Company registers with the Securities and
Exchange  Commission  to  sell  its  Investor  Certificates.   Included  in  the
certificates  maturing  in 22003 are  issued  securities  identified  as "Access
Certificates". These certificates have no stated maturity, are purchased in $100
increments  and bear a rate of interest as determined by the Company's  board of
directors on the first of each January,  April, July and October.  The directors
may also change the rates  between  these dates if market  conditions  warrant a
change.  Certificates are not collateralized and no sinking fund is required for
paying  the  certificates  upon  maturity.  Listed  below  are the  certificates
outstanding as of March 31, 2003 by interest rate and date of maturity-

5.0%             $2,814,430                       2003         $ 6,757,563
7.0%              6,045,969                       2004             812,814
7.5%              1,448,558                       2005           4,931,264
8.0%              1,240,878                       2006          11,274,694
9.0%             64,393,316                       2007/Beyond   52,166,816

On February 21, 2003  Wellstone  Communities,  Inc., a wholly owned  subsidiary,
filed a Form SB-2  Registration  Statement under the Securities Act of 1933 with
the Securities and Exchange Commission to sell up to $50,000,000 of its Series A
Preferred  Stock. Net proceeds from the offering are expected to be used to make
and purchase  loans  secured by  properties,  start or acquire a bank and add to
working capital.

On April 29, 2003 the Company filed a Form SB-2 Registration Statement under the
Securities Act of 1933 with the Securities and Exchange Commission to sell up to
$50,000,000 of its  Certificates  of  Indebtedness  along with $1,625,000 of its
Common Stock

NOTE 10-LOAN GUARANTEES

At March 31, 2003 the Company was guarantor  for  approximately  $34,776,000  of
loans secured by retirement facilities owned by not-for-profit entities.

NOTE 11-PROFIT SHARING PLAN

During 2001,  the Company  established a Profit  Sharing Plan for its employees.
The Plan allows for entry into the plan after one year of service, and immediate
vesting  of  contributed  amounts.  All  contributions  are  to be  made  at the
discretion  of the Company  after  approval by the board of  directors.  For the
three months ended March 31, 2003 the Company has not elected to contribute.


                                                                             F-9

<PAGE>

NOTE 12 - BUILDING MORTGAGE

In  connection  with the  acquisition  of office space,  the Company  obtained a
mortgage  and pledged  the real  estate as  collateral.  The  mortgage  requires
monthly payments of principle and interest totaling $2,068.  Estimated principle
reductions are-

Year 2003  $4,654      Year 2004           $7,717     Year 2005  $8,487
Year 2006  $9,333      Year 2005 & Beyond  $156,672

NOTE 13 - SERIES A CONVERTIBLE PREFERRED STOCK

In 2001, the Company  amended its Articles of  Incorporation  to provide for the
issuance of up to 235,000 shares of Series A Convertible  Preferred  Stock.  The
shares do not accrue  dividends  unless such dividends are declared by the Board
of Directors.  The shares entitle the preferred shareholder to have one vote per
share,  presently equal to the voting rights of Common shareholders.  Each share
is  convertible,  after 3  years,  into  shares  of  Common  Stock  based  on an
adjustable  formula.  Shares with a value of $500,000  were issued to  Wellstone
Financial Group, LLC (WFG) during 2001. As WFG is included in these consolidated
financial statements,  the shares have been eliminated in consolidation.  If the
shares were convertible at the balance sheet date herein,  an additional  76,923
shares of Common Stock could be issued.


                                                                            F-10

<PAGE>

Item 2. Management's  Discussion and Analysis of Financial Condition and Results
of Operations

The following  discussion  should be read in conjunction  with the  accompanying
unaudited  consolidated  financial  statements and related notes This discussion
contains  certain  forward-looking  statements  with  respect  to the  Company's
operations,  industry,  financial condition and liquidity that involve risks and
uncertainties.  These statements, which are typically introduced by phrases such
as "the Company  believes",  "anticipates",  "estimates"  or  "expects"  certain
conditions to exist, reflect management's best current assessment of a number of
risks and  uncertainties.  The Company's actual results could differ  materially
from the results anticipated in these forward-looking  statements as a result of
certain risk factors described in this report,  including those set forth in the
Form 10-KSB for the year ended December 31, 2002.  Overview Since its inception,
the Company has focused on serving only faith-based  organizations,  principally
churches and non-profit  sponsors of senior  housing,  affordable  housing,  and
school and daycare programs.

The Company  generates  revenue  primarily from  origination and renewal fees on
loans,  interest on these  loans,  gains on the sale of property and interest on
bonds and money market accounts. It currently charges a 10% fee on new loans and
renewal fees of as much as 5% of the  outstanding  balance of the renewing loan.
The interest rate on all new loans is currently  from 10% to 12%. Some loans are
participating  loans,  enabling the Company to receive  income from the gains on
the sale of property  for which it has  provided  financing.  The  participation
percentage varies between 25% and 33% of the gains on the sale of real estate.

Comparison of Periods Ending March 31, 2002 and March 31, 2001
Income

General.  Assets  increased from $45,769,658 at March 31, 2002 to $82,958,549 at
the end of  March 31 2003 for a net  increase  of  $37,188,891  or  81.3%.  This
increase was primarily a result of the sale of investment  certificates  and the
subsequent  origination  of new loans.  Total Revenue  increased for the quarter
ending March 31 by $641,943 or 49.5% from $ 1,296,539 in 2002 to  $1,938,482  in
2003. The net loss for the period ending March 31, 2003 was $(139.986)  compared
to a net loss of ($13,584) for the same period ending March 31, 2002.

Total  investments  in loans  outstanding  on March 31,  2003  were  $71,655,754
compared to  $34,226,079 as of March 31, 2002 for an increase of $37,429,675  or
109.4%.  This increase was a result of higher sales of  investment  certificates
and the subsequent  origination or renewal of loans. All other assets,  composed
primarily  of  cash,  bond  investments,   fixed  assets  and  intangibles  were
$11,302,795 as of March 31, 2003. Investor certificates increased $37,090,187 or
88.2% from $42,066,164 as of March 31, 2002 to $79,156,351 as of March 31, 2003.

Loan  Interest  and Fee Income  Interest  income and fees  earned  increased  by
$713,508 or 61.4% from $1,161,700 for the three months ended March 31, 2002 to $
1,875,208 for the same period  ending March 31, 2003.  This increase was largely
as a result of the additional  loans and from the  refinancing of existing loans
made during this period. The weighted average interest rate on the loan balances
as of March 31, 2003 was 9.47%

Investment,  Real Estate and Other Income The Company  currently owns two office
condominiums,  one that was  acquired  during  the first  quarter of 2003 and is
utilized as corporate  offices and the other is leased.  No other real estate is
owned but the Company does engage in participating  loans where the future gains
and losses could be realized.  Most of the Company's  investment  income is from
our purchase of bonds used as permanent  financing  for projects  funded  during
their development and initial operations.  The Company owned $2,629,250 of bonds
at March 31, 2003,  down from  $5,287,592  at March 31, 2002.  This decrease was
primarily driven by the cash sale of $2,512, 500 8% and 10% certificate bonds on
September  30, 2003  Accordingly  investment  interest  decreased  by $71,565 or
(53.1%)  from $ 134,839  during the first three  months of March 2002 to $63,274
for the same period ending March 31, 2003.

Expenses

Investor  Interest  Expense.  As a  result  of  the  growth  in  assets  through
certificate  sales,  CMI experienced an increase in interest expense of $714,025
or 84.7% for the same periods ending March 31. This increase in interest expense
is primarily a result of a net increase in  outstanding  certificate  principal,
which  increased from  $42,066,164 at March 31, 2002 to $79,156,351 at March 31,
2003. The weighted average interest cost for all outstanding  certificates as of
March 31, 2003 was 8.65%

Marketing Expenses.  CMI continues to commit substantial resources for marketing
its Investment Certificates because of the continuing backlog of projects. Total
expenses for the marketing of certificates during the first three months of 2003
were $106,487 versus $160,997 in 2002.  Selling  commissions paid to brokers for
selling certificates are paid in cash but charged as an expense over the term of
the certificates  they sold. The unamortized  balance is on the Balance Sheet as
part of  "Other  Intangible  Assets,  net of  amortization."  This  balance  was
$1,402,542 as of March 31, 2003.


                                                                               3

<PAGE>

Operating  Expenses.  Operating  expenses were  $528,610 for the quarter  ending
March 31, 2003,  which was $209,791 or 65.8% over $ $318,819 for the same period
ending  March  31,  2002.  This  increase  reflects  additional   employees  and
compensation  added to  handle  the  Company's  growth,  as well as the  support
facilities  for the  increased  number of employees.  For 2003,  the Company has
contracted   with   Cornerstone   Capital   Advisors   ("CCA")  to  provide  all
administrative  services.  The Company will reimburse CCA for its expenses which
are  expected  to  similar  to the  expenses  incurred  by the  Company  had its
continued its administrative  support under previous  arrangements.  There is no
fee schedule but the Company may elect to pay fees for good performance.

Taxes  Income  tax  expense  (benefit)  is  estimated  for the  period  based on
projected  income  estimates for the year,  including  the tax-free  income from
bonds.  Any income tax expense  (benefit)  is due to changes in our deferred tax
assets and liabilities.

Dividends

Dividends  declared  during  the  prior  periods  were  $168,640  and  $171,834,
respectively  and were paid during the quarters  ending March 31, 2003 and 2002.
No other dividends were declared during this period.


Liquidity and Capital Resources

Cash flows from  Operations.  Net cash used by the Company's  operations for the
quarter ending March 31, 2003 was $134,047,  which compares to $365,070 net cash
used from operations for the same period ending 2002 for a net cash use decrease
of  $231,023.  This  difference  was driven  primarily  from net  changes in the
Company's  Investor Interest Payables and Interest Accruals  partially offset by
increases in Pre-funded project costs.

Cash Flows from Investing Activities.  The Company used $7,940,238  in cash from
investing  activities  which was an increase of $4,500,311 from $ 3,439, 927 for
the same period ending March 31, 2002.  This increase was driven by increases of
Real Estate loans made and purchased  during the first three months of 2003. Net
of  scheduled  principal  payments  received,  the  company  increased  its loan
portfolio  by  $7,353,341  for the three  months  ending  March 31,  2003.  This
compares to a net  increase  in loans of  $3,498,053  for the same three  months
ending March 31, 2002, a 110.2% increase.  The Company currently has commitments
and applications sufficient to invest its excess cash on hand.

Additionally  during the first quarter of 2003, the Company  purchased an office
condominium  for  approximately  $525,600 to house its corporate  offices and to
provide  additional  office space for support of existing  operations and future
growth.

Cash from  Financings.  During the first  quarter of 2003,  the  Company  raised
$10,734,024  on the sale of new  certificates, net of  redemptions  on  existing
certificates.  This  represented an increase of $6,141,285  from net certificate
sales of  $4,592,739  for the same  period  ending  March  31,  2002.  Since the
Company's   inception,   cash  redemptions  have  been  modest  and  significant
majorities of maturing  certificates  are reinvested.  The ratio of certificates
redeemed  for cash to  certificates  sold for the  three  months  ending  March,
31,2003 was 12.6%.  Many factors  beyond the  Company's  control can affect this
ratio,  and no  assurance  can be made that this trend will  continue for future
obligations  and  the  Company  may be  required  to  raise  cash,  either  from
additional borrowings or asset sales, to meet future cash redemptions.

We believe that additional sales of new investments from the current and planned
offerings,  as well as cash on hand, expected refinancings and sales of existing
loans,  will be sufficient  to meet our capital needs for the next quarter.  The
amount and timing of our future capital requirements will depend on factors such
as the  origination  and  funding of new  investments,  the costs of  additional
underwriting and marketing efforts, and general expenses of operations.

Effects of Inflation or Deflation

Inflation,  which has been limited  during the course of our operating  history,
has had  little  effect  on  operations  and we do not  believe  it will  have a
significant  effect on our cost of capital or on the rates that we charge on our
loans. Inflation resulting in increased prices for real estate could potentially
decrease the ability of some potential clients to purchase,  finance, or lease a
property.  There is very limited  experience with a period of declining  prices,
deflation. It could make it more difficult for our borrowers to obtain long-term
financing  on  their  properties,  so that the  periods  of our  loans  could be
extended.

Item 3. Controls and Procedures

The principal executive officer and the principal financial officer of the small
business issuer, Cornerstone Ministries Investments, Inc., have, as of March 31,
2003,  evaluated the small business issuer's disclosure controls and procedures,
as defined by Sections 13a-14(C) and 15d-14(C) of the Securities Exchange Act of
1934.  Based on their  evaluation,  they have  concluded  that those  disclosure
controls and procedures are designed and implemented  effectively to ensure that
information required to be disclosed by the small business issuer in the reports
that it files or submits under that Act is recorded,  processed,  summarized and
reported, within the time periods specified in the Commission's rules and forms.


                                                                               4

<PAGE>

Part II. Other Information

Item 1. Legal Proceedings

         Not Applicable

Item 2. Changes in Securities

         Not Applicable

Item 3. Defaults upon Senior Securities

         Not Applicable

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

         Not Applicable

Item 5. Other Information

         Not Applicable

Item 6. Exhibits and Reports on Form 8-K

(a) Exhibit 99.1,  certifications  pursuant to Section 906 of the Sarbanes-Oxley
Act of 2002.

(b) No reports on Form 8-K were filed  during the  quarter for which this report
is filed.

Signatures

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

Dated: May 14, 2003       Cornerstone Ministries Investments, Inc. (Registrant)


                               By:    S/John T. Ottinger
                                  ----------------------------------------------
                                      John T. Ottinger
                                      Vice President and Chief Financial Officer



Certifications

I, Cecil A. Brooks, certify that:

1. I  have  reviewed  this  quarterly  report  on  Form  10-QSB  of  Cornerstone
Ministries  Investments,  Inc.;

2. Based on my  knowledge,  this  quarterly  report  does not contain any untrue
statement of a material fact or omit to state a material fact  necessary to make
the statements made, in light of the  circumstances  under which such statements
were made, not  misleading  with respect to the period covered by this quarterly
report;

3.  Based  on my  knowledge,  the  financial  statements,  and  other  financial
information  included in this quarterly  report,  fairly present in all material
respects the financial  condition,  results of operations  and cash flows of the
registrant as of, and for, the periods presented in this quarterly report;

4.  The  registrant's  other  certifying  officers  and  I are  responsible  for
establishing and maintaining  disclosure  controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and have:

a) designed  such  disclosure  controls and  procedures  to ensure that material
information relating to the registrant, including its consolidated subsidiaries,
is made known to us by others  within those  entities,  particularly  during the
period in which this quarterly report is being prepared;

b) evaluated  the  effectiveness  of the  registrant's  disclosure  controls and
procedures  as of a date  within  90  days  prior  to the  filing  date  of this
quarterly report (the "Evaluation Date"); and

c) presented in this quarterly report our conclusions about the effectiveness of
the  disclosure  controls  and  procedures  based  on our  evaluation  as of the
Evaluation Date;

5. The registrant's other certifying officers and I have disclosed, based on our
most recent evaluation,  to the registrant's auditors and the audit committee of
registrant's   board  of  directors  (or  persons   performing   the  equivalent
functions):


                                                                               5

<PAGE>

a) all significant  deficiencies in the design or operation of internal controls
which  could  adversely  affect the  registrant's  ability  to record,  process,
summarize and report  financial data and have  identified  for the  registrant's
auditors any material weaknesses in internal controls; and

b) any  fraud,  whether  or not  material,  that  involves  management  or other
employees who have a significant role in the registrant's internal controls; and

6. The  registrant's  other  certifying  officers  and I have  indicated in this
quarterly  report  whether or not there  were  significant  changes in  internal
controls or in other factors that could  significantly  affect internal controls
subsequent to the date of our most recent  evaluation,  including any corrective
actions with regard to significant deficiencies and material weaknesses.

Date:  May 14, 2003           s/Cecil A. Brooks
                              ------------------
                              Cecil A. Brooks, Chairman of the Board, President,
                              Chief Executive Officer

I, John T. Ottinger, certify that:

1. I  have  reviewed  this  quarterly  report  on  Form  10-QSB  of  Cornerstone
Ministries Investments, Inc.;

2. Based on my  knowledge,  this  quarterly  report  does not contain any untrue
statement of a material fact or omit to state a material fact  necessary to make
the statements made, in light of the  circumstances  under which such statements
were made, not  misleading  with respect to the period covered by this quarterly
report;

3.  Based  on my  knowledge,  the  financial  statements,  and  other  financial
information  included in this quarterly  report,  fairly present in all material
respects the financial  condition,  results of operations  and cash flows of the
registrant as of, and for, the periods presented in this quarterly report;

4.  The  registrant's  other  certifying  officers  and  I are  responsible  for
establishing and maintaining  disclosure  controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and have:

a) designed  such  disclosure  controls and  procedures  to ensure that material
information relating to the registrant, including its consolidated subsidiaries,
is made known to us by others  within those  entities,  particularly  during the
period in which this quarterly report is being prepared;

b) evaluated  the  effectiveness  of the  registrant's  disclosure  controls and
procedures  as of a date  within  90  days  prior  to the  filing  date  of this
quarterly report (the "Evaluation Date"); and

c) presented in this quarterly report our conclusions about the effectiveness of
the  disclosure  controls  and  procedures  based  on our  evaluation  as of the
Evaluation Date;

5. The registrant's other certifying officers and I have disclosed, based on our
most recent evaluation,  to the registrant's auditors and the audit committee of
registrant's   board  of  directors  (or  persons   performing   the  equivalent
functions):

a) all significant  deficiencies in the design or operation of internal controls
which  could  adversely  affect the  registrant's  ability  to record,  process,
summarize and report  financial data and have  identified  for the  registrant's
auditors any material weaknesses in internal controls; and

b) any  fraud,  whether  or not  material,  that  involves  management  or other
employees who have a significant role in the registrant's internal controls; and

6. The  registrant's  other  certifying  officers  and I have  indicated in this
quarterly  report  whether or not there  were  significant  changes in  internal
controls or in other factors that could  significantly  affect internal controls
subsequent to the date of our most recent  evaluation,  including any corrective
actions with regard to significant deficiencies and material weaknesses.

Date: May 14, 2003             /s/John T. Ottinger
                               -------------------
                               John T. Ottinger, Vice President, Chief Operating
                               Officer and Chief Financial Officer


                                                                               6