<PAGE>
                         UNITED STATES
               SECURITIES AND EXCHANGE COMMISSION
                    Washington, D.C.  20549
                          FORM 10-QSB

(Mark One)

[X] Quarterly Report Under Section 13 or 15(d) of the 
Securities Exchange Act of 1934 for the quarterly period ended 
September 30, 1996.

[ ] Transition Report Under Section 13 or 15(d) of the 
Exchange Act for the transition period from _________ to 
_________

Commission File Number:  0-21070


          International Tourist Entertainment Corporation 
          -----------------------------------------------
 (Exact name of small business issuer as specified in its charter)

       U.S. Virgin Islands                    		66-0426648
       -------------------                      ----------
(State or other jurisdiction of              	(IRS Employer
 incorporation or organization)          	  Identification No.)

         7030 Park Centre Drive, Salt Lake City, Utah  84121
         ---------------------------------------------------
         (Address of principal executive offices)  (ZIP Code)

                   	        (801) 566-9000	               
                            --------------
                      (Issuer's telephone number)

Check whether the issuer (1) filed all reports required to be 
filed by 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 the past 
90 days.
                     	1. Yes            No    X	 
                             -------       -------
                     	2. Yes    X       No     	 
                             -------       -------

Check whether the registrant filed all documents and reports 
required to be filed by Section 12, 13, or 15 (d) of the 
Securities Exchange Act of 1934 after the distribution of 
securities under a plan confirmed by a court.  Yes   X    No 	

The number of shares outstanding of  the issuer's common 
stock, no par value as of June 17, 1997 is 6,735,397 shares.

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


<PAGE>
       INTERNATIONAL TOURIST ENTERTAINMENT CORPORATION

                      TABLE OF CONTENTS



PART I.   FINANCIAL INFORMATION

Item 1.   Financial Statements                           Page Number
                                                         -----------
Condensed Balance Sheet
   September 30, 1996 	                                       1


Condensed Statements of Operations
   Three Months Ended September 30, 1996
   and September 30, 1995	                                    2


Condensed Statements of Cash Flows 
   Three Months Ended September 30, 1996
   and September 30, 1995 	                                   3


Notes to Condensed Financial Statements 	                     4


Item 2.  Management's Discussion and Analysis
    or Plan of Operation	                                     6


Part II.   OTHER INFORMATION	                                 8

<PAGE>
               INTERNATIONAL TOURIST ENTERTAINMENT CORPORATION
                          Condensed Balance Sheets
                                  (Unaudited)

[CAPTION]
<TABLE>
                                                                 September 30
                ASSETS                                               1996
                ------                                           ------------
<S>                                                            <C>
Current assets:
   Cash and cash equivalents                                   $       642,520
   Receivables                                                          24,160
   Deposits                                                             12,126
   Inventories                                                          54,896
   Prepaid  expenses                                                    14,174
   Prepaid leases-current                                              166,915
   Current portion of notes receivable - tenants                         5,024
                                                               ---------------
        Total current assets                                           919,815

Prepaid leases-non current                                           1,507,661
Notes receivable-tenants                                                 4,883

Film Development costs, net of amortization of $22,500                 877,500

Property and equipment, at cost                                      5,315,977
     Less accumulated depreciation                                     395,511
                                                               ---------------
        Net property and equipment                                   4,920,466

        TOTAL ASSETS                                           $     8,230,325
                                                               ===============


        LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilities:
   Accounts payable                                            $     1,180,012
   Accrued expenses                                                    741,594
   Current installments of capital lease obligations                    29,746
   Notes payable and current installments of long-term debt            674,636
   Notes payable to related parties                                    608,825
                                                               ---------------
        Total current liabilities                                    3,234,813
Long-term debt, excluding current installments:
   Capital lease obligations                                            (1,092)
   Credit facility, notes, and mortgages payable                     3,929,206
   10% Convertible debenture, due June 1, 2008                       2,055,000
Accrued rent land lease-non current                                    183,130
Security deposits                                                       28,800

Stockholders' equity
   Preferred stock, $.001 par value.  Authorized 5,000,000
      shares,  issued and outstanding 212,613 shares as of
      September 30, 1996                                                   213
   Common stock, $.001 par value.  Authorized 40,000,000
      shares, issued and outstanding 6,359,985 shares as of
      September 30, 1996                                                 6,360
   Additional paid-in capital                                        9,598,966
   Accumulated deficit                                             (10,805,071)
                                                               ---------------
        Net stockholders' equity                                    (1,199,532)
                                                               ---------------
        TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY             $     8,230,325
                                                               ===============
</TABLE>
See accompanying notes to condensed financial statements.
                                     1

<PAGE>
                  INTERNATIONAL TOURIST ENTERTAINMENT CORPORATION

                         Condensed Statements of Operations
                                    (Unaudited)

[CAPTION]
<TABLE>
                                                          Three Months Ended
                                                             September 30

                                                          1996           1995
                                                     -------------  -------------
<S>                                                  <C>            <C>
Revenue:
  Theater admissions                                 $    634,999        694,652
  Restaurant                                              572,554        321,789
  Concession and retail sales                              91,174        150,789
  Retail rental income                                    106,705         84,433
                                                     ------------    -----------
                                                        1,405,432      1,251,663
Costs and expenses:
  Direct exhibition expenses                               72,313        102,002
  Direct restaurant                                       165,501         93,402
  Direct concession and retail                             50,107         70,474
  Other operating expenses                                130,703        127,405
  Selling, general and administrative expenses:
     Salaries and wages                                   337,015        307,787
     Advertising                                           90,640        100,170
     Depreciation and amortization                         81,562        181,278
     Occupancy                                             81,826         87,474
     Other                                                146,270        174,301
                                                     ------------    -----------
                                                        1,155,937      1,244,293
                                                     ------------    -----------
     Operating income (loss)                              249,495          7,370

Other income (expense):
  Interest income                                           4,474          2,426
  Interest expense                                       (190,413)      (192,888)
                                                     ------------    -----------
     Other income (expense), net                         (185,939)      (190,462)
                                                     ------------    -----------

     Net gain (loss)                                 $     63,556       (183,092)

Less accrued series B preferred stock dividends           (24,548)       (54,923)
                                                     ------------    -----------

     Gain (loss) applicable to common stock                39,008       (238,015)
                                                     ============    ===========

Net gain (loss) per common share                     $       0.01          (0.04)
                                                     ============    ===========

Weighted average common
   shares outstanding                                   6,359,995      6,359,995

</TABLE>
See accompanying notes to condensed financial statements.

                                     2
<PAGE>
                    INTERNATIONAL TOURIST ENTERTAINMENT CORPORATION

                           Condensed Statements of Cash Flows
                                      (Unaudited)
[CAPTION]
<TABLE>
                                                                                         Three Months Ended
                                                                                            September 30
                                                                                        1996           1995
                                                                                     -----------    ------------
<S>                                                                                  <C>            <C>
Cash flows from operating activities:
   Net loss                                                                          $   39,007       (183,667)
   Adjustments to reconcile net loss to net cash provided
     by (used in) operating activities:
      Depreciation and amortization                                                      81,562        181,278
      Changes in operating assets and liabilities:
        Decrease (increase) in receivables and notes receivable-tenants                  (4,314)        (2,660)
        Decrease (increase) in inventories                                               (3,437)       (15,853)
        Decrease (increase) in deposits and prepaid expenses                             22,036         17,361
        Decrease (increase) in prepaid leases                                            41,729         41,729
        Increase (decrease) in accounts payable and other accrued expenses              115,358         85,392
        Increase (decrease) in other operating liabilities                                2,000          1,500
                                                                                     -----------    -----------
                         Net cash provided by (used in) operating activities            293,941        125,080

Cash flows from investing activities:
   Capital expenditures                                                                 (10,981)       (58,129)
                                                                                     -----------    -----------
                         Net cash provided by (used in) investing activities            (10,981)       (58,129)

Cash flows from financing activities:
   Principal payments under capital lease obligations                                    (6,571)        (5,763)
   Principal payments on long-term debt                                                   3,951        (72,105)
   Payment of deferred stock offering costs                                                   0         (5,726)
                                                                                     -----------    -----------
                        Net cash provided by (used in) financing activities              (2,620)       (83,594)
                                                                                     -----------    -----------

Increase (decrease) in cash and cash equivalents                                        280,341        (16,643)

Cash and cash equivalents at beginning of period                                        362,179        163,587
                                                                                     -----------    -----------

Cash and cash equivalents at end of period                                           $  642,520        146,944
                                                                                     ===========    ===========


Supplemental cash flow information:
  Cash paid during the period for interest  (net of amount capitalized)                 106,652              0

Supplemental disclosure of non-cash investing and financing activities:
  Short-term notes payable and long-term debt incurred for fixed assets                       0         20,804
  Accrual of dividends on Series B preferred stock                                       24,548         54,923

</TABLE>
See accompanying notes to condensed financial statements.

                                         3

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

ITEC Attractions (the trade name of the Company) began 
operations with the opening of its giant screen theater and 
mall facility in Branson, Missouri in October, 1993.  This 
facility is known as the OZARKS DISCOVERY IMAX THEATER AND 
MALL.  It contains a 532 seat IMAX theater with a screen that 
is 62 feet tall and 83 feet wide.  In addition, the facility 
includes an enclosed shopping mall with approximately 22,000 
square feet of leased retail space.  MCFARLAIN'S, a family 
restaurant in the mall has been owned and operated by the 
Company since May 1, 1995. Seventeen other shops and kiosks 
are currently leased to third parties.  One kiosk in the mall 
is owned and operated by the Company.  

During the quarter ended March 31, 1997 the Company received 
confirmation of its Plan of Reorganization from the U.S. 
Bankruptcy Court.  The Plan requires a reorganization of the 
Company including a capital infusion of $1.2 million, of which 
$600,000 was paid in February, 1997 and $600,000 was paid prior to 
September 10, 1997.  Investors of the new capital will retain 
approximately 80 percent of the Company's common stock.  
Pre-petition shareholders, debentureholders/creditors, and 
management will retain approximately 10 percent, 5 percent 
and 5 percent of the Company's common stock respectively. 

RESULTS OF OPERATIONS

Revenues for the quarter ended September 30, 1996 increased 12 
percent to $1,405,432 as compared with $1,251,088 for the same 
quarter of the previous year. This increase is primarily 
related to increased revenues at the Company's McFarlain's 
restaurant in the mall. Revenues for the reporting quarter 
were comprised of ticket sales (45.2%), restaurant sales 
(40.7%),  concession and retail sales (6.5%) and retail rental 
income (7.6%). 

Costs and expenses were $1,155,938 for the reporting quarter 
as compared to expenses of $1,244,293 in the previous year.  
Depreciation expense decreased $99,716 during the reporting 
quarter as a result of the Company's $5.1 million write down 
of assets in the fourth quarter of fiscal 1996.

Operating income for the reporting quarter was $249,494 as 
compared to $6,795 in the same quarter of the prior year. This 
improvement is primarily due to increased revenues during the 
quarter together with decreased depreciation and amortization 
expenses.

Interest expense totaled $190,413 for the quarter ended 
September 30, 1996 as compared to $192,888 for the similar 
period of the prior year. 
<PAGE>
Net income for the reporting quarter was $39,008 compared to a 
net loss of $238,590 in the same quarter of the previous year. 
This improvement is primarily related to the increase in 
revenues together with the decrease in depreciation/amortization expense.

LIQUIDITY AND CAPITAL RESOURCES

As of September 30, 1996, current assets totaled $919,814 
while current liabilities totaled $3,234,812.  The Company's 
current ratio at September 30, 1996 was .28 to 1.  However, 
these amounts do not reflect the implementation of the 
Company's Plan of Reorganization.  The Company's Plan of 
Reorganization, which was confirmed on February 6, 1997 by the 
U.S. Bankruptcy Court will relieve the Company of 
approximately $2.2 million of long-term debt and approximately 
$3.2 of current liabilities related to unsecured creditors in 
the fourth quarter of the current fiscal year.  The Company 
will pay approximately $600,000 to satisfy these liabilities. 

Going forward, the Company expects to be able to finance its 
operations and immediate capital requirements from its 
operations and capital invested pursuant to the Plan of 
Reorganization.

BUSINESS PLAN

The Company is in the process of seeking trading status for 
its common stock on the NASDAQ Bulletin Board.  Management 
anticipates receiving approval for trading during the summer 
of 1997.

The Company is currently offering solely to accredited 
investors up to approximately 2.1 million Units at a price of 
$.30 per Unit for an aggregate consideration of $650,000.  
Each Unit consists of one restricted share of common stock of 
the Company and one warrant to purchase one restricted share 
of common stock of the Company at a price of $1.00 per share.  
These securities are not registered under the Securities Act 
of 1933 and may not be offered or resold absent registration 
or pursuant to an applicable exemption from registration under 
the Securities Act of 1993.  No underwriter or selling agent 
is being used in connection with this offer and sale. As of 
June 17, 1997, the Company had received orders for 
approximately one-half of the private placement.

                PART II.  OTHER INFORMATION

Item 1.	Legal Proceedings
        -----------------
          
        Except for the bankruptcy filing described above, 
        there are no material legal proceedings pending to 
        which the Company is a party or of which any of its 
        property is the subject.
<PAGE>
Item 2.	Changes in Securities	
        ---------------------
          
       	Pursuant to the Company's Plan of Reorganization 
        confirmed on February 6, 1997 by the U.S. Bankruptcy 
        Court, shareholders of preferred stock receive .8 	
        shares of common stock of the Company for each share 
        of preferred stock held by them pre-petition, rounded 
        to the nearest whole share and shareholders of common 
        stock receive 1 share of the common stock of the Company 
        for each 10 shares of common stock held by them pre-petition, 
        rounded to the nearest whole share.

        The Company's loan agreement with Boatmen's Bank of 
        Southern Missouri restricts the payment of dividends 
        to an amount not exceeding the Company's net profits 
        plus depreciation plus interest expense, less 1.25 
        times the Company's annual principal and interest 
        payments unless otherwise agreed to by Boatmen's 
        Bank of Southern Missouri.

        In February 1997, the Company issued approximately 
        4,433,490 restricted shares of its common stock to 
        Mr. Paul M. Bluto in consideration of $600,000 cash.  
        No underwriter or selling agent was used in 
        connection with this sale.  The sale of these shares 
        was made pursuant to available exemptions under 
        Section 4(2), Section 4(6), and the regulations 
        promulgated pursuant thereto, of the Securities Act 
        of 1933, as amended.

Item 3.	Defaults Upon Senior Securities
        -------------------------------
          
        Not applicable.

Item 4.	Submission of Matters to a Vote of Security Holders
        ---------------------------------------------------
          
        No matters were submitted to a vote of security 
        holders during the quarter ended September 30, 1996.  
       	During the quarter ended March 31, 1997, 
        shareholders, debentureholders, and creditors 	voted 
        in favor of the Company's Second Amended Plan of 
       	Reorganization  Dated December 18, 1996.

Item 5.	Other Information
        -----------------
          
       	Not applicable.

Item 6.	Exhibits and Reports on Form 8-K
        --------------------------------
          
       	A) Exhibits:
        4.1 Specimen Certificate for the common stock of the 
        Registrant (incorporated by reference to the 
        Registrant's Registration Statement on Form S-1, 
        Registration No. 33-48630).

        10.3	  Ground Lease Agreement dated July 27, 1993 
        between Treasure Lake R.V. Resort Camping Club, Inc. 
        and International Tourist Entertainment Corporation 
        (incorporated by reference to Registration Statement 
        on Form S-1, Registration No. 33-64132).

        10.4	  Loan Agreement dated July 30, 1993 for loan 
        from Boatmen's Bank, Branson, Missouri to 
        International Tourist Entertainment Corporation 
        (incorporated by reference to Registration Statement 
        on Form S-1, Registration No. 33-64132).

        10.5  	Deed of Trust dated July 30, 1993 for benefit 
        of Boatmen's Bank, Branson, Missouri (incorporated 
        by reference to Registration Statement on Form S-1, 
        Registration No. 33-64132).

        10.10	  Distribution Agreement dated July 14, 1995 
        between Imax Corporation and the Company 
        (incorporated by reference to Form 10-KSB for the 
        year ended June 30, 1996).

        10.11	  Second Amended Plan of Reorganization dated 
        December 18, 1996 and 	Second Amended Disclosure 
        Statement in Support of Proposed Second Amended Plan 
        of Reorganization dated December 18, 1996 
        (incorporated by reference to Form 8-K filed on 
        February 26, 1997).

        10.12   	Third Modification Agreement dated March 1, 
        1997 between Boatmen's Bank of Southern Missouri and 
        the Company (incorporated by reference to Form 10-KSB 
        for the year ended June 30, 1996).
  
        10.13  	 System Lease Agreement as amended dated August 
        1, 1993 between IMAX Corporation and the Company 
        (incorporated by reference to Form 10-KSB for the 
        year ended June 30, 1996).


<PAGE>
        B)  Reports on Form 8-K : 

        On February 19, 1997, the Company filed a report on 
        Form 8-K reporting a change in its certifying 
        accountant. The Company engaged Tanner + Co., Salt 
        Lake City, Utah, to replace KPMG Peat Marwick LLP as 
        the principal accountant to audit the Company's 
        financial statements.  There have been no 
        disagreements between the Company and the former 
        accountant on any matter of accounting principles or 
        practices, financial statement disclosure, or 
        auditing scope or procedure in connection with the 
        audits of the two years ended June 30, 1995 or any 
        subsequent period preceding the change described 
        herein.
	
	      	On February 26, 1997, the Company filed a report on 
        Form 8-K reporting 	a 	change in control of the Company 
        resulting from the confirmation of the 	Plan of Reorganization 
        on February 6, 1997 and the Company's Bankruptcy proceeding.
     

<PAGE>
                              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.


	                                                    
		Date   9/11/97                     /s/ Paul M. Bluto
       -------------                 ------------------------					   
                                   		Paul M. Bluto
                                   		Chairman and
                                   		Principal Financial Officer
		
                                   

 Date    9/11/97                     /s/ Kelvyn H. Cullimore
       -------------                 ------------------------
                                     Kelvyn H. Cullimore
                                     President
                                     Chief Executive Officer
                                     Duly Authorized Officer