United States
                       Securities And Exchange Commission
                             Washington, D.C. 20549
                                   FORM 10-QSB

                                   (Mark One)

     [X]  Quarterly Report Pursuant To Section 13 Or 15 (d) Of The Securities
                              Exchange Act Of 1934
               For the quarterly period ended: June 30, 2003

                                       Or

     [ ]  Transition Report Pursuant To Section 13 Or 15 (d) Of The Securities
                              Exchange Act Of 1934

        For the transition period from ______________ to _______________



                       Commission File Number:  000-28153


                       The Cyber Group Network Corporation
             (Exact name of registrant as specified in its charter)


            Nevada                                            33-0901534
(State or other jurisdiction of                           (I.R.S. Employer
 incorporation of origination)                         Identification Number)


Post Office Box 11403 San Bernardino, CA                        92423
(Address of principal executive offices)                     (Zip code)


                                 (310) 854-4190
              (Registrant's telephone number, including area code)


Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by section 13 or 15 (d) of the Securities Exchange Act of 1934
during the preceding 12 months (or for such shorter period that the registrant
was required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days.
                                Yes {x}   No { }


          APPLICABLE ONLY TO ISSUERS INVLOVED IN BANKRUPTCY PROCEEDINGS
                                     DURING
                            THE PRECEDING FIVE YEARS:

Indicate by check mark whether the registrant has filed all documents and
reports required to filed by Sections 12, 13 or 15 (d) of the Securities
Exchange Act of 1934 subsequent to the distribution of securities under a plan
confirmed by a court.
                                 Yes { }  No { }



                      APPLICABLE ONLY TO CORPORATE ISSUERS:

   Indicate the number of shares outstanding of each issuer's classes of common
              stock, as of the latest practicable date: 145,646,665


<PAGE>
                                TABLE OF CONTENTS

PART I  -  FINANCIAL INFORMATION
Item 1  -  Financial Statements
Item 2  -  Management's Discussion and Analysis or Plan of Operation
Item 3  -  Controls and Procedures

PART II -  OTHER INFORMATION
Item 6  -  Exhibits and Reports on Form 8-K


<PAGE>
PART I  -  FINANCIAL INFORMATION
Item 1  -  Financial Statements






THE CYBER GROUP NETWORK CORPORATION
AND SUBSIDIARY
                          (A DEVELOPMENT STAGE COMPANY)
                   CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                               AS OF JUNE 30, 2003


<PAGE>
THE CYBER GROUP NETWORK CORPORATION
AND SUBSIDIARY
                          (A DEVELOPMENT STAGE COMPANY)


                                    CONTENTS
                                    --------


PAGE        1       CONDENSED CONSOLIDATED BALANCE SHEETS AS OF JUNE
                    30, 2003 (UNAUDITED) AND DECEMBER 31, 2002

PAGE        2       CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                    FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2003
                    AND 2002 AND FOR THE PERIOD FROM MARCH 21, 2000
                    (INCEPTION) TO JUNE 30, 2003 (UNAUDITED)

PAGES     3 - 4     CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN
                    STOCKHOLDERS' DEFICIENCY FOR THE PERIOD FROM MARCH
                    21, 2000 (INCEPTION) TO JUNE 30, 2003 (UNAUDITED)

PAGE        5       CONDENSED CONSOLIDATED STATEMENTS OF CASH
                    FLOWS FOR THE SIX MONTHS ENDED JUNE 30, 2003 AND
                    2002 AND FOR THE PERIOD FROM MARCH 21, 2000
                    (INCEPTION) TO JUNE 30, 2003 (UNAUDITED)

PAGES     6 - 9     NOTES TO CONDENSED CONSOLIDATED FINANCIAL
                    STATEMENTS AS OF JUNE 30, 2003 (UNAUDITED)


<PAGE>
<TABLE>
<CAPTION>
                          THE CYBER GROUP NETWORK CORPORATION AND SUBSIDIARY

                                     (A DEVELOPMENT STAGE COMPANY)
                                  CONDENSED CONSOLIDATED BALANCE SHEETS
                                AS OF JUNE 30, 2003 AND DECEMBER 31, 2002
                                -----------------------------------------


                                             ASSETS
                                             ------
                                                                               June 30,
                                                                                 2003       December 31,
                                                                              (Unaudited)        2002
                                                                             -------------  --------------
<S>                                                                          <C>            <C>
CURRENT ASSETS
Cash                                                                         $          -   $         800
                                                                             -------------  --------------

TOTAL ASSETS                                                                 $          -   $         800
------------                                                                 =============  ==============

                              LIABILITIES AND STOCKHOLDERS' DEFICIENCY
                              ----------------------------------------

CURRENT LIABILITIES
Accounts payable                                                             $    230,285   $     230,285
Accrued expenses                                                                   92,636          69,511
Loans payable                                                                     251,317         251,317
Payable to related party                                                           52,210          52,210
Due to officers                                                                   424,014         249,714
                                                                             -------------  --------------
      Total Current Liabilities                                                 1,050,462         853,037
                                                                             -------------  --------------

COMMITMENTS AND CONTINGENCIES

STOCKHOLDERS' DEFICIENCY
Preferred stock, $0.001 par value, 50,000,000 shares authorized, 2,000,000          2,000           2,000
  shares issued and outstanding
Common stock, $0.001 par value, 500,000,000 shares authorized,                    145,646         142,646
  145,646,665 and 142,646,665 shares issued and outstanding, respectively
Additional paid-in capital                                                     10,343,235      10,340,535
Deficit accumulated during development stage                                  (11,541,343)    (11,337,418)
                                                                             -------------  --------------

TOTAL STOCKHOLDERS' DEFICIENCY                                                 (1,050,462)       (852,237)
                                                                             -------------  --------------

TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIENCY                               $          -   $         800
----------------------------------------------                               =============  ==============
</TABLE>



     See accompanying notes to condensed consolidated financial statements.


                                        1
<PAGE>
<TABLE>
<CAPTION>
                              THE CYBER GROUP NETWORK CORPORATION AND SUBSIDIARY

                                        (A DEVELOPMENT STAGE COMPANY)
                               CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                          FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2003 AND 2002
                          ---------------------------------------------------------
                     AND FOR THE PERIOD FROM MARCH 21, 2000 (INCEPTION) TO JUNE 30, 2003
                     -------------------------------------------------------------------
                                                 (UNAUDITED)


                                                 For the Three    For the Three    For the Three    For the Three
                                                 Months Ended     Months Ended     Months Ended     Months Ended
                                                 June 30, 2003    June 30, 2002    June 30, 2003    June 30, 2002
                                                ---------------  ---------------  ---------------  ---------------
<S>                                             <C>              <C>              <C>              <C>
REVENUE                                         $            -   $       43,018   $            -   $       54,593

COST OF GOODS SOLD                                           -           12,290                -           17,980
                                                ---------------  ---------------  ---------------  ---------------

GROSS PROFIT                                                 -           30,728                -           36,613
                                                ---------------  ---------------  ---------------  ---------------

OPERATING EXPENSES
  Selling, general and administrative                  106,293          584,908          196,351        1,472,096
  Impairment of property, plant and equipment                -                -                -                -
  Impairment of goodwill                                     -                -                -                -
                                                ---------------  ---------------  ---------------  ---------------
      Total Operating Expenses                         106,293          584,908          196,351        1,472,096
                                                ---------------  ---------------  ---------------  ---------------

LOSS FROM OPERATIONS                                  (106,293)        (554,180)        (196,351)      (1,435,483)
                                                ---------------  ---------------  ---------------  ---------------

OTHER EXPENSE (INCOME)
  Other income                                               -                -           (2,982)               -
  Interest expense                                       5,278            8,395           10,556           18,711
                                                ---------------  ---------------  ---------------  ---------------
      Total Other Expense                                5,278            8,395            7,574           18,711
                                                ---------------  ---------------  ---------------  ---------------

NET LOSS                                        $     (111,571)  $     (562,575)  $     (203,925)  $   (1,454,194)
--------                                        ===============  ===============  ===============  ===============


Net loss per share - basic and diluted          $            -   $            -   $            -   $        (0.03)
                                                ===============  ===============  ===============  ===============

Weighted average number of common shares
  outstanding - basic and diluted                  145,646,665       76,230,464      145,630,090       56,029,858
                                                ===============  ===============  ===============  ===============


                                                 Cumulative From
                                                 March 21, 2000
                                                 (Inception) To
                                                 June 30, 2003
                                                -----------------
<S>                                             <C>
REVENUE                                         $        237,304

COST OF GOODS SOLD                                        45,718
                                                -----------------

GROSS PROFIT                                             191,586
                                                -----------------

OPERATING EXPENSES
  Selling, general and administrative                  9,883,954
  Impairment of property, plant and equipment             44,113
  Impairment of goodwill                                 295,000
                                                -----------------
      Total Operating Expenses                        10,223,067
                                                -----------------

LOSS FROM OPERATIONS                                 (10,031,481)
                                                -----------------

OTHER EXPENSE (INCOME)
  Other income                                            (2,982)
  Interest expense                                     1,512,844
                                                -----------------
      Total Other Expense                              1,509,862
                                                -----------------

NET LOSS                                        $    (11,541,343)
--------                                        =================

Net loss per share - basic and diluted

Weighted average number of common shares
  outstanding - basic and diluted
</TABLE>

     See accompanying notes to condensed consolidated financial statements.


                                        2
<PAGE>
<TABLE>
<CAPTION>
                           THE CYBER GROUP NETWORK CORPORATION AND SUBSIDIARY

                                      (A DEVELOPMENT STAGE COMPANY)
                CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' DEFICIENCY
                    FOR THE PERIOD FROM MARCH 21, 2000 (INCEPTION) TO JUNE 30, 2003
                    ---------------------------------------------------------------
                                              (UNAUDITED)

                                                                                                           Deficit
                                                                                                         Accumulated
                                                                                            Additional     During
                                                      Preferred Stock      Common Stock       Paid-In    Development
                                                      Shares  Amount     Shares    Amount     Capital       Stage
                                                      ------  -------  ----------  -------  -----------  ------------
<S>                                                   <C>     <C>      <C>         <C>      <C>          <C>

Issuance of common stock and recapitalization due to       -  $     -     740,400  $   740  $     (740)  $         -
  acquisition on March 21, 2000

Issuance of stock for services rendered                    -        -     608,519      609   1,277,591             -

Issuance of stock for compensation                         -        -      83,487       83     243,372             -

Issuance of stock for donations                            -        -      18,333       18      29,932             -

Conversion of convertible redeemable debentures            -        -     794,058      794     999,206             -

Conversion of convertible redeemable debentures            -        -     260,519      261     271,239             -

Stock options issued for compensation                      -        -           -        -     237,750             -

Stock options issued for services rendered                 -        -           -        -     220,000             -

Interest from beneficial conversion features               -        -           -        -     932,291             -

Issuance of stock for interest expense                     -        -      88,889       89      99,911             -

Net loss, 2000                                             -        -           -        -           -    (4,509,712)
                                                      ------  -------  ----------  -------  -----------  ------------

Balance, December 31, 2000                                 -        -   2,594,205    2,594   4,310,552    (4,509,712)

Issuance of common stock for services rendered             -        -  13,350,675   13,350   2,752,503             -

Issuance of stock for compensation                         -        -   1,998,841    1,999     592,296             -



                                                         Total
                                                      ------------
<S>                                                   <C>

Issuance of common stock and recapitalization due to  $         -
  acquisition on March 21, 2000

Issuance of stock for services rendered                 1,278,200

Issuance of stock for compensation                        243,455

Issuance of stock for donations                            29,950

Conversion of convertible redeemable debentures         1,000,000

Conversion of convertible redeemable debentures           271,500

Stock options issued for compensation                     237,750

Stock options issued for services rendered                220,000

Interest from beneficial conversion features              932,291

Issuance of stock for interest expense                    100,000

Net loss, 2000                                         (4,509,712)
                                                      ------------

Balance, December 31, 2000                               (196,566)

Issuance of common stock for services rendered          2,765,853

Issuance of stock for compensation                        594,295
</TABLE>



     See accompanying notes to condensed consolidated financial statements.


                                        3
<PAGE>
<TABLE>
<CAPTION>
                                THE CYBER GROUP NETWORK CORPORATION AND SUBSIDIARY

                                           (A DEVELOPMENT STAGE COMPANY)
                     CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' DEFICIENCY
                         FOR THE PERIOD FROM MARCH 21, 2000 (INCEPTION) TO JUNE 30, 2003
                         ---------------------------------------------------------------
                                                   (UNAUDITED)


                                                                                                               Deficit
                                                                                                             Accumulated
                                                                                               Additional      During
                                                   Preferred Stock         Common Stock         Paid-In      Development
                                                  Shares     Amount     Shares      Amount      Capital         Stage
                                                 ---------  -------  ------------  ---------  ------------  -------------
<S>                                              <C>        <C>      <C>           <C>        <C>           <C>

Conversion of convertible redeemable debentures          -        -      657,385        657       603,188              -

Interest from beneficial conversion features             -        -            -          -       218,922              -

Issuance of other stock - litigation                     -        -      600,000        600       148,400              -

Issuance of restricted shares                            -        -    5,555,555      5,556        (5,556)             -

Preferred stock issued                           2,000,000    2,000            -          -       211,250              -

Net loss, 2001                                           -        -            -          -             -     (4,902,903)
                                                 ---------  -------  ------------  ---------  ------------  -------------

Balance, December 31, 2001                       2,000,000    2,000   24,756,661     24,756     8,831,555     (9,412,615)

Issuance of stock to pay loans                           -        -   30,253,157     30,253       346,023              -

Issuance of stock for compensation                       -        -   20,010,289     20,010       479,275              -

Issuance of stock for services                           -        -   73,214,520     73,215       678,094              -

Stock rescinded                                          -        -   (5,587,962)    (5,588)        5,588              -

Net loss, 2002                                           -        -            -          -             -     (1,924,803)
                                                 ---------  -------  ------------  ---------  ------------  -------------

Balance, December 31, 2002                       2,000,000    2,000  142,646,665    142,646    10,340,535    (11,337,418)

Issuance of stock for services                           -        -    3,000,000      3,000         2,700              -

Net loss, 2003                                           -        -            -          -             -       (203,925)
                                                 ---------  -------  ------------  ---------  ------------  -------------

BALANCE, JUNE 30, 2003                           2,000,000  $ 2,000  145,646,665   $145,646   $10,343,235   $(11,541,343)
----------------------                           =========  =======  ============  =========  ============  =============


                                                    Total
                                                 ------------
<S>                                              <C>

Conversion of convertible redeemable debentures      603,845

Interest from beneficial conversion features         218,922

Issuance of other stock - litigation                 149,000

Issuance of restricted shares                              -

Preferred stock issued                               213,250

Net loss, 2001                                    (4,902,903)
                                                 ------------

Balance, December 31, 2001                          (554,304)

Issuance of stock to pay loans                       376,276

Issuance of stock for compensation                   499,285

Issuance of stock for services                       751,309

Stock rescinded                                            -

Net loss, 2002                                    (1,924,803)
                                                 ------------

Balance, December 31, 2002                          (852,237)

Issuance of stock for services                         5,700

Net loss, 2003                                      (203,925)
                                                 ------------

BALANCE, JUNE 30, 2003                           $(1,050,462)
----------------------                           ============
</TABLE>



     See accompanying notes to condensed consolidated financial statements.


                                        4
<PAGE>
                THE CYBER GROUP NETWORK CORPORATION AND SUBSIDIARY

                          (A DEVELOPMENT STAGE COMPANY)
                 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
             FOR THE SIX MONTHS ENDED JUNE 30, 2003 AND 2002 AND FOR
             -------------------------------------------------------
           THE PERIOD FROM MARCH 21, 2000 (INCEPTION) TO JUNE 30, 2003
           -----------------------------------------------------------
                                   (UNAUDITED)


<TABLE>
<CAPTION>
                                                                                 For the Six
                                                                                 Months Ended
                                             June 30, 2003      For the Six     For the Period
                                             (Inception) to    Months Ended          from
                                             June 30, 2003     June 30, 2002    March 21, 2000
                                            ----------------  ---------------  ----------------
<S>                                         <C>               <C>              <C>

CASH FLOWS FROM OPERATING ACTIVITIES        $          (800)  $      (87,410)  $    (1,924,908)
                                            ----------------  ---------------  ----------------

CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property, plant and equipment                 -             (475)         (125,506)
Purchase of license rights                                -                -           (70,000)
Proceeds used in business acquisition                     -                -          (295,000)
                                            ----------------  ---------------  ----------------
Net Cash Used In Investing Activities                     -             (475)         (490,506)
                                            ----------------  ---------------  ----------------

CASH FLOWS FROM FINANCING ACTIVITIES:
Repayment of loan payable                                 -                -           (16,500)
Proceeds from loan payable                                -           97,425           644,104
Proceeds from issuance of convertible debt                -                -         1,787,810
                                            ----------------  ---------------  ----------------
Net Cash Provided By Financing Activities                 -           97,425         2,415,414
                                            ----------------  ---------------  ----------------

NET INCREASE (DECREASE) IN CASH                        (800)           9,540                 -

CASH - BEGINNING OF PERIOD                              800           (8,347)                -
                                            ----------------  ---------------  ----------------

CASH - END OF PERIOD                        $             -   $        1,193   $             -
--------------------                        ================  ===============  ================


SUPPLEMENTAL DISCLOSURE CASH FLOW INFORMATION:
----------------------------------------------

Cash paid for income taxes                  $             -   $            -   $         1,922
                                            ================  ===============  ================

Cash paid for interest                      $             -   $            -   $             -
                                            ================  ===============  ================

SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES:
-----------------------------------------------------------------------

During the six months ended June 30, 2003, the Company issued 3,000,000 shares
of common stock with a fair value of $5,700 for services rendered.
</TABLE>



     See accompanying notes to condensed consolidated financial statements.


                                        5
<PAGE>

NOTE 1    BUSINESS  ACTIVITY
------    ------------------

          On  March 21, 2000, The Cyber Group Network Corporation and Subsidiary
          (the  "Company",  "CGPN", "Cyber Group") was incorporated in the State
          of  California  and  subsequently  purchased  Hollywood  Entertainment
          Network,  Inc.  The  Company  is  a technology driven, internet based,
          computer  security  company  with  one  main  area  of focus: Computer
          Security. The primary purpose is to continue to transition the Company
          into  a  self-sufficient,  revenue-generating  company,  capable  of
          increasing  shareholder  value.  The  Company  is also very focused on
          exceeding  customer  expectations  and  industry  demand.

          The  Company's  mission  is  to develop and create innovative security
          products  and  services  that  will  protect  the  B2B,  corporate and
          everyday  user.

NOTE 2    BASIS  OF  PRESENTATION
------    -----------------------

          The  accompanying  condensed consolidated financial statements include
          the accounts of The Cyber Group Network Corporation and its subsidiary
          (the  "Company").  These  statements  have been prepared in accordance
          with  accounting principles generally accepted in the United States of
          America for interim financial information and the instructions to Form
          10-QSB  and  do not include all the information and footnotes required
          by  accounting  principles  generally accepted in the United States of
          America  for  complete  financial  statements.  In  the  opinion  of
          management,  all adjustments (consisting of normal recurring accruals)
          considered  necessary  for  a fair presentation of the results for the
          interim  periods  have  been  included.  Operating results for the six
          months  ended  June  30,  2003  are  not necessarily indicative of the
          results that may be expected for the year ended December 31, 2003. The
          accompanying  condensed  consolidated  financial  statements  and  the
          information  included  under  the heading "Management's Discussion and
          Analysis"  should  be  read  in  conjunction  with  the  Company's
          consolidated  financial  statements  and related notes included in the
          Company's  Form  10-KSB  for  the  year  ended  December  31,  2002.

NOTE 3    COMMITMENTS  AND  CONTINGENCIES
------    -------------------------------

          The  Company  is  involved in certain legal proceeding and claims that
          arise  in  the normal course of business. The Company does not believe
          that  the outcome of these matters will have a material adverse effect
          on  its  financial  position  or  results  of  operations.



NOTE 4    STOCKHOLDERS'  DEFICIENCY
------    -------------------------

          On November 23, 2001, the Board of Directors approved a fifteen to one
          reverse  stock  split  on  all of the outstanding common shares of the
          Company.  All  references  to  common shares and loss per common share
          amounts have been adjusted to reflect the 15-to-1 reverse common stock
          split.  The  common  shares  commenced trading on a post reverse split
          basis  on  November  26,  2001.

          (A)  COMMON  STOCK
          ------------------

          During  the  six  months  ended  June  30,  2003,  the  Company issued
          3,000,000  shares  of  common  stock  with  a fair value of $5,700 for
          services  rendered.

          During the year ended December 31, 2002, the Company issued 30,253,157
          shares of common stock with a fair value of $376,276 to settle certain
          loans  payable.


                                        6
<PAGE>
          During  the  years ended December 31, 2002 and 2001 and for the period
          from  March  21,  2000  (inception)  to December 31, 2000, the Company
          issued  73,214,520,  13,350,675  and  608,519  shares  of common stock
          (reflective  of  reverse  split)  for  services  rendered  valued  at
          $751,309,  $2,765,853  and $1,278,200, respectively. The services were
          valued  at the fair market value of the stock on the date of issuance.

          During  the  years ended December 31, 2002 and 2001 and for the period
          from  March  21,  2000  (inception)  to December 31, 2000, the Company
          issued  20,010,289,  1,998,841  and  83,487  shares  of  common  stock
          (reflective  of  reverse  split)  as  compensation  totaling $499,285,
          $594,295 and $243,455, respectively. These transactions were valued at
          the  fair  market  value  of  the  stock  on  the  date  of  issuance.

          During  the year ended December 31, 2001 and for the period from March
          21,  2000  (inception)  to  December  31,  2000, the Company converted
          $603,845  and  $1,271,500  of its Series A and Series SPA Subordinated
          Convertible Redeemable Debentures into 657,385 and 1,050,760 shares of
          common  stock (reflective of reverse split), respectively. In relation
          to  these transactions, the holder of the debentures converted accrued
          interest  totaling  $0 and $4,293 in 2001 and 2000, respectively. This
          accrued  interest  resulted  in  the  issuance  of  0 and 3,817 shares
          (reflective  of  reverse  split)  in  2001  and  2001,  respectively.

          During  the year ended December 31, 2001 and for the period from March
          21,  2000  (inception)  to December 31, 2000, the Company issued 0 and
          18,333  shares  of  common  stock  (reflective  of  reverse  split) as
          donations  to  nonprofit  organizations  valued  at  $0  and  $29,950,
          respectively.  These transactions were valued at the fair market value
          of  the  stock on the date of issuance. During the year ended December
          31,  2001  and  for  the  period  from  March  21, 2000 (inception) to
          December  31,  2000,  the Company issued 0 and 88,889 shares of common
          stock  (reflective  of  reverse split) as interest expense totaling $0
          and  $100,000,  respectively.

          During  the year ended December 31, 2001 and for the period from March
          21,  2000 (inception) to December 31, 2000, the Company issued options
          (net  of  those  terminated)  to  employees  and Board of Directors to
          purchase 6,255,972 and 4,250,000 shares of common stock, respectively,
          and  recorded  compensation  expense of $226,349, which is included in
          the issuance of stock for compensation in the statements of changes in
          stockholders'  deficiency,  and  $237,750,  respectively.

          During  the year ended December 31, 2001, the Company issued 5,555,555
          shares  of  common  stock  to  the  former  CEO for inventions per his
          employment  agreement.  In early 2002, the Company rescinded 5,587,962
          shares  from  the  former  CEO  due to complications incurred with the
          former CEO. No expense was recorded in relation to these transactions.

          During  the  year  ended December 31, 2001, the Company issued 600,000
          shares  of  common  stock with a fair value of $149,000 in relation to
          the  litigation  discussed  in  Note  6  (D).

NOTE 5    RELATED  PARTY  TRANSACTIONS
------    ----------------------------

          During  the  six months ended June 30, 2003 and 2002, the Company made
          certain  advances  to  and  had  loans from its former Chief Executive
          Officer  and  other  related  individuals.  As  of  June  30, 2003 and
          December  31,  2002,  the due to officers account on the balance sheet
          includes  these  loans  and  accrued  compensation  to  officers  and
          directors  of  the  Company.

          As  of  June  30,  2003  and December 31, 2002, the Company had a loan
          payable  to  a  related  party  totaling  $52,210.


                                        7
<PAGE>
NOTE 6    GOING  CONCERN
------    --------------

          The  accompanying consolidated financial statements have been prepared
          in  conformity  with  generally  accepted  accounting  principles that
          contemplate the Company's continuation as a going concern. For the six
          months  ended  June 30, 2003, CGPN incurred net losses of $203,925 and
          had  a  working  capital  deficiency and a stockholders' deficiency of
          $1,050,462  as of June 30, 2003. In addition, the Company was still in
          the  development  stage  as  of  June  30,  2003.  These factors raise
          substantial  doubt  about the Company's ability to continue as a going
          concern.

          The  attainment of profitable operations is dependent upon the Company
          obtaining  adequate  debt  and/or  equity  financing and developing an
          effective  marketing  campaign to generate a consistent cash flow. The
          financial  statements  do  not include any adjustments relating to the
          recoverability and classification of recorded asset amounts or amounts
          and  classification  of liabilities that might be necessary should the
          Company  be  unable  to  continue  in  existence.



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


The  following  discussion  and  analysis should be read in conjunction with our
consolidated  financial  statements  and  related  footnotes  for the year ended
December 31, 2002 included in FORM 10KSB filed with the SEC on May 15, 2003. The
discussion  of  results,  causes and trends should not be construed to imply any
conclusion  that such results or trends will necessarily continue in the future.

GENERAL

On  March  21,  2000,  The  Cyber  Group Network Corporation and Subsidiary (the
"Company",  "CGPN",  "Cyber  Group") was incorporated in the State of California
and subsequently purchased Hollywood Entertainment Network, Inc.  The Company is
a  technology  driven,  internet  based, computer security company with one main
area  of  focus:  Computer  Security.  The  primary  purpose  is  to continue to
transition  the  Company  into  a  self-sufficient,  revenue-generating company,
capable  of  increasing  shareholder  value.

The  Company's mission is to develop and create innovative security products and
services  that  will  protect  the  B2B, corporate and everyday  user.

RESULTS OF OPERATIONS

Since  inception  in  March 2000, the Company has been in the development stage.
The  primary focus has been on the development and marketing of its hardware and
software  devices,  E-Snitch  and PPIRT, respectively. Because the Company began
shipment  of  PPIRT in the late fourth quarter 2000 and shipped minimal product,
minimal  revenue  has  been  generated to date. Because substantially all of its
efforts  have  been  concentrated in research and development activities, it has
operated  at  a  net  loss  since  inception. The Company incurred a net loss of
$74,782  and  $891,619  for  the  quarters  ended  June  30,  2003  and  2002,
respectively. The first quarter 2003 losses have decreased about 90% compared to
the  same  period  in 2002. The decrease in the net loss is primarily due to the
minimal  operations  that the company incurred during the quarter ended June 30,
2003.


The  Company  has  received  reports on its financial statements for the periods
ending  December  31,  2002  and  2001 from its current and previous independent
auditors  that  include  explanatory  paragraphs  describing  the  Company's
uncertainty  to  continue  as  a  going  concern.  These  financial  statements
contemplate  the  ability  to  continue  as  a  going concern and as such do not
include  any  adjustments  that  might  result  from  this  uncertainty.


LIQUIDITY AND CAPITAL RESOURCES

As  of the fiscal quarter ended June 30, 2003, the Company had current assets of
$0  and  total  assets  of  $0.  The  Company  was in a negative working capital
position  of  $1,012,673  as  of  June  30,  2003.


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CASH REQUIREMENTS AND ADDITIONAL FUNDING

The  Company  needs  to  immediately  raise  additional capital to run the daily
operating  activities of the business.  The current cash on hand is insufficient
to  meet  its  anticipated  needs  for working capital, capital expenditures and
business  development  for  the next twelve months.  Because the Company has not
sustained  a consistent revenue stream, it will need to raise additional capital
to  meet  its  operating  needs.  The  Company will continue to research various
methods  of  acquiring capital, like private placement, debt refinancing and SB2
filings.  The  Company  recognizes  that  filing  an SB2 can potentially lead to
stock  dilution,  however,  it  may be the most effective means to generate cash
flow.  Irrespective of the funding method, this funding will cover such costs as
marketing  and  distribution,  maintaining  and  upgrading technology, recurring
overhead  expenses  for  the  day-to-day  operation  of  the  business and other
unexpected  expenses due to economic changes.  The Company cannot guarantee that
the  financing  will  be  available  in  certain amounts or on acceptable terms.

FORWARD-LOOKING  STATEMENTS

Certain matters discussed in this report contain forward-looking statements that
are subject to risks and uncertainties that could cause actual results to differ
materially  from  those  indicated  by  such  forward-looking  statements. These
forward-looking  statements relate to, among other things, capital expenditures,
liquidity,  capital  resources  and competition and may be indicated by words or
phrases  such  as  "anticipate",  "estimate", "plans", "projects", "continuing",
"ongoing",  "expects",  "management  believes",  "the  Company  believes",  "the
Company  intends" and similar words or phrases. The following factors and others
discussed  in the Company's periodic reports and filings with the Securities and
Exchange  Commission  are  among  the  principal factors that could cause actual
results  to  differ materially from the forward-looking statements: availability
and  terms  of  financing; risk insurance markets; competition; general economic
conditions;  interest rates; and inflation. However, this list is not a complete
statement  of  all  potential  risks  or  uncertainties.

These  forward-looking  statements  are  made  as  of  the  date hereof based on
management's  current  expectations,  and  the  Company  does  not  undertake an
obligation  to  update  such statements, whether as a result of new information,
future  events  or  otherwise.  Additional information regarding these and other
risk  factors may be found in the Company's other filings made from time to time
with  the  Securities  and  Exchange  Commission.



PART II - OTHER INFORMATION

ITEM 3 - CONTROLS AND PROCEDURES

Disclosure  controls  and procedures are designed to ensure information required
to  be  disclosed in our periodic reports filed with the Securities and Exchange
Commission  under  the  Securities  Exchange Act of 1934 is recorded, processed,
summarized  and  reported,  within  the  time periods specified in the rules and
forms  of  the  Securities  and  Exchange  Commission.  Disclosure  controls and
procedures  include,  without  limitation,  controls  and procedures designed to
ensure  that  information required to be disclosed in the periodic reports filed
under  the  Securities  Exchange  Act of 1934 is accumulated and communicated to
management,  including  the  Chief  Executive  Officer  and  Principal Financial
Officer,  as  appropriate,  to  allow  timely  decisions  regarding  required
disclosure.

Within the 90 days prior to filing data of this Report, we have not conducted an
evaluation  of  the effectiveness of the design and operation of our disclosures
controls  and  procedures  pursuant  to Securities and Exchange Act Rule 13a-14.
This  evaluation  will  be  conducted  before the issuance of our second quarter
10QSB.

ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K

The  Company  filed  Form  8-K on April 23, 2003 for a change of accountants. It
should  be  noted  that  the  change  of  accountants  was  because  the  former
accountants  resigned  for  non-payment and lack of communication and no adverse
opinions  or  qualified  opinions  were  rendered  by  the former accountants in
relation to the Company, there were no disagreements with the former accountants
and  there  have  been  no  disputes  regarding  accounting  principles.


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It  should  be  further  noted  that during the Company's two most recent fiscal
years, and the subsequent interim period prior to engaging Weinberg, Cyber Group
did  not  consult  Weinberg  with  respect  to  the  application  of  accounting
principles to a specified transaction, either completed or proposed, or the type
of  audit  opinion that might be rendered on Cyber Group's financial statements,
or  any other matters or reportable events listed in Items 304(a)(2)(i) and (ii)
of  Regulation  S-K.

The  Company filed Form 8-K on April 23, 2003 to announce the resignation of our
Board  of  Directors  Danette Garrett and Hector Berrellez on March 10, 2002 and
March  20,  2002  respectively.


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                                   SIGNATURES

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

The Cyber Group Network Corporation
-----------------------------------
           (Registrant)

Dated: September 29, 2003

By:  /s/  R. Scott Cramer
-------------------------
R. Scott Cramer
Chief Executive Officer


<PAGE>
     (a) Exhibits.

     31  Certification by the Chief Executive Officer Pursuant to Section 302
           of the Sarbanes-Oxley Act of 2002


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


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