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 June 30, 2007







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





For
      the
      transition period from ____________ to_________________





Commission
      file number 333-116817







Splinex
      Technology Inc.


__________________________________________


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




**Delaware**
            **20-0715816**(State
                or other jurisdiction of incorporation or
                organization)
            (IRS
                Employer Identification
                No.)





500
      W.
      Cypress Creek Road Suite 100


Fort
      Lauderdale, FL 33309


(Address
      of principal executive offices)





(954)
      556-4020


(Issuer’s
      telephone number)





(Former
      name, former address and former fiscal year, if changed since last
      report)





Check
      whether the issuer (1) filed all reports required to be filed by Section 13
      or
      15(d) of the Exchange Act during the past 12 months (or for such shorter period
      that the registrant was required to file such reports), and (2) has been subject
      to such filing requirements for the past 90 days. Yes [] No [X]




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




State
      the
      number of shares outstanding of each of the issuer’s classes of common equity,
      as of the latest practicable date: At December 1, 2007, the number of shares
      outstanding of the issuer’s common stock was 100,757,770 shares.





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










**SPLINEX
      TECHNOLOGY INC.**


**Form
      10-QSB**


**For
      the Quarter Ended June 30, 2007**


**INDEX**





PageNo.PART
                I — FINANCIAL INFORMATIONItem
                1.
            Financial
                StatementsCONDENSED
                CONSOLIDATED UNAUDITED BALANCE SHEET - AS OF JUNE 30, 2007 AND MARCH
                31,
                2007
            3CONDENSED
                CONSOLIDATED UNAUDITED STATEMENTS OF OPERATIONS - FOR THE THREE MONTHS
                ENDED JUNE 30, 2007 AND 2006 AND FOR THE PERIOD FROM INCEPTION (OCTOBER
                28, 2003) THROUGH JUNE 30, 2007
            4CONDENSED
                CONSOLIDATED UNAUDITED STATEMENTS OF CASH FLOWS - FOR THE THREE MONTHS
                ENDED JUNE 30, 2007 AND 2006 AND FOR THE PERIOD FROM INCEPTION (OCTOBER
                28, 2003) THROUGH JUNE 30, 2007
            5Notes
                to Condensed Consolidated Financial Statements
            6Item
                2.
            Management’s
                Discussion and Analysis or Plan of Operation.
            13Item
                3.
            Controls
                and Procedures
            15PART
                II — OTHER INFORMATIONItem
                1.
            Legal
                Proceedings
            15Item
                6.
            Exhibits
            16Signatures
            17




2


PART
      I —
FINANCIAL INFORMATION





Item
      1.
      Financial Statements.





SPLINEX
      TECHNOLOGY INC.


(A
      DEVELOPMENT STAGE COMPANY)


CONDENSED
      CONSOLIDATED UNAUDITED BALANCE SHEET





**ASSETS**
            
            June
                30, 2007
            
            March
                31, 2007Current
                assetsCash
            
            $
            916
            
            $
            251Prepaid
                expenses and other
            
            
            -
            
            
            5,132Total
                current assets
            
            
            916
            
            
            5,383Property
                and equipment, net
            
            
            -
            
            
            -Total
                assets
            
            $
            916
            
            $
            5,383**LIABILITIES
                AND STOCKHOLDERS' DEFICIENCY IN ASSETS**Current
                liabilitiesDemand
                note payable and accrued interest due to related party - Ener1
                Group
            
            
            809,355
            
            
            776,476Note
                payable and accrued interest due to related party -
                Bzinfin
            
            
            2,837,082
            
            
            2,805,207Accounts
                payable
            
            
            557,122
            
            
            557,120Accrued
                expenses
            
            
            505,171
            
            
            500,927Due
                to related parties
            
            
            138,262
            
            
            138,262Total
                current liabilities
            
            
            4,846,992
            
            
            4,777,992**COMMITMENTS
                AND CONTINGENCIES****STOCKHOLDERS'
                DEFICIENCY IN ASSETS**Preferred
                stock ($.001 par value, 150,000,000 shares
            
            
            -
            
            
            -authorized
                and no shares issued and outstandingCommon
                stock ($.001 par value, 300,000,000 sharesauthorized
                and 100,757,770 shares issued and outstanding)
            
            
            100,758
            
            
            100,758Treasury
                stock, at cost; 250,000 shares
            
            
            (62,500
            )
            
            (62,500
            )Paid
                in capital
            
            
            1,109,712
            
            
            1,109,712Deficit
                accumulated during the development stage
            
            
            (5,994,046
            )
            
            (5,920,579
            )Total
                stockholders' deficiency in assets
            
            
            (4,846,076
            )
            
            (4,772,609
            )Total
                liabilities and stockholders' deficiency in assets
            
            $
            916
            
            $
            5,383




See
      accompanying notes.


3


SPLINEX
      TECHNOLOGY INC.


(A
      DEVELOPMENT STAGE COMPANY)


CONDENSED
      CONSOLIDATED UNAUDITED STATEMENTS OF OPERATIONS





CumulativeFrom
                  Inception(October
                  28,Three
                  Months
              
              Three
                  Months
              
              2003)Ended
              
              Ended
              
              ThroughJune
                  30, 2007
              
              June
                  30, 2006
              
              June
                  30, 2007Net
                  sales
              
              $
              98
              
              $
              -
              
              $
              3,911Operating
                  ExpensesSales
                  and marketing
              
              
              -
              
              
              -
              
              
              561,296General
                  and administrative
              
              
              32,210
              
              
              154,348
              
              
              3,589,645Research
                  and development
              
              
              -
              
              
              23,289
              
              
              1,984,516Total
                  operating expenses
              
              
              32,210
              
              
              177,637
              
              
              6,135,456Costs
                  of merger and registration
              
              
              -
              
              
              -
              
              
              512,321Total
                  expenses
              
              
              32,210
              
              
              177,637
              
              
              6,647,777Loss
                  from operations
              
              
              (32,112
              )
              
              (177,637
              )
              
              (6,643,866
              )Other
                  income (expense)Other
                  income from settlements
              
              
              -
              
              
              -
              
              
              167,244Interest
                  expense, net
              
              
              (41,354
              )
              
              (38,712
              )
              
              (340,270
              )Total
                  other income and expense
              
              
              (41,354
              )
              
              (38,712
              )
              
              (173,026
              )Loss
                  before income taxes
              
              
              (73,466
              )
              
              (216,349
              )
              
              (6,816,892
              )Income
                  taxes
              
              
              -
              
              
              -
              
              
              -Net
                  loss
              
              $
              (73,466
              )
              $
              (216,349
              )
              $
              (6,816,892
              )Net
                  loss per basic and fully diluted share
              
              $
              (0.00
              )
              $
              (0.00
              )Weighted
                  average shares outstanding
              
              
              100,757,770
              
              
              100,757,770





See
      accompanying notes.


4


SPLINEX
      TECHNOLOGY INC.


(A
      DEVELOPMENT STAGE COMPANY)


CONDENSED
      CONSOLIDATED UNAUDITED STATEMENTS OF CASH FLOWS





CumulativeFrom
                  Inception(October
                  28,Three
                  Months
              
              Three
                  Months
              
              2003)Ended
              
              Ended
              
              ThroughJune
                  30, 2007
              
              June
                  30, 2006
              
              June
                  30, 2007Cash
                  flows from operating activities:Net
                  loss
              
              $
              (73,466
              )
              $
              (216,349
              )
              $
              (6,816,892
              )Adjustments
                  to reconcile net loss to netcash
                  used in operating activities:Depreciation
              
              
              -
              
              
              2,282
              
              
              71,817Executive
                  compensation and other expensespaid
                  with common stock
              
              
              -
              
              
              -
              
              
              32,179Non
                  cash interest expense
              
              
              41,354
              
              
              37,836
              
              
              333,605Changes
                  in operating assets and liabilities:Prepaid
                  expenses and other
              
              
              5,133
              
              
              32,266
              
              
              -Due
                  to related parties
              
              
              -
              
              
              -
              
              
              138,261Accounts
                  payable
              
              
              -
              
              
              53,001
              
              
              557,123Accrued
                  expenses
              
              
              4,244
              
              
              (10,072
              )
              
              451,421Total
                  adjustments
              
              
              50,731
              
              
              115,313
              
              
              1,584,405Net
                  cash used in operating activities
              
              
              (22,735
              )
              
              (101,036
              )
              
              (5,232,486
              )Cash
                  flows from investing activities:Purchase
                  of equipment
              
              
              -
              
              
              -
              
              
              (79,429
              )Employee
                  loans and advances, net
              
              
              -
              
              
              831
              
              
              -Net
                  cash used in investing activities
              
              
              -
              
              
              831
              
              
              (79,429
              )Cash
                  flows from financing activities:Note
                  payable related party
              
              
              23,400
              
              
              95,000
              
              
              3,312,831Contributed
                  capital from equity investors
              
              
              -
              
              
              -
              
              
              2,000,000Net
                  cash provided by financing activities
              
              
              23,400
              
              
              95,000
              
              
              5,312,831Net
                  increase (decrease) in cash
              
              
              665
              
              
              (5,205
              )
              
              916Cash
                  at beginning of period
              
              
              251
              
              
              9,458
              
              
              -Cash
                  at end of period
              
              $
              916
              
              $
              4,253
              
              $
              916





See
      accompanying notes.


5


SPLINEX
      TECHNOLOGY INC.


(A
      DEVELOPMENT STAGE COMPANY)


NOTES
      TO
      CONDENSED FINANCIAL STATEMENTS





NOTE
      1.
      SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES





Organization
      and Basis of Presentation





Splinex
      Technology Inc. ( “Technology”) was organized under the laws of the State of
      Delaware as a wholly owned subsidiary of Splinex, LLC, a Florida limited
      liability company (the “Predecessor”), to conduct the business and operations of
      the Predecessor. Under an agreement effective April 1, 2004 (the
“Contribution Agreement”), the Predecessor contributed substantially all of its
      assets, liabilities and operations to Technology. The financial statements
      include the accounts of Technology and the Predecessor (combined, the
“Company”), and all material intercompany transactions have been eliminated. The
      Company began its development stage activity on October 28, 2003
      (“Inception”).





The
      accompanying unaudited condensed consolidated financial statements have been
      prepared in accordance with generally accepted accounting principles for interim
      financial information and Regulation S-B. Accordingly, they do not include
      all
      of the information and footnotes required for complete financial statements.
      In
      the opinion of management, all adjustments (consisting of normal recurring
      adjustments) considered necessary for a fair presentation of the results for
      the
      interim periods presented have been included. These results have been determined
      on the basis of generally accepted accounting principles and practices applied
      consistently with those used in the preparation of the Company's Annual
      Financial Statements for the year ended March 31, 2007. Operating results for
      the three months ended June 30, 2007 are not necessarily indicative of the
      results that may be expected for the year ending March 31, 2008. It is
      recommended that the accompanying condensed consolidated financial statements
      be
      read in conjunction with the financial statements and notes for the year ended
      March 31, 2007 included in the
      Company’s Form 10-KSB filed with the Securities and Exchange Commission on
      January 10, 2008.





Reclassifications





Certain
      prior period amounts have been reclassified to conform to the current year
      presentation.





Basis
      of
      Consolidation




The
      consolidated interim financial statements include the accounts of Technology
      and
      its wholly owned subsidiary, ANTAO Ltd., a limited liability company formed
      under the laws of Russia (“ANTAO”). All material intercompany accounts and
      transactions have been eliminated in consolidation.





Business
      Activity





In
      2004,
      the Company began developing visualization software, and commenced selling
      the
      software in 2005. Due to lack of significant sales, the Company substantially
      reduced its workforce and overhead costs beginning in September 2005. The
      Company terminated its use of software development services previously provided
      to us by Splinex Outsourcing, Inc., a Russian outsourcing company; terminated
      or
      accepted resignations from our personnel, certain executives, and managers;
      and
      ceased marketing activities. From September 2005 through July 2007, Ener1 Group,
      Inc., a related party, began loaning the Company money to fund its operations.
      In July 2007, Ener1 Group, Inc. stopped funding the Company operations and
      the
      Company stopped paying its remaining executive employee. In August and September
      2007, two of the three members of the board of directors resigned. The Company
      had no employees at March 31, 2007; however, a non-paid executive continues
      to
      perform duties as necessary.





As
      further described in the Subsequent Events note, in December 2007, a related
      party structured a transaction that provided funds to the Company to settle
      its
      existing debts at a discount to the face amount of the obligations, restructured
      certain notes payable in exchange for newly issued common shares of the Company,
      and gave Splinex LLC a substantial majority of the outstanding common shares
      (the “Splinex Restructuring”). The Company expects its controlling shareholders
      to direct Splinex to acquire one or more companies, although no definitive
      purchase agreements have yet been signed.





6





Use
      of
      Estimates





The
      preparation of financial statements in conformity with accounting principles
      generally accepted in the United States of America requires management to make
      estimates and assumptions that affect the reported amounts of assets and
      liabilities and disclosures of contingent assets and liabilities as of the
      balance sheet date and the reported amounts of expenses for the period
      presented. Actual results could differ from those estimates.





Cash
      and
      Cash Equivalents





Cash
      and
      cash equivalents include highly liquid money market investments purchased with
      an original maturity of three months or less. At June 30, 2007, the Company
      had
      no cash equivalents. The Company maintains its cash in a bank deposit account,
      the balance of which, at times, may exceed federally insured limits. Accounts
      are guaranteed by the Federal Deposit Insurance Corporation (FDIC) up to
      $100,000. At June 30, 2007, the Company had no amounts in excess of FDIC insured
      limits.





Foreign
      Currency Transactions





All
      transactions of the Company are denominated in U.S. dollars. The Company paid
      Russian research, programming and administrative costs under a U.S. dollar
      denominated agreement. Consolidated general and administrative expenses include
      immaterial foreign exchange rate losses on Russian bank balances maintained
      by
      ANTAO. The Company has not engaged in foreign currency hedging activities.





Stock-Based
      Compensation





Statement
      of Financial Accounting Standards (“SFAS”) No. 123R, “Accounting for
      Stock-Based Compensation,” requires companies to record employee stock option
      compensation at fair value. The Company adopted SFAS 123R during the quarter
      ending March 31, 2005. No options were granted or exercised during the three
      months ending June 30, 2007. At June 30, 2007, the Company has 300,000 options
      outstanding under its plan, of which 262,500 options are vested, with an
      exercise price of $0.10 per share and with a remaining contractual term of
      7 1/2
      years.





Software
      Development Costs





The
      Company accounts for software development costs in accordance with SFAS
      No. 86, “Accounting for the Costs of Computer Software to Be Sold, Leased
      or Otherwise Marketed.” Costs incurred to establish the technological
      feasibility of a computer software product are considered research and
      development costs and are expensed as incurred. When the technological
      feasibility of a software product has been established using the working model
      approach, development cost are capitalized. Capitalization of these costs ceases
      when the product is ready for production. The Company has expensed all software
      development costs since Inception.





Revenue
      Recognition





The
      Company’s revenues, net of sales returns and other allowances, are from the
      licensing of products. The Company recognizes revenues in accordance with
      Statement of Position or “SOP” 97-2, “Software Revenue Recognition,” as amended,
      SOP 81-1, “Accounting for Performance of Construction-Type and Certain
      Production-Type Contracts,” and Staff Accounting Bulletin or “SAB” 104, “Revenue
      Recognition.” The Company will recognize revenues when persuasive evidence of an
      arrangement exists, delivery has occurred, the vendor’s fee is fixed or
      determinable, vendor-specific objective evidence exists for all undelivered
      elements of the arrangement and collection is determined to be probable.





7


Net
      Loss
      Per Share





Basic
      net
      loss per common share is computed by dividing net loss applicable to common
      stockholders by the weighted-average number of common shares outstanding during
      the period. Diluted net loss per common share is determined using the
      weighted-average number of common shares outstanding during the period, adjusted
      for the dilutive effect of common stock equivalents, consisting of shares
      issuable upon exercise of common stock options. In periods when losses are
      reported, the weighted-average number of common shares outstanding excludes
      common stock equivalents because their inclusion would be
      anti-dilutive.





Fair
      Value of Financial Instruments





The
      Company’s financial instruments consist mainly of cash, short-term payables and
      borrowings under the notes payable. The Company believes that the carrying
      amounts approximate fair value, due to their short-term maturities and current
      interest rates.





Impairment
      of Long-Lived Assets





The
      Company reviews its long-lived assets for impairment whenever events or changes
      indicate that the carrying amount of an asset or group of assets may not be
      recoverable. No impairment losses were recorded during the period ended June
      30,
      2007.





NOTE
      2.
      GOING CONCERN CONSIDERATIONS





The
      Company’s financial statements have been prepared on a going concern basis,
      which contemplates the realization of assets and the settlement of liabilities
      and commitments in the normal course of business. The Company is in the
      development stage and has had minimal revenues since Inception. Management
      recognizes that the Company must raise capital sufficient to fund business
      activities until such time as it can generate revenues and net cash flows in
      amounts necessary to enable it to continue in existence. The realization of
      assets and satisfaction of liabilities in the normal course of business is
      dependent upon the Company achieving these goals. Management’s plans include
      such alternatives as an acquisition or merger with a company.





The
      Company has been unable to generate any significant sales of the product due
      in
      part to a lack of funds for marketing and promotion. In addition, a value added
      reseller of our product was unable to generate significant sales of the product.
      In September 2005, the Company changed its business strategy and took certain
      actions to reduce its overhead costs. The Company terminated its use of software
      development services previously provided to us by Splinex Outsourcing, Inc.,
      a
      Russian outsourcing company; terminated or accepted resignations from most
      of
      our personnel, executives, and managers; and ceased marketing activities. From
      September 2005 through July 2007, Ener1 Group, Inc., a related party, loaned
      the
      Company money to fund its operations. In July 2007, Ener1 Group, Inc. stopped
      funding the Company operations and stopped paying its remaining executive
      employee. In August and September 2007, two of the three members of the board
      of
      directors resigned. The Company had no employees at March 31, 2007; however,
      a
      non-paid executive continues to perform duties as necessary.





As
      described in Note 9 - Subsequent Events, in December 2007, a related party
      structured a transaction that provided funds to the Company to settle existing
      debts of the Company at a discount to the face amount of the obligations,
      restructured certain notes payable in exchange for newly issued common shares
      of
      the Company, and gave Splinex LLC substantial majority of the outstanding common
      shares (the “Splinex Restructuring”). The Company expects the Company’s
      controlling shareholders to direct the Company to acquire or merge with one
      or
      more companies, although no definitive purchase agreements have yet been signed.





The
      Company has engaged in discussions with several potential merger partners,
      but
      to date has been unable to reach agreement on terms for a merger primarily
      because the Company had been unable to reach a satisfactory settlement of
      certain severance and trade obligations. The Company has no formal agreements
      to
      merge with another company, and expects that Splinex LLC, the controlling
      shareholder, will direct Splinex to find an appropriate merger partner and
      complete a merger after completion of the Splinex Restructuring. If the Company
      did not complete the Splinex Restructuring, it is likely that the Company would
      discontinue operations and cease to do business.





8


In
      accordance with the funding provisions in the Predecessor’s operating agreement,
      certain members of the Predecessor contributed capital of $2,000,000 to the
      Predecessor. As of July 27, 2005, the Company had borrowed $2,500,000 under
      a
      $2,500,000 revolving loan agreement with Bzinfin, S. A., a company that is
      affiliated with the Company through common ownership (the “Bzinfin Loan”). The
      Company borrowed an additional $50,000 from Bzinfin during September 2005,
      and
      the loan agreement was amended to include the additional borrowing under the
      same terms and conditions. Loans under this agreement must be repaid two years
      from the date of the initial funding, which occurred on February 7, 2005. The
      Company received an extension of the due date of the Bzinfin Loan from February
      7, 2007 until June 30, 2007. The loan is currently in default.





The
      Company borrowed funds from a related party, Ener1 Group, Inc., to pay certain
      ongoing expenses while the Company pursues various alternatives, which could
      include acquisitions of or joint ventures with companies that could benefit
      from
      the Company’s core technologies. The Company ceased receiving funding from Ener1
      Group, Inc. effective July 2007. From October 2005 through June 30, 2007, the
      Company borrowed $762,831 from Ener1 Group, Inc., under a demand note that
      bears
      interest at an annual rate of 5% payable at maturity.





Management
      believes that actions presently being taken, as described herein, provide the
      opportunity for the Company to continue as a going concern; however, there
      is no
      assurance this will occur.





NOTE
      3.
      SEGMENT INFORMATION





The
      Company’s sole reportable business segment is visual communication software
      products and services. The Company’s accounting policies for segments are the
      same as those described in the summary of significant accounting policies.





NOTE
      4.
      ACCRUED EXPENSES





Accrued
      expenses represent expenses that are owed at the end of the period that either
      have not been billed by the provider or are expenses that are estimated for
      services provided. Accrued expenses also include severance and other wage
      related expenses due to former employees. At June 30, 2007 and March 31, 2007,
      accrued expenses consisted of the following:


**June
                  30, 2007**
              
              **March
                  31, 2007**Accrued
                  severance and termination obligations
              
              $
              465,200
              
              $
              467,416Audit
              
              
              30,000
              
              
              24,000Accrued
                  vacation and wages
              
              
              9,971
              
              
              9,511$
              505,171
              
              $
              500,927


NOTE
      5.
      STOCKHOLDERS’ EQUITY





The
      Company has the authority to issue 300,000,000 shares of common stock, par
      value
      of $0.001 per share. Each holder of common stock is entitled to one vote for
      each share held. The Company has the authority to issue 150,000,000 shares
      of
      preferred stock, par value $0.001 per share, which may be divided into series
      with the designations, powers, preferences, and relative rights and any
      qualifications, limitations or restrictions as determined by the Company’s board
      of directors.





9


NOTE
      6.
      RELATED PARTY TRANSACTIONS





On
      January 1, 2004 and February 1, 2004, the Company entered into
      consulting agreements with two members of the Predecessor, one of whom is also
      director of the Company. The consulting agreements engage the members to provide
      consulting services including providing advice regarding equity restructuring,
      business planning, strategic planning, and international licensing in exchange
      for $100,000 per year, or a monthly fee to each consultant of $8,333. General
      and administrative expenses include consulting fees under these agreements
      of
      $50,000 for the three months ended June 30, 2006. Accounts payable at June
      30,
      2007 include $350,666 owed under these agreements. The Company and the related
      parties agreed to terminate the consulting agreements effective December 31,
      2006, and agreed to forego collection of all payments due under the contract
      in
      December 2007. See subsequent events note.




The
      Company shared personnel with Ener1, Inc. and Ener1 Group, Inc., entities
      affiliated with the Company by common ownership and through common control.  Accordingly,
      amounts have been allocated to and from the Company for the services of
      personnel and other expenses. The Company incurred rent expense of $10,486
      for
      its office space under a sublease with Ener1 Group, Inc. for the three months
      ended June 30, 2006. **** The
      lease
      and sublease were terminated and no further rent expenses were incurred after
      June 30, 2006.




Effective
      January 27, 2006, the Company’s President, Mr. Herlihy, began performing
      services for Ener1, Inc., including serving as its Chief Financial Officer
      from
      January 27, 2006 through October 16, 2006 and again as of November, 2007, in
      addition to his continuing role at Splinex. Splinex paid $60,000 and Ener1
      paid
      $190,000 of Mr. Herlihy’s $250,000 annual salary through May 2007, at which time
      Splinex discontinued making salary payments to Mr. Herlihy. Mr. Herlihy
      dedicated substantially all of his time to Ener1 except for the time necessary
      to attend to the administrative and financial matters of Splinex.





NOTE
      7.
      DEBT DUE TO RELATED PARTIES





Effective
      April 1, 2004, a company that is affiliated with the Company through common
      ownership, entered into a revolving loan agreement, the Bzinfin Loan, with
      the
      Company under which the Company borrowed $2,550,000 in aggregate principal
      through September 30, 2005. Loans under this agreement bear interest at an
      annual rate of 5% and must be repaid two years from the date of the initial
      funding, which occurred on February 7, 2005. The Company received an extension
      of the due date of the Bzinfin Loan from February 7, 2007 until June 30, 2007.
      The loan is in default as of July 1, 2007. No principal or interest payments
      have been made. Accrued interest at June 30 2007 was $287,082.





At
      June
      30, 2007, the Company had borrowed $762,831 from Ener1 Group under a demand
      note
      bearing annual interest of 5% to fund working capital needs. Accrued interest
      at
      June 30, 2007 was $46,524.





NOTE
      8.
      COMMITMENTS AND CONTINGENCIES





***Foreign
      subsidiary***





The
      Company has outsourced computer programming to a company located in
      Ekaterinberg, Russia. The Company may engage in outsourcing or other
      business operations in Russia again in the future. The Company’s operations in
      Russia are subject to significant risks not typically associated with companies
      in North America and Western Europe. These risks include, among
      others, political, economic and legal risks associated with doing business
      in Russia, limitations on foreign currency transactions, and risks
      associated with evolving Russian laws on issues including creditor rights
      and intellectual property. The Company’s ability to develop products
      and earn revenues may be adversely affected by changes in the political,
      economic, legal and social conditions in Russia, and by changes in governmental
      policies with respect to laws and regulations, anti-inflationary measures,
      foreign currency transactions, and rates and methods of taxation, among other
      things.





NOTE
      9.
      SUBSEQUENT EVENTS





In
      December 2007, a related party structured a transaction that provided funds
      to
      the Company to settle its existing debts at a discount to the face amount of
      the
      obligations, restructured certain notes payable which will be exchanged for
      newly issued common shares of the Company, and gave Splinex LLC substantial
      majority of the outstanding common shares (the “Splinex Restructuring”). The
      Company expects its controlling shareholders to direct Splinex to acquire one
      or
      more companies, although no definitive purchase agreements have yet been signed.
      The actions taken to restructure the company are described in the following
      paragraph.





10


In
      December 2007, Bzinfin agreed to loan Splinex LLC up to $500,000 to lend to
      the
      Company to be used to fund the settlement of certain financial obligations
      and
      the costs of audit and filing financial reports with the SEC. On or about
      December 17, 2007, under a Purchase Agreement, 1) certain holders, who had
      received shares in the Company as distributions from Splinex LLC, transferred
      their ownership of 35,162,334 shares of common stock of the Company to Splinex
      LLC for nominal consideration, and 2) Bzinfin and Ener1 Group assigned debt
      obligations to Splinex LLC in the amount of $2,805,207 and $845,864,
      respectively. Under a Purchase Agreement dated December 17, 2007, TGR Capital
      LLC, a Florida limited liability company (“TGR”) controlled by a related party,
      1) acquired the membership interests in Splinex LLC, thereby giving TGR control
      over Splinex LLC, and 2) agreed to repay the Bzinfin loan of $500,000. Under
      an
      Exchange Agreement dated December 18, 2007, the Company agreed to issue
      113,500,000 newly issued shares of the Company to Splinex LLC of which 8,500,000
      shares will be issued to Bzinfin and 2,125,000 will be issued to Alexander
      Malovik in exchange for the Bzinfin and Ener1 Group notes. The shares will
      be
      issued upon the appointment of a new transfer agent for the Company, which
      is
      expected in January 2008. Splinex LLC owned 98,157,334 shares of the Company
      as
      of December 17, 2007 after the transfer and will own 201,032,334 shares after
      the completion of the Exchange Agreement. The Company had 100,757,769 shares
      outstanding at December 17, 2007 and will have 214,257,769 shares outstanding
      after the completion of the Exchange Agreement. On December 17, 2007, the
      Company agreed to revised payment terms related to a termination agreement
      with
      its former chief executive officer. The Company has terminated consulting
      agreements with Mike Zoi and Peter Novak, and the consultants have agreed to
      terminate all previous accrued consulting payment obligations. As of December
      20, 2007, the Company has reached settlement agreements with substantially
      the
      majority of all remaining creditors.





11


The
      following is a pro forma financial statement of the expected liabilities and
      stockholders’ equity assuming that the Splinex Restructuring is completed as
      described above:





**ASSETS**
              
              September
                  30, 2007
              
              Pro
                  Forma Balance Sheet December 31, 2007Current
                  assetsCash
              
              $
              66
              
              $
              173,074Total
                  assets
              
              $
              66
              
              $
              173,074**LIABILITIES
                  AND STOCKHOLDERS' EQUITY OR DEFICIENCY IN ASSETS**Current
                  liabilitiesDemand
                  note payable and accrued interest due to related party - Ener1
                  Group
              
              
              818,856
              
              
              -Note
                  payable and accrued interest due to related party -
                  Bzinfin
              
              
              2,868,957
              
              
              -Accounts
                  payable
              
              
              557,122
              
              
              -Accrued
                  expenses
              
              
              511,171
              
              
              -Due
                  to related parties
              
              
              138,262
              
              
              -Total
                  current liabilities
              
              
              4,894,368
              
              
              -**COMMITMENTS
                  AND CONTINGENCIES****STOCKHOLDERS'
                  EQUITY OR DEFICIENCY IN ASSETS**Preferred
                  stock ($.001 par value, 150,000,000 shares
              
              
              -authorized
                  and no shares issued and outstandingCommon
                  stock ($.001 par value, 300,000,000 shares
                  authorizedand
                  100,757,770 shares issued and outstanding; 214,257,769 shares issued
                  and
                  outstanding pro forma after the Exchange Agreement)
              
              
              100,758
              
              
              214,257Treasury
                  stock, at cost; 250,000 shares
              
              
              (62,500
              )
              
              -Paid
                  in capital
              
              
              1,109,712
              
              
              5,247,259Deficit
                  accumulated during the development stage
              
              
              (6,042,272
              )
              
              (5,288,442
              )Total
                  stockholders' equity or deficiency in assets
              
              
              (4,894,302
              )
              
              173,073Total
                  liabilities and stockholders' deficiency in assets
              
              $
              66
              
              $
              173,073


***Assumptions:***





The
      above
      Pro Forma Balance Sheet at December 31, 2007 assumes:





1)
            the
                Exchange Agreement is closed and shares are issued to debt
                holders.


2)
            Treasury
                Shares are delivered to a former executive on or before January 31,
                2008.


3)
            All
                creditor obligations have been settled and all current vendor liabilities
                are paid.


4)
            Includes
                estimated operations through December 31,
                2007.




12


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





*This
      Quarterly* *Report on Form 10-QSB contains forward -looking statements within the meaning
      of
      Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
      Securities Exchange Act of 1934, as amended. These statements relate to our
      expectations, hopes, intentions or strategies regarding future events or future
      financial performance.  Any statements contained in this report that are
      not statements of historical fact may be deemed forward-looking statements.
      In
      some cases, forward-looking statements can be identified by terminology such
      as
“may,” “will,” “should,” “expect,” “plan,” “anticipate,” “intend”, “believe,”
“estimate,” “predict,” “potential” or “continue,” or the negative of such terms
      or other comparable terminology. Forward-looking statements include but are
      not
      limited to statements regarding: our future business plans; the expected release
      dates and future sales of our products; development of other products; expected
      hiring levels; marketing plans; increases of selling, general and administrative
      costs and research and development spending; our product development strategy;
      financing requirement and capital raising plans  These statements are only
      predictions and are subject to a number of assumptions, risks and uncertainties
      that could cause actual results to differ materially from those expressed or
      implied in the forward-looking statements. The following important factors,
      in
      addition to those discussed in our filings with the Securities and Exchange
      Commission (the “Commission”) from time to time, and other unforeseen events or
      circumstances, could affect our future results and could cause those results
      or
      other outcomes to differ materially from those expressed or implied in our
      forward-looking statements: general economic conditions; competition; our
      ability to raise capital; our ability to control costs; changes within our
      industries; release of new and upgraded products and services by us or our
      competitors; development of our sales force; employee retention; our ability
      to
      protect our intellectual property; legal and regulatory issues; changes in
      accounting policies or practices; and successful adoption of our products and
      services.*




*All
      forward-looking statements* *are
      based on information available to us on the date* *of
      this filing* *,
      and
      we* *assume* *no
      obligation to update* ** *such* *statements.*


**


*The
      following discussion should be read in conjunction with our* *other
      filings with the Securities and Exchange Commission and the* *consolidated* *interim* *financial
      statements and related notes included in this* *Quarterly
      Report.*




**Plan
      of Operation**




In
      2004,
      we began developing visualization software, and commenced selling the software
      in 2005. Due to lack of significant sales, we substantially reduced our
      workforce and overhead costs beginning in September 2005. From September 2005
      through July 2007, Ener1 Group, Inc., a related party, loaned us money to fund
      our operations. In July 2007, Ener1 Group, Inc. stopped funding our operations
      and we stopped paying our remaining executive employee. In August and September
      2007, two of our three members of the board of directors resigned. The Company
      had no employees at March 31, 2007; however, a non-paid executive continues
      to
      perform duties as necessary.





In
      December 2007, a related party structured a transaction that provided funds
      to
      us to settle our existing debts at a discount to the face amount of the
      obligations, restructured certain notes payable in exchange for newly issued
      common shares of the company, and gave Splinex LLC substantial majority of
      the
      outstanding common shares (the “Splinex Restructuring”). We expect our
      controlling shareholders to direct Splinex to acquire one or more companies,
      although no definitive purchase agreements have yet been signed. The actions
      taken to restructure the company are described in the following
      paragraph.





In
      December 2007, Bzinfin, S.A., a company that is affiliated with the Company
      through common ownership, agreed to loan Splinex LLC up to $500,000 to lend
      to
      the Company to be used to fund the settlement of certain financial obligations
      and the costs of audit and filing financial reports with the SEC. On or about
      December 17, 2007, under a Purchase Agreement, 1) certain holders, who had
      received shares in the Company as distributions from Splinex LLC, transferred
      their ownership of 35,162,334 shares of common stock of the Company to Splinex
      LLC for nominal consideration, and 2) Bzinfin and Ener1 Group assigned debt
      obligations to Splinex LLC in the amount of $2,805,207 and $845,864,
      respectively. Under a Purchase Agreement dated December 17, 2007, TGR Capital
      LLC, a Florida limited liability company (“TGR”) controlled by a related party,
      1) acquired the membership interests in Splinex LLC, thereby giving TGR control
      over Splinex LLC, and 2) agreed to repay the Bzinfin loan of $500,000. Under
      an
      Exchange Agreement dated December 18, 2007, the Company agreed to issue
      113,500,000 newly issued shares of the Company to Splinex LLC of which 8,500,000
      shares will be issued to Bzinfin and 2,125,000 will be issued to Alexander
      Malovik in exchange for the Bzinfin and Ener1 Group notes. The shares will
      be
      issued upon the appointment of a new transfer agent for the Company, which
      is
      expected in January 2008. The exchange of shares for the debt will occur after
      a
      qualified transfer agent has been retained. Splinex LLC owned 98,157,334 shares
      of the Company as of December 17, 2007 after the transfer and will own
      201,032,334 shares after the completion of the Exchange Agreement. The Company
      had 100,757,769 shares outstanding at December 17, 2007 and will have
      214,257,769 shares outstanding after the completion of the Exchange Agreement.
      On December 17, 2007, the Company agreed to revised payment terms related to
      a
      termination agreement with its former chief executive officer. The Company
      has
      terminated consulting agreements with Mike Zoi and Peter Novak, and the
      consultants have agreed to terminate all previous accrued consulting payment
      obligations. The Company has reached settlement agreements with substantially
      the majority of all remaining creditors. Upon completion of the restructuring
      transactions above, TGR will elect a new board of directors and retain new
      financial and operating management.  The owners and members of TGR intend
      to acquire one or more companies, although no definitive purchase agreements
      have yet been signed. Any potential acquisition would be financed primarily
      with
      new shares of Splinex, and therefore would result in substantial dilution to
      the
      existing shareholders.


13





At
      June
      30, 2007, we had cash of $916 and negative working capital of $4.8 million.
      We
      have terminated all employees, and have eliminated all monthly cash expenses.
      We
      were dependent upon funds advanced from Ener1 Group, Inc. to pay these ongoing
      expenses. The Company stopped receiving funding effective July, 2006.





Several
      factors exist that raise significant doubt as to our ability to continue
      operating as a going concern. These factors include our history of net losses
      and the facts that our company is in the development stage and we have earned
      minimal revenues to date. We have no remaining funds available under our
      revolving loan agreement and are dependent upon Ener1 Group, Inc. to fund our
      operations. Our independent auditors’ report on our financial statements for the
      year ended March 31, 2007 contains an explanatory paragraph about our
      ability to continue as a going concern. Management believes that the Splinex
      Restructuring, as described in the preceding paragraphs, provides the
      opportunity for us to continue as a going concern; however, there is no
      assurance this will occur.





**Results
      of** **Operations** **for the** **Three
      Month Period Ended** **June 30, 2007**





We
      incurred a loss of $73,466, or $(0.00) per share, for the three months ended
      June 30, 2007, compared to a loss of $216,349, or $(0.00) per share in the
      prior
      year quarter. Weighted average shares outstanding were 100,757,770 for the
      three
      months ended June 30, 2007 and 2006. Operations reflect the termination of
      all
      employees and reduced administrative overhead costs and marketing expenditures
      due to limited funds available for operations.





Operating
      expenses of $177,637 for the three months ended June 30, 2006 included $154,348
      for general and administrative expenses, and $23,289 for research and
      development costs. General and administrative expenses for the three months
      ended June 30, 2006 included wages and benefits of $16,732, consulting fees
      of
      $50,000 payable to a director, Dr. Novak and, a related party, Mike Zoi;
      audit fees of $17,000; insurance costs of $21,527; $32,016 of software expense
      related to licenses no longer used in operations, and rent of $10,486. Operating
      expenses of $32,210 for the three months ended June 30, 2007 were for wages,
      audit and insurance. Research and development expenses for the three months
      ended June 30, 2006 were for wages and benefits paid to a U.S. based programmer.




Interest
      expenses increased to $41,354 for the three months ended June 30, 2007 from
      $38,712 in the three months ender June 30, 2006 due to borrowings under the
      Bzinfin loan and loans from Ener1 Group. The Bzinfin loan is in default, and
      the
      Ener1 Group loan is due on demand.





**Liquidity
      and capital resources**





At
      June
      30, 2007, we had negative working capital of $4.8 million and cash of $916.
      and
      we have no further borrowing availability under the Bzinfin Loan. The Company
      ceased receiving funding from Ener1 Group effective July, 2006. We did not
      receive funding sufficient to pay past due obligations, including severance
      obligations, and attempted to negotiate settlements, not all of which were
      satisfied. Approximately $4.1 million of the $4.8 million of current liabilities
      are due to related parties, and the remainder of the current liabilities are
      due
      to vendors and former employees under severance or other obligations. The
      Company reached settlement agreements with the majority of the remaining
      creditors and former employees in December 2007.





We
      do not
      have material exposure to market risks associated with changes in interest
      rates
      related to cash equivalent securities held at June 30, 2007.





14


**Off-balance
      sheet arrangements**





At
      June
      30, 2007, we did not have any off-balance sheet arrangements, as defined in
      item
      303(c)(2) of Regulation S-B.





Item
      3.
      Controls and Procedures.





Our
      disclosure controls and procedures are designed to provide reasonable assurance
      that information required to be disclosed in our reports filed or
      submitted under
      the Securities Exchange Act of 1934 is
      recorded, processed, summarized and reported within
      the time periods specified in the SEC’s
      rules and forms, and that such information is
      accumulated and communicated to our
      management, including our chief executive officer and chief financial
      officer ,
      as
      appropriate, to allow for timely
      decisions regarding required disclosure .
      In
      designing and evaluating the disclosure controls and procedures, management
      recognized that any controls and procedures, no matter how well designed and
      operated, can provide only reasonable assurance of achieving the desired control
      objectives, and management is required to apply its judgment in evaluating
      the
      cost-benefit relationship of possible controls and procedures.





As
      of
      June 30, 2007, we
      carried out an evaluation , under
      the supervision and with the participation of our management,
      including our president and chief financial officer, of the
      effectiveness of the design and operation of our disclosure controls and
      procedures. Based on
      the foregoing, our president and
      chief financial officer
      concluded that our disclosure controls and procedures were
      effective and were operating at the reasonable assurance level.




During
      the quarter ended June 30, 2007, there were no changes in internal controls
      over
      financial reporting that have materially affected, or are reasonably likely
      to
      materially affect, our internal control over financial reporting.





PART
      II —
OTHER INFORMATION





Item
      1.
      Legal proceedings





From
      time
      to time, we may be involved in litigation relating to claims arising out of
      our
      intellectual property and operations. We are not currently a party to any such
      proceedings the outcome of which would have a material affect on our company.





15


Item
      6.
      Exhibits





Exhibit
            DescriptionNumber2.1
            Agreement
                and Plan of Merger among Ener1 Acquisition Corp., Splinex and Ener1,
                Inc.,
                dated as of June 9, 2004, incorporated herein by reference to Exhibit
                2.1 to Splinex’s Registration Statement on Form S-1 filed with the
                Commission on June 24, 2004 (Registration No.
                333-116817)2.2
            First
                Amendment to Agreement and Plan of Merger among Ener1 Acquisition
                Corp.,
                Splinex and Ener1, Inc., dated as of October 13, 2004, incorporated
                herein by reference to Exhibit 2.2 to Splinex’s Registration Statement on
                Form S-1 filed with the Commission on October 15, 2004 (Registration
                No.
                333-116817)2.3
            Second
                Amendment to Agreement and Plan of Merger among Ener1 Acquisition
                Corp.,
                Splinex and Ener1, Inc., dated as of December 23, 2004, incorporated
                herein by reference to Exhibit 2.3 to Splinex’s Registration Statement on
                Form S-1 filed with the Commission on December 27, 2004 (Registration
                No.
                333-116817)3.1
            Certificate
                of Incorporation of Splinex, incorporated herein by reference to
                Exhibit
                3.1 to Splinex’s Registration Statement on Form S-1 filed with the
                Commission on June 24, 2004 (Registration No.
                333-116817)3.2
            Certificate
                of Merger of Splinex, incorporated herein by reference to Exhibit
                3.2 to
                Splinex’s Registration Statement on Form S-1 filed with the Commission on
                December 27, 2004 (Registration No. 333-116817)3.3
            Bylaws
                of Splinex, incorporated herein by reference to Exhibit 3.3 to Splinex’s
                Registration Statement on Form S-1 filed with the Commission on June
                24,
                2004 (Registration No. 333-116817)31.1
            Certification
                of Principal Executive Officer and Principal Financial Officer pursuant
                to
                Section 302 of the Sarbanes-Oxley Act of 200232.1
            Certification
                of Principal Executive Officer pursuant to 18 U.S.C. Sec. 1350, as
                adopted
                pursuant to Section 906 of the Sarbanes-Oxley Act of
                2002





16


**SIGNATURES**





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





Splinex
                Technology Inc.RegistrantDate:
                January 10, 2008
            By:
            
            /s/
                Gerard A. HerlihyName:
                Gerard A. HerlihyTitle:
                President and Chief Financial Officer







17