<PAGE>   1
                                   FORM 10-QSB

                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549



                QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934


                FOR THE QUARTERLY PERIOD ENDED DECEMBER 31, 1996


                       Commission File Number: 33-44567-NY


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                              BISHOP EQUITIES, INC.
          (Exact name of Registrant as stated in its corporate charter)

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                  Nevada                             13-3632859
          (State of incorporation)         (I.R.S. Employer I.D. Number)


                         355 South End Avenue, Suite 22B
                               New York, NY 10280

                   (Address of Registrant's principal office)

                                 (212) 912-0930
                         (Registrant's telephone number)


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Indicate by check mark whether the Registrant (1) has filed all reports required
to be filed by Section 13 or Section 15(d) of the Securities Exchange Act of
1934 during the preceding twelve months (or for such shorter period as the
Registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past ninety days:

               YES_X__                NO____



As of December 31, 1996, 511,500 shares of the Registrant's common stock, par
value $.001, were issued and outstanding.




<PAGE>   2
                         PART I - FINANCIAL INFORMATION

Item 1.  Financial Statements.

                              BISHOP EQUITIES, INC.
                         A DEVELOPMENT STAGE ENTERPRISE



<TABLE>
<CAPTION>
                                                                   December 31, 1996
                                                  March 31, 1996      (unaudited)
                                                  --------------   ------------------

           ASSETS

CURRENT ASSETS:
<S>                                                   <C>             <C>     
         Cash                                         $  4,703        $  2,784

NONCURRENT ASSETS:
         Deferred Offering Costs                             0

OTHER ASSETS:
         Organization costs                                360             270
                                                      --------        --------

                                                      $  5,063        $  3,054
                                                      ========        ========
   LIABILITIES AND
   STOCKHOLDERS' EQUITY


CURRENT LIABILITIES:
         Accrued expenses payable                          750            --
     Due to/from shareholder                               405            --
                                                      --------        --------
                                                         1,155            --
STOCKHOLDERS' EQUITY
         Common stock - authorized
         25,000,000 shares, par value
         $.001 per share issued and outstanding
         511,500 shares                                    511             511

         Paid in Capital                                37,011          37,011

         Retained deficit
         (during development
         stage)                                        (33,614)        (34,468)
                                                      --------        --------

                                                      $  5,063        $  3,054
                                                      ========        ========
</TABLE>



                       See notes to financial statements.

                                       -2-
<PAGE>   3
                              BISHOP EQUITIES, INC.
                         A DEVELOPMENT STAGE ENTERPRISE




                             STATEMENT OF OPERATIONS
                                   (Unaudited)


<TABLE>
<CAPTION>
                                   Three Months Ended       Six Months Ended
                                      December 31,             December 31,
                                    1995         1996        1995        1996
                                   ---------------------------------------------
<S>                                <C>          <C>          <C>          <C>   
REVENUES

COSTS AND EXPENSES:

     Amortization                      30           30           60           60
     Prof. Fee                       --           --           --           --
         Office                       362          204          362          372
     Filing fees,                    --
           disbursements              154           35          154          199
     Mgmt. Expenses                  --           --           --           --
                                   ------       ------       ------       ------

NET OPERATING LOSS FROM
         DEVELOPMENT STAGE
         ACTIVITIES                   546          269          576          631

ACCUMULATED DEFICIT FROM
         DEVELOPMENT STAGE -
         Beginning                 31,736       34,199       31,706       33,837
                                   ------       ------       ------       ------


ACCUMULATED DEFICIT FROM
         DEVELOPMENT STAGE -
         End                       32,282       34,468       32,282       34,468
                                   ======       ======       ======       ======
</TABLE>





                       See notes to financial statements.

                                       -3-
<PAGE>   4
                              BISHOP EQUITIES, INC.
                         A DEVELOPMENT STAGE ENTERPRISE

                              December 31, 1996

                        STATEMENT OF STOCKHOLDERS' EQUITY

<TABLE>
<CAPTION>
                               Common       Paid-in          Accumulated
Date                           Stock        Capital          Deficit
----                           -----        -------          -----------
<S>                           <C>          <C>               <C>     
April 17, 1991
(incorporation)               $     0       $     0


Common Stock authorized
25,000,000 shares par
value $.001: issued and
outstanding 500,000
shares at December 10, 1991      500          2,500


11,500 shares sold in
public offering, March 1993
(net of underwriting costs)       11         60,031

Public Offering Costs                       (25,520)

Retained Deficit during
development stage as of
March 31, 1993                                                   (286)

Retained Deficit during
development stage as of
March 31, 1994                                                 (17,241)

Retained Deficit during
development stage as of
March 31, 1995                                                 (14,179)

Retained Deficit during
development stage as of
March 31, 1996                                                 ( 1,908)

Retained Deficit during
development stage as of
December 31, 1996                                              (   854)

December 31, 1996              $  511      $  37,011          $ 34,468
                               ======      =========          ========
</TABLE>


                       See notes to financial statements.

                                       -4-
<PAGE>   5
                              BISHOP EQUITIES, INC.
                         A DEVELOPMENT STAGE ENTERPRISE


                       STATEMENT OF CASH FLOWS (Unaudited)


<TABLE>
<CAPTION>
                                           Six Months Ended
                                             December 31,
                                       1995                 1996
                                       -------------------------
<S>                                     <C>               <C>  
CASH FLOWS FROM
OPERATING ACTIVITIES                    $  (576)          (631)


     Net Income (Loss)
     Adjustments to reconcile Net
       Income to Cash Flows From
       Operating Activities

     Increases (Decreases) in:
       Organization Costs                    60             60
       Accrued Expenses                  (1,571)          --
                                        -------        -------


NET CASH PROVIDED BY                     (2,087)          (571)
OPERATING ACTIVITIES

CASH FLOW FROM FINANCING
ACTIVITIES                                 --             --

NET CASH GAINED BY
INVESTING ACTIVITIES                       --             --

  Net Increase (Decrease) in cash        (2,087)          (571)


CASH - BEGINNING                          7,040          3,355
                                        -------        -------

CASH - END                              $ 4,953        $ 2,784
                                        =======        =======
</TABLE>


                       See notes to financial statements.

                                       -5-
<PAGE>   6
                              BISHOP EQUITIES, INC.
                         A DEVELOPMENT STAGE ENTERPRISE

          NOTES TO FINANCIAL STATEMENTS (unaudited) - December 31, 1996

NOTE 1:  Summary of Significant Accounting Policies

         Bishop Equities, Inc. (the "Company") was organized in Nevada on April
         17, 1991, and is a blank check company with no defined business plan
         other than intention to acquire an existing private company through an
         exchange of securities (the "Business Combination"). Selection of the
         Business Combination candidate will be at the complete discretion of
         Management, and upon consummation, control and management of the
         Company may pass to other individuals who are presently unknown and
         unidentifiable. The Company's success will depend upon Management's
         ability to locate a suitable candidate for Business Combination, and to
         consummate the transaction, and on the eventual profitability of the
         resulting entity.

         The Company's year end is March 31.

         Organization costs will be amortized over a 60-month period.

         During the period covered by the Report, the Company's activities were
         limited to investigating potential candidates for merger or
         acquisition.


NOTE 2:  Capitalization

         The Offering commenced March 8, 1993 and concluded on March 19, 1993.
         The Company sold to the public, through its underwriter, Westminster
         Securities Corp. (the "Underwriter"), on a firm-commitment basis, a
         total of 11,500 shares of common stock, par value $.001 per share (the
         "Shares"), at $6.00 per Share, including the exercise of the
         Underwriter's overallotment option.

         The Company received net proceeds of $60,042 after deduction of $8,970
         in underwriting commissions and discounts. Additional offering expenses
         totalled $25,531, of which $20,607 was paid as of March 31, 1993 and
         the remainder was paid subsequently.

         Officers and directors are reimbursed for out-of-pocket expenses
         incurred in the investigation of Business Combination candidates on the
         Company's behalf including travel expenses.

         The Underwriter purchased 1,000 nonredeemable Underwriter Warrants for
         $.0125 each. Each may be exercised by the registered


                                       -6-
<PAGE>   7
                              BISHOP EQUITIES, INC.
                         A DEVELOPMENT STAGE ENTERPRISE

         Notes to financial statements - December 31, 1996 -continued

         holder to purchase one share for $7.20 during a four-year exercise
         period commencing March 8, 1994. The exercise price and number of
         Shares purchasable are subject to anti-dilution adjustment upon
         occurrence of certain events.

         The Company has undertaken to include the Underwriter Warrants in any
         registration statement it may file during a six-year period commencing
         March 8, 1994, and to file a registration statement containing the
         Underwriter Warrants and/or underlying Shares at the request of the
         holders on two occasions during a five-year period commencing March 8,
         1993. The Underwriter has executed an undertaking that any registration
         of the Underwriter Warrants will be for exercise, not distribution.

         The amount of paid-in-capital was reduced by the amount of Deferred
         Offering costs, and the costs of the Offering were offset against the
         proceeds of the Offering.


NOTE 3:  Employees; Related Party Transactions

         The Company's officers are its only employees. No salaries were paid to
         officers during the period. The secretary-treasurer, Maureen Abato, is
         also the Company's attorney, and has been paid fees for certain legal
         services rendered. The officers and directors have limited experience
         in evaluating businesses and devote only minimal time to the Company's
         affairs.

NOTE 4:  Lease Commitment

         Registrant maintains a rent-free mailing address in its president's
         office, 355 South End Ave., #22B, New York NY 10280.

NOTE 5:  Conflicts of Interest

         Certain conflicts of interest will continue to exist between the
         Company and its officers and directors, each of whom has other business
         interests to which she devotes substantial attention. Each officer and
         director is expected to continue in such activities, which could
         detract from management time necessary for the Company's affairs.

         The officers and directors hold similar positions in, and are major
         shareholders of, other public 'blank check' companies and may also
         become involved with other corporations which may file registration
         statements for blank check offerings, all of which may compete with the
         Company for available opportunities.

                                       -7-
<PAGE>   8
                              BISHOP EQUITIES, INC.
                         A DEVELOPMENT STAGE ENTERPRISE

          Notes to financial statements - December 31, 1996 -continued

         Management has established a limited policy for handling potential
         conflicts of interest which may arise. The Company intends not to
         conduct any business transaction with an entity in which its officers,
         directors, major shareholders, or their affiliates or associates, have
         an ownership interest. Further, the Company intends not to join in any
         type of business combination with any of the other corporations in
         which its officers and directors are involved in the same or similar
         capacities.

         The public offerings of all of the blank check ventures in which the
         Company's president has been involved were also underwritten by the
         Company's underwriter, Westminster Securities Corp. The Company's
         independent auditor, Jody M. Weber, CPA, served as the independent
         auditor for each.

         Business Combination candidates are expected to become available
         primarily through the personal contacts of the Company's officers and
         directors, and the Company has not present intention to engage
         professional firms specializing in business acquisitions or
         reorganizations, nor to retain, hire or utilize any consultants. No
         finders fees will be paid to any party in connection with a Business
         Combination. No prediction can be made as to the costs of identifying a
         suitable candidate for a Business Combination, or of consummating such
         a transaction.

NOTE 6:  Risk Factors

         The Company was recently organized, has no history of operations or
         revenues and is in its earliest stages of development.

         The Company has no working capital and its ability to conduct its
         proposed activities, i.e., the investigation of Business Combination
         candidates, and operate as a going concern, is contingent upon locating
         an acquisition candidate and consummating such transaction. The
         Company's capital has been deemed sufficient to commence only very
         limited operations.

NOTE 7:  "Blue Sky Laws"

         Many states have imposed restrictions on the tradeability of securities
         of "blank check" companies. Upon completion of a Business Combination,
         its securities may become eligible for sale in additional states.




                                       -8-
<PAGE>   9
                           PART II - OTHER INFORMATION

Item 1.  Legal Proceedings - None.

Item 2.  Changes in Securities - None.

Item 3.  Not Applicable

Item 4.  No matters were submitted to a vote of the Company's holders during the
         period.

Item 5.  Other Information - None

Item 6.  (a) Exhibits - None required

         (b) None



                                   SIGNATURES

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

Date:  July 27, 1998              BISHOP EQUITIES, INC.


                                  By: /s/ Maureen Abato
                                  Maureen Abato
                                  Secretary-Treasurer


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