SECURITIES AND EXCHANGE COMMISSION
                      Washington, D.C. 20549
                            Form 10-KSB

[X}    ANNUAL REPORT PURSUANT TO SECTION 13 OR (15d)
       OF THE SECURITIES EXCHANGE ACT OF 1934

For the annual period ended December 31, 2002

[ ]    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 000-27129

               Asian Financial, Inc.
       (Exact Name of Small Business Issuer as
             specified in its charter)
<TABLE>
<CAPTION>
            
                                         <c>
           NEVADA                                   91-1922225
(State or other Jurisdiction of                   I.R.S.
Employer
Incorporation or Organization)                 Identification
Number

69930 Highway 111, Ste 100, Rancho Mirage, CA        92270
(Address of principal executive office)            (Zip Code)
</TABLE>
               (760) 219-2776
         (Issuer's Telephone Number)

Check whether the Issuer (1) filed all reports required to be
filed by
Section 13 or (15d) 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 [ ]   No [X]

Indicate the number of shares outstanding of each of the
issuer's
classes of Common Equity, as of the latest practicable date.
<TABLE>
<CAPTION>

                                               <c>
Common Stock, $.001 par value                  1,500,000
                                  Number of Shares Outstanding
                                         At July 25, 2006
</TABLE>





<PAGE>2

                                 PART I

Item 1.  Description of Business.

Business Development.

Asian Financial, Inc. (the "Company") was organized under the
laws of
the State of Nevada on August 10, 1998.  The Company was
incorporated
to engage in any lawful activity. On July 27, 2005, the Company
merged with Asian Financial, Inc. (a Wyoming entity) for the
purpose of changing its domicile from Nevada to Wyoming.  The
Company has not commenced operations and has not generated any
revenues since inception.  There are no employees other than
officers or directors.


The Company's articles initially authorized the Company to issue
a
total of 100,000,000 shares of common stock, and 1,000,000
preferred, all with par value of $0.001.

Common Stock

On August 20, 1998 473,250 shares of Common Stock were issued to
individuals for services rendered at par for a total value of
$473.

On December 15, 1998, 1,026,750 shares of Common Stock were sold
at par of $.001 per share, for a total value of $1,027.  Total
shares issued and outstanding at year end December 31, 1998 were
1,500,000.

As of December 31, years 1998 to 1999, and, 2001 and 2002, there
were 1,500,000 share issued and outstanding.

Preferred Stock

No Preferred Stock has been issued since inception (August 10,
1998)through years ended December 31, 2001 and 2002.


Item 2. Description of property

The Company's headquarters in Rancho Mirage, CA are furnished by
the Company's President at no charge.

Item 3. Legal Proceedings

None

Item 4. Submission of matters to a vote of security holders.

None
                                Part II

Item 5.  Market for Common Equity and Related Stockholders.

There is not currently a public trading market for the Company's
securities, and the Company will act as its own transfer agent
until an active public trading market is established.  As of
December 31, 2002, there were 1,500,000 common shares issued and
outstanding.  No dividends have been declared or paid on the
Company's securities, and it is not anticipated that any
dividends will be declared or paid in the foreseeable future.
There were 52 shareholders at July 25, 2006.

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

No significant business activity was conducted by the Company
during the fiscal year 2002.  As a result, no income was earned
by the Company in 2002 and there was no cash at the end of the
year.

The primary activity of the Company has involved seeking merger
or acquisition candidates. We have a limited operating history
on which to base an evaluation of our business and prospects.
Our prospects must be considered in light of the risks, expenses
and difficulties frequently encountered by companies in their
early stages of development, particularly companies in new and
rapidly evolving markets.  We will encounter various risks in
implementing and executing our business strategy.  We can
provide no assurance that we will be successful in addressing
such risks, and the failure to do so could have a material
adverse effect on our business. The Company intends to structure
a merger or acquisition in such manner as to minimize federal
and state tax consequences to the Company and the target
company.

The Company does not intend to make any loans to any prospective
merger or acquisition candidate, or to any unaffiliated third
parties.

The officers and directors of the Company are currently involved
in other activities and will devote only a portion of their time
to the specific business affairs of the Company until such time
as a merger or acquisition candidate has been determined.  At
such a time, they expect to spend the necessary time and effort
to investigate and finalize any merger or acquisition.

Plan of Operation

The Company has not engaged in any material operations or had
any revenues from operations during the past two fiscal years.
The Company incurred operating expenses totaling $10,897 and
$10,000 for the years ended December 31, 2002 and 2001,
respectively.

We do not expect to purchase any significant equipment for the
foreseeable future, unless necessitated by a merger with an
operating company.

We do not expect any significant changes in the number of
employees in the next twelve months, unless necessitated by a
merger with an operating company.

We do not currently provide any services and have not generated
any revenues, and we do not expect to generate revenues for the
foreseeable future, nor do we anticipate incurring any
significant expenses. Therefore, we will continue
to operate on a minimal operating budget. Any expenses incurred
will be paid for by our officers and directors and reimbursed
once a merger or acquisition transaction takes place and we
start generating cash flows.  We intend to limit our operations
to seeking merger and acquisition candidates, and don't
believe it is necessary to raise any additional funds during the
next twelve months.


Item 7.  Financial Statements.

See financial statements.

Item 8.  Changes in and Disagreements with Accountants on
Accounting and Financial Disclosure.

On September 8, 2005, the Company filed a Form 8-K indicating
the replacement of its previous auditor, Mr. David Winings, CPA,
Palm Desert, CA, with Child, Sullivan & Co., Certified Public
Accountants, Kaysville, UT.  This change was made in order to
comply with SEC Regulations, which require that all public
companies have a PCAOB registered accountant audit and certify
year-end financial statements.  Mr. Winings was not registered
with the PCAOB.  There were no disagreements between the Company
and Mr. Winings.

On January 2, 2006, our independent auditor, Child, Sullivan &
Company, changed its accounting practice from a corporation to a
professional limited liability company named Child, Van Wagoner
& Bradshaw, PLLC.  Because Child, Van Wagoner & Bradshaw, PLLC,
is viewed as a separate legal entity, we were obliged to dismiss
Child, Sullivan & Company as our independent auditor, and to
engage Child, Van Wagoner & Bradshaw, PLLC, as our independent
auditor for the fiscal year ending December 31, 2005 and the
interim periods for 2006. The decision to change our independent
auditor was approved by our Board of Directors.

None of the reports of Child, Sullivan & Company on our
financial statements for either of the past two years or
subsequent interim period contained an adverse opinion or
disclaimer of opinion, or was qualified or modified as to
uncertainty, audit scope or accounting principles.



There were no disagreements between us and Child, Sullivan &
Company for either of the past two years or subsequent interim
period on any matter of accounting principles or practices,
financial statement disclosure, or auditing scope or procedure,
which, if not resolved to the satisfaction of Child, Sullivan &
Company, would have caused it to make reference to the subject
matter of the disagreement in connection with its report.  No
reportable events of the type described in item 304(a)(1)(iv)(B)
of Regulation S-B occurred during the two most recent fiscal
years.

We provided Child, Sullivan & Company with a copy of this
disclosure and requested that they furnish the Company with a
letter addressed to the Commission stating whether Child,
Sullivan & Company agrees or disagrees with the statements by us
in a Current Report on Form 8-K and, if not, stating the
respects in which it does not agree.  A letter from Child,
Sullivan & Company to such effect is attached as Exhibit 16.1 to
our current report on Form 8-K filed with the Securities and
Exchange Commission on January 6, 2006.

During our two most recent fiscal years, we have not consulted
with Child, Van Wagoner & Bradshaw, PLLC, on any matter that (i)
involved the application of accounting principles to a specific
completed or contemplated transaction, or the type of audit
opinion that might be rendered on our financial statements, in
each case where written or oral advice was provided, that was an
important factor considered by us in reaching a decision as to
the accounting, auditing or financial reporting issue; or (ii)
was either the subject of a disagreement or event, as that term
is described in item 304(a)(1)(iv)(A) of Regulation S-B.

Item 8a.  Controls and Procedures

The Chief Executive Officer and the Chief Financial Officer of
the Company have made an evaluation of the disclosure controls
and procedures relating to the annual report on Form 10-KSB for
the year ended December 31, 2002 as filed with the Securities
and Exchange Commission and have judged such controls and
procedures to be effective as of December 31, 2002, the
evaluation date.

There have not been any significant changes in the internal
controls of The Company or other factors that could
significantly affect internal Controls relating to the Company
since the evaluation date.


Item 8b.  Other Information

None
                              PART III

Item 9.  Directors, Executive Officers, Promoters and Control
Persons; Compliance with Section 16(A) of the Exchange Act.

The following table sets forth the names of all current
directors and executive officers of the Company.  These are the
only persons whose activities are expected to be material to the
Company. They will serve until the next annual meeting of the
stockholders (held in November of each year), or until their
successors are elected or appointed and qualified, or their
prior resignation or termination.
<TABLE>
<CAPTION>
                                         Date of         Date of
                      Positions        Election or
Termination
Name                  Held             Designation   or
Resignation
- -------------------  -------------     -----------   ---------
-----

                       <c>              <c>             <c>
Dempsey K. Mork      President,          8/10/1998          N/A
                     CEO, Director

Norbert L. LeBoeuf   CFO, Director       12/15/2001     N/A

</TABLE>

Business Experience.

Dempsey Mork has been the majority shareholder, President, Chief
Executive Officer and Chairman of the Board of Asian Financial,
Inc. since its formation on August 10, 1998.  Mr. Mork is an
officer and director in the following corporations: Magellan
Capital Corp.; Animal Cloning Sciences, Inc.; Knickerbocker
Capital Corporation; Apex Capital Group, Inc.; Northstar
Ventures, Inc.; Orion U.S.A. Inc.; China Holdings, Inc.;
Southwest Holdings and Development, Inc.; Stonebridge
Investment, Inc.; and, Woodstock Tree Farms.  Mr. Mork assists
companies in complying with securities regulations, and raising
capital. During the period of 1992 through 1996, Mr. Mork
maintained offices in Geneva, Switzerland and Hong Kong.  During
this period, Mr. Mork arranged financing for small US public
companies from European and Asian financial institutions.  He
will spend approximately 20 hours per month on Asian Financial's
business activities.

Mr. Norbert LeBoeuf is a shareholder, officer and director of
Asian Financial.  He has been responsible for all accounting and
tax functions for all Companies with which Mr. Mork has been
affiliated.

<PAGE>6

Mr. LeBoeuf's professional career includes three years in the
U.S. Marine Corps Legal and Administrative functions (1952-55)
and forty years in all areas of accounting and tax for small,
medium and large (Fortune 500 Companies) in Electronics,
Manufacturing and Aerospace. He will spend approximately 20
hours per month on Asian Financial's business activities.

Significant Employees.

The Company has no employees who are not executive officers.

Audit Committee.
The Board of Directors is the acting audit committee.  There is
currently no audit committee expert, as the Company does not
have available funds to compensate such an individual.

Code of Ethics

The Company has adopted a code of ethics that applies to the
chief executive officer and chief financial officer that has
been previously filed with the SEC.


Item 10. Executive Compensation.

None

(1)     On August 29, 1998, 473,250 shares of "unregistered" and
"restricted" shares of the Company's common stock, were issued
for
services rendered, as follows:
<TABLE>
<CAPTION>
                No. SHS   ISSUED TO
                -------   -------------------------

               <c>              <c>
                225,000   Magellan Capital Corp.
                 76,500   Magellan Litigation Corp.
                 75,000   Dempsey K. Mork
                 30,750   Randall A. Baker
                 37,500   Robert J. Filiatreaux
                 28,500   Norbert L. Le Boeuf
                -------
                473,250     TOTAL SHARES ISSUED
                =======
</TABLE>

To date, no additional compensation has been provided to the
officers
and directors, Dempsey Mork and Norbert LeBoeuf. There are no
standard arrangements pursuant to which the Company's
directors are compensated for any services provided as director.
No
additional amounts are payable to the Company's directors for
committee participation or special assignments.

Employment Contracts and Termination of Employment and Change-
in-Control Arrangements.

There are no employment contracts, compensatory plans or
arrangements, including payments to be received from the
Company, with respect to any director or executive officer of
the Company which would in any way result in payments to any
such person because of his or her resignation, retirement or
other termination of employment with the Company or its
subsidiaries, any change in control of the Company, or a change
in the person's responsibilities following a change in control
of the Company.


Item 11. Security Ownership of Certain Beneficial Owners and
Management.

The following table sets forth the shareholdings of those
persons who own more than 5% of the 1,500,000 shares of the
Company's common stock outstanding as of the date of this
filing, and/or belong to management:
<TABLE>
<CAPTION>

Percent of
                                     Number of Shares
1,500,000 SHS.
Name and Address                  Beneficially Owned Outstanding
-------------------------------     ------------------   -----

                                         <c>              <c>
LISTING 473,250 SHS ISSUED 8/20/98
Dempsey K.  Mork                          75,000*         5.00%*
69930 Highway 111
Suite 100
Rancho Mirage, CA 92270 (1)

Norbert L. LeBoeuf                        28,500          1.90%
69930 Highway 111
Rancho Mirage, CA 92270
                                       ---------          ------
  Sub Total Officers/Directors           103,500          6.90%
(1)Addresses are in c/o the Company

Other Shareholders/Former Associates:
 Randall A. Baker                         30,750          2.05%
 P.O. Box 1025
 Morongo Valle, CA 92256

 Robert Filiatreaux                       37,500          2.50%
 77545 Chillon
 La Quinta, CA 92253


<PAGE>4

Magellan Capital Corp.                   225,000         15.00%
69930 Highway 111
Suite 100
Rancho Mirage, CA 92270

Magellan Litigation Services              76,500          5.10%
69930 Highway 111
Suite 100
Rancho Mirage, CA 92270
                                       ---------          ------
  Total SHS Issued 8/20/98               473,250          31.55%
    For Services Rendered              ---------          ------

LISTING 1,026,750 SHS SOLD 12/15/98
Magellan Capital Corp.
 Dempsey K. Mork
 Pension Plan and Trust                  450,000*        30.00%*
 69930 Highway 111 Suite 100
 Rancho Mirage, CA 92270

Magellan Capital Corp.
 Dempsey K. Mork
 Profit Sharing Plan and Trust           450,000*        30.00%*
 69930 Highway 111
 Suite 100
 Rancho Mirage, CA 92270

Shares sold to other individuals         126,750          8.45%
                                       ---------          ------
  Total SHS Sold 12/15/98              1,026,750         68.45%
                                       ---------          ------
 TOTAL SHS ISSUED FROM INCEPTION
   (8/10/98 THROUGH PRESENT PERIOD)    1,500,000        100.00%
                                       =========
======
</TABLE>
*Beneficial ownership of Dempsey K. Mork

The following table sets forth the shareholdings of the
Company's
directors and executive officers as of the date hereof, to wit:
<TABLE>
<CAPTION>
                                Number of Shares         Percent
                               Beneficially Owned 1,500,000 SHS.
Name and Address                 as of 12/31/02
Outstanding
- --------------------           ------------------      -------
------

                                   <c>                   <c>
Dempsey K. Mork                     975,000*              65.00%
69930 Highway 111
Suite 100
Rancho Mirage, CA 92270

Norbert L. Le Boeuf                  28,500                1.90%
69930 Highway 111
Suite 100
Rancho Mirage, CA 92270
     Totals:                      1,003,500               66.90%
                                  =========               =====
</TABLE>
<PAGE>5

Item 12.  Certain Relationships and Related Transactions

The Company has accrued $10,000 per year for management services
rendered by Dempsey Mork (the Company's majority
shareholder/President) pursuant to a five-year convertible
promissory note covering years 1998 through 2002 for a total
balance of $50,000 and $40,000 at December 31, 2002 and 2001,
respectively.  This note is non-interest bearing and convertible
at a rate of $0.05 per share for 1,000,000 common shares at the
option of the holder. If not sooner converted into common stock,
the principal amount is due December 31, 2008.  Interest on the
note has not been imputed due to its minimal impact on the
financials.

The Company's officers and directors have resolved to provide
for various minimal expenses incurred by the Company without
repayment until such time that a merger candidate is found.
These expenses consist of, but are not limited to, office space,
accounting, filing requirements, and management services.

Item 13.  Exhibits and Reports on Form 8-K

(a)       The Exhibits listed below are filed as part of this
Annual Report.

Exhibit No.
- --------------

3.1       Articles of Incorporation (Incorporated by reference
from Registration Statement on Form 10-SB filed with the
Securities and Exchange Commission on August 24, 1999).

3.2       Bylaws (Incorporated by reference from Registration
Statement on Form 10-SB filed with the Securities and Exchange
Commission on August 24, 1999).

14.1       Code of Ethics

31.1     Certification Under Section 302 of the Sarbanes-Oxley
Act of 2002

31.2     Certification Under Section 302 of the Sarbanes-Oxley
Act of 2002

32.1     Certification Under Section 906 of the Sarbanes-Oxley
Act of 2002

32.2      Certification Under Section 906 of the Sarbanes-Oxley
Act of 2002

(b)       The Corporation did file a report on Form 8-K during
the quarter ended December 31, 2005. This Form 8-K provided
notice of a name change of the Auditor as a result of the
Auditing firm merging with another firm (Item 8).

ITEM 14. Principal Accountant Fees and Services
All audit and related services are approved by the Board of
Directors (the acting audit committee) prior to the rendering of
services.

Audit Fees

The fees incurred during the years ending December 31, 2002 and
2001 for professional services rendered by our former principal
accountant, David Winings, CPA, for the audits of our annual
financial statements and review of our quarterly financial
statements is $-0- and $-0-, respectively.

The Company did not incur any fees during the years ending
December 31, 2002 or 2001 for professional services rendered by
our current principal accountant, Child, Van Wagoner & Bradshaw,
PLLC, for the audits of our annual financial statements and
review of our quarterly financial statements.

Audit-Related Fees

The Company did not incur any fees for the year ending December
31, 2002 or 2001 for professional services that are reasonably
related to the audit or review of our financial statements that
are not covered in the Audit Fees disclosure above.

Tax Fees

The Company did not incur any fees for the year ending December
31, 2002 or 2001 for professional services rendered for tax
compliance, tax advice, and tax planning.

All Other Fees

There were no fees billed for the years ending December 31, 2002
or 2001 for professional services rendered by our auditors for
all other services not disclosed above.

<PAGE>7


                       SIGNATURES

Pursuant to the requirements of Section 13 of 15(d) of the
Securities Exchange Act of 1934, as amended, the Company has
duly caused this Report to be signed on its behalf by the
undersigned duly authorized person.

Date:    July 28, 2006

Asian Financial, Inc.

/s/ Dempsey K. Mork
- --------------------------------------------
By:  Dempsey K. Mork, President/CEO-Director

/s/  Norbert L. LeBoeuf
- -------------------------------------
Norbert L. LeBoeuf
CFO

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.

<TABLE>
<CAPTION>

Signature                    Capacity                    Date

                             <c>                      <c>

/s/Dempsey K. Mork         President/CEO           July 28, 2006
- ---------------------        Director
Dempsey K. Mork

/s/Norbert LeBoeuf      Chief Financial Officer/   July 28, 2006
- ---------------------        Director
</TABLE>








                           ASIAN FINANCIAL, INC.
(A Development Stage Company)

Financial Statements

For the Years Ended December 31, 2002 and 2001, and the
Period of August 10, 1998 (inception) to December 31, 2002




Report of Independent Registered Public Accounting Firm      F-1

Financial Statements:

Balance Sheet                                                F-2

Statements of Operations                                     F-3

Statements of Changes in Stockholders' Deficit               F-4

Statements of Cash Flows                                     F-5

Notes to the Financial Statements                      F-6 - F-8



Report of Independent Registered Public Accounting Firm


To the Board of Directors
Asian Financial, Inc.

We have audited the balance sheet of Asian Financial, Inc. (a
development stage company) (the Company) as of December 31,
2002, and the related statements of operations, changes in
stockholders' deficit and cash flows for the year then ended.
These financial statements are the responsibility of the
Company's management.  The financial statements for the period
of August 10, 1998 (inception) through December 31, 2001 were
audited by another auditor, who expressed an unqualified opinion
in his audit report dated May 16, 2003.  These financial
statements are the responsibility of the Company's management.
Our responsibility is to express an opinion on these financial
statements based on our audit.

We conducted our audit in accordance with the standards of the
Public Company Accounting Oversight Board (United States).
Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial
statements are free of material misstatement.  An audit includes
examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements.  An audit also includes
assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall
financial statement presentation.  We believe that our audit
provides a reasonable basis for our opinion.

In our opinion, the financial statements referred to above
present fairly, in all material respects, the financial position
of the Company as of December 31, 2002, and the results of its
operations and its cash flows for the year then ended, in
conformity with accounting principles generally accepted in the
United States of America.

The accompanying financial statements have been prepared
assuming that the Company will continue as a going concern.  As
discussed in Note 5 to the financial statements, the Company has
suffered net losses since inception and is still considered a
development stage company, as it has not yet obtained revenues
from its planned principle operations. These factors raise
substantial doubt about the Company's ability to meet its
obligations and to continue as a going concern. Management's
plans in regard to these matters are also described in Note 5.
The financial statements do not include any adjustments that
might result from the outcome of this uncertainty.





Child, Van Wagoner & Bradshaw, PLLC
Kaysville, Utah
July 25, 2006





                            ASIAN FINANCIAL, INC.
(A Development Stage Company)
                               BALANCE SHEETS
                             December 31, 2002 and 2001
<TABLE>
<CAPTION>
                             As of December 31,
                                          2002           2001
                                        -------         -------
ASSETS
======

                                       <c>             <c>
CURRENT ASSETS
  CASH IN BANK                         $    -0-        $    897

PROPERTY AND EQUIPMENT                      -0-             -0-

OTHER ASSETS                                -0-             -0-
                                         ------          ------
  TOTAL ASSETS                         $    -0-        $    897
                                         ======          ======

LIABILITIES AND STOCKHOLDERS' DEFICIT
====================================
 LIABILITIES
  LONG-TERM LIABILITIES
    NOTES PAYABLE -
     RELATED PARTY (NOTE 4)           $ 50,000        $ 40,000

                                         ------          ------
  TOTAL LIABILITIES                      50,000         40,000
                                         ------          ------
STOCKHOLDERS' DEFICIT (NOTE 3)
=====================
  PREFERRED STOCK, PAR VALUE $.001;
   1,000,000 AUTHORIZED; -0- SHARES
   ISSUED AND OUTSTANDING AT 12/31/01
   AND 12/31/00                             -0-             -0-
  COMMON STOCK, PAR VALUE $.001;
   100,000,000 AUTHORIZED; 1,500,000
   SHARES ISSUED AND OUTSTANDING
   AT 12/31/2002 AND 12/31/2001           1,500           1,500

  DEFICIT ACCUMULATED DURING DEVELOPMENT STAGE
(51,500)        (40,603)
                                         ------          ------
  TOTAL SHAREHOLDERS' DEFICIT           (50,000)        (39,103)
                                         ------          ------
  TOTAL LIABILITIES AND
     STOCKHOLDERS' DEFICIT              $    -0-        $    897
                                         ======          ======
</TABLE>
The accompanying notes are an integral part of these financial
statements.


                      ASIAN FINANCIAL, INC.
                  (A Development Stage Company)
                     STATEMENTS OF OPERATIONS
<TABLE>
<CAPTION>                          Period of                Inception
(Aug. 10,
                                                            1998) to
                                 Years Ended Dec. 31,       Dec. 31,
                                        2002         2001          2002
                                      -------      -------  ----------

                                     <c>          <c>
  REVENUES                          $    -0-     $    -0-    $    -0-

  EXPENSES
   Administrative Support Services    10,000       10,000      50,000

     Office Expense                      897          -0-       1,500
                                      ------       ------   --------
     Total Expenses                   10,897       10,000      51,500

  INCOME (LOSS) BEFORE TAXES         (10,897)    (10,000)    (51,500)

  INCOME TAXES                           -0-          -0-         -0-
                                      ------       ------     -------
  NET INCOME (LOSS)                 $(10,897)     (10,000)   $(51,500)
                                    ========      ========    ========

PER SHARE INFORMATION

BASIC AND DILUTED LOSS
   PER COMMON SHARE                 $(0.001)     $(0.001)
                                       -----        -----
 BASIC AND DILUTED WEIGHTED AVERAGE NUMBER OF
  COMMON STOCK SHARES OUTSTANDING   1,500,000    1,500,000
                                    =========    =========
</TABLE>


The accompanying notes are an integral part of these financial
statements


                                 ASIAN FINANCIAL, INC.
                            (A Development Stage Company)
                      STATEMENT OF CHANGES IN STOCKHOLDERS' DEFICIT
        For the Period of August 10, 1998 (inception) to December 31, 2002

<table>
<c>                           <c>        <c>        <c>          <c>     <c>
                                                             Deficit
                                                              Accum.  Total
                                                Additional   During   Stock-
                                        Common   Paid-In      Dev.   Holders'
                            Shares      Stock    Capital     Stage    Deficit

Balance, Aug. 10, 1998
   (date of inception)           -    $     -  $     -        $   -     $  -

Shares issued for
   services                473,250       473        -            -       473
Shares issued for cash   1,026,750     1,027        -            -     1,027
Net loss                         -         -        -        (10,473)(10,473)

Balance, Dec. 31, 1998   1,500,000     1,500        -        (10,473) (8,973)

Net loss                        -          -        -        (10,000)(10,000)

Balance, Dec. 31, 1999   1,500,000      1,500       -        (20,473)(18,973)

Net loss                        -           -       -        (10,130)(10,130)

Balance, Dec. 31, 2000   1,500,000      1,500       -        (30,603)(29,103)

Net loss                                                     (10,000)(10,000)

Balance, Dec. 31, 2001   1,500,000      1,500       -        (40,603)(39,103)

Net loss                         -          -       -        (10,897)(10,897)

Balance, Dec. 31, 2002   1,500,000      1,500       -        (51,500)(50,000)



</table>












The accompanying notes are an integral part of these financial
statements





                ASIAN FINANCIAL, INC.
              STATEMENT OF CASH FLOWS
<TABLE>
<CAPTION>
                                        Period of             Inception
                                                              (Aug. 10,
                                                              1998) to
                                         Year Ended Dec. 31,   Dec. 31,
                                          2002        2001     2002
                                        -------     -------   --------

                                       <c>         <c>
CASH FLOWS FROM OPERATING ACTIVITIES

NET INCOME (LOSS)                      $(10,897)   $(10,000)  $(51,500)
ADJUSTMENTS TO RECONCILE NET INCOME
  TO NET CASH PROVIDED BY OPERATING
  ACTIVITIES:
ISSUANCE OF NOTES PAYABLE TO
  RELATED PARTY FOR
  SERVICES RENDERED                     10,000      10,000  50,000
COMMON SHARES ISSUED FOR SERVICES           -0-         -0-       473
                                         ------      ------   -------
NET CASH PROVIDED (USED) BY
  OPERATING ACTIVITIES                     (897)       -0-   (1,027)

CASH FLOWS FROM INVESTING ACTIVITIES        -0-         -0-

CASH FLOWS FROM FINANCING ACTIVITIES
  ISSUANCE OF COMMON STOCK                  -0-         -0-      1,027
                                         ------      ------    -------
NET CASH PROVIDED (USED) BY
  FINANCING ACTIVITIES                      -0-        -0-       1,027


NET INCREASE (DECREASE) IN CASH            (897)        -0-      -0-

CASH AT BEGINNING OF PERIOD                 897         897    -
                                         ------      ------    -------
CASH AT END OF PERIOD                  $    -0-    $    897    -
                                         ======      ======    =======

SUPPLEMENTAL DISCLOSURES

INTEREST PAID                          $    -0-    $    -0-
                                         ======      ======
INCOME TAXES PAID                      $    -0-    $    -0-
                                         ======      ======

</TABLE>





The accompanying notes are an integral part of these financial
statements
                         ASIAN FINANCIAL, INC.
                    NOTES TO FINANCIAL STATEMENTS
              For the Years Ended December 31, 2005 and 2004, and the
Period of August 10, 1998 (inception) to December 31, 2002



NOTE 1-ORGANIZATION AND BUSINESS PLAN:

Asian Financial, Inc. was organized under the laws of the State of
Nevada on August 10, 1998 to engage in any lawful activity. On July
27, 2005, the Company merged with Asian Financial, Inc. (a Wyoming entity)
for the purpose of changing its domicile from Nevada to Wyoming.


The Articles of Incorporation authorize the Company to issue 100,000,000
shares of common stock and 1,000,000 shares of preferred stock, both with a
par value of $0.001.

NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Development Stage Company
The Company is considered a 'Development Stage Company' as defined in SFAS 7,
"Accounting and Reporting by Development Stage Enterprises."  Therefore,
cumulative amounts are reported on the statements of operations,
stockholders' deficit, and cash flows.

Cash and Equivalents
The Company considers all highly liquid debt instruments purchased with a
maturity of three months or less to be cash equivalents. No cash was paid for
interest or income taxes during the years ended December 31, 2002 or 2001.

Loss Per Common Share
Loss per common share is computed by dividing the net loss for the period by
the weighted average number of shares outstanding for the years ended
December 31, 2002 and 2001. The Company's convertible debt (Note 4) is a
potentially dilutive security, but does not impact the computation of fully
diluted EPS because its effect would be antidilutive. Accordingly, basic
earnings per share and fully diluted earnings per share are the same.

Use of Estimates
The preparation of the accompanying 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 disclosure of contingent
assets and liabilities at the date of the financial statements, and the
reported amounts of expenses during the reporting periods. Actual results
could differ from those estimates.

Income Taxes
Deferred tax assets and liabilities are recognized for the future tax
consequences attributable to differences between the carrying amounts of
existing assets and liabilities and their respective tax bases. Deferred tax
assets and liabilities are measured using enacted tax rates expected to apply
to taxable income in the years in which those temporary differences are
expected to reverse. The effect on deferred tax assets and liabilities from a
change in tax rates is recognized in the statement of operations in the
period that includes the enactment date. The Company has not yet commenced an
active trade or business, therefore, the Company did not provide any current
or deferred federal or state income tax expense or benefit for any of the
periods presented because to date, it has experienced operating losses. The
Company has a federal net operating loss carryforward of $51,500, which
starts expiring in the year 2018. The tax benefit of this net operating loss,
based on an effective tax rate of 35%, is approximately $18,025 and has been
offset by a full valuation allowance, which increased by $3,814 and $3,500
during the years ended December 31, 2002 and 2001, respectively.

Reclassifications
Certain items in the 2001 financial statements have been reclassified to
conform to the 2002 presentation.

Recently Issued Accounting Pronouncements
In November 2004, the FASB issued SFAS No. 151, "Inventory Costs-an amendment
of ARB No. 43, Chapter 4."  This statement requires that abnormal amounts of
idle facility expense, freight, handling costs, and wasted material (spoilage)
be recognized as current-period charges regardless of whether they meet the
criterion of "so abnormal."  SFAS No. 150 was effective for financial
statements entered into or modified after May 31, 2003 and
otherwise was effective and adopted by the Company in 2003.

In December 2004, the FASB issued SFAS No. 152, "Accounting for Real Estate
Time-Sharing Transactions-an amendment of FASB Statement No. 66 and 67."
This statement amends FASB Statement No. 66 and 67 to state that the guidance
for (a) incidental operations and (b) costs incurred to sell real estate
projects does not apply to real estate time-sharing transactions.
This statement is effective for financial statements for fiscal years
beginning after June 15, 2005.

In December 2004, the FASB issued SFAS No. 153, "Exchanges of Nonmonetary
Assets-an amendment of APB Opinion No. 29."  This statement amends
Opinion 29 to eliminate the exception for nonmonetary exchanges of similar
productive assets and replaces it with a general exception for exchanges of
nonmonetary assets that do not have commercial substance.  This statement
is effective as of the beginning of the first interim or
annual reporting period that begins after December 15, 2005.

In December 2004, the FASB issued a revision of SFAS No. 123,
"Share-Based Payment."  This statement establishes standards for
the accounting for transactions in which an entity exchanges its equity
instruments for goods or services.  This statement is effective as of
the beginning of the first interim or annual reporting period that begins
after December 15, 2005.

In May 2005, the FASB issued SFAS No. 154, "Accounting Changes
and Error Corrections, a replacement of APB Opinion No. 20 and FASB
Statement No. 3."  This statement changes the requirements for the
accounting for and reporting of a change in accounting principle.
This statement requires retrospective application to prior periods'
financial statements of changes in accounting principle, when practicable.

In February 2006, the FASB issued SFAS No. 155 "Accounting for Certain
Hybrid Financial Instruments-an amendment of FASB Statements No. 133 and
140."  This statement improves financial reporting by eliminating the
exemption from applying statement 133 to interests in securitized
financial assets so that similar instruments are accounted for similarly
regardless of the form of the instruments.  This statement is effective
for all financial instruments acquired or issued after the beginning
of an entity's first fiscal year that begins after September 15, 2006.

In March 2006, the FASB issued SFAS No. 156 " Accounting for Servicing
of Financial Assets-an amendment of FASB Statement No. 140."  This
statement requires that all separately recognized servicing assets
and servicing liabilities be initially measured at fair value, if
practicable.  SFAS No. 156 states that an entity should adopt this
statement as of the beginning of its first fiscal year that begins
after September 15, 2006.

None of the above new pronouncements has current application to
the Company, but may be applicable to the Company's future
financial reporting.

NOTE 3 - STOCKHOLDERS' DEFICIT
Common Stock
On August 20, 1998, the Company issued 473,250 shares of Common Stock
at $.001 par value to individuals (including officers/directors)
for consulting services provided to the Company for a total value
of $473.

On December 20, 1998, the Company issued 1,026,750 shares of stock at
the stated par value of $.001 per share in a cash transaction totaling
$1,027.

Total shares of Common Stock issued and outstanding were 1,500,000 at
December 31, 2002 and 2001.

Preferred Stock
No Preferred shares have been issued and none are outstanding
from inception (August 10, 1998) through year ending December 31, 2002.

<PAGE>14

NOTE 4 - RELATED PARTY TRANSACTIONS

The Company has accrued $10,000 per year for management services rendered
by the Company's majority shareholder/president pursuant to a five-year
convertible promissory note covering years 1998 through 2002 for a total
balance of $50,000 and $40,000 at December 31, 2002 and 2001, respectively.
This note is non-interest bearing and convertible at a rate of $0.05 per
share for 1,000,000 common shares at the option of the holder. If not
sooner converted into common stock, the principal amount is due December
31, 2008.  Interest has not been imputed, due to its minimal impact on
the financial statements.

The Company's officers and directors have resolved to provide for various
minimal expenses incurred by the Company without repayment until such time
that a merger candidate is found.  These expenses consist of, but are not
limited to, office space, accounting, filing requirements, and management
services.

NOTE 5 - GOING CONCERN AND INCIDENTAL COSTS

The accompanying financial statements have been prepared in conformity with
accounting principles generally accepted in the United States of America,
which contemplate continuation of the Company as a going concern.  However,
the Company has incurred losses since its inception and has not yet been
successful in establishing profitable operations. These factors raise
substantial doubt about the ability of the Company to continue as a going
concern.  Unanticipated costs and expenses or the inability to generate
revenues could require additional financing, which would be sought through
bank borrowings, or equity or debt financing.  To the extent financing is not
available, the Company may not be able to, or may be delayed in, developing
its business purpose.  The accompanying financial statements do not reflect
any adjustments that might result from the outcome of these uncertainties.

Incidental costs to maintain legal registrations of the Company in its state
of incorporation and with the Securities and Exchange Commission have been
paid or assumed by the current shareholders of the Company.  This will
continue for the foreseeable future.

The Company intends to actively pursue a business relationship with a
qualified merger or acquisition candidate.  Costs incurred on these efforts
will continue to be borne/paid by the Officers/Directors of the Company in
the form of loans/advances or the issuance of stock.




  (b) List of Exhibits
3.i  Articles of Incorporation
     incorporated by reference
3.ii By-Laws of Asian Financial, Inc.
     incorporated by reference
4.i  Form of Specimen of common stock
     incorporated by reference
5.    Exhibit 99 - Certifications pursuant to 18 U.S.C. Section
1350

(B)      REPORTS ON FORM 8-K

ITEM 14.  Controls and Procedures

Evaluation of Disclosure Controls and Procedures

The management of Asian Financial, under the supervision and with the
participation of the Chief Executive Officer and the Chief Financial
Officer, conducted an evaluation of the Company's "disclosure controls
and procedures" (as defined in Securities and Exchange Act of 1934 (the
"Exchange Act") Rules 13a-14c) within 90 days of the filing date of
this Annual Report on Form 10-KSB (the "Evaluation Date").  Based on
their evaluation, the Chief Executive Officer and the Chief Financial
Officer have concluded that as of the Evaluation Date, the Company's
disclosure controls and procedures are effective to ensure that all
material information required to be filed in this annual report on Form
10-KSB and been made known to them in a timely basis fashion.

Changes in Internal Controls

There have been no significant changes (including corrective actions
with regard to significant deficiencies or material weaknesses) in the
Company's internal controls or in other factors that could
significantly affect these controls subsequent to the Evaluation Date
as set forth above.

<PAGE>15
                          CERTIFICATION

I, Dempsey k. Mork, certify that:

   1.   I have reviewed this annual report on Form 10-KSB of Asian
Financial, Inc.

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

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

4.   The registrant's certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as
defined in Exchange Act Rules 12a-14 and 15d-14) for the registrant
and we have:

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

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

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

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

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

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



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

   Date:  July 25, 2006

   /s/ Dempsey K. Mork
   ------------------------
   Dempsey K. Mork, President, Chief Executive Officer




                          CERTIFICATION

I, Norbert LeBoeuf, certify that:

1.   I have reviewed this annual report on Form 10-KSB of Asian
Financial, Inc.

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

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

4.   The registrant's other certifying officers and I are responsible
for establishing and maintaining disclosure controls and procedures (as
defined in Exchange Act Rules l13a-14 and 15d-14) for the registrant
and we have:

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


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

(c)   Present in this annual report our conclusions about the
Effectiveness of the disclosure controls and procedures based on our
evaluation as of the Evaluation Date;

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

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

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



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

   Date:  July 25, 2006

/s/Norbert LeBoeuf
- ----------------------------------------
Norbert LeBoeuf, Chief Financial Officer


CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO  SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

Pursuant to 18 U.S.C. 1350 (as adopted pursuant to 906 of the Sarbanes-
Oxley Act of 2002), I, the Chief Executive Officer of Asian Financial
Group, Inc. (the 'Company"), hereby certify, that to the best of my
knowledge, the annual report on Form 10-KSB of the Company for the year
ended December 31, 2002 (the "Report") fully complies with the
requirements of section 13(a) or 15(d) of the Securities Exchange Act
of 1934 and that information contained in the Report fairly presents,
in all material respects, the financial condition and results of
operations of the Company.

Date: July 25, 2006

/s/Dempsey K. Mork
Dempsey K. Mork
Chairman and Chief Executive Officer




CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350,
AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

Pursuant to 18 U.S.C. 1350 (as adopted pursuant to 906 of the Sarbanes-
Oxley Act of 2002), I, the Chief Financial Officer of Asian Financial
Group, Inc. (the "Company"), hereby certify, that to the best of my
knowledge, the annual report on Form 10-KSB of the Company for the year
ended December 31, 2002 (the "Report") fully complies with the
requirements of section 13(a) or 15(d) of the Securities Exchange Act
of 1934 and that information contained in the Report fairly presents,
in all material respects, the financial condition and results of
operations of the Company.

Date: July 25, 2006

 /s/Norbert LeBoeuf
Norbert LeBoeuf,
Chief Financial Officer