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                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   FORM 10-QSB

          (X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 150(D) OF THE
                         SECURITIES EXCHANGE ACT OF 1934

               FOR THE QUARTERLY PERIOD ENDING: November 30, 2006

          ( ) TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE
                         SECURITIES EXCHANGE ACT OF 1934

              For the transition period from _________ to _________

                           COMMISSION FILE NO. 1-11047

                           SPARTA SURGICAL CORPORATION
           (Name of Small Business Issuer as specified in its Charter)


                  Delaware                                22-2870438
            (State Incorporated)                 (I.R.S. Employer ID Number)

5445 DTV Parkway, Suite 520
Greenwood Village, CO                                         80111
(Address of Principal Executive Offices)                   (Zip Code)

                                  848-391-2893
                           (Issuer's Telephone Number)

Check whether the issuer (I) has filed all reports required to be filed by
Section 13 or 15 (d) of the Securities Exchange Act of 1934 during the preceding
12 months (or for such shorter period that the registrant was required to file
such reports), and (2) has been subject to such filing requirements for the past
90 days: Yes (X) No ( ).

           Securities registered pursuant to Section 12(b) of the Act:

                                                           Name of each exchange
Title of Class                                              on which registered

$0.002 Par Value Common Stock                                        None.
$4.00 Par Value Redeemable Convertible Preferred Stock               None.
$4.00 Par Value Series A Convertible Preferred Stock                 None.




<PAGE>

           Securities registered pursuant to Section 12 (g) of the Act

                          $0.002 Par Value Common Stock
              $4.00 Par Value Series A Convertible Preferred Stock
               $4.00 Par Value Series Convertible Preferred Stock

The Registrant had $3,840 revenues for its most recent fiscal year.

As of November 30, 2006, 9,973,830 shares of Registrant's Common Stock, 57,044
shares of Redeemable Convertible Preferred Stock, and 28,068 shares of Series A
Convertible Preferred Stock were outstanding.























                                       ii
<PAGE>
                           SPARTA SURGICAL CORPORATION

                                   Form 10-QSB

                                      INDEX
Part I.  Financial Information

         Item 1.  Financial Statements (Unaudited)                             1

                  Balance Sheet                                                1
                  For the nine months ended
                  November 30, 2006
                  (Unaudited)

                  Statements of Operations                                     2
                  for the three months ended
                  November 30, 2006 and 2005
                  (Unaudited)

                  Statements of Cash Flows                                     3
                  for the nine months ended
                  November 30, 2006 and 2005
                  (Unaudited)

         Item 2.  Management's Discussion and                                 10
                  Analysis of Financial Condition and
                  Results of Operations
                  (Unaudited)

         Item 3.  Controls and Procedures                                     14

Part II. Other Information and Change in Securities                           14

         Item 1.  Legal Proceedings                                           14

         Item 2.  Change in Securities                                        15

         Item 3.  Default upon Senior Securities                              15

         Item 4.  Submission of Matters to Vote of Security                   15
                  Holders

         Item 5.  Other Information                                           15

         Item 6.  Exhibits                                                    15

         Signatures                                                           16



                                       iii
<PAGE>

                          Sparta Surgical Corporation
                                 Balance Sheet
                               November 30, 2006
                                  (unaudited)


ASSETS
         Accounts Receivable                                      $       3,840
                                                                  --------------

            TOTAL ASSESTS                                         $       3,840
                                                                  ==============



LIABILITIES AND STOCKHOLDERS' EQUITY

CURRENT LIABILITIES
     Accounts Payable                                             $      64,977
     Accrued Taxes Payable                                               90,712
     Accrued Interest for Notes Payable                                  80,266
     Notes Payable to Trust                                             198,718
     Notes Payable to Trust                                             181,568
     Notes Payable to Credit Facility                                    47,374
     Dividend Payable on Preferred Stock                                 88,496
                                                                  --------------

        TOTAL CURRENT LIABILITIES                                       752,111
                                                                  --------------


STOCKHOLDERS' EQUITY Preferred Stock:
     1992 Non-cumulative Convertible Redeemable
       Preferred Stock, 165,000 shares authorized,
       82,533 shares issued and outstanding.                            330,132
     Series A Cumulative Convertible Preferred
       Stock, 30,000 shares authorized, 27,818
       shares issued and outstanding.                                   111,272
     Series AA Cumulative Convertible Preferred
       Stock, 875,000 Shares authorized, none
       issued and outstanding.                                                -
     Common Stock, $0.002 par value,  25,000,000
       authorized and 9,973,830 outstanding                              15,467
     Additional Paid in Capital                                      14,486,197
     Accumulated Deficit                                            (15,691,339)
                                                                  --------------


        TOTAL STOCKHOLDERS' EQUITY                                     (748,271)

        TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                $       3,840
                                                                  ==============

See accompanying notes to financial statements


                                       1
<PAGE>

                          Sparta Surgical Corporation
                            Statement of Operations
                                  (unaudited)

                          For the three months ended: For the nine months ended:
                          --------------------------- --------------------------
                          November 30,  November 30,  November 30,  November 30,
                              2006          2005          2006          2005
                          ------------  ------------- ------------  ------------
Revenue                   $      3,840  $          -  $      3,840  $         -
                          ------------------------------------------------------

Gross Profit                     3,840             -         3,840            -
                          ------------------------------------------------------

Selling, General and
Administrative Expenses          7,706             -        98,759            -
                          ------------------------------------------------------

Loss from Operations            (3,866)            -       (94,919)           -
                          ------------------------------------------------------

Other Income (Expense):
  Interest Expense              (6,092)       (5,556)      (17,429)     (16,666)
  Gain on Extinguishment
    of Debt                     21,234             -        21,234            -
                          ------------------------------------------------------
Total Other Income
(Expense)                       15,142        (5,556)        3,805      (16,666)
                          ------------------------------------------------------

Net Income before
Income Taxes                    11,276        (5,556)      (91,114)     (16,666)

Income Tax Expense                   -             -             -         (800)
                          ------------------------------------------------------

     Net Income(Loss)           11,276        (5,556)      (91,114)     (17,466)

Cumulative Preferred
Dividends                       (4,656)            -       (13,968)            -
                          ------------------------------------------------------

Net Income(Loss) to
Common Shareholder        $      6,620  $     (5,556) $   (105,082) $   (17,466)
                          ======================================================

     Weighted Average
     Shares                  9,973,830     9,973,830     9,973,830    9,973,830
                          ======================================================

Basic and Diluted
  Earning per Share
  Net Income (loss)
  per share               $       0.00  $       0.00  $      (0.01) $      0.00
                          ======================================================


See accompanying notes to financial statement


                                       2
<PAGE>

                          Sparta Surgical Corporation
                            Statements of Cash Flows
                                  (unaudited)

RECONCILIATION OF INCOME FROM OPERATIONS
TO NET CASH PROVIDED BY OPERATING ACTIVITIES


                                                      For the nine months ended:
                                                      --------------------------

                                                      November 30,  November 30,
                                                          2006          2005
                                                      ------------- ------------

Net Income (Loss)                                     $   (105,082) $   (17,466)
                                                      --------------------------
Adjustments to reconcile operating income
  to net cash from operating activities:
         Gain on extinguishment of debt                    (21,234)           -
         Preferred dividends                                13,968            -
       Change in operating assets and liabilities:
           Accounts receivable                              (3,840)           -
           Accounts payable                                (30,592)           -
           Accrued expenses                                104,858        17,466
                                                      --------------------------

           Net cash from operating activities              (41,922)           -
                                                      --------------------------

Cash flows from financing activities
         Proceeds from note payable                         41,922            -
                                                      --------------------------

Net change in cash and cash equivalents                          -            -

Cash and cash equivalents at
     beginning of year                                           -            -
                                                      --------------------------

Cash and cash equivalent at
     end of year                                      $          -  $         -
                                                      ==========================


See accompanying notes to financial statements



                                       3
<PAGE>

                          Sparta Surgical Corporation
                        Notes to the Financial Statement



Note 1. Business and Summary of Significant Accounting Policies

Sparta Surgical Corporation (the "Company") was incorporated in Delaware On
March 23, 1984 to research, develop, manufacture and market medical,
electrotherapy and surgical products. The Company operated n this business until
it ceased operations in May 2, 2002. Since that time the Company has sought to
acquire a new business opportunity. In September 2006, the Company was appointed
as an exclusive independent sales representative to market certain medical and
surgical devices and accessories. Accordingly, the Company intends to utilize
this new relationship to form a basis for its future activities and attempt to
produce income. However, there can be no assurance that the Company or its
affiliate will succeed with this new business strategy and or produce any future
income.

In June 2002 and March 2004, the Company issued to LKDTBJP Living Trust, (the
Living Trust"), various Convertible Secured Promissory Notes, (the "Convertible
Notes") in the aggregate amount of $380,286 for assuming certain of the
Company's debt and notes payable. The Convertible Notes, both principal and
accrued interest, are due on Debruary 28, 2008. Furthermore, at the option of
the Living Trust, the Convertible Notes are convertible at any time into
15,000,000 shares of the Company's common stock. The Company values these shares
approximately $1,500.

In September 2005, the Company entered into a secured Revolving Credit Facility
Agreement (the"Agreement') with Gary A. Agron and the Living Trust (collectively
the "Lender"). As a consideration of the secured Credit Facility, the Company
agreed that the Lender shall have a first priority security interest in the
Company's assets. This Agreement allows the Company to borrow up to $100,000
with interest charged at 6% per annum, and both principal and accrued interest
is due on February 27, 2007. Furthermore, the Company agreed not to issue any
additional equity or any other type of security without the written consent of
the Lender. The Company agreed to issue each of Agron and Living Trust
46,269,023 shares for a total of 92,538,046 shares of the Company's common stock
valued at $4,626.90 as of August 31, 2005 (the "Loan Shares"). However, on
October6, 2006, the Company and the Lender agreed to amend the number of Loan
Shares issued by reducing the total amount issued to 10,000,000. The Company
values these Loan Shares at $100. The Company further acknowledged that it
currently does not have sufficient shares of common stock authorized for the
issuance of the Loan Shares, however, the Company shall take all reasonable
actions necessary, including the holding of a shareholder meeting to amend the
Company's Certificate of Incorporation to authorized shares of the Company's
common stock so that the Loan shares may be issued/





                                       4
<PAGE>


In September 2005, since the Company did not have sufficient funds to pay Allan
J. Korn, its President for his past services, the Company authorized to issue
5,443,415 shares of its Common Stock valued at $544.34 as of August 31, 2005 to
Mr. Korn, who has acted as the Company's sole officer and director without
compensation for the past four years. In November 2006, the Company's affiliate
did not have enough funds to pay Mr. Korn for assuming the positions of
President, and Director. The affiliate authorized to issue Mr,. Korn 25,000
shares of its Common Stock. The affiliate values these shares at $25.

In November 2006, the Company's affiliate entered into a $100,000 Revolving
Credit Facility Agreement by and between the Lender. The terms and conditions of
the Agreement Are the same as the Company's with the exception that in
consideration of the Lender providing the credit facility, the affiliate
authorized to agree to issue to each of Lender 425,000 shares of its Common
Stock. The affiliate values thsese shares approximately $850.


Significant Accounting Policies

There have been no significant changes in Company's significant accounting
policies during the nine months ended November 30, 2006 as compared to what was
previously disclosed.

Income Taxes

No provision for federal and state income taxes has been recorded as the Company
has incurred net operating losses through November 30, 2006. The Company
believes sufficient uncertainty exists regarding the realizability of the
deferred tax assets such that a full valuation allowance is required, leaving a
net deferred tax asset of $-0-. The Company also has net operating loss
carryforwards for tax reporting periods. The Company retained no assets after
ceasing operations on May 2, 2002, and has performed only administrative duties
as a transitory, or shell, corporation. The Company seeks to merge with an
operating company and does not believe net operating loss carryforwards will be
available to offset future taxable income after such merger.

Basic and Diluted Earnings Per Common Shares

In accordance with Financial Accounting Standards Boards (FASB) No. 128, basic
earnings per share computed by dividing net income by the number of weighted
average common shares outstanding during the year. Diluted earnings per share is
computed by dividing net income by the number of weighted average common shares
outstanding during the year. Statement of Financial Accounting Standards No.


                                       5
<PAGE>

128, "Earnings per Share", requires that employee equity share options,
nonvested shares and similar equity instruments granted by the Company be
treated as potential common shares outstanding in computing diluted earnings per
share. Diluted shares outstanding include the dilutive effect of in-the-money
options which is calculated based on the average share price for each fiscal
period using the treasury stock method. Under the treasury stock method, the
amount the employee must pay for the exercise stock options, the amount of
compensation cost for future service that the Company has not yet recognized,
and the amount of benefits that would be recorded in additional paid-capital
when the award becomes deductible are assumed to be used to repurchase shares.

For nine months ended November 30, 2006 and 2005, there is no difference between
the basic and diluted income (loss) per shares, as there were no dilutive stock
options.

Numerator:                                                 2006         2005
                                                        ----------   ----------
Net Loss applicable to common stockholders              $ (105,082)  $  (17,466)

Denominator
Weighted average shares outstanding during the year      9,973,830    9,973,830

Basic and diluted income/(loss) per common share             (0.01)       (0.00)

Revenue Recognition

The Company recognized revenue when the products are shipped. Provisions for
discounts and rebates to customers, estimated returns and allowances and other
adjustments are provided for in the same period the related revenues are
recorded.

Long-Lived Assets

The Company reviews its long-lived assets for impairment whenever events or
changes in circumstances indicate that the carrying amount of the asset may not
be recovered. The Company looks primarily to the undiscounted future cash flows
in its assessment of whether or not long-lived assets have been impaired.

Recently Issued Accounting Pronouncements

In December 2004, the FASB approved Financial Accounting Standard 123R, "Share
Based Payment, and Amendment of FASB Statements No, 123 and 95." The Standard
covers the accounting transactions in which an enterprise pays for employee


                                       6
<PAGE>

service with share based payments including employee stock options. Under the
Standard, all share based payments would be treated as other forms of
compensation by recognizing the related costs generally measured as the fair
value at the date of grant in the income statement. The company does not believe
that it will have a material effect of the Company's financial statements. This
pronouncement will be effective for interim and year-end periods beginning after
June 15, 2005.

Use of Estimates

The preparation of financial statements in conformity with accounting principles
generally accepted in the United States of America require management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities, disclosures of contingent assets and liabilities at the date of the
financial statements and the reported amounts of revenues and expense during the
reporting period. Actual results could differ from those estimates.

Fair Value of Financial Instrument

The fair value of accounts payable and accrued expenses approximate carrying
value due to the short-term nature of such instruments. The fair value of debt
obligations with related parties and individuals is not determinable due to the
terms of the debt and there is no comparable market for such debt.

Concentration of Credit Risk

There are no financial statements that potentially subject the Company to
significant concentrations of credit risk.

Note 3- Related Party

Office Space

The Company's uses office space located in its Chief Executive Officer's office.
The Company estimates the fair value of these services to be $1,200 per year and
these amounts have not been recorded in the financial statements.

Amount Due to Related Party

As of November 30, 2006, in connection with the (i) Company issued Convertible
Notes in the aggregate amount , including accrued interest of issued to LKDTBJP
Living Trust (the Living Trust") totaled $460,552 and the (ii) Company's
Revolving Credit Facility in the aggregate amount,, including accrued interest
issued to the Lender totaled $47,374.

In September 2005, since the Company did not have sufficient funds to Allan J.
Korn, its President for his past services, the Company authorized to issue
5,443,415 shares of its Common Stock valued at approximately $544 to Mr. Korn,
who has acted as the Company's sole officer and director without compensation
for the past five years. In November 2006, the Company's affiliate did not have
sufficient funds to pay Mr. Korn for assuming the position of President, sole
officer and director. Therefore, the affiliate agreed to authorize to Issue
25,000 shares of its Common Stock valued at approximately $25.



                                       7
<PAGE>

Note 4- Stockholders' Equity

Preferred Stock

The authorized Preferred Stock of the Company consists of 2,000,000 shares,
$4.00 par value. The Preferred Stock may be issued in series from time to time
with such designations, rights, preferences, and limitations as the Board of
Directors of the Company may determine by resolution. The rights, preferences
and limitations of separate series of Preferred Stock may differ with respect to
such matters as may be determined by the Board of Directors, including without
limitation, the rate of dividends, method and nature of payment of dividends
terms of redemption, amounts payable on liquidation, sinking fund provisions,
conversion rights and voting rights.

1992 Preferred Stock

The Company has authorized 165,000 shares of Non-Cumulative Convertible
Preferred Stock (the "1992 Preferred Stock"). The holders of the 1992 Preferred
Stock shall be entitled to receive non-cumulative dividends, at the rate of 10%
per annum or $0.40 per share, for each year that the Company has net income
after taxes. The holders of 1992 Preferred Stock are entitled to vote on all
matters upon which holders of the common stock have the right to vote, and shall
be entitled to the number of votes equal to the number of full shares of common
stock stock into which the shares of 1992 Preferred Stock could be converted.
Each share of 1992 Preferred Stock is convertible at the option of the holder
into one third of one share of common stock. Each preferred share is subject to
redemption at the Company's option at $4.00 per share under certain conditions.
The liquidation preference for the 1992 Preferred Stock is $4.00 per share.

Series A Preferred Stock

The Company has authorized 30,000 shares of Series A Convertible Redeemable
Preferred Stock (the "Series A Preferred Stock"). The holders of Series A
Preferred Stock receive cumulative dividends at the quarterly rate of $0.375 per
share. The holders of Series A Preferred Stock have no voting rights except as
to matters affecting the rights of preferred stockholders or as required by law.
In connection with any such vote, each outstanding share of Series A Preferred
Stock has one vote.



                                       8
<PAGE>

The Series A Preferred Stock is redeemable at the Company's option, for cash at
$10.00 per share plus any accrued and unpaid dividends. The Series A Preferred
Stock is $10.00 per share. The 1992 preferred stock carries liquidation rights
senior to the Series A Preferred Stock.

Series AA Preferred Stock

The Company has authorized 875,000 shares of Series AA Convertible Redeemable
Preferred Stock (the "Series AA Preferred Stock"). The holders of Series AA
Preferred Stock receive cumulative dividends at the annual rate of $0.28 per
share, payable semiannually. The holders of the Series AA Preferred Stock have
no voting rights except as to matters affecting the rights of preferred
stockholders or as required by law. In connection with any such vote, each
outstanding share of Series AA Preferred Stock has one vote. The Series AA
Preferred Stock was convertible at any time through February 10, 2001 into
shares of common stock at a rate of 9 shares of common stock each two shares of
Series AA Preferred Stock. The Series AA Preferred Stock will automatically be
converted into common stock at this rate in the event that the daily average bid
and ask price of common stock average $3.00 per share or more over a thirty
consecutive day period through February 10,200 1. At any time subsequent to
February 10, 2001, each two shares of Series AA Preferred Stock are redeemable
at the Company's option for cash at $10.00 or $8.00 plus any accrued and unpaid
dividends in the event that the daily average bid and ask price of the common
stock average at least $2.00 per share or $3.00 per share, respectively, over a
thirty consecutive day period. The liquidation preference for the Series AA
Preferred Stock is $4.00 per share. The 1992 Preferred Stock and Series A
Preferred Stock carry liquidation rights to senior to the Series AA Preferred
Stock. As of November 30, 2006, the dividends payable amount on Preferred Stock
Series A is $88,496.

Note 5. Stock Options and Warrants

The 1987 Stock Option Plan (the "Plan") provided for the grant of both incentive
stock options and non-qualified stock options. A total of 250,000 shares of
common stock have been reserved for issuance under the Plan. In April 2000, the
Company extended the Plan for an additional ten-year period, until October 1,
2007. The Plan expired on October 1, 2007.

In January 2001, Company shareholders approved increasing the number of shares
available under the Plan to 950,000. Options granted under the Plan generally
vest within one year and terminate between five and ten years from the date of
grant. As of November 30, 2006 there are no stock options outstanding under the
Plan.

Note 6 - Gain on extinguishment of debt



                                       9
<PAGE>

The Company obtained an opinion letter in connection with whether the collection
of accounts payable is barred by the statute of limitations. This opinion was
based upon the application of California Code of Civil Procedure sections 337,
337a, and 344 and determined that the statute of limitations concerning these
accounts payable has expired and is no longer collectable against the Company.
As such, the Company recognized a gain of $21,234 on the extinguishment of debt
during the quarter ended November 30, 2006.

Item 2.
                     MANAGEMENT'S DISCUSSION AND ANALYSIS OF
                  FINANCIAL CONDITION AND RESULTS OF OPERATIONS

We are a non-operating public company with no current revenues as we divested
substantially all of our assets and ceased operations in May 2002. In recent
years we have experienced losses from operations and continue to suffer from a
deficiency in available working capital. Except for the historical information
contained herein the matters set forth in this report are forward-looking
statements within the meaning of "safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. These forward-looking statements are
subject to risks and uncertainties that may cause actual results to differ
materially. These risks are detailed from time to time in our periodic reports
filed with the Securities and Exchange Commission, including our Annual Report
on Form 10- KSB, Quarterly Reports on Form 10-QSB and other periodic filings.
These forward-looking statements speak only as of the date hereof. We disclaim
any intent or obligation to update these forward-looking statements.

These statements relate to future events in future financial performance and
involve known and unknown risks, uncertainties and other factor's that may cause
our or our industry's actual results, performance or achievements to be
materially different from these expressed or implied by any forward-looking
statements. All of these matters are difficult or impossible to predict
accurately and may be beyond our control. Although we believe that the
assumptions underlying our forward-looking statements are reasonable, any of the
assumptions could be inaccurate, therefore, there can be no assurance that the
forward-looking statements included in this Form 10-QSB will prove to be
accurate. The following discussions should be read in conjunction with the
unaudited Financial Statements and notes thereto, appearing elsewhere herein.




                                       10
<PAGE>

Risk Factors Affecting Future Operating Results

The following important factors, among others, could cause actual results to
differ materially from those contained in the forward-looking statements in this
Form 10-QSB, or presented elsewhere by management from time to time. We wish to
caution stockholders and investors that the following important factors, among
others, in some cases have affected, and in the future could affect, our actual
results and could cause our actual results to differ materially, from those
expressed in any forward-looking statements made by us. These statements under
this caption are intended to serve as cautionary statements within the scope of
the Private Securities Litigation Reform Act of 1995. The following information
is not intended to limit in any way the characterization of other statements or
information under other caption as cautionary statements for such purpose. These
factors could have a material adverse effect on our non-operating business,
operating results and financial condition.

Our results of operations vary significantly from year to year and from quarter
to quarter. We have incurred net losses in prior years and can't assure future
profitability. At November 30, 2006, our accumulated deficit was approximately
$15,691,339.

The following are important factors that could cause actual results to differ
materially from those anticipated in any forward-looking statements made by or
on behalf of us.

We have incurred significant operating losses and will not be profitable in the
future as the Company has experienced circumstances which raise substantial
doubt about its ability to continue as a going concern.

We have discontinued all of our operations since May 2002, as we divested
substantially of our operating assets. As of November 30, 2006,we have incurred
approximately $15,691,339 in cumulative net losses from inception.

There is no significant trading market for our common stock.

Our common stock is not eligible for trading on any national or regional
exchange as we were delisted from the OTC Bulletin Board on July 2001. Our
common stock has no trading activity on the non NASDAQ Other OTC (Pink Sheet
unqualified) pursuant to Rule 15c2- 1 1 of the Securities Exchange Act of 1934.

Because our common stock is classified as "penny stock", trading is limited and
the common stock price declined to virtually no value and therefore is very
difficult to sell.

Because our common stock falls under the definition of "penny stock", the
trading in our common stock is limited because broker-dealers are required to
provide their customers with disclosure documents prior to allowing them to
participate in transactions involving our common stock.


                                       11
<PAGE>

We do not anticipate paying dividends.

We have not paid any cash dividend on our common stock since our inception and
we do not anticipate paying cash dividends in the foreseeable future and since
2001 we have not paid any dividends to the holders of the Company's preferred
stocks.

One of our current stockholders has significant influence over our management
and directors and may take actions that may not be in the best interest of other
stockholders.

Our co-founder beneficially owns approximately 66% of our common stock.
Therefore, he will be able, among other things, to elect directors.

We filed Chapter 11 Bankruptcy and filed our Proposed Plan of Reorganization and
accompanying Disclosure Statement. There can be no assurance the proposed Plan
and Disclosure Statement will be approved by the Court.














                                       12
<PAGE>


Results of Operations

Three Months Ended November 30, 2006 as Compared to Three Months Ended November
30, 2005.

We had $3,840 in revenues for the Three Months Ended November 30, 2006 ("TME06")
and no revenues for the Three Months Ended November 30, 2005 ("TME05") due to
the Company divesting substantially all of its assets and as a result ceased
operations on May 2, 2002. The increase in revenues is attributed to the Company
generating sales commissions relating to its appointment of being an exclusive
independent sales representative for certain medical product line.

Selling, general and administrative ("SG&A") expenses for the Three Months Ended
November 30, 2006 ("TME06") were $7,706, an increase of $7,706 as compared to no
expenses for the Three Months Ended November 30, 2005 (TME05") . The increase in
TME06 in SG &A expenses is attributed mainly to our interest, legal and account
fees, and other related administrative obligations.

Total Other Income for the TME06 were $11,276 an increase of $20,698 as compared
to Total Other Expense of ($5,556) TME05. The Total Other Income increase is
attributed to gain on extinguishment of debt, and other related administrative
expenses.

As a result of the foregoing, the net income were $6,620 for the TME06, an
increase of $12,176 as compared to net loss of ($5,556) for the TME06. The net
income is attributed on gain on extinguishment of debt.


Nine Months Ended November, 2006 as Compared to Nine Months Ended November, 2005

We had $3,859 in revenues for the nine months ended November 30 , 2006 ("TQE07")
and no revenues for Nine Months Ended November 30, 2005 ("TQE06") due to the
Company divesting substantially all of its assets and ceased operations in May
2002. The increase in revenues is attributed to the Company generating sales
commissions relating to its appointment of being an exclusive independent sales
representative for certain medical product line.

Selling, general and administrative ("SG&A") expenses for TQE07 were $98,759, an
increase of $98,759 as compared to no expenses for TQE6. The increase in SG&A
expenses for the TQE07 is attributed to our legal fees which included the filing
of bankruptcy and settlement charges and other related administrative
obligations.


                                       13
<PAGE>


Total Other Income for the TQE07 were $3,805, an increase of $12,861, as
compared to ($16,666) for TQE06 . The Total Income increase is attributed to the
gain on extinguishment of debt .

As a result of the foregoing, the net loss for TQE07 were ($105,082) , an
increase of ($87,616), as compared to net loss of $17,466 for the TQE06. The net
loss is attributed to our legal, settlement charges and other related
administrative obligations.


Liquidity and Capital Resources

Since inception, we have been undercapitalized and have experienced financial
difficulties. Our primary sources of working capital have been revenues from
operations, bank and private party loans and proceeds from the sale of
securities. Many of the bank and private party loans and certain of our other
obligations have required personal guarantees in order to continue to operate
our business. In May 2002, the Company divested substantially all of its assets
and ceased operations, and has performed only administrative duties as a
transitory, or shell, corporation through September 30, 2006. Our working
capital at November 30, 2006 was negative in deficit.

On June 15, 2002, and March 2004, we issued various convertible secured
promissory notes (the "Notes") to LKDTBJP Living Trust, (the "Living Trust") in
the aggregate amount of $380,286 for assuming certain of our trade and notes
payable. The terms of the Notes are that both of the principal and accrued
interest are due on February 28, 2008. The Notes carry a 6% interest per annum
and the option of Living Trust the Notes are convertible at any time into
15,000,000 shares of the Company's common stock. The value of these shares is
approximately $1,500.

In September 5, 2005, the Company entered into a Revolving Credit Facility
Agreement (the"Agreement"), by and between Gary A Agron and LKDTBJP Living
Trust, (collectively (the "Lender"). This Agreement allows the Company to borrow
up to $100,000 with interest charged at 6.0% per annum, and both principal and
accrued interest is due on February 28, 2008. The Company further agreed not to
issue any additional equity or any other type of security without the written
consent of the Lender. In consideration of the Lender providing this Agreement,
the Company has agreed to issue each of Agron and LKDTBJP Living Trust
46,269,023 shares of its Common Stock. On October 6, 2006, the Agreement was
amended to issue a total of 10,000,000 shares of its Common Stock to the Lender.
The value of these shares is approximately $1,000.

On October 1, 2006, the Company decided to re-enter the medical device industry
and thereby entered into an agreement whereby it was appointed as an exclusive
independent sales representative for certain related reusable medical
instruments and single-use disposable accessories products. See Exhibit 10.4.


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<PAGE>


Item 3. Controls and Procedures

The Company maintains controls and procedures designed to ensure that the
information required to be disclosed in the reports that the Company files or
submits under the Securities Exchange Act of 1934, is recorded, processed,
summarized and reported within the time periods specified in the rules and forms
of the Securities Exchange Commission. Based upon their evaluation of those
controls and procedures performed within 90 days of the filing date of this
report, the Company's chief executive officer and the principal financial
officer (or persons performing similar functions) concluded that the Company's
disclosure controls and procedures were adequate.

As a result of its evaluation, the Company has been made no significant changes
in its internal controls or other factors that could significantly affect the
controls and other procedures already in place.


Part II. Other Information

Item 1. Legal Proceedings.

On November 6, 2006, the Company filed its Voluntary Petition under chapter 11
of the Title 1 of United States Code Bankruptcy for District of Colorado under
Case#06-18117-ABC. On this petition date, the Company and its affiliate filed it
Proposed Plan of Reorganization and accompanying Disclosure Statement. As of
October 30, 2007, the District Court of Appeals has not yet ruled on the
confirmation of such Plan. See Exhibit 10.3.

The Company was served with a complaint from Healthcor Holdings under Case
#99-35339-HCA-11 filed in the United States Bankruptcy Northern District of
Texas relating to reimbursement of certain fees in connection with due diligence
performed by the Company on Healthcor. Healthcor secured and entered a Final
Judgment by Default against the Company. The judgment totaled in the amount
of $51,500 plus accrued interest.

Item 2. Changes in Securities

None.

Item 3. Default Upon Senior Securities.

None.


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<PAGE>


Item 4. Submission of Matters to a Vote of Security Holders.

None.

Item 5. Other Information

None.

Item 6. Exhibits and Reports on Form 8-K

a) Exhibits

Number         Description
------         -----------

31.1           Certification by Chief Executive and Chief Financial Officer
               pursuant to Sarbanes-Oxley Section 302.

32.1           Certification by Chief Executive and Chief Financial Officer
               pursuant to 18 U.S.C. Section 1350.

10.3           Plan of Reorganization, Disclosure Statement and other Related
               Documents


b) Reports on Form 8K

None


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.

Sparta Surgical Corporation
       (Registrant)

Date: October 29, 2007                   By: /s/ Allan J. Korn
                                         ---------------------
                                         Allan J. Korn
                                         Chief Executive Officer
                                         Chief Financial Officer
                                         Director




                                       16

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