SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   Form 10-QSB

                   Quarterly Report Under Section 13 or 15(d)
                     of the Securities Exchange Act of 1934

For Quarter Ended September 30, 1998              Commission File No.    0-12746

                              HART INDUSTRIES, INC.
             (Exact name of registrant as specified in its charter)

                                     Nevada
         (State or other jurisdiction of incorporation or organization)

                                   87-0399267
                          (I.R.S. Employer I.D. Number)

               4695 MacArthur Court, Suite 530, Newport Beach, CA
                    (Address of principal executive offices)

                                      92660
                                   (Zip Code)

                                 (949) 475-6745
              (Registrant's telephone number, including area code)

                                       N/A
                 (Former Address, if changed since last report)

                                       N/A
                 (Former Zip Code, if changed since last report)

                                       N/A
             (Former telephone number, if changed since last report)

         Indicate by check mark whether the Registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the  Securities  Exchange  Act of
1934 during the preceding 12 months (or for 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

                      APPLICABLE ONLY TO CORPORATE ISSUERS:

         As  of  September  30,  1998,   there  were  1,730,960  shares  of  the
Registrant's $.01 par value common stock issued and outstanding.

                                                           [HART\10Q:HRT93098]-3

<PAGE>

                              HART INDUSTRIES, INC.
                                      INDEX

                                                                           Page

                                     PART I

Item 1.   Financial Statements

          Condensed Balance Sheet - September 30, 1998 (unaudited) ........1

          Condensed Statements of Operations - Three and Nine Months Ended
            September 30, 1998 and 1997 (unaudited)........................2

          Condensed Statements of Cash Flows - Nine Months Ended
            September 30, 1998 (unaudited) and September 30, 1997
            (unaudited)....................................................3

          Notes to Condensed Financial Statements (unaudited)..............4

Item 2.   Management's Discussion and Analysis of Financial Condition
           and Results of Operations ......................................7

                                     PART II

Item 1.   Legal Proceedings................................................9

Item 2.   Changes In Securities............................................9

Item 3.   Defaults Upon Senior Securities..................................9

Item 4.   Submission of Matters to a Vote of Security Holders..............9

Item 5.   Other Information................................................9

Item 6.   Exhibits and Reports on Form 8-K.................................9

                                        I

                                                           [HART\10Q:HRT93098]-3

<PAGE>

<TABLE>
<CAPTION>

                              HART INDUSTRIES, INC.
                             Condensed Balance Sheet
                      As of September 30, 1998 (Unaudited)

                                                                                    September 30,
                                                                                         1998
                                                                                     (Unaudited)
                                                                                ------------------------
<S>                                                                             <C>

ASSETS
Current Assets:
 Cash                                                                           $                   242
                                                                                ------------------------
   Total Current Assets                                                                              242
                                                                                ------------------------
TOTAL ASSETS                                                                    $                   242
                                                                                ========================
Current Liabilities:
 Accounts payable and accrued expenses                                          $              98,970
 Due to affiliates                                                                            465,444
                                                                                ------------------------
   Total Current Liabilities                                                                  564,414
Stockholders' Deficiency:
 Common stock - par value $.01;  authorized 50,000,000 shares;
 1,730,960 shares issued and outstanding                                                       17,310
 Additional paid-in capital                                                                 5,252,948
 Accumulated deficit                                                                       (5,834,430)
                                                                                ------------------------
   Total Stockholders' Deficiency                                                            (564,172)
                                                                                ------------------------
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIENCY                                  $                  242
                                                                                ========================
</TABLE>

         See accompanying notes to these condensed financial statements

                                                           [HART\10Q:HRT93098]-3

                                                        1

<PAGE>

<TABLE>
<CAPTION>

                                               HART INDUSTRIES, INC.
                                         Condensed Statements of Operations
                                       For the Three and Nine Months Ended
                                      September 30, 1998 and 1997 (Unaudited)



                                             For the Three Months Ended                    For the Nine Months Ended
                                                   September 30,                                 September 30,
                                       --------------------------------------      ---------------------------------------
                                               1998               1997                    1998                 1997
                                       ------------------- ------------------      ------------------  -------------------
                                            (Unaudited)        (Unaudited)             (Unaudited)          (Unaudited)
                                       ------------------- ------------------      ------------------  -------------------
<S>                                    <C>                 <C>                     <C>                 <C>

Costs and expenses:                    $                   $                       $                   $
 General and administrative                         30,812             31,014                  96,411            180,143
                                       ------------------- ---------------------   ------------------  -------------------
     Totals                                         30,812             31,014                  96,411             180,143
                                       ------------------- ------------------      ------------------  -------------------
Net loss                               $           (30,812)$         (31,014)      $         (96,411)  $         (180,143)
                                       =================== ==================      ==================  ===================
Net loss per common share              $            (.018) $           (.018)      $           (.056)  $            (.104)
                                       =================== ==================      ==================  ===================
Weighted average common
 shares outstanding                              1,730,960         1,730,960               1,730,960            1,730,960
                                       =================== ==================      ==================  ===================

</TABLE>

         See accompanying notes to these condensed financial statements

                                                           [HART\10Q:HRT93098]-3

                                                         2

<PAGE>

<TABLE>
<CAPTION>

                              HART INDUSTRIES, INC.
                       Condensed Statements of Cash Flows
        For the Nine Months Ended September 30, 1998 and 1997 (Unaudited)

                                                                            Nine Months Ended September 30,
                                                                              1998                   1997
                                                                    ------------------------ ---------------------
                                                                           (Unaudited)            (Unaudited)
                                                                    ------------------------ ---------------------
<S>                                                                 <C>                      <C>

Operating activities:
  Net income (loss)                                                 $               (96,411) $           (140,408)
  Adjustments to reconcile net income (loss) to net
    cash provided (used) in operating activities:
      Increase (decrease) from changes in:
         Accounts payable and accrued expenses                                        85,884                70,916
         Due to affiliate                                                             10,702                69,593
                                                                    ------------------------ ---------------------
           Net cash provided (used) in operating activities                              175                   101
                                                                    ------------------------ ---------------------

Net increase (decrease) in cash and cash equivalents                                     175                   101

Cash and cash equivalents, beginning of period                                            67                   242
                                                                    ------------------------ ---------------------

Cash and cash equivalents, end of period                            $                    242 $                 343
                                                                    ======================== =====================

</TABLE>

         See accompanying notes to these condensed financial statements

                                                           [HART\10Q:HRT93098]-3

                                                         3

<PAGE>

                              HART INDUSTRIES, INC.
                     Notes to Condensed Financial Statements
                               September 30, 1998

Note 1. Summary of Significant Accounting Policies and Business Activities

              Basis Of Presentation

              The accompanying unaudited financial statements have been prepared
              in accordance with generally  accepted  accounting  principles for
              interim financial  information.  Accordingly,  they do not include
              all  of  the  information  and  footnotes  required  by  generally
              accepted accounting  principles for complete financial statements.
              In the opinion of management,  all normal adjustments,  consisting
              of normal  recurring  accruals,  considered  necessary  for a fair
              presentation have been included.  The financial statements include
              the balance sheet and  statements of operations  and cash flows of
              Hart Industries, Inc. ("Company") as of September 30, 1998 and for
              the three and nine month periods then ended.  It is suggested that
              these condensed  financial  statements be read in conjunction with
              the audited financial statements and notes thereto included in the
              Company's  Form 10KSB for the year ended  December 31,  1997.  The
              results of operations for the periods ended September 30, 1998 and
              1997 are not necessarily  indicative of the operating  results for
              the full year.

              Organization

              The Company was in the  development  stage from  incorporation  in
              October,  1982 to September 30, 1990. Activities through September
              30, 1990 principally consisted of organizing the Company,  issuing
              common stock for cash,  services,  and  equipment,  negotiation of
              license  agreements and incurring  research and development costs.
              All costs,  except those  associated with the license  agreements,
              patents, trademarks and equipment costs, were expensed as incurred
              during the development stage. In December,  1990, the Company sold
              its  assets and all rights to the  non-electric  dishwasher  for a
              note  receivable  and future  royalties.  During 1990, the Company
              began  performing  sludge   de-watering   operations  through  its
              Transportable  Treatment  Unit  (TTU)  and  was  taken  out of the
              development stage for accounting  purposes.  The revenue generated
              in 1990 was from the Environmental  Services Division and the TTU.
              There was no revenue  generated in 1991 from the TTU. 1992 revenue
              was generated through the Environmental  Services Division.  Since
              1992,  there have been no operating  revenues  through the date of
              this Report.

                                                           [HART\10Q:HRT93098]-3

                                                                 4

<PAGE>

                              HART INDUSTRIES, INC.
                          Notes to Financial Statements
                               September 30, 1998

              Reorganization

              Effective March 8, 1994 the Company  reorganized via a merger with
              a  newly  formed  Nevada   corporation   whose  name  became  Hart
              Industries,  Inc. at the effective date. The Merger  Agreement was
              approved by the Company's  stockholders at the Annual Meeting held
              on January 18, 1994.  Under the Merger  Agreement each shareholder
              received  one share in the  Nevada  corporation  for every  twenty
              shares held in the Company.  Any fractional  shares resulting from
              the merger were rounded up to the nearest whole share. As a result
              of the merger,  the number of  authorized  shares of common  stock
              increased from  10,000,000 to 50,000,000  while retaining the same
              $.01 par value. All share and per share amounts have been restated
              to give effect to the merger.

              Going Concern

              The Company has incurred  recurring net losses, has limited liquid
              resources, a working capital deficiency and no current operations.
              Management's intent is to keep searching for additional sources of
              capital  and new  operating  opportunities.  In the  interim,  the
              Company  will  keep  operating  with  minimal   overhead  and  key
              administrative   functions  will  be  provided  by  an  affiliate.
              Accordingly,  the  accompanying  financial  statements  have  been
              presented under the assumption that the Company will continue as a
              going concern.

              Reclassification of Prior Year Amounts

              To enhance  comparability,  the fiscal 1997  financial  statements
              have been  reclassified,  where  appropriate,  to conform with the
              financial statement presentation used in fiscal 1998.

Note 2.           Business Condition

              The Company has experienced  negative cash outflows from operating
              activities through 1992 and ceased operations in March 1992, prior
              to  capital   restructuring   and  change  in   management.   Cash
              contributions  from  its then  affiliate  provided  the  financial
              support  necessary  for the  Company  to satisfy  its  obligations
              through  1992.   Since  January  1993,  NuVen  Advisors  Inc.,  an
              affiliate  ("NuVen"),  has provided  financial and  administrative
              support  for the  Company's  operations.  The  Company  expects to
              receive continued financial and administrative  support from NuVen
              until a new business  opportunity is acquired or developed.  As of
              the date of this Report,  the Company has no operations,  however,
              is continuing to seek new opportunities.

                                                           [HART\10Q:HRT93098]-3

                                                                 5

<PAGE>

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

              Results of Operations

                  Three Months Ended September 30, 1998 Compared to Three Months
              Ended September 30, 1997

                  There  were  no  operations  during  the  three  months  ended
              September 30, 1998.  As a result there were no operating  revenues
              or cost  of  revenues  recorded  during  the  three  months  ended
              September 30, 1998.

                  The  Registrant's  general and  administrative  expenses  were
              $30,182 for the three months ended September 30, 1998, as compared
              to   $31,014for   the  same   period   last  year.   General   and
              administrative   expensed   consisted   primarily   of   continued
              professional  services provided by consultants under  professional
              advisory and management agreements.

                  Nine Months Ended September 30, 1998 Compared to Nine Months
                  Ended September 30, 1997

                  The  Registrant  had no  operations  for the nine months ended
              September 30, 1998 or 1997.  As a result,  there were no operating
              revenues or cost of revenues recorded during the nine months ended
              September 30, 1998.

                  The  Registrant's  total general and  administrative  expenses
              were $96,411 for the nine months  ended  September  30,  1998,  as
              compared to $180,143  for the same period last year.  The decrease
              is primarily  attributable to fewer professional services provided
              by  consultants   under   professional   advisory  and  management
              agreements.

              Liquidity and Capital Resources

                  The  Registrant has continued to incur net losses and negative
              cash flows from operating activities.  The Registrant had cash and
              cash equivalents of approximately $242 and $67 as of September 30,
              1998, and December 31, 1997,  respectively,  and negative  working
              capital of $564,202  and $469,317 as of  September  30, 1998,  and
              December 31, 1997,  respectively.  The increase in working capital
              deficiency  is  a  direct  result  of  the  Registrant   incurring
              continued professional, consulting and advisory services and other
              overhead  during the first nine months of fiscal year 1998.  As of
              the  date  of  this  Report,   the   Registrant  has  no  material
              commitments  for  capital  expenditures  and  no  commitments  for
              additional equity or debt financing, and no assurances can be made
              that its working capital needs can be met out of future operations
              or borrowing.

                  As a result  of the  Registrant  having no  revenue  producing
              activities,  the Registrant has limited cash and cash  equivalents
              remaining as of September 30, 1998, to finance future  operations.
              The  Registrant has received  financial  support from NuVen and is
              dependent upon NuVen for future working capital.  The Registrant's
              plan is to continue searching for additional sources of equity and
              working capital and new operating  opportunities.  In the interim,
              the Registrant's  existence is dependent upon continuing financial
              support  from NuVen for the  remainder  of fiscal year 1998.  Such
              conditions raise substantial doubt about the Registrant's  ability
              to continue as a going concern.

                                                           [HART\10Q:HRT93098]-3

                                                                 6

<PAGE>

PART II:      OTHER INFORMATION

Item 1.       Legal Proceedings

              None

Item 2.       Changes In Securities

              None

Item 3.       Defaults Upon Senior Securities

              None

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:

                  #27          Financial Data Schedule


              (b) Reports on Form 8-K:           None

                                                           [HART\10Q:HRT93098]-3

                                                                 7

<PAGE>

                                   SIGNATURES



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

                                        HART INDUSTRIES, INC.



Dated:    November 6, 1998              By:  /s/  Fred G. Luke
                                             ----------------------------------
                                                  Fred G. Luke,
                                                  President and Director

                                                           [HART\10Q:HRT93098]-3

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