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 March 31, 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 Identification Number)

               4695 MacArthur Court, Ste. 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 March 31, 1998,  there were 1,730,960  shares of the Registrant's
$.01 par value common stock issued and outstanding.

                                                           [HART\10Q:HRT33198]-4

<PAGE>

                              HART INDUSTRIES, INC.
                                      INDEX

                                                                            Page

                                     PART I

Item 1.   Financial Statements

          Condensed Balance Sheet - March 31, 1998 (unaudited) ............1

          Condensed Statements of Operations - Three Months Ended
            March 31, 1998 and 1997 (unaudited)............................2

          Condensed Statements of Cash Flows - Three Months Ended
            March 31, 1998 and 1997 (unaudited)............................3

          Notes to Condensed Financial Statements..........................4

Item 2.   Management's Discussion and Analysis of Financial Condition
          and Results of Operations .......................................6

                                     PART II

Item 1.   Legal Proceedings................................................7

Item 2.   Changes In Securities............................................7

Item 3.   Defaults Upon Senior Securities..................................7

Item 4.   Submission of Matters to a Vote of Security Holders..............7

Item 5.   Other Information................................................7

Item 6.   Exhibits and Reports on Form 8-K.................................7


                                        I

                                                           [HART\10Q:HRT33198]-4

<PAGE>

<TABLE>
<CAPTION>

                              HART INDUSTRIES, INC.
                             Condensed Balance Sheet
                              As of March 31, 1998

                                                                                           March 31,
                                                                                              1998
                                                                                          (Unaudited)
                                                                                     ---------------------
<S>                                                                                  <C>

ASSETS
Current Assets:
 Cash                                                                                $                 332
                                                                                     ---------------------
   Total Current Assets                                                                                332
                                                                                     ---------------------
TOTAL ASSETS                                                                         $                 332
                                                                                     =====================
Current Liabilities:
 Accounts payable and accrued expenses                                               $             103,414
 Due to affiliates                                                                                 402,252
                                                                                     ---------------------
   Total Current Liabilities                                                                       505,666
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                                                                            (5,775,592)
                                                                                     ----------------------
   Total Stockholders' Deficiency                                                                 (505,334)
TOTAL LIABILITIES AND STOCKHOLDERS'
   DEFICIENCY                                                                        $                 332
                                                                                     ======================

</TABLE>

         See accompanying notes to these condensed financial statements

                                                           [HART\10Q:HRT33198]-4

                                                         1

<PAGE>

<TABLE>
<CAPTION>

                              HART INDUSTRIES, INC.
                       Condensed Statements of Operations
                           For the Three Months Ended
                       March 31, 1998 and 1997 (Unaudited)

                                                               For the Three Months Ended March 31,
                                                        --------------------------------------------------
                                                                  1998                     1997
                                                        ------------------------ -------------------------
<S>                                                     <C>                      <C>

                                                               (Unaudited)              (Unaudited)
Costs and expenses:
 General and administrative                             $                 36,017 $                 54,144
                                                        ------------------------ ------------------------
     Totals                                                               36,017                   54,144
                                                        ------------------------ ------------------------
Net loss                                                $               (36,017) $                (54,144)
                                                        ======================== =========================
Net loss per common share                               $                (. 021) $                  (.031)
                                                        ======================== =========================
Weighted average common
 shares outstanding                                                    1,730,960                1,730,960
                                                        ======================== =========================

</TABLE>

         See accompanying notes to these condensed financial statements

                                                           [HART\10Q:HRT33198]-4

                                                         2

<PAGE>

<TABLE>
<CAPTION>

                              HART INDUSTRIES, INC.
                        Condensed Statement of Cash Flows
              For the Three Months Ended March 31, 1998(Unaudited)

                                                                             Three Months
                                                                            Ended March 31,
                                                                        1998               1997
                                                                 ------------------  ---------------
                                                                     (Unaudited)
                                                                 ------------------  ---------------
<S>                                                              <C>                 <C>

Operating activities:
  Net income (loss)                                              $         (36,017)  $       (54,144)
  Adjustments to reconcile net income (loss) to net
    cash provided (used) in operating activities:
        Increase (decrease) from changes in:
           Accounts payable and accrued expenses                            90,328            (8,087)
           Due to affiliate                                                (54,046)           46,335
                                                                 ------------------  ---------------
           Net cash provided (used) in operating activities                    265               278
                                                                 ------------------  ---------------

Net increase (decrease) in cash and cash equivalents                           265               278

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

Cash and cash equivalents, end of period                         $             332   $            520
                                                                 ==================  ================

</TABLE>

         See accompanying notes to these condensed financial statements

                                                           [HART\10Q:HRT33198]-4

                                                         3

<PAGE>

                              HART INDUSTRIES, INC.
                     Notes to Condensed Financial Statements
                                 March 31, 1998

Note 1. Summary of Significant Accounting Policies and Business Activities

         Basis Of Presentation

         The accompanying  unaudited  condensed  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 unaudited  condensed  financial  statements  include the
         balance  sheet and  statements  of  operations  and cash  flows of Hart
         Industries,  Inc.  ("Company")  as of March 31,  1998 and for the three
         month period 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 10-KSB for the year
         ended December 31, 1997. The results of operations for the period ended
         March 31, 1998 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:HRT33198]-4

                                                         4

<PAGE>

                              HART INDUSTRIES, INC.
                     Notes to Condensed Financial Statements
                                 March 31, 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,  a working  capital
         deficiency,  has limited  liquid  resources 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:HRT33198]-4

                                                         5

<PAGE>

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

         Results of Operations

              Three Months Ended March 31, 1998 Compared to Three Months Ended
              March 31, 1997

              There were no  operations  during the three months ended March 31,
         1998. As a result there were no operating  revenues or cost of revenues
         recorded during the three months ended March 31, 1998.

              The Registrant's general and administrative  expenses were $36,017
         for the three months  ended March 31, 1998,  as compared to $54,144 for
         the same period last year.  The decrease is primarily  attributable  to
         the re-negotiation of 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  $332 and $67 as of March 31, 1998,  and
         December 31, 1997,  respectively,  and working  capital  deficiency  of
         $505,334  and  $469,317 as of March 31,  1998,  and  December 31, 1997,
         respectively.  The increase in working  capital  deficiency is a direct
         result  of  the  Registrant  incurring  professional,   consulting  and
         advisory  services and other overhead  during the first three 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 March 31,  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:HRT33198]-4

                                                         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:HRT33198]-4

                                                         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:   October 27, 1998               By:  /s/  Fred G. Luke
                                                  -----------------------------
                                                  Fred G. Luke,
                                                  President and Director