SECURITIES AND EXCHANGE COMMISSION

                             Washington, D. C. 20549

                                   FORM 10-QSB

[X]  QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT
                                    OF 1934

                  For the quarterly period ended June 30, 2002

                                       OR
     [ ]  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 0-28663

                                MSM JEWELRY CORP.
        (Exact name of small business issuer as specified in its charter)

         NEVADA                                            65-0675444
 (State of other jurisdiction of                        (I.R.S. Employer)
  incorporation or organization)                        Identification No.)

                              131 West 35th Street
                            New York, New York 10001

                    (Address of principal executive offices)

                                 (212) 736-0880
                (Issuer's Telephone Number, Including Area Code)

                             American Jewelry Corp.
              (Former Name, Former Address and Former Fiscal Year,
                          if Changed Since Last Report)

Check  whether the issuer: (1) filed all reports required to be filed by Section
13  or  15(d) of the Exchange Act during the past 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 |_|

State the number of shares outstanding of each of the issuer's classes of common
equity as of the latest practicable date: Common Stock, $.01 par value per share
-  10,518,985  shares outstanding as of June 30, 2002; Series A Preferred Stock,
$.01  par  value  per  share  -  200,000 shares outstanding as of June 30, 2002.

<PAGE>

                                MSM JEWELRY CORP.
                                   FORM 10-QSB
                       FOR THE QUARTER ENDED JUNE 30, 2002
<TABLE>
<CAPTION>

PART I.   FINANCIAL INFORMATION                           PAGE
                                                          ----

<S>         <C>                                            <C>
Item 1.     Financial Statements.

            Index to Financial Statements                  F-1

            Consolidated Balance Sheets as of June 30,     F-2
            2002

            Consolidated Statement of Operations for the
            Three Months ended June 30, 2002 and June
            30, 2001, and for the Six Months ended June
            30, 2002 and June 30, 2001.                   F-3

            Consolidated Condensed Statements of Cash
            Flows for the Six Months ended June 30, 2002
            and June 30, 2001                             F-4

            Notes to Financial Statements                 F-5

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

PART II  OTHER INFORMATION

Item 1.     Legal Proceedings.                             9

Item 2.     Changes in Securities and Use of Proceeds      9

Item 3.     Defaults upon Senior Securities                9


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

Item 5.     Other Information                              9

Item 6.     Exhibits and Reports on Form 8-K.              9
</TABLE>
<PAGE>

                                MSM JEWELRY CORP.
                                AND SUBSIDIARIES
                          INDEX TO FINANCIAL STATEMENTS
<TABLE>
<CAPTION>

<S>                                         <C>
Consolidated Balance Sheet . . . . . . . .  F-2

Consolidated Statements of Operations. . .  F-3

Consolidated Statements of Cash Flows. . .  F-4

Notes of Consolidated Financial Statements  F-5
</TABLE>
                                      F-1
<PAGE>

                                MSM JEWELRY CORP.
                                AND SUBSIDIARIES
                           CONSOLIDATED BALANCE SHEET
                                   (Unaudited)
                                  June 30, 2002

                                     ASSETS
<TABLE>
<CAPTION>

<S>                                                   <C>

CURRENT  ASSETS:

      Cash                                                  $        477

      Accounts receivable, net                                   272,116

      Prepaid Expense                                             30,365

      Inventory                                                3,552,215
                                                              ----------
               TOTAL CURRENT ASSETS                            3,855,173

PROPERTY AND EQUIPMENT, net                                      275,687

OTHER ASSETS:

      Other                                                      261,450
                                                              ----------
                                                            $  4,392,310
                                                              ==========

                      LIABILITIES AND STOCKHOLDERS' DEFICIT

CURRENT LIABILITIES:

      Accounts payable and accrued expenses                 $  1,531,813
      Convertible debentures                                     125,893
                                                              ----------
               TOTAL CURRENT LIABILITIES                       1,657,706
Loans payable                                                    320,525

STOCKHOLDERS' EQUITY:
      Common stock, $.01 par value, 5,000,000,000 shares
      authorized, 32,479,681 shares issued and outstanding        32,480
      Preferred stock, $.01 par value 5,000,000 shares
      authorized, 200,000 Series A shares issued and
      outstanding                                                    200
      Treasury stock                                             (10,428)
      Additional paid-in capital                              61,165,220
      Accumulated deficit                                    (58,773,393)

               TOTAL STOCKHOLDERS' EQUITY                      2,414,079
                                                            $  4,392,310

</TABLE>

                 See notes to consolidated financial statements

                                      F-2



<PAGE>

                                MSM JEWELRY CORP.
                                AND SUBSIDIARIES
                      CONSOLIDATED STATEMENT OF OPERATIONS
                                   (Unaudited)
<TABLE>
<CAPTION>

<S>                                                    <C>           <C>           <C>           <C>
                                                      Three Months Ended June 30     Six Months Ended June 30,
                                                      ------------  ------------   ------------  ------------
                                                            2002          2001          2002          2001
                                                      ------------  ------------   ------------  ------------

Net sales                                              $   309,346   $ 2,112,283   $   553,190   $ 3,487,964

Cost of goods sold                                         231,063     1,513,289       425,191     2,625,439

Gross profit                                                78,283       598,994       127,999       862,525

Non cash compensation expense                                    -       225,000             -       225,000

Selling, general and administrative                        130,759       592,718       826,414     1,215,862

Stock compensation                                       2,479,897     2,443,197     7,528,358     2,657,741

Income (loss) from operations                           (2,532,373)   (2,661,921)   (8,226,773)   (3,236,078)
                                                      ------------  ------------   ------------  ------------
Interest expense                                                 -        43,529             -        61,369

Net income (loss)                                      $(2,700,533)   (2,700,533)  $(8,226,773)  $(3,292,530)
                                                      ============  ============   ============  ============
Basic and diluted net income (loss) per share

Net income (loss) per share                            $     (1.10)  $     (0.69)  $     (6.54)  $     (1.32)
                                                      ============  ============   ============  ============
                                                      -------------------------------------------------------
Weighted average common shares outstanding               2,312,407     3,916,554     1,258,623      2,506,185 *
                                                      ============  ============   ============  ============
                                                      -------------------------------------------------------
* Prior periods share restated 1:7000 reverse split.

</TABLE>

                 See notes to consolidated financial statements

                                      F-3

<PAGE>

                             STATEMENT OF CASH FLOWS
                        MSM JEWELRY CORP.AND SUBSIDIARIES
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (Unaudited)
<TABLE>
<CAPTION>

                                                        Six  months  ended  June  30,
                                                             2002           2001
<S>                                                     <C>            <C>
CASH FLOWS FROM OPERATING ACTIVITIES :
  Net loss                                                $ (8,226,773)  $(3,292,530)
                                                          -------------  ------------
  Adjustment to reconcile net loss to net cash
  provided by (used in) operating activities:
    Depreciation                                                67,500        65,480
    Amortization                                                37,500        37,500
    Officers' compensation                                                   225,000
    Fee and interest on convertible debentures                                46,286
    Interest expense on conversion benefit                   7,528,358     2,657,741
      Change in assets and liabilities;
  Increase in accounts receivable                              653,935       501,714
  Increase (Decrease) in inventories                          (200,000)      500,000
  Decrease in other assets                                     (11,545)      (33,626)
  Increase in accounts payable and accrued expenses            226,180        80,097
                                                          -------------  ------------
    Total adjustments                                        8,301,928     4,080,192
                                                          -------------  ------------
Net cash provided by operating activities                       75,155       782,745
                                                          -------------  ------------
CASH FLOWS FROM INVESTING ACTIVITIES :
  Acquisition of property and equipment                              -             -

CASH FLOWS FROM FINANCING ACTIVITIES:                                -
  Proceeds from convertible debentures                               -       600,000
  Redemption of treasury stock                                       -        10,428)
  Repayment to stockholders                                   ( 70,009)   (1,446,847)
                                                          -------------  ------------
Net cash used in (provided by) by financing activities        ( 70,009)   (  857,275)
                                                          -------------  ------------
Net increase (decrease) in cash                                  5,146       (74,530)

Cash - beginning of year                                       ( 4,669)       99,308
                                                          -------------  ------------
Cash - end of year                                        $        477   $    24,778
                                                          =============  ============
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION :
  Interest paid                                           $          -   $         -
                                                          =============  ============

NON-CASH FINANICING AND INVESTING ACTIVITIES:
  Conversion of debentures                                $    127,937   $   723,160
                                                          =============  ============
</TABLE>

                 See notes to consolidated financial statements

                                      F-4

<PAGE>

                                MSM JEWELRY CORP.
                                AND SUBSIDIARIES
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

1.     BASIS  OF  PRESENTATION

The  accompanying  condensed financial statements of MSM Jewelry Corp., formerly
known as American Jewelry Corp., have been prepared in accordance with generally
accepted  accounting  principles  for  interim  financial  information  and with
instructions  to  Form  10-QSB.  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 adjustments
(consisting  of  normal  recurring  accruals)  considered  necessary  for a fair
presentation  have  been  included.

The  results  of operations for the six-month period ended June 30, 2002 are not
necessarily indicative of the results to be expected for the year ended December
31,  2002.  The  condensed  interim  financial  statements  should  be  read  in
conjunction  with  the  audited financial statements and notes, contained in the
Form  10-KSB  filed  on  April  19,  2002.

2.     STOCKHOLDERS'  EQUITY

In  April  2002, the Company increased its number of authorized shares of common
stock,  par  value  $0.01, to 5 billion shares. The financial statements reflect
this  transaction.

3.     LITIGATION

A pleading denominated as a "Petition for delivery of property not in possession
of  defendant  Lyle  Pfeffer" ("Petition") was filed in the Supreme Court of the
State  of  New  York,  County  of Rockland, on or about January 17, 2001, by the
receiver  for the National Heritage Life Insurance Company ("NHL"). The petition
alleges  various  causes of action, which, in summary, collectively allege that,
in  connection  with  a  New Jersey real estate transaction that occurred in the
later  part  of  1993,  Jarnow Corporation, a subsidiary of the Company, was the
recipient of certain sums of money that were initially fraudulently obtained (by
a  third  party)  from  NHL.  The  Petition  seeks  damages  in  the  amount  of
$6,200,000.00.  The  Company  filed  an  answer  on  March 16, 2001, denying the
allegations  set  forth  in  the  petition.

Management  is  vigorously contesting the allegations set forth in the Petition,
and  believes  that these allegations are without merit. While the court has set
some  discovery target dates, and has a status conference scheduled for November
26,  2002,  in view of the fact that motion practice has not begun and discovery
is  ongoing,  it  is  currently anticipated that the matter will not be resolved
before the latter part of 2003. It is premature to evaluate the likelihood of an
unfavorable  outcome  in  the  event  this  matter  should  go  to  trial or the
likelihood  of  settlement  prior  to  trial.  The  foregoing  notwithstanding,
management  and  the  principals  are  of  the  belief  that at least 50% of the
$6,000,000.00  in  damages sought by the receiver is susceptible to dismissal by
motion  for  summary judgment prior to completion of discovery and significantly
before  trial.

                                      F-5

<PAGE>

4.     COMMON  STOCK

On  June  1,  2002 the Company elected to effect a 1:7000 reverse stock split of
its common stock. Concurrent with the reverse split, the Company's ticker symbol
changed  to  AMJW (OTC BB).  On July 1, 2002 the Company changed its name to MSM
Jewelry  Corp.  The Company's ticker symbol was changed accordingly to MSMJ (OTC
BB).

                                      F-6

<PAGE>


                     MANAGEMENT'S DISCUSSION AND ANALYSIS OF
                  FINANCIAL CONDITION AND RESULTS OF OPERATIONS

RESULTS  OF  OPERATIONS

SIX-MONTH  AND THREE MONTH PERIODS ENDED JUNE 30, 2002 COMPARED TO SIX-MONTH AND
THREE  MONTHS  PERIODS  ENDED  JUNE  30,  2001

     Net  sales  amounted  to  $553,190  for the six-month period ended June 30,
2002,  compared to $3,487,964 a decrease of $2,934,774 or 84% from the six-month
period  ended June 30, 2001. Net sales for the three-month period ended June 30,
2002  were  $309,346  compared  to  $2,112,283  for  the  same period in 2001, a
decrease  of  85%.  The  decline  in  sales is due to a slow down in the economy
during  the fourth quarter of 2001 and the beginning of 2002, which particularly
affected  the  jewelry  industry  and  delays  in  payments  for  goods shipped.

Gross profit decreased by $734,526 or  85%, to $127,999 for the six-month period
ended  June 30, 2002 from $862,525 for the six-month period ended June 30, 2001.
Gross  profit  for  the  three-month  period  ended  June  30, 2002 decreased by
$520,711  to  $ 78,283  in 2002 from $598,994 for the same period in 2001. Gross
profit,  estimated  by  management for interim periods, was decreased to 23% for
the six-month period ended June 30, 2002 from 25% for the six-month period ended
June  30,  2001.  This  reduction  is  not  deemed  material  and  is subject to
adjustments  in  later  periods.

Selling,  General  and  Administrative expenses decreased by $389,448, or 32% to
$826,414  for  the  six-month period ended June 30, 2002, from $1,215,862 or 35%
of  net  revenues for the six-month period ended June 30, 2001. Selling, General
and  Administrative  expenses  decreased  by  $461,959,  to  $130,759  for  the
three-month period ended June 30, 2002, from $592,718 or 22% of net revenues for
the  three-month period ended June 30, 2001. The decrease in expenses was due to
decrease  in  sales.

Interest  non-cash  increased  for  the six-month period ended June 30, 2002  to
$7,528,358  from  $2,657,741  for  the  six-month  period  ended  June 31, 2001.
Interest  non-cash  increased  for the three-month period ended June 30, 2002 to
$2,479,897  from $2,443,197 for the three-month period ended June 31, 2001.  The
increase  is  due  to  imputed  interest  on  convertible debentures, beneficial
convertible  features  and  a  conversion  inducement  expense.

LIQUIDITY  AND  CAPITAL  RESOURCES

     Historically  the  Company  financed  operations  principally  through
collections  of accounts receivable, loans from financing institutions, issuance
of  stock and advances from officers. In the six months ended June 30, 2002, the
Company  financed  operations  from  proceeds from sales. We believe the Company
will  be  able to finance future operations from cash generated from operations.

Working  capital  decreased by $6,031,470 to $ 2,323,360  at June 30, 2002, from
$8,354,830  at  June  30,  2001.

                                        7

<PAGE>

The  Company's operating activities generated cash in the amount of $ 75,155 for
the  six  month period ended June 30, 2002 as compared to $ 782,745 for the same
period  in  2001.  There were no investing activities in 2002. In the six months
ended  June  30,  2001  the  Company  acquired  no  property  or  equipment.
The  Company  used  net  cash  in  financing activities in the amount of $70,009
during  the six month period ended June 30, 2002, as compared to $857,275 during
the six month period ended June 30, 2001. The principal use of cash in financing
activities  in  2002  was  repayment  of  debt  and  advances  to  stockholders.

                                        8

<PAGE>

                          PART II - OTHER INFORMATION

Item  1.  Legal  Proceedings.

     None

Item  2.  Changes  in  Securities  and  Use  of  Proceeds.

     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

             Exhibit  No.              Description

                  99                   Certification  Pursuant  to  Section  906
                                       of  Sarbanes-Oxley Act of 2002

          b. Reports  on  Form  8-K.

             None
                                        9
<PAGE>

                                   Signatures

     Pursuant  to  the  requirements  of Section 13 or 15 (d) of the  Securities
Exchange Act of 1934, the Registrant has duly caused this report to be signed on
its  behalf  by  the  undersigned,  thereunto  duly  authorized.

Date:  September  11,  2002

                                   MSM  Jewelry  Corp.

                                   By:     /s/  Isaac  Nussen
                                           -----------------------------
                                           Name:  Isaac  Nussen
                                           Title:  President  and  Chief
                                           Executive  Officer

<PAGE>