**U.S.
        SECURITIES AND EXCHANGE COMMISSION**
 **Washington,
        D.C. 20549**
 
 **FORM
        10-Q**
 
 x
              **QUARTERLY
                  REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES AND EXCHANGE
                  ACT
                  OF 1934******
              ********
              **FOR
                  THE QUARTERLY PERIOD ENDED MARCH 31, 2008******
              ****** ̈**
              **TRANSITION
                  REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES AN EXCHANGE
                  ACT
                  OF 1934****For
                  the transition period from: __________ to
                  __________****Commission
                file number 000-52834**
  **ORGANA
        TECHNOLOGIES GROUP, INC.**
 **(Exact
        Name of Registrant as specified in its charter)**
 
 **DELAWARE**
              
              **02-0545879****(State
                  of Incorporation)**
              
              **(IRS
                  Employer Identification
                  Number)**
  
 **2910
                  Bush Drive, Melbourne, FL**
              
              **32935****(Address
                  of Principal Executive Offices)**
              
              **(Zip
                  Code)**
  **321-421-6652**
 **(Registrant's
        telephone number, including area code)**
 
 **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
        past 12 month (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 xNo o**
 
 **Indicate
        by check mark whether the registrant is a large accelerated filer, an
        accelerated filer, a non-accelerated filer, or a smaller reporting company.
        See
        the definitions of “large accelerated filer,” “accelerated filer” and “smaller
        reporting company” in Rule 12b-2 of the Exchange Act.**
 
 **Large
        accelerated filer** ** ̈** **Accelerated
        filer** ** ̈** **Non-accelerated
        filer** ** ̈** **Smaller
        reporting company** **x**
 
 **Indicate
        by check mark whether the registrant is a shell company (as defined in Rule
        12b-2 of the Exchange Act). Yes** ** ̈** **No** **x**
 
 **At
        March 31, 2008: 28,870,264 shares of the registrant’s common stock (no par
        value) were outstanding.**
  
  
  **TABLE
        OF CONTENTS**
 
 PART
                  I
              FINANCIAL
                  INFORMATIONITEM
                  I
              FINANCIAL
                  STATEMENTS
              2CONSOLIDATED
                  BALANCE SHEETS:MARCH
                  31, 2008 AND DECEMBER 31, 2007
              2CONSOLIDATED
                  STATEMENT OF INCOME:FOR
                  THE THREE MONTHS ENDED MARCH 31, 2008 AND 2007
              3CONSOLIDATED
                  STATEMENT OF CASH FLOWS:FOR
                  THE THREE MONTHS ENDED MARCH 31, 2008 AND 2007
              4NOTES
                  TO CONSOLIDATED FINANCIAL STATEMENTS:MARCH
                  31, 2008
              5ITEM
                  2
              MANAGEMENT'S
                  DISCUSSION AND ANALYSIS OF FINANCIALCONDITION
                  AND RESULTS OF OPERATIONS
              16ITEM
                  3
              QUANTITATIVE
                  AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
              20ITEM
                  4
              CONTROLS
                  AND PROCEDURES
              20PART
                  II
              OTHER
                  INFORMATION
              20ITEM
                  1
              LEGAL
                  PROCEEDINGS
              20ITEM
                  1A
              RISK
                  FACTORS
              21ITEM
                  2
              UNREGISTERED
                  SALES OF EQUITY SECURITIES AND USE OF PROCEEDS
              23ITEM
                  3
              DEFAULTS
                  UPON SENIOR SECURITIES
              23ITEM
                  4
              SUBMISSION
                  OF MATTERS TO VOTE OF SECURITY HOLDERS
              23ITEM
                  5
              OTHER
                  INFORMATION
              23ITEM
                  6
              EXHIBITS
              23SIGNATURES
              24
  
  **FORWARD
        LOOKING STATEMENTS**
  *Statements
        contained in this Quarterly Report on Form 10-Q which are not historical
        facts
        are forward-looking statements within the meaning of Section 21E of the
        Securities Exchange Act of 1934, as amended. All statements, other than
        statements of historical facts regarding Organa Technologies Group, Inc.’s (the
“Company’s”) business strategy, future operations, financial position, estimated
        revenues or losses, projected costs, prospects, plans and objectives are
        forward
        looking statements. These forward-looking statements appear in a number of
        places and can be identified by the use of forward-looking terminology such
        as
“may,” “will,” “should,” “expect,” “plan,” “anticipate,” “believe,” “estimate,”
“predict,” “future,” “intend,” “hopes” or “certain” or the negative of these
        terms or other variations or comparable terminology.*
  *Management
        cautions that forward-looking statements are subject to risks and uncertainties
        that could cause our actual results to differ materially from those projected
        in
        such forward-looking statements including, without limitation, the following:
        the future prospects for and growth of the Company and the industries in
        which
        it operates, the level of the Company’s future sales, customer demand and cost
        of raw materials, the Company’s ability to maintain its business model; the
        Company’s ability to retain and recruit key personnel; the Company’s ability to
        maintain its competitive strengths and to effectively compete against its
        competitors; the Company’s short-term decisions and long-term strategies for the
        future and its ability to implement and maintain such decisions and strategies,
        including its strategies: (i) to focus on entering into the design and
        manufacturing sectors., (ii) to focus on international and domestic product
        distribution through its internet services and retail segments of its business
        and (iii) to create a strong position in the marketplace as industry
        leaders within all business segments; the Company’s engaging in and ability to
        consummate future acquisitions; manufacturers’ ability to produce products to
        the Company’s specification on a timely basis; the impact of debt covenants on
        the Company’s flexibility in running its business and the effect of an event of
        default on the Company’s results of operations; the effect of interest rate
        fluctuations; the Company’s ability to manage its credit risk and accounts
        receivable; the timing and amounts of future capital expenditures and the
        Company’s ability to meet its needs for working capital including its ability to
        negotiate lines of credit; the Company’s ability to track technology trends to
        make good buy-sell decisions with respect to products; the effect of changes
        to
        the Company’s accounting policies and impact of evolving interpretation and
        implementation of such policies; the risk of litigation and claims against
        the
        Company; the impact of a change in the Company’s overall effective tax rate as a
        result of the Company’s mix of business levels in various tax jurisdictions in
        which it does business; the adequacy of the Company’s insurance coverage; the
        impact of a failure by third parties to manufacture our products timely or
        properly; the effect of seasonality on the Company’s business; and the Company’s
        ability to pass on increases in its costs of its components of its products
        and/or labor costs, including manufacturing costs, operating expenses and
        interest expense through increases in selling prices. Further, our future
        business, financial condition and results of operations could differ materially
        from those anticipated by such forward-looking statements and are subject
        to
        risks and uncertainties including the risks set forth above and the “Risk
        Factors” set forth in this Form 10-Q. Moreover, neither we assume nor any other
        person assumes responsibility for the accuracy and completeness of the
        forward-looking statements.*
  *Forward-looking
        statements are made only as of the date of this Form 10-Q and are based on
        management’s reasonable assumptions, however these assumptions can be wrong or
        affected by known or unknown risks and uncertainties. No forward-looking
        statement can be guaranteed and subsequent facts or circumstances may
        contradict, obviate, undermine or otherwise fail to support or substantiate
        such
        statements. Readers should not place undue reliance on these forward-looking
        statements and are cautioned that any such forward-looking statements are
        not
        guarantees of future performance. We are under no duty to update any of the
        forward-looking statements after the date of this Form 10-Q to conform such
        statements to actual results or to changes in our
        expectations.*
  -
            1
            -
  **ITEM
        I. FINANCIAL STATEMENTS**
 
 ***ORGANA
        TECHNOLOGIES GROUP, INC.***
 ***Consolidated
        Balance Sheet***
 
 **March 31,**
              
              **December 31,****2008**
              
              **2007**(unaudited)**ASSETS**Current
                  AssetsCash
              
              $
              358,121
              
              $
              37,089Accounts
                  Receivable
              
              
              115,952
              
              
              14,673Due
                  from Related Party
              
              
              541,038
              
              
              283,689Prepaid
                  Expense
              
              
              72,481
              
              
              59,728Inventory
              
              
              141,673
              
              
              54,815Total
                  Current Assets
              
              
              1,229,265
              
              
              449,994Property,
                  Plant and Equipment, Net
              
              
              317,386
              
              
              235,305Goodwill
              
              
              241,543
              
              
              241,543Other
                  Assets
              
              
              55,463
              
              
              47,991Total
                  Assets
              
              $
              1,843,657
              
              $
              974,833**LIABILITIES
                  AND STOCKHOLDERS' EQUITY (DEFICIT)**Current
                  LiabilitiesNotes
                  Payable, Current Portion
              
              $
              75,294
              
              $
              220,837Capitalized
                  Leases, Current Portion
              
              
              3,217
              
              
              3,066Accounts
                  Payable and Accrued Expenses
              
              
              328,412
              
              
              208,400Accrued
                  Payroll
              
              
              1,499
              
              
              2,665Deferred
                  Revenue
              
              
              546,164
              
              
              -Total
                  Current Liabilities
              
              
              954,586
              
              
              434,968Long-Term
                  LiabilitiesNotes
                  Payable
              
              
              302,979
              
              
              153,311Capitalized
                  Leases
              
              
              16,545
              
              
              17,409Total
                  Long-Term Liabilities
              
              
              319,524
              
              
              170,720Total
                  Liabilities
              
              
              1,274,110
              
              
              605,688Minority
                  Interest
              
              
              56,289
              
              
              55,764Stockholders'
                  EquityPreferred
                  StockSeries
                  A Convertible Preferred Stock, voting: $1.00 par value; 5,000,000
                  shares
                  authorized; 320,000 and 130,000 shares issued and outstanding,
                  respectively
              
              
              320,000
              
              
              130,000Common
                  Stock$.01
                  par value, 9,000,000 shares authorized, 28,870,264 shares issued
                  and
                  outstanding
              
              
              80,200
              
              
              80,200Additional
                  Paid-in Capital
              
              
              2,071,724
              
              
              2,071,724Accumulated
                  Deficit
              
              
              (1,958,666
              )
              
              (1,968,543
              )Total
                  Stockholders' Equity (Deficit)
              
              
              513,258
              
              
              313,381Total
                  Liabilities and Stockholders' Equity
              
              $
              1,843,657
              
              $
              974,833
 
 See
        accompanying notes to consolidated financial statements.
  -
            2
            -
 
 ***ORGANA
        TECHNOLOGIES GROUP, INC.***
 ***Consolidated
        Statement of Operations and Deficit***
 ***For
        the Three Months Ended March 31,***
 ***(unaudited)***
 
 **2008**
              
              **2007**Sales
              
              $
              509,500
              
              $
              234,618Cost
                  of Sales
              
              
              255,600
              
              
              124,298Gross
                  Profit
              
              
              253,900
              
              
              110,319Operating
                  Expenses
              
              
              238,226
              
              
              93,602Income
                  (Loss) From Operations
              
              
              15,674
              
              
              16,717Other
                  Income / (Expense)
              
              
              (5,272
              )
              
              (4,932
              )Income
                  (Loss) Before Minority Interest
              
              
              10,402
              
              
              11,786Minority
                  Interest in Subsidiary
              
              
              525
              
              
              (1,199
              )Net
                  Income (Loss)
              
              $
              9,877
              
              $
              12,985Earnings
                  Per Share:Basic
                  and diluted based upon 28,870,264 weighted average shares
                  outstanding
              
              $
              0.00
              
              $
              0.00
 
 See
        accompanying notes to consolidated financial statements.
  -
            3
            -
 
 ***ORGANA
        TECHNOLOGIES GROUP, INC.***
 ***Consolidated
        Statement of Cash Flows***
 ***For
        the Three Months Ended March 31,***
 ***(unaudited)***
 
 **2008**
              
              **2007****Cash
                  Flows From Operating Activities:**Net
                  Income (Loss)
              
              $
              9,877
              
              $
              12,985Adjustments
                  to Reconcile Net Income (Loss) to NetCash
                  Used In Operating Activities:Depreciation
                  and Amortization
              
              
              3,968
              
              
              3,712Minority
                  Interest
              
              
              525
              
              
              (1,199
              )(Increase)
                  Decrease In:Accounts
                  Receivable
              
              
              (101,279
              )
              
              (31,784
              )Receivable
                  from Related Parties
              
              
              (257,350
              )
              
              116,054Prepaid
                  Expense
              
              
              (12,753
              )
              
              -Inventory
              
              
              (86,858
              )
              
              (812
              )Other
                  Assets
              
              
              (7,472
              )
              
              -Increase
                  (Decrease) In:Accounts
                  Payable and Accrued Expenses
              
              
              118,846
              
              
              47,881Deferred
                  Revenue
              
              
              546,164
              
              
              -Net
                  Cash Provided by Operating Activities
              
              
              213,669
              
              
              146,837**Cash
                  Flows From Investing Activities:**Acquisition
                  of Property and Equipment
              
              
              (86,049
              )
              
              (2,502
              )Net
                  Cash Used In Investing Activities
              
              
              (86,049
              )
              
              (2,502
              )**Cash
                  Flows From Financing Activities:**Issuance
                  of Preferred Stock
              
              
              190,000
              
              
              -Repayment
                  of Capitalized Lease
              
              
              (713
              )
              
              -Issuance
                  of Notes Payable
              
              
              5,998
              
              
              -Repayment
                  of Notes Payable
              
              
              (1,873
              )
              
              (136,705
              )Net
                  Cash Provided by (Used in) Financing Activities
              
              
              193,412
              
              
              (136,705
              )Net
                  Increase in Cash
              
              
              321,032
              
              
              7,630Cash
                  at Beginning of Period
              
              
              37,089
              
              
              19,203Cash
                  at End of Period
              
              $
              358,121
              
              $
              26,833**Supplemental
                  Disclosure of Cash Flow Information:**Interest
                  Expense
              
              $
              2,587
              
              $
              4,932Taxes
                  Paid
              
              $
              -
              
              $
              -
  See
        accompanying notes to consolidated financial statements.
  -
            4
            -
 
 ***ORGANA
        TECHNOLOGIES GROUP, INC.***
 ***Notes
        to Consolidated Financial Statements***
 ***March
        31, 2008***
  
 
 **NOTE
        1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES**
 
 **Organization
        and Operation**
 
 The
        financial information included herein is unaudited; however, such information
        reflects all adjustments (consisting solely of normal recurring adjustments)
        which are, in the opinion of management, necessary for a fair statement of
        results for the interim period. The results of operations for the three
        months ended March 31, 2008 are not necessarily indicative of the results
        to be
        expected for the full year. The accompanying unaudited consolidated financial
        statements and footnotes have been condensed and, therefore, do not contain
        all
        required disclosures. Reference should be made to the Company’s annual audited
        financial statement for the year ended December 31, 2007.
 
 Organa
        Technologies Group, Inc. (“OTG” or the “Company”), was formerly known as
        Integrity Messenger Corporation (“IMC”), a Delaware corporation formed in 2002.
        In October 2005, the Board approved a name change to Organa Technologies
        Group,
        Inc. (“OTG”). Reference to OTG will include the period prior to the name change
        when the Company was IMC.
 
 The
        Company operated as a profit center, providing instant messaging services
        and
        on-line gaming Voice Over Internet Protocol (“VOIP”) through its licensed
        software and appropriate computer servers. In addition, OTG operates an Internet
        based store for weapon replicas and collectibles, is a provider of hardware
        and
        software solutions and consulting services for Internet based
        businesses.
 
 **Basis
        of Consolidation**
 
 The
        accompanying consolidated financial statements include the accounts of the
        Company and its subsidiaries and have been prepared in accordance with U.S.
        generally accepted accounting principles (“GAAP”). All significant intercompany
        accounts and transactions have been eliminated.
 
 The
        consolidated financial statements include the accounts of the Company and
        its
        wholly-owned subsidiaries, Hurricane Host, Inc. (“HH”), Davinci’s Computer Corp.
        (“DCC”), Virtual ID, Inc. (“VID”), Gateway Internet Services Corporation
        (“GIS”), Game2Gear, Inc. (“G2G”), Epic Weapons, Inc. (“Epic”), and its
        majority-owned subsidiaries, Organa Consulting Group, Inc. (“OCG”), Zowy Media,
        Incorporated (“Zowy”).
 
 **Net
        Earnings (Loss) Per Share**
 
 In
        accordance with SFAS No. 128, *Earnings
        Per Share* ,
        basic
        net earnings (loss) per common share is computed by dividing the net earnings
        (loss) for the period by the weighted average number of common shares
        outstanding during the period. Diluted earnings (loss) per share are computed
        using the weighted average number of common and dilutive common stock equivalent
        shares outstanding during the period. Dilutive common stock equivalent shares
        consist of Series A, Series B and Series C convertible preferred stock,
        convertible debentures, stock options and warrant common stock equivalent
        shares
        which are not utilized when the effect is anti-dilutive.
 
 **Segment
        Information**
 
 In
        accordance with the provisions of SFAS No. 131, *Disclosures
        about Segments of an Enterprise and Related Information,* the
        Company is required to report financial and descriptive information about
        its
        reportable operating segments. The Company identifies its operating segments
        as
        divisions based on how management internally evaluates separate financial
        information, business activities and management responsibility. The Company
        segments and the subsidiaries associated with each segment are as
        follows:
 
 **Internet
                  Retail Sales**
              **Computer Hardware and**
                **Software Sales**
              **Internet
                  Services**Zowy Media, Incorporated
              Davinci's Computer
                  Corp.
              Hurricane
                  Host, Inc.Epic
                  Weapons, Inc.
              
              Organa
                  Consulting Group, Inc.Game2Gear,
                  Inc.
              
              Gateway Internet Services, Inc.
  -
            5
            -
  ***ORGANA
        TECHNOLOGIES GROUP, INC.***
 ***Notes
        to Consolidated Financial Statements***
 ***March
        31, 2008***
  
  
 **NOTE
        2 – RESTATEMENT OF PRIOR PERIOD CONSOLIDATED FINANCIAL
        STATEMENTS**
 
 In
        connection with subsequent reviews of the Company’s financial statements for the
        year ended December 31, 2006 and prior, certain errors were discovered. These
        errors were associated with 1) the Company’s recognition of goodwill associated
        with the acquisition of Zowy Media, Incorporated and its subsidiary, Epic
        Weapons, Inc. and the reporting of its subsequent results of operations and
        2)
        the proper recognition and recording of transactions for years prior to the
        current reporting periods with Avante Holding Group, Inc. "Avante" (See
        Note 7 - Related Parties).
 
 The
        acquisition of Zowy Media, Incorporated was on October 1, 2006. The adjustments
        required for transactions related to AHG include years prior to 2007 and
        are
        reflected in an adjustment to beginning retained earnings as of January 1,
        2006
        and to operations for the year ended December 31, 2006. The financial statements
        for the year ended December 31, 2006 were required to be restated. The Company
        was not a reporting entity until November 26, 2007; therefore quarterly 2007
        statements have not been published.
 
 The
        following table presents the impact of the financial statement
        misclassifications on the Company’s previously reported consolidated financial
        statements as of and for the year ended December 31, 2006.
  -
            6
            -
  ***ORGANA
        TECHNOLOGIES GROUP, INC.***
 ***Notes
        to Consolidated Financial Statements***
 ***March
        31, 2008***
  
  **NOTE
        2 – RESTATEMENT OF PRIOR PERIOD CONSOLIDATED FINANCIAL STATEMENTS -** ***continued***
 
 **December 31, 2006****As**
              
              
              
              **As****Reported**
              
              **Adjustments**
              
              **Restated****Assets**Current
                  AssetsCash
              
              $
              19,203
              
              $
              -
              
              $
              19,203Accounts
                  Receivable
              
              
              -
              
              
              3,010
              
              
              3,010Due
                  From Related Party
              
              
              311,078
              
              
              30,539
              
              
              341,617Inventory
              
              
              19,000
              
              
              -
              
              
              19,000Total
                  Current Assets
              
              
              349,281
              
              
              33,549
              
              
              382,830Property,
                  Plant and Equipment, Net
              
              
              223,046
              
              
              -
              
              
              223,046Goodwill
              
              
              191,752
              
              
              49,791
              
              
              241,543Other
                  Assets
              
              
              49,600
              
              
              (25,000
              )
              
              24,600Total
                  Assets
              
              $
              813,679
              
              $
              58,340
              
              $
              872,019**Liabilities**Current
                  LiabilitiesNotes
                  Payable, Current Portion
              
              $
              229,175
              
              $
              546
              
              $
              229,721Accounts
                  Payable and Accrued Expenses
              
              
              79,998
              
              
              (25,992
              )
              
              54,006Accrued
                  Payroll
              
              
              -
              
              
              893
              
              
              893Total
                  Current Liabilities
              
              
              309,173
              
              
              (24,553
              )
              
              284,620Long-Term
                  LiabilitiesNotes
                  Payable
              
              
              154,949
              
              
              (341
              )
              
              154,608Total
                  Long-Term Liabilities
              
              
              154,949
              
              
              (341
              )
              
              154,608Total
                  Liabilities
              
              
              464,122
              
              
              (24,894
              )
              
              439,228Minority
                  Interest
              
              
              101,483
              
              
              (38,311
              )
              
              63,172**Stockholders'
                  Equity**Common
                  Stock
              
              
              80,200
              
              
              -
              
              
              80,200Minority
                  Interest
              
              
              10,000
              
              
              (10,000
              )
              
              -Additional
                  Paid-in Capital
              
              
              1,670,300
              
              
              406,624
              
              
              2,076,924Accumulated
                  Deficit
              
              
              (1,512,426
              )
              
              (275,079
              )
              
              (1,787,505
              )Total
                  Stockholders' Equity
              
              
              248,074
              
              
              121,545
              
              
              369,619Total
                  Liabilities and Stockholders' Equity
              
              $
              813,679
              
              $
              58,340
              
              $
              872,019
  -
            7
            -
  ***ORGANA
        TECHNOLOGIES GROUP, INC.***
 ***Notes
        to Consolidated Financial Statements***
 ***March
        31, 2008***
  
  
 **NOTE
        2 – RESTATEMENT OF PRIOR PERIOD CONSOLIDATED FINANCIAL STATEMENTS -** ***continued***
 
 **For the Year Ended December 31, 2006****As**
              
              
              
              **As****Reported**
              
              **Adjustments**
              
              **Restated**Sales
              
              $
              1,483,816
              
              $
              -
              
              $
              1,483,816Cost
                  of Sales
              
              
              450,867
              
              
              47,888
              
              
              498,755Gross
                  Profit
              
              
              1,032,949
              
              
              (47,888
              )
              
              985,061Operating
                  Expenses
              
              
              636,197
              
              
              155,598
              
              
              791,795Income
                  (Loss) From Operations
              
              
              396,752
              
              
              (203,486
              )
              
              193,266Other
                  Income / (Expense)
              
              
              (7,927
              )
              
              5,503
              
              
              (2,424
              )Income
                  (Loss) Before Minority Interest
              
              
              388,825
              
              
              (197,983
              )
              
              190,842Minority
                  Interest in Subsidiary
              
              
              (101,490
              )
              
              41,818
              
              
              (59,672
              )Net
                  Loss
              
              $
              287,335
              
              $
              (156,165
              )
              $
              131,170
 
 **NOTE
        3 – ACQUISITIONS AND NEW SUBSIDIARIES FORMED**
 
 ***Integrity
        Messenger Corporation***
 
 Integrity
        Messenger Corporation (“IMC-FL”), a Florida corporation, was formed in 2002. On
        January 1, 2004, OTG acquired 100% of the stock of IMC-FL in exchange for
        60,000,000 shares of common stock.
 
 ***Hurricane
        Host, LLC***
  On
        April
        1, 2004, OTG acquired 100% of the membership units of Hurricane Host, LLC
        (“HH”)
        for $50,000. HH, a Texas limited liability company, was originally formed
        in
        2003. HH merged with Hurricane Host, Inc. (“HH-FL”), a Florida corporation.
 
 ***Organa
        Consulting Group, Inc.***
 
 On
        October 25, 2005, OTG acquired 80% of Organa Consulting Group, Inc. (“OCG”), a
        Florida corporation, for $800. The minority interest of 20% in OCG is owned
        by
        Avante Holding Group, Inc. (“AHG”). As no tangible assets or liabilities were
        acquired the full value was booked to Common Stock.
 
 ***Gateway
        Internet Services Corporation***
 
 On
        April
        20, 2006, Gateway Internet Services Corporation (“GIS”), a Florida corporation,
        was formed as a subsidiary of the Company. GIS will work parallel with its
        customer, Render Payment Corporation (“RPC”). RPC is the payment processor
        whereas GIS has the technology to provide secure processing of payments from
        individuals through bank wires and ACH processing for select Internet clients.
        As of December 31, 2006, GIS was an inactive subsidiary.
  -
            8
            -
  ***ORGANA
        TECHNOLOGIES GROUP, INC.***
 ***Notes
        to Consolidated Financial Statements***
 ***March
        31, 2008***
  
  
 **NOTE
        3 – ACQUISITIONS AND NEW SUBSIDIARIES FORMED -** ***continued***
 
 ***Davinci’s
        Computer Corp.***
 
 On
        June
        1, 2006, OTG acquired Davinci’s Computer Corp. (“DCC”) of Florida for 500,000
        shares of the Company’s common stock valued at $.10 per share at the time of the
        transaction. DCC provides computer consulting services to select clients
        throughout the state of Florida.
 
 In
        accordance with SFAS No. 141, “Business Combinations”, the acquisition has been
        accounted for under the purchase method of accounting. The purchase price
        was
        allocated to DCC’s
        tangible and intangible assets acquired and liabilities assumed based on
        their
        estimated fair values with any excess being ascribed to goodwill. Management
        is
        responsible for determining the fair value of these assets. The fair value
        of
        the assets acquired and liabilities assumed represent management’s estimate of
        fair values. Goodwill, as the result of the net of assets and liabilities,
        was a
        negative therefore management determined that there would be no value associated
        with the acquired patents and the fixed assets acquired would be reduced
        on an
        equal basis by the negative goodwill thereby reducing goodwill to zero. The
        following table summarizes the components of the purchase price and the activity
        and balance sheet of the acquired company at May 31, 2006:
 
 STATEMENT
        of OPERATIONS for the Period JANUARY 1 - MAY 31, 2006:
 
 Sales
              
              $
              55,520Cost
                  of Sales
              
              
              12,555Gross
                  Profit
              
              
              42,965Operating
                  Expenses
              
              
              77,493Income
                  from Operations
              
              
              (34,528
              )Income
                  Before Taxes
              
              $
              (34,528
              )
  The
        purchase price of DCC was $50,000. The following table summarized the estimated
        fair values of the assets acquired and liabilities assumed at the date of
        acquisition:
  Current
                  assets
              
              $
              -Property,
                  plant and equipment
              
              
              -Goodwill
              
              
              55,571Total
                  assets acquired
              
              
              55,571Current
                  liabilities
              
              
              5,571Long-term
                  debt
              
              
              -Total
                  liabilities assumed
              
              
              5,571Net
                  assets acquired
              
              $
              50,000
  ***Zowy
        Media, Incorporated***
 
 On
        October 1, 2006, OTG acquired 80% of Zowy Media, Incorporated (“Zowy”) and its
        subsidiaries, Epic Weapons, Inc. (f/k/a Epic Weapons, LLC) (“Epic”), all of
        Florida, for 2,000,000 shares of OTG common stock, valued at $.10 per share
        at
        the time of the transaction. The minority interest in Zowy is owned by Titus
        Blair. On January 1, 2008, the minority interest in Epic was purchased by
        the
        Company for $10. Zowy operates an Internet website ( www.swordsonline.com and www.weaponmasters.com )
        for the
        marketing and selling of various products. Zowy operates under the dba
        Weaponmasters. Epic has an agreement with Blizzard Entertainment® to market
        certain licensed products (initially the FrostmourneTM Sword) related to the
        Warcraft® game series.
 
 In
        accordance with SFAS No. 141, “Business Combinations”, the acquisition has been
        accounted for under the purchase method of accounting. The purchase price
        was
        allocated to Zowy’s
        tangible and intangible assets acquired and liabilities assumed based on
        their
        estimated fair values with any excess being ascribed to goodwill. Management
        is
        responsible for determining the fair value of these assets. The fair value
        of
        the assets acquired and liabilities assumed represent management’s estimate of
        fair values. Goodwill, as the result of the net of assets and liabilities,
        was a
        negative therefore management determined that there would be no value associated
        with the acquired patents and the fixed assets acquired would be reduced
        on an
        equal basis by the negative goodwill thereby reducing goodwill to zero. The
        following table summarizes the components of the purchase price and the activity
        and balance sheet of the acquired company at October 1, 2006:
  -
            9
            -


***ORGANA
        TECHNOLOGIES GROUP, INC.***
 ***Notes
        to Consolidated Financial Statements***
 ***March
        31, 2008***
  
  
 **NOTE
        3 – ACQUISITIONS AND NEW SUBSIDIARIES FORMED -** ***continued***
 
 STATEMENT
        of OPERATIONS for the Period JANUARY 1 - SEPTEMBER 30, 2006:
  Sales
              
              $
              429,748Cost
                  of Sales
              
              
              155,235Gross
                  Profit
              
              
              274,513Operating
                  Expenses
              
              
              256,834Income
                  from Operations
              
              
              17,679Income
                  Before Taxes
              
              $
              17,679
 
 Note:
        Income Taxes are not recorded as the company was a S Corporation from January
        1
        - September 30, 2006.
 
 The
        purchase price of Zowy was $200,000. The following table summarizes the
        estimated fair values of the assets acquired and liabilities assumed at the
        date
        of acquisition:
  Current
                  assets
              
              $
              29,519Property,
                  plant and equipment
              
              
              225,083Goodwill
              
              
              185,972Total
                  assets acquired
              
              
              440,574Current
                  liabilities
              
              
              82,108Long-term
                  debt
              
              
              154,959Minority
                  interest
              
              
              3,507Total
                  liabilities assumed
              
              
              240,574Net
                  assets acquired
              
              $
              200,000
 
 ***Game2Gear,
        Inc.***
 
 On
        December 18, 2006, Game2Gear, Inc. (“G2G”), a Florida corporation, was formed as
        a subsidiary of the Company. G2G is a technology based solution that may
        be
        offered to various business verticals enabling vendors to internally and
        externally track and process inventory more efficiently, create industry
        specific and regulatory mandated security requirements and/or compliance
        protocols establishing a unique product identification method that would
        be
        embedded into a product allowing businesses to provide better customer service
        and secure its marketplace from fraudulent and unlicensed products. As of
        December 31, 2006, G2G was an inactive subsidiary.
 
 ***Epic
        Weapons, Inc.***
 
 On
        January 1, 2008 the Company transferred ownership of Epic Weapons, Inc.,
        from
        Zowy Media, Inc., to Organa Technologies Group, Inc.
 
 **NOTE
        4 – BALANCE SHEET DETAILS**
  Inventory
        consist of the following:
 
 March 31,
              
              December 31,2008
              
              2007Inventory
              
              $
              141,673
              
              $
              54,815
  The
        inventory of Epic ($85,459) relates to the Frostmourne® Sword which was
        contracted to be manufactured internationally. Epic’s contract is for 5,000
        swords. Zowy ($24,261), DCC ($20,316), and G2G ($11,637), account for the
        remaining inventory. The G2G inventory relates to the RFID Reader that will
        be
        sold in conjunction with the Frostmourne® Sword.
  -
            10
            -
  ***ORGANA
        TECHNOLOGIES GROUP, INC.***
 ***Notes
        to Consolidated Financial Statements***
 ***March
        31, 2008***
  
  
 **NOTE
        3 – ACQUISITIONS AND NEW SUBSIDIARIES FORMED -** ***continued***
  Property
        and equipment consist of the following:
 
 Useful
              
              March 31,
              
              December 31,Life
              
              2008
              
              2007Building
              
              
              30
              
              $
              209,000
              
              $
              209,000Land
              
              
              
              
              
              20,000
              
              
              20,000Capital
                  Improvements
              
              
              5
              
              
              2,500
              
              
              -Computer
                  equipment
              
              
              3
              
              
              2,657
              
              
              2,657Tooling
              
              
              (a
              )
              
              50,800
              
              
              -Equipment
              
              
              5
              
              
              57,178
              
              
              24,428342,135
              
              
              256,085Less:
                  accumulated depreciation
              
              
              
              
              
              (24,749
              )
              
              (20,780
              )Net
                  property and equipment
              
              
              
              
              $
              317,386
              
              $
              235,305(a)
                  Amortized over 20,000 units.
  Depreciation
        expense was $3,968 and $10,138 for the three months ended March 31, 2008
        and the
        year ended December 31, 2007, respectively.
  Other
        assets consist of the following:
 
 March 31,
              
              December 31,2008
              
              2007Patents
              
              $
              4,562
              
              $
              1,513Tooling(a)
              
              
              -
              
              
              29,367Design(a)
              
              
              50,901
              
              
              17,111Net
                  other assets
              
              $
              55,463
              
              $
              47,991(a)
                  Related to the Epic Weapons, LLC contract with Blizzard
                  Entertainment®.
 
 Notes
        payable consists of the following:
 
 March 31,
              
              December 31,2008
              
              2007PhoenixSurf.com,
                  LLC (Organa Consulting Group, Inc.), principal, non-interest bearing,
                  convertible to common stock when, for 10 consecutive days, the
                  Company's
                  stock is trading at $0.75 or higher.
              
              $
              150,000
              
              $
              150,000Coastal
                  Bank (Zowy Media, Incorporated), adjustable rate mortgage at 1%
                  over the
                  current index. Due September 2010. Current monthly payment of $1,573.39.
                  Note secured by mortgage and an unconditional and continuing guarantee
                  by
                  Titus Blair.
              
              
              154,262
              
              
              154,565LHI
                  Cocoa Corp. (Zowy Media,Incorporated), 9% interest for 24 months
                  amortized
                  over 20 years. Due August 2007.
              
              
              28,877
              
              
              28,877Washington
                  Mutual (Zowy Media, Incorporated), business line of credit, interest
                  at
                  11.25%.
              
              
              45,134
              
              
              40,706Total
                  long-term debt
              
              
              378,273
              
              
              374,148Less:
                  Current portion
              
              
              75,294
              
              
              220,837Total
                  long-term portion of debt
              
              $
              302,979
              
              $
              153,311
 
  -
            11
            -
  ***ORGANA
        TECHNOLOGIES GROUP, INC.***
 ***Notes
        to Consolidated Financial Statements***
 ***March
        31, 2008***
  
  
 **NOTE
        5 – COMMITMENTS**
  The
        Company leases a laser engraver from Avante Leasing Corporation, a subsidiary
        of
        AHG (see Note 7 – Related Parties). The terms of the agreement include a 5
        year term, 19.4% interest, with a $2,159 purchase price at the end of the
        term.
        The lease expires on July 1, 2012. Monthly lease payments are $565.
 
 OTG
        and
        DCC leases office space in Melbourne, Florida from GAMI, LLC (“GAMI” – See Note
        7 – Related Parties). The terms of the agreement are monthly payments of $4,000
        and $3,000, respectively, expiring May 31, 2012 and February 28, 2013,
        respectively. There are two renewable five year extensions.
 
 Future
        minimum obligations for the above leases are as follows:
 
 2008
              
              $
              42,0392009
              
              
              54,7802010
              
              
              54,7802011
              
              
              54,7802012
              
              
              23,955Total
                  Lease Obligations
              
              $
              230,334
  Total
        rent expense under non-cancelable operating leases was $12,000 and $35,632
        for
        the three months ended March 31, 2008 and the year ended December 31, 2007,
        respectively.
 
 **NOTE
        6 – BUSINESS SEGMENTS**
 
 The
        Company operates primarily in three segments: retail sales, internet services
        and computer hardware and software.
 
 Information
        concerning the revenues and operating income for the three months ended March
        31, 2008 and 2007, and the identifiable assets for the five segments in which
        the Company operates are shown in the following table:
  -
            12
            -
  ORGANA
        TECHNOLOGIES GROUP, INC.
 ***Notes
        to Consolidated Financial Statements***
 ***March
        31, 2008***
  
  
 **NOTE
        6 – BUSINESS SEGMENTS -** ***continued***
  Three
                  Months
                Ended
                2008
              
              Year
                Ended
                2007OPERATING
                  REVENUEInternet
                  Sales
              
              $
              127,167
              
              $
              436,735Computer
                  Hardware and Software
              
              
              54,387
              
              
              175,903Retail Sales
              
              
              327,946
              
              
              530,520Corporate
              
              
              -
              
              
              -Consolidated
                  Totals
              
              $
              509,500
              
              $
              1,143,158INCOME
                  (LOSS) FROM OPERATIONSInternet Sales
              
              $
              17,003
              
              $
              (17,720
              )Computer
                  Hardware and Software
              
              
              1,917
              
              
              35,724Retail
                  Sales
              
              
              121,539
              
              
              56,526Corporate
              
              
              (130,057
              )
              
              (248,134
              )Consolidated
                  Totals
              
              $
              10,402
              
              $
              (173,604
              )IDENTIFIABLE
                  ASSETSInternet
                  Sales
              
              $
              76,996
              
              $
              337,792Computer
                  Hardware and Software
              
              
              48,163
              
              
              50,828Retail Sales
              
              
              935,771
              
              
              54,781Corporate
              
              
              541,184
              
              
              289,889Consolidated
                  Totals
              
              $
              1,602,114
              
              $
              733,290DEPRECIATION
                  AND AMORTIZATIONInternet Sales
              
              $
              -
              
              $
              10,138Computer
                  Hardware and Software
              
              
              -
              
              
              -Retail
                  Sales
              
              
              3,968
              
              
              -Corporate
              
              
              -
              
              
              -Consolidated
                  Totals
              
              $
              3,968
              
              $
              10,138
 
 **NOTE
        7 – RELATED PARTIES**
 
 OTG and AHG
        entered into a Consulting Agreement in October 2006 to provide corporate
        guidance, financial and accounting services. As compensation, AHG received
        $8,000 per month in 2006. Under this agreement AHG has the unilateral authority
        to hire additional personnel required to perform investor relations, financial
        administration, and executive oversight and request reimbursement from OTG
        on a
        reimbursable expense basis. The term of this agreement is for three years
        with
        one additional automatic three-year extension. AHG is a company primarily
        owned
        and controlled by Michael W. Hawkins. AHG is a significant shareholder of
        the
        Company.
 
 In
        the
        transaction of OTG acquiring Zowy; 40% was acquired from AHG and 40% from
        GAMI,
        LLC (“GAMI”) with the remaining 20% being held by the former owner of Zowy
        Media, Inc. Both AHG and GAMI are related parties, since the majority
        shareholder of OTG controls these companies. Prior to the acquisition, AHG
        had a
        Consulting Agreement with Zowy to provide corporate guidance, financial and
        accounting services. As compensation, AHG received $10,000 per month prior
        to
        the acquisition.
 
 Effective
        October 1, 2007, the date of the acquisition of Zowy by OTG, the Zowy Consulting
        Agreement was terminated. The OTG Consulting Agreement was modified to increase
        the monthly compensation from $8,000 to $10,000, the amount previously paid
        by
        Zowy.
 
 On
        October 5, 2005, a Settlement Agreement was made between OTG and AHG regarding
        the $812,000 debt owed by OTG to AHG. In the Settlement Agreement, OTG issued
        400,000,000 common shares of OTG at the current market value of $.001, or
        $40,000, in lieu of the approximately $812,000 in debt. This transaction,
        even
        though not an arms length transaction; was at an exchange rate of $10 to
        $1
        therefore, it would be considered fair and reasonable.
  -
            13
            -





***ORGANA
      TECHNOLOGIES GROUP, INC.***


***Notes
      to Consolidated Financial Statements***


***March
      31, 2008***







**NOTE
      7 – RELATED PARTIES -** ***continued***





On
      August
      1, 2007 ,
      Avante
      Leasing Corporation, a wholly-owned subsidiary of Avante, leased a laser
      engraver to Epic Weapons, Inc. The terms of the agreement include a five year
      term, 19.4% interest, with a 10% purchase price at the end of the period. This
      transaction was completed as the acquisition and financing of the laser engraver
      required the financial guarantee of Avante and Michael W. Hawkins. As of March
      31, 2008, the balance due to Avante Leasing Corporation under this Agreement
      was
      $4,522.00.





On
      June
      1, 2007, the Company entered into a triple net lease agreement with GAMI, a
      related party previously discussed in Note 5. Monthly rent will be $4,000 which
      is at fair market value. GAMI is a company owned and controlled by Michael
      W.
      Hawkins, a majority shareholder of the Company, and his wife.





On
      March
      1, 2008, DCC entered into a triple net lease agreement with GAMI, a related
      party previously discussed in Note 5. Monthly rent will be $3,000 which is
      at
      fair market value. DCC relocated to 2910 Bush Drive, Melbourne, Florida.




**NOTE
      8 – STOCKHOLDERS’ EQUITY**





***Common
      Stock***





On
      January 1, 2004, the Company acquired all of the assets of IMC-FL in exchange
      for 60,000,000 shares of its common stock.




In
      January and February 2004, the Company completed a private placement of
      11,500,000 shares of its common stock under Regulation D, Section
      504.




The
      Company learned in the Fall of 2006 that in April 2004, 250,000 shares of common
      stock were issued in error by the Company’s then Transfer Agent to a shareholder
      who had claimed to have lost its stock certificate, but had in fact sold the
      shares. After an internal investigation and reconciliation, the Company
      identified this error and reconciled the lost shares. The Company’s board of
      directors determined that the cost associated with further action against the
      shareholder and the transfer agent was greater than adjusting the books and
      records to accept the erroneous shares. The Company dismissed its transfer
      agent
      after the improper issuance was discovered.




On
      October 5, 2005, the Company amended its Articles of Incorporation to
      900,000,000 common shares and 50,000,000 blank check preferred shares
      authorized.




On
      October 5, 2005, the Company entered into a Settlement Agreement with Avante
      whereby all debt owed to Avante, of approximately $812,000, was converted into
      400,000,000 common shares of IMC with a market value of $.0001 at the time
      of
      the conversion. The valuation of $40,000 was substantially lower than the
      obligation to Avante. This transaction was not an arms length transaction as
      the
      directors of OTG are also officers and minority shareholders of Avante. This
      transaction was completed as needed to facilitate the Company’s plans for future
      transactions that would increase the Company’s revenue and profits.




On
      April
      11, 2006, the Company’s shareholders authorized an amendment to its Certificate
      of Incorporation to effect a 1:100 reverse stock split. All share and per share
      amounts have been adjusted for this reverse stock split. An additional 66 shares
      were issued as part of the roundup of fractional shares.




On
      July
      1, 2006, the Company acquired Davinci’s Computer Corp. a Florida Corporation for
      500,000 shares of the Company’s common stock valued at $.10 per share at the
      time of the transaction.




On
      September 10, 2007, the Company identified that during the conversion from
      IMC
      to OTG, 5,000 shares were erroneously issued and have been subsequently
      cancelled.




On
      October 1, 2006, the Company acquired 80% of Zowy Media, Incorporated, a Florida
      Corporation, in exchange for 2,000,000 shares of its common stock. The minority
      interest of Zowy is owned by Titus Blair.





On
      October 15, 2007, the Company filed an amendment to its Articles of
      Incorporation to authorize 100,000,000 shares of common stock, $0.0001 par
      value
      per share, 45,000,000 shares of blank check preferred stock, $0.0001 par value,
      and 5,000,000 shares of series A preferred stock at $1.00 par value per
      share.





On
      November 1, 2007, the Company authorized a 1:4 forward split whereby total
      issued shares will be 28,870,264.


-14-


***ORGANA
      TECHNOLOGIES GROUP, INC.***


***Notes
      to Consolidated Financial Statements***


***March
      31, 2008***








**NOTE
      8 – STOCKHOLDERS’ EQUITY -** ***continued***





Each
      of
      the stock issuances described above, with the exception of the 504 offering,
      was
      effected in private transaction exempt from registration under the Securities
      Act of 1933, as amended, Section 4(2). No commissions were paid to anyone in
      connection with these transactions and no solicitation was made by the Company
      in connection therewith. All entities or persons receiving shares were believed
      to be “accredited” investors as that term is defined under Regulation D. The
      persons receiving the stock under the Rule 504 offering are currently being investigated by the SEC, NASD, and U.S. Postal Services with
      four associated individuals believed to have pled guilty to an illegal “pump and
      dump” scheme. Management has cooperated fully with the authorities involved in
      this ongoing investigation.





Current
      management believes the initial Rule 504 offering was placed through Rim Rock,
      LLC and Cold Springs, LLC. The offering is believed to have been made in full
      compliance with the Rule.





On
      March
      1, 2008, the Company granted 3,185,000 stock options to eleven employees,
      directors and related parties.





**NOTE
      9 – LEGAL PROCEEDINGS**





On July 19, 2006, the Company filed a lawsuit
        against New Millenium Entrepreneurs. Inc., and Phocnixsurf.com,
        LLC, and various other individuals and parties claiming libel, slander, and
        conspiracy to injure
        business. The claim relates to consulting services provided by Organa Consulting
        Group, Inc., a wholly
        owned subsidiary of Organa Technologies Group, Inc., to PhocnixSurf.com,
        a
        so-called "websurfing"
        business which ceased operations in July 2006. The Company also has asked
        for
        injunctive relief,
        compensatory and punitive damages in excess of $1,000,000. The law suit was
        filed in the Circuit Court of the Eighteenth Judicial Circuit In and For
        Brevard
        County, Florida. On September 19, 2007, the Company
        released the individual defendants quid filed for a default judgment against
        New
        Millenium Entrepreneurs,
        LLC and Phoenixsurf.com, LLC which was granted on August 10, 2007. The Company
        is scheduled
        to attend a pretrial hearing on May 22, 2008 in order to set a date for
        determining the damages it is
        to be
        granted. The Company has not yet determined how the award will be split between
        the defendants.
 
 On
        October 2, 2006, the Company was named in a lawsuit captioned New
        Millennium Entrepreneurs, LLC  and
        Phoenixsurf.com, LLC  v. Michael
        W. Hawkins, et. al.  U.S.
        District Court, Middle District of Georgia, 3:
        06-CV-84 (CDC). The lawsuit alleges violations of the Georgia Securities
        Act,
        Georgia Fair Business Practices
        Act, Federal Securities laws and certain other unspecified laws in connection
        with the investment by
        Plaintiffs of $150,000 in Organa Technologies Group and seeks rescission
        of this
        investment. In addition,
        the lawsuit alleges contractual disputes and misappropriations of funds by
        Organa Consulting Group.
        The Company has responded to the complaint, has entered into third party
        claims
        against the individual owners of New Millenittm Entrepreneurs, LLC and other
        interested parties. The Company believes
        it has meritorious defenses to the claims made and intends to vigorously
        defend
        the lawsuit. On July
        24,
        2007, the Securities and Exchange Commission filed charges in the United
        States
        District Court for the Central District of California in Los Angeles. California
        against New Millenitun Entrepreneurs, LLC,
        Phoenixsurf.com, LLC, and two of its officers and managing members. On August
        10, 2007, a Final Judgment and Permanent Injunction were entered against
        these
        parties, with damages to be assessed at a future
        date.


**NOTE
      10 – SUBSEQUENT EVENTS**





On
      April
      4, 2008 the Company received its initial 105 Frostmourne Swords® and began
      delivery of the more than 2,000 swords purchased on April 14, 2008.





-15-




**ITEM
      2.**  **MANAGEMENT’S
      DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS FOR
      THE
      THREE MONTHS ENDED MARCH 31, 2008**





*The
      following Management’s Discussion and Analysis of Financial Condition and
      Results of Operations contains forward-looking statements under federal
      securities laws. Forward-looking statements are not guarantees of future
      performance and involve a number of risks and uncertainties. Our actual results
      could differ materially from those indicated by forward-looking statements
      as a
      result of various factors, including but not limited to those set forth under
      this Item, as well as those discussed in Part II - Item 1A, “Risk Factors,” and
      elsewhere in this document and those that may be identified from time to time
      in
      our reports and registration statements filed with the Securities and Exchange
      Commission.*





*This
      discussion should be read in conjunction with the Consolidated Financial
      Statements and related Notes included in Part I – Item 1 of this Quarterly
      Report on Form 10-Q and the Consolidated Financial Statements and related Notes
      and the Management’s Discussion and Analysis of Financial Condition and Results
      of Operations contained in our Annual Report on Form 10-K as filed with the
      Securities and Exchange Commission on April 14, 2008.*





**DESCRIPTION
      OF COMPANY:**





The
      Company is a holding company that currently operates five wholly-owned
      subsidiaries; Hurricane Host, Inc., an entity which provides Internet web
      hosting and Voice over Internet Protocol (VOIP) services, Davinci’s Computer
      Corp., an entity which provides hardware and software computer system solutions
      and services, Gateway Internet Services Corporation, an entity which provides
      on-line payment processing through ACH and other banking solutions, Game2Gear,
      Inc., an entity that provides online product registration of replica weapons,
      Epic Weapons, Inc, which manufactures, designs, and sells replica
      weapons, and two majority-owned subsidiaries; Zowy Media,
      Incorporated, doing business as Swordsonline and WeaponMasters,
      which provide Internet purchasing of swords and weapon memorabilia, and
      Organa Consulting Group, Inc., an entity which provides web design services,
      hardware and software installation and training, and other Internet related
      consulting services.





**OVERVIEW:**




The
      Company, through its subsidiaries, provides technology-based solutions and
      consulting, computer hardware and software solutions, Internet-based retail
      sales, and other ancillary services.





The
      Company currently evaluates financial performance in three segment; Retail
      Sales, Internet Services, and Hardware and Software. The following diagram
      identifies the company’s associated with the respective segment.




Organa




-16-





The
      following Management Discussion and Analysis should be read in conjunction
      with
      the financial statements and accompanying notes included in this Form
      10-Q.




**COMPARISON
      OF THE THREE MONTHS ENDED MARCH 31, 2007 TO THE THREE MONTHS ENDED MARCH 31,
      2006**





*Overview*





Total
      revenues increased to $509,500 for the three months ended March 31, 2008 from
      $234,618 for the three months ended March 31, 2007. The increase of $274,882
      or
      117.2% is a direct result of the increase in revenue by our Retail Sales
      Division. The Company’s Internet Sales Division and Retail Sales Division
      increased revenue by $43,081 and $231,754, respectively, while the Computer
      Hardware and Software Division decreased revenue by $6,291.





Internet Sales Division
            
            Retail Sales Division
            
            Hardware and
              Software Divison
            
            Corporate
            
            Consolidated2008
            
            2007
            
            2008
            
            2007
            
            2008
            
            2007
            
            2008
            
            2007
            
            2008
            
            2007Revenue
            
            
            127,167
            
            
            84,086
            
            
            327,946
            
            
            98,695
            
            
            54,387
            
            
            51,837
            
            
            
            
            
            
            
            
            509,500
            
            
            234,618Cost
                of Sales
            
            
            80,688
            
            
            27,731
            
            
            148,204
            
            
            74,014
            
            
            26,708
            
            
            22,553
            
            
            
            
            
            
            
            
            255,600
            
            
            124,298Gross
                Profit
            
            
            46,479
            
            
            56,355
            
            
            179,742
            
            
            24,681
            
            
            27,679
            
            
            29,284
            
            
            -
            
            
            -
            
            
            253,900
            
            
            110,319Operating
                Expenses
            
            
            29,476
            
            
            41,311
            
            
            49,465
            
            
            18,689
            
            
            25,762
            
            
            22,456
            
            
            133,371
            
            
            11,146
            
            
            238,226
            
            
            93,602Income
                (Loss) from Operations
            
            
            17,003
            
            
            15,044
            
            
            130,277
            
            
            5,992
            
            
            1,917
            
            
            6,828
            
            
            (133,371
            )
            
            (11,146
            )
            
            15,674
            
            
            16,718





Revenues
      and the percent of consolidated revenue for the three months ended March 31,
      2008, by segment, are as follows: Internet Sales Division, $127,167 (25.0%),
      Retail Sales Division $327,946 (64.4%), and Computer Hardware and Software
      Division $54,387 (10.6%).





Overall
      cost of sales was $255,600 and $124,298 for the three months ended March 31,
      2008 and 2007, respectively. As a percent of revenue, the cost of sales
      decreased from 53.0% to 50.2%, for the three months ended March 31, 2007 as
      compared to the three months ended March 31, 2008.  This is primarily due
      to overall increase in cost of sales by our Retail Sales Division directly
      relating to the registration fees for the auction sale of the Frostmourne® Sword
      and the increased internet traffic generated by the auction and interest in
      the
      launch of the sword.





The
      cost
      of sales and the percent of consolidated cost of sales for the three months
      ended March 31, 2008, by segment, are as follows: Internet Sales Division,
      $80,688 (31.6%), Internet Sales Division $148,204 (58.0%), and Computer Hardware
      and Software Division $26,708 (10.4%).





Gross
      profit was $253,900 and $110,319 for the three months ended March 31, 2008
      and
      2007, respectively. As a percent of revenue, gross profit was 49.8% and 47.0%
      for the three months ended March 31, 2008 and 2007, respectively.





Total
      operating expenses increased to $238,226 for the three months ended March 31,
      2008 from $93,602 for the three months ended March 31, 2007. This $144,624
      or
      154.5% increase was primarily attributable to operating expenses associated
      with
      the Retail Sales Division ($49,465) with increasing corporate operating expenses
      associated with the Company’s projected growth offset by a decrease in the
      Internet Sales Division.





The
      operating expenses and the percent of consolidated operating expenses for the
      three months ended March 31, 2008, were contributed as follows: Internet Sales
      Division, $29,476 (12.5%), Retail Sales Division, $49,465 (20.8%), Computer
      Hardware and Software Division, $25,762 (10.8%), and Corporate, $133,371
      (55.9%).





*Internet
      Sales Division*





Revenue
      attributed to the Internet Sales Division was $127,167 (25.3% of total
      consolidated revenue) in 2008 as compared to $84,086 (35.8% of total
      consolidated revenue) in 2007 (51.2% decrease in division
      revenues).





The
      Internet Sales Division includes Hurricane Host, Organa Consulting Group, and
      Gateway Internet Services. HH accounted for $120,568 (24.0% of the Company’s
      overall revenue) and $74,227 (31.6% of the Company’s overall revenue) in revenue
      for 2008 and 2007, respectively. OCG accounted for less than 5% of the Company’s
      revenue in both 2008 and 2007.





Cost
      of
      sales and the percent of consolidated cost of sales for the three months ended
      March 31, 2007 and March 31, 2008, respectively, for HH was $23,985 (19.3%)
      and
      $76,582 (30.0%) of the overall cost of sales and 86.5% and 94.9% of the cost
      of
      sales of the Internet Sales Division segment. The cost of sales for the three
      months ended March 31, 2008 for OCG was insignificant.




-17-







Operating
      expenses and the percent of consolidated operating expenses for the three months
      ended March 31, 2007 and March 31, 2008, respectively, for HH was $23,423
      (25.0%) and $20,650 (8.9%) of the overall operating expenses and 56.7% and
      70.1%
      of the operating expenses of the Internet Sales Division segment. The operating
      expenses and the percent of consolidated operating expenses for the three months
      ended March 31, 2008 for OCG was insignificant.





*Retail
      Sales Division*





Weaponmasters
      (the only revenue generating activity in the Retail Sales Division for 2007)
      was
      complemented with the launch of sales for Epic in 2008. Revenue increased from
      $98,695 to $327,946 (increase of $229,251) for the three months ended March
      31,
      2007 and 2008, respectively. The increase of 232.3% is related to the sales
      (registration fees) associated with the Frostmourne® Sword in 2008.





Cost
      of
      sales increased from $74,014 to $148,204 (increase of $74,190) for the three
      months ended March 31, 2007 and 2008 respectively. The increase of 100.2% is
      related to the Company’s sales associated with the Frostmourne® Sword in
      2008.





Operating
      expenses increased from $18,689 to $49,465 (increase of $30,776) for the three
      months ended March 31, 2007 and 2008, respectively. The increase of 164.7%
      is
      related to the Company only having Weaponmasters active in 2007 compared to
      the
      activity associated with Epic launching the sales of the Frostmourne® Sword in
      2008.





Income
      from operations increased from $5,992 to $130,277 for the three months ended
      March 31, 2007 and 2008, respectively. The increase was due primarily to the
      increase, as a percentage, of the cost of sales and the cost attributed to
      Epic.
      While revenues increased 232.3%, cost of sales increased 100.2%. The actual
      percentage of cost of sales as compared to revenue decreased from 75.0% to
      45.2%
      for the three months ended March 31, 2007 and 2008, respectively. The Company
      expensed $47,991 in work associated with the development of the Frostmourne®
Sword in 2007.





*Computer
      Hardware and Software Division*





DCC
      was
      the only revenue generating activity in the Computer Hardware and Software
      Sales
      Division for 2007 and 2008. Revenue increased from $51,837 to $54,387 (increase
      of $2,550) for the three months ended March 31, 2007 and 2008, respectively.
      The
      increase of 4.9% is related to the relocation of the corporate office and
      business to a more central location.





Cost
      of
      sales increased from $22,553 to $26,708 (increase of $4,155) for the three
      months ended March 31, 2007 and 2008 respectively. The increase of 18.4% is
      related to increased hardware sales.





Operating
      expenses increased from $22,456 to $25,762 (increase of $3,306) for the three
      months ended March 31, 2007 and 2008, respectively. The increase of 14.7% is
      related to management salaries and marketing services.





Income
      from operations decreased from $6,828 to $1,917 for the three months ended
      March
      31, 2007and 2008, respectively. The decrease was due primarily to marketing
      services, additional overheads related to the expansion of .services and
      relocation costs.





*Corporate*





The
      operating expenses and the percent of consolidated operating expenses for the
      three months ended March 31, 2007 and March 31, 2008, respectively, for
      corporate headquarters was $11,146 (11.9%) and $133,371 (56.0%) of the overall
      operating expenses. The increase in operating expenses is primarily due to
      the
      increase of staff to support overall operations, and the research and
      development of additional products and services.




**Liquidity
      and Capital Resources**





As
      of
      March 31, 2008, the Company had a working capital surplus of $274,678. Net
      income was $14,582 for the three months ended March 31, 2008. The Company
      generated a positive cash flow from operations of $213,669 for the three months
      ended March 31, 2008. The positive cash flow from operating activities for
      the
      period is primarily attributable to the Company's net income, increase in
      accounts receivables, $101,279, receivable from related parties, $257,349,
      inventory, $86,858, prepaid expenses and other assets, $20,225, deferred
      revenue, $546,164, and accounts payable and accrued expenses,
      $118,846.





Cash
      flows used in investing activities for the three months ended March 31, 2008
      consisted of the acquisition of $86,049 of equipment.





Cash
      flows provided by financing activities for the three months ended March 31,
      2008
      was $193,412 primarily due to the issuance of preferred stock.





-18-


The
      Company had a net increase in cash of $321,032 for the three months ended March
      31, 2008 compared to an increase of $7,630 for the three months ended March
      31,
      2007.





By
      adjusting its operations and development to work within the Company’s financing
      and budget, management believes it has sufficient capital resources to meet
      projected cash flow needs through the next twelve months. However, if
      thereafter, the pricing of the products or services the Company sells increase
      dramatically, sales grow rapidly, and we are not successful in generating
      sufficient liquidity from operations or in raising sufficient capital resources,
      on terms acceptable to us, this could have a material adverse effect on our
      business, results of operations, liquidity and financial condition.





The
      effect of inflation on the Company's revenue and operating results was not
      significant. The Company's operations are located primarily in the southeast
      and
      central United States and there are no seasonal aspects that would have a
      material effect on the Company's financial condition or results of
      operations.





For
      the
      next twelve months, the Company intends to fund its operations through private
      debt and equity financing and revenues from operations. However, if the pricing
      of commodities and other raw materials prices increase dramatically, sales
      grow
      rapidly, and we are not successful in generating sufficient liquidity from
      operations or in raising sufficient capital resources, on terms acceptable
      to
      us, this could have a material adverse effect on our business, results of
      operations, liquidity and financial condition.





The
      effect of inflation on the Company's revenue and operating results was not
      significant. The Company's operations are located in North America and there
      are
      no seasonal aspects that would have a material effect on the Company's financial
      condition or results of operations.




-19-




**ITEM
      3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET
      RISK**





There
      have been no material changes in the Company’s market risk exposures from those
      reported in our Annual Report on Form 10-K for the year ended December 31,
      2007.





**ITEM
      4. CONTROLS AND PROCEDURES**





The
      Company’s management, under the supervision and with the participation of the
      Company’s Chief Executive Officer (the “CEO”) and Interim Chief Financial
      Officer (the “CFO”), performed an evaluation of the effectiveness of the design,
      maintenance and operation of the Company’s disclosure controls and procedures of
      March 31, 2008. Based on that evaluation, the CEO and CFO concluded that the
      Company’s disclosure controls and procedures were effective. There have been no
      significant changes in the Company’s internal controls or in other factors that
      materially affected, or would reasonably be likely to materially affect, the
      Company’s internal control over financial reporting.





**PART
      II.**  **OTHER
      INFORMATION**





**ITEM
      1. LEGAL PROCEEDINGS**





On
      July
      19, 2006, the Company filed a lawsuit against New Millenium Entrepreneurs,
      Inc.,
      and Phoenixsurf.com, LLC, and various other individuals and parties claiming
      libel, slander, and conspiracy to injure business. The claim relates to
      consulting services provided by Organa Consulting Group, Inc., a wholly owned
      subsidiary of Organa Technologies Group, Inc., to PhoenixSurf.com, a so-called
      "websurfing" business which ceased operations in July 2006. The Company also
      has
      asked for injunctive relief, compensatory and punitive damages in excess of
      $1,000,000. The law suit was filed in the Circuit Court of the Eighteenth
      Judicial Circuit In and For Brevard County, Florida.  On
      September 19, 2007, the Company released the individual defendants and filed
      for
      a default judgment against New Millenium Entrepreneurs, LLC and Phoenixsurf.com,
      LLC which was granted on August 10, 2007. The Company is scheduled to attend
      a
      pretrail hearing on May 22, 2008 in order to set a date for determining the
      damages it is to be granted. The Company has not yet determined how the award
      will be split between the defendants.





On
      October 2, 2006, the Company was named in a lawsuit captioned New
      Millennium Entrepreneurs, LLC and Phoenixsurf.com, LLC v. Michael
      W. Hawkins, et. al. U.S.
      District Court, Middle District of Georgia, 3: 06-CV-84 (CDC). The lawsuit
      alleges violations of the Georgia Securities Act, Georgia Fair Business
      Practices Act, Federal Securities laws and certain other unspecified laws in
      connection with the investment by Plaintiffs of $150,000 in Organa Technologies
      Group and seeks rescission of this investment. In addition, the lawsuit alleges
      contractual disputes and misappropriations of funds by Organa Consulting Group.
      The Company has responded to the complaint, has entered into third party claims
      against the individual owners of New Millenium Entrepreneurs, LLC and other
      interested parties. The Company believes it has meritorious defenses to the
      claims made and intends to vigorously defend the lawsuit. On July 24, 2007,
      the
      Securities and Exchange Commission filed charges in the United States District
      Court for the Central District of California in Los Angeles, California against
      New Millenium Entrepreneurs, LLC, Phoenixsurf.com, LLC, and two of its officers
      and managing members. On August 10, 2007, a Final Judgment and Permanent
      Injunction were entered against these parties, with damages to be assessed
      at a
      future date.





-20-




**ITEM
      1A. RISK FACTORS**




You
      should carefully consider the following discussion of various risks and
      uncertainties. We believe these risk factors are the most relevant to our
      business and could cause our results to differ materially from the
      forward-looking statements made by us. The following risk factors are not the
      only risk factors facing our Company. Additional risks that we do not consider
      material, or of which we are not currently aware, may also have an adverse
      impact on us. Our business, financial condition, and result of operations could
      be seriously harmed if any of these risks or uncertainties actually occurs
      or
      materializes. In that event, the market price for our common stock could
      decline, and you may lose all of part of your investment.




***We
      have a limited relevant operating history and we may not be able to maintain
      profitability in the near term, which may result in raising additional capital
      and diluting our shareholders.***




Our
      company and management team is newly formed and has limited experience working
      together in this area. Such limits could adversely effect our near term
      performance in the management of our assets. Our company has had a cumulative
      net loss from inception of approximately $1,953,961 with only the year ended
      December 31, 2006 being profitable. Our needs for continued expenditures for
      product research and development and marketing, among other things, will make
      it
      difficult for us to reduce our operating expenses in order to deal with lack
      of
      sales growth or unanticipated reductions in existing sales. Our failure to
      balance expenditures in any period with sales will create losses for the company
      that would require additional financing to meet cash flow requirements. The
      possibility of our future success must be considered relative to the problems,
      challenges, complications and delays frequently encountered in connection with
      the development and operation of a rapid growth business. The Company's
      prospects must be evaluated with a view to the risks encountered by a company
      in
      an early stage of development. To the extent that such expenses are not
      subsequently followed by commensurate revenues, the Company's business, results
      of operations and financial condition will be materially adversely affected.
      There can be no assurance that the Company will be able to generate sufficient
      revenues from the sale of services and products. If cash generated by operations
      is insufficient to satisfy the Company's liquidity requirements, the Company
      may
      be required to sell additional equity or debt securities. The sale of additional
      equity or convertible debt securities would result in additional dilution to
      the
      Company's stockholders.




***We
      may compete with clients of the Administrative Consultant for access to key
      personnel of the Administrative Consultant, which could reduce the amount of
      time and effort they devote to us and thus negatively impact our financial
      condition and results of operations.***




Achieving
      our business objectives will depend on our ability to acquire suitable business
      and to monitor and administer those businesses, which will depend, in turn,
      on
      the abilities of our Administrative Consultant.




Achieving
      this result on a cost-effective basis will be largely a function of the
      Administrative Consultant’s structuring of the business process and its ability
      to provide competent, attentive and efficient services to us. Our executive
      officers and the business professionals of the Administrative Consultant will
      have substantial responsibilities in connection with their respective roles
      as
      the Administrative Consultant and with the other business vehicles advised
      by
      the Administrative Consultant, as well as responsibilities to us under the
      Consultant Services Agreement. They may also be called upon to provide
      managerial assistance to our portfolio companies on our behalf. These demands
      on
      their time, which will increase as the number of business or other clients
      increase, may distract them or slow the rate of growth. In order to grow, the
      Administrative Consultant will need to hire, train, supervise and manage new
      employees. However, we cannot assure you that any such employees will contribute
      to the work of the Administrative Consultant on our behalf. Any failure to
      manage our future growth effectively could have a material adverse effect on
      our
      business, financial condition and results of operations.




***The
      Administrative Consultant currently manages and may in the future manage
      business vehicles with a business focus that partially overlaps with our focus,
      which could result in increased competition for access to business
      opportunities.***




The
      Administrative Consultant currently manages other companies with a business
      focus that may partially overlap with our focus, and may in the future sponsor
      or manage additional business opportunities or other clients with businesses
      overlapping ours, which, in each case, could result in us competing for access
      to business opportunities. The Company does not believe a current conflict
      exists.




***There
      may be conflicts of interest in our relationship with the Administrative
      Consultant, which could result in decisions that are not in the best interests
      of our stockholders.***




Under
      the
      terms of the Consultant Services Agreement, business professionals of the
      Administrative Consultant serve or may serve as officers, directors or
      principals of other entities, or may otherwise conduct any other business,
      whether or not the entities or business compete with the Company. Such other
      entities or business may
      have
      business objectives or may implement business strategies similar or different
      to
      those of the Company. Accordingly, these individuals may have obligations to
      investors in those entities or businesses, the fulfillment of which might not
      be
      in the best interests of the Company or its stockholders.




The
      Company and its Administrative Consultant may determine that a business is
      appropriate both for us and for one or more other business vehicles or clients.
      In such event, depending on the availability of such business and other
      appropriate factors, the Administrative Consultant may determine which business
      vehicle makes the business or, in certain limited circumstances, whether we
      would invest concurrently with one or more other business vehicles. We may
      make
      all such businesses subject to compliance with applicable regulations and
      interpretations, and the Administrative Consultant’s allocation
      protocol.




-21-




***Our
      Administrative Consultant’s liability will be limited under the Consultant
      Services Agreement, and we will indemnify our Administrative Consultant against
      certain liabilities, which may lead our Administrative Consultant to act in
      a
      riskier manner on our behalf than it would when acting for its own
      account.***




Our
      Administrative Consultant has not assumed any responsibility to us other than
      to
      render the services described in the Consultant Services Agreement. The
      Consultant Services Agreement provides that, absent willful misfeasance, bad
      faith or gross negligence in the performance of the Administrative Consultant’s
      duties or by reason of the reckless disregard of the Administrative Consultant’s
      duties and obligations, the Administrative Consultant (and its officers,
      managers, partners, agents, employees, controlling persons, members and any
      other person or entity affiliated with the Administrative Consultant, including,
      without limitation, its general partner and the Consultant), are entitled to
      indemnification from the Company for any damages, loss, liabilities, costs
      and
      expenses (including, without limitation, judgments, fines, reasonable attorneys’
fees and expenses, and amounts reasonably paid or to be paid in settlement)
      incurred by such persons in or by reason of any pending, threatened or completed
      action, suit, investigation or other proceeding (including, without limitation,
      an action or suit by or in the right of the Company or its security holders)
      arising out of or otherwise based upon the performance of any of the
      Administrative Consultant’s duties or obligations under the Consultant Services
      Agreement or otherwise as an Administrative Consultant of the Company. These
      protections may lead our Administrative Consultant to act in a riskier manner
      when acting on our behalf than it would when acting for its own
      account.




***We
      may experience fluctuations in our periodic results therefore results of
      operations may not provide a clear picture in which investors could make a
      determination of participation favorable to the
      Company.***




We
      could
      experience fluctuations in our operating results due to a number of factors,
      including variations in and timing of recognition of realized and unrealized
      capital gains or losses, the degree to which we encounter competition in our
      markets, and general economic conditions. Specifically, the Company expects
      to
      see rapid growth spurts in Epic due to the sale of the FrostmourneTM Sword. In
      addition, Weaponmasters traditionally experiences increased sales during the
      holiday season between October and December each year. As a result of these
      factors, results for any period should not be relied upon as being indicative
      of
      performance in future periods.




***Our
      financial condition and results of operation will depend on our ability to
      manage future growth effectively.***




Our
      ability to achieve our business objectives will depend on our ability to acquire
      suitable businesses and to monitor and administer those businesses, which will
      depend, in turn, on our Administrative Consultant’s ability to identify, invest
      in and monitor companies that meet our business criteria.




Accomplishing
      this result on a cost-effective basis will be largely a function of our
      Administrative Consultant’s structuring of the business process and its ability
      to provide competent, attentive and efficient services to us. Our executive
      officers and certain of the officers of our Administrative Consultant will
      have
      substantial responsibilities in connection with their roles at the Company,
      as
      well as responsibilities under the Business Management Agreement. They may
      also
      be called upon to provide managerial assistance to our portfolio companies
      on
      our behalf. These demands on their time, which will increase as the number
      of
      business grow, may distract them or slow the rate of business. In order to
      grow,
      we and our Administrative Consultant will need to hire, train, supervise and
      manage new employees. However, we cannot assure you that any such employees
      will
      contribute to the work of the Administrative Consultant. Any failure to manage
      our future growth effectively could have a material adverse effect on our
      business, financial condition and results of operations.




***We
      may change our business strategy and asset allocation without stockholder
      consent, which may result in our engaging in riskier
      businesses.***




We
      may
      change our business strategy or asset allocation at any time without the consent
      of our stockholders. Any such change in our business strategy or asset
      allocation could result in our engaging in businesses that are different from,
      and possibly riskier than, the business described in this annual report. A
      change in our business strategy may increase our exposure to interest rate
      market fluctuations.




**Risks
      Relating to our Securities**




***Two
      of our current stockholders currently have, and may continue to have, a
      significant influence over our management and affairs and control over most
      votes requiring stockholder approval.***




The
      majority of common stock is currently held by only two stockholders, Avante
      (69.27%) and GAMI (13.85%), both of which are managed by one individual, Michael
      W. Hawkins. As long as these two stockholders continue to hold a significant
      percentage of our common stock following an offering, they will be able to
      exert
      influence over our management and policies and control most votes requiring
      stockholder approval. This concentration of ownership may also have the effect
      of delaying, preventing or deterring a change of control of the Company, could
      deprive our stockholders of an opportunity to receive a premium for their common
      stock as part of a sale of the Company and might ultimately affect the market
      price of our common stock. The Administrative Consultant has the authority
      to
      vote securities held by our two controlling stockholders, including on matters
      that may present a conflict of interest between the Administrative Consultant
      and other stockholders.




-22-


***Efforts
      to comply with the Sarbanes-Oxley Act will involve significant expenditures,
      and
      non-compliance with the Sarbanes-Oxley Act may adversely affect
      us.***





Upon
      effectiveness of this Registration Statement, we will be subject to certain
      provisions of the Sarbanes-Oxley Act of 2002, and the related rules and
      regulations promulgated by the SEC. Under current SEC rules, beginning with
      our
      fiscal year ending December 31, 2008, our management will be required to
      report on our internal controls over financial reporting pursuant to
      Section 404 of the Sarbanes-Oxley Act of 2002 and rules and regulations of
      the SEC thereunder. We will be required to review on an annual basis our
      internal controls over financial reporting, and on a quarterly and annual basis
      to evaluate and disclose changes in our internal controls over financial
      reporting. As a result, we expect to incur significant additional expenses
      in
      the near term, which may negatively impact our financial performance and our
      ability to make distributions. This process also will result in a diversion
      of
      management’s time and attention. We cannot be certain as to the timing of
      completion of our evaluation, testing and remediation actions or the impact
      of
      the same on our operations and may not be able to ensure that the process is
      effective or that the internal controls are or will be effective in a timely
      manner. There can be no assurance that we will successfully identify and resolve
      all issues required to be disclosed prior to becoming a public company or that
      our quarterly reviews will not identify additional material weaknesses. In
      the
      event that we are unable to maintain or achieve compliance with the
      Sarbanes-Oxley Act and related rules, we may be adversely affected.




***With
      a limited public market of our securities, and no current market makers, the
      Company may witness volatility and huge fluctuations in our stock price and
      the
      price may not be indicative of the Company’s performance and have a negative
      effect on the Company’s ability to raise capital or make
      acquisitions.***





The
      Company’s common stock is quoted and traded on the Markets under the ticker
      symbol OGNT.PK and is thinly traded. Until such time that the Company receives
      approval from the Financial Industry Regulatory Authority ( FINRA ) to trade
      its
      shares on another platform, the stock may be sold or bought at varying prices
      that would make it difficult for potential investors and acquisition candidates
      to make a fair assessment of the Company’s valuation. As such, the Company may
      not be able to fairly negotiate acquisition transactions that are fair and
      equitable.




**ITEM
      2.**  **UNREGISTERED
      SALE OF EQUITY SECURITIES AND IN SECURITIES AND USE OF
      PROCEEDS**





The
      Company sold 27 units of Series A Preferred under its Private Placement
      Memorandum. Each unit consist of 10,000 shares of Series A Preferred Stock
      that
      converts to common stock on a 1-for-1 basis.




**ITEM
      3.**  **DEFAULTS
      UPON SENIOR SECURITIES**





None.




**ITEM
      4.**  **SUBMISSION
      OF MATTERS TO A VOTE OF SECURITY HOLDERS**





None.


**ITEM
      5.**  **OTHER
      INFORMATION**




John
      S.
      Wittler resigned as the Company's CFO on May 9, 2008. The Board appointed the
      CEO, Gina L. Bennett, as the Interim CFO. Steves Rodriguez will serve as the
      Interim CFO effective May 16, 2008.


Bruce
      Harmon resigned as a member of the Board on May
      9, 2008.




**ITEM
      6.**  **EXHIBITS**





Exhibits





No.
            
            Description31.1
            
            Certification
                Pursuant to Section 302 of the Sarbanes-Oxley Act of
                2002.31.2
            
            Certification
                Pursuant to Section 302 of the Sarbanes-Oxley Act of
                2002.32.1
            
            Certification
                Pursuant to Section 906 of the Sarbanes-Oxley Act of
                2002.32.2
            
            Certification
                Pursuant to Section 906 of the Sarbanes-Oxley Act of
                2002.




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**SIGNATURES**





In
      accordance with the requirements of the Exchange Act, the registrant caused
      this
      report to be signed on its behalf by the undersigned, there unto duly
      authorized.





Organa
                Technologies Group, Inc.Date:
                May 15, 2008By:
            /s/
                Gina L. BennettChief
                Executive Officer(Principal
                Executive Officer)Date:
                May 15, 2008By:
            /s/
                Gina L. BennettInterim
                Chief Financial Officer (PrincipalAccounting
                and Financial Officer)


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