SECURITIES AND EXCHANGE COMMISSION
                     Washington, D.C. 20549

                            FORM 10-Q
(Mark One)
/X/ Quarterly report pursuant to Section 13 or 15(d) of the
Securities Act of 1934

For the quarterly period ended March 31, 1998 or

/ / Transition report pursuant to Section 13 or 15(d) of the
Securities Act of 1934

For the transition period from               to 

Commission file number 2-80891-NY

                     MODERN TECHNOLOGY CORP.
                                                                  
     (Exact Name of Registrant as Specified in its Charter)

Nevada                                  11-2620387
                                                                  
(State or other jurisdiction of         (I.R.S. Employer
Incorporation or Organization)            Identification Number)

             240 Clarkson Avenue, Brooklyn, NY 11226
                                                                  
(Address of Principal Executive Office)           (Zip Code)

                          (718)469-3132
                                                                  
      (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 and Exchange Act of 1934 during the preceding twelve
months or for such shorter period that the Registrant was required
to file such reports, and (2) has been subject to such filing
requirements for the past ninety days.
Yes / X /  No /  /

  APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY PROCEEDINGS
                 DURING THE PRECEDING FIVE YEARS

     Indicate by check mark whether the registrant has filed all
documents and reports required to be filed by Section 12, 13 or
15(d) of the Securities Exchange Act of 1934 subsequent to the
distribution of securities under a plan confirmed by a court.
Yes /  /   No /  /

              APPLICABLE ONLY TO CORPORATE ISSUERS

     Indicate the number of shares outstanding of each of the
issuer's classes of common stock, as of the latest practicable
date.  20,150,000
                              10Q-1













                     MODERN TECHNOLOGY CORP.

                      FINANCIAL STATEMENTS

                         MARCH 31, 1998






                            I N D E X




                                                            Page



INDEPENDENT ACCOUNTANTS' REVIEW REPORT                        1


CONSOLIDATED BALANCE SHEETS                                   2


CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY                3


CONSOLIDATED STATEMENTS OF OPERATIONS                        4-5


CONSOLIDATED STATEMENTS OF CASH FLOWS                         6


NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS               7-10










             INDEPENDENT ACCOUNTANTS' REVIEW REPORT




To the Board of Directors and Stockholders
MODERN TECHNOLOGY CORP.
Brooklyn, NY

We have reviewed the consolidated balance sheets of MODERN
TECHNOLOGY CORP. as at March 31, 1998, and the related consolidated
statements of operations, stockholders' equity and cash flows for
the nine month periods ended March 31, 1998 and 1997, in accordance
with Statements on Standards for Accounting and Review Services
issued by the American Institute of Certified Public Accountants. 
All information included in these financial statements is the
representation of management of Modern Technology Corp.

A review of interim financial information consists principally of
obtaining an understanding of the system for the preparation of
interim financial information, applying analytical review
procedures to financial data, and making inquiries of persons
responsible for financial and accounting matters.  It is
substantially less in scope than an examination in accordance with
generally accepted auditing standards, the objective of which is
the expression of an opinion regarding the financial statements
taken as a whole.  Accordingly, we do not express such an opinion.

Based on our review, we are not aware of any material modifications
that should be made to the consolidated financial statements for
them to be in conformity with generally accepted accounting
principles.

We have previously audited, in accordance with generally accepted
auditing standards, the balance sheet as of June 30, 1997, and the
related statements of operations, stockholders' equity and cash
flows for the year then ended (not presented herein); and in our
report dated August 15, 1997, we expressed an unqualified opinion
on those financial statements.  In our opinion, the information set
forth in the accompanying balance sheet as of June 30, 1997 is
fairly stated in all material respects in relation to the balance
sheet from which it has been derived.



                                   GREENBERG & COMPANY, LLC

Springfield, New Jersey
April 23, 1998

                                                       Page 1 of 10
                        MODERN TECHNOLOGY CORP.
                      CONSOLIDATED BALANCE SHEETS


                                      March 31, 1998
                                        (Unaudited)    June 30, 1997


                              A S S E T S


CURRENT ASSETS
  Cash and Cash Equivalents              $702,473         $647,886
    Total Current Assets                  702,473          647,886

EQUIPMENT - At Cost                         9,939            9,939
  Less:  Accumulated Depreciation           9,939            9,939
                                              -0-              -0-


OTHER ASSETS 
  Investments, At Cost                     24,750           49,770
  Deferred Tax Asset                        7,375            7,375
  Deferred Registration Costs              26,007           25,907
  Other Assets                                300              300
    Total Other Assets                     58,432           83,352

TOTAL ASSETS                             $760,905         $731,238

                                   
L I A B I L I T I E S  A N D  S T O C K H O L D E R S'  E Q U I T Y


CURRENT LIABILITIES
  Accrued Expenses and Taxes             $ 17,892         $  3,219
    Total Current Liabilities              17,892            3,219

STOCKHOLDERS' EQUITY
  Common Stock Par Value $.0001
    Authorized:  150,000,000
    Shares Issued and Outstanding:
    20,150,000 Shares                       2,015            2,015
  Paid-In Capital in Excess of Par        495,161          495,161
  Retained Earnings                       245,837          230,843
    Total Stockholders' Equity            743,013          728,019

TOTAL LIABILITIES AND
  STOCKHOLDERS' EQUITY                   $760,905         $731,238





  
Subject to the comments contained in the Accountants' Review Report.


                                                          Page 2 of 10
                          MODERN TECHNOLOGY CORP.
              CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY
               FOR THE PERIOD JULY 1, 1994 TO MARCH 31, 1998



                       Common Stock                             Total
                                   Par                          Stock-
                       # of       Value   Paid-In    Retained   holders'
                      Shares     $.0001   Capital    Earnings    Equity 



BALANCES AT
JULY 1, 1995        20,150,000   $2,015   $495,161   $222,638   $719,814

Net (Loss) for
the Year Ended
June 30, 1996                                          (3,720)    (3,720)

BALANCES AT
JUNE 30, 1996       20,150,000    2,015    495,161    218,918    716,094

Net Income
for the Year Ended
June 30, 1997                                          11,925     11,925

BALANCES AT
JUNE 30, 1997
(Audited)           20,150,000     2,015   495,161    230,843    728,019

Net Income
for the Nine
Months Ended
March 31, 1998                                         14,994     14,994


BALANCES AT
MARCH 31, 1998
(UNAUDITED)         20,150,000   $2,015   $495,161   $245,837   $743,013














Subject to the comments contained in the Accountants' Review Report.


                                                                Page 3 of 10
                        MODERN TECHNOLOGY CORP.
                 CONSOLIDATED STATEMENTS OF OPERATIONS
                              (Unaudited)



                                                     For The Nine
                                                     Months Ended
                                                       March  31,    
                                                    1998       1997  


REVENUES

  Interest Income                                 $23,644    $26,029
  Management Income                                 3,200      7,200
  Gain on Sale of Securities                       67,065     29,940
                                                   93,909     63,169
  

EXPENSES

  Officers Salaries                                22,100      5,400
  General and Administrative Expenses              40,624     22,517
  Bad Debt                                            -0-     11,400
                                                   62,724     39,317
  

INCOME BEFORE TAXES                                31,185     23,852

Income Tax Expense                                 16,191      3,112


NET INCOME (LOSS)                                 $14,994    $20,740


NET INCOME (LOSS) PER SHARE                         NIL        NIL  


NUMBER OF WEIGHTED AVERAGE SHARES
  OUTSTANDING                                  20,150,000  20,150,000













Subject to the comments contained in the Accountants' Review Report.


                                                          Page 4 of 10
                        MODERN TECHNOLOGY CORP.
                 CONSOLIDATED STATEMENTS OF OPERATIONS
                              (Unaudited)



                                                     For The Three
                                                     Months Ended
                                                       March 31,     
                                                    1998       1997  


REVENUES

  Interest Income                                 $ 7,304    $11,476
  Management Income                                   -0-      2,400
  Gain on Sale of Securities                          -0-     29,940
                                                    7,304     43,816
  

EXPENSES

  Officers Salaries                                 1,200      1,800
  General and Administrative Expenses               8,191      8,926
  Bad Debt                                            -0-     11,400
                                                    9,391     22,126
  

INCOME (LOSS) BEFORE TAXES                         (2,087)    21,690

Income Tax Expense (Benefit)                       (1,119)     2,674


NET INCOME (LOSS)                                 $  (968)   $19,016


NET INCOME (LOSS) PER SHARE                         NIL        NIL  


NUMBER OF WEIGHTED AVERAGE SHARES
  OUTSTANDING                                  20,150,000  20,150,000













Subject to the comments contained in the Accountants' Review Report.


                                                          Page 5 of 10
                        MODERN TECHNOLOGY CORP.
                 CONSOLIDATED STATEMENTS OF CASH FLOWS
                              (Unaudited)


                                                   For The Nine
                                                   Months Ended
                                                     March 31,      
                                                 1998        1997   


CASH FLOWS FROM OPERATING ACTIVITIES:
  Net Income (Loss)                            $ 14,994    $ 20,740
  Adjustments to Reconcile Net
   Income to Net Cash Provided By
   Operating Activities:
    Changes in Assets and Liabilities:
     (Increase) Decrease in Due from
      Securities Sale                               -0-     (32,000)
     (Increase) Decrease in Receivable
      - Affiliate                                   -0-        (800)
     (Increase) Decrease in Other Assets            -0-        (300)
     (Decrease) Increase in Accrued
       Expenses                                  14,673       3,643

  Net Cash Provided By (Used In)
   Operating Activities                          29,667      (8,717)

CASH FLOWS FROM INVESTING ACTIVITIES:
  Sale of Investment                             25,020      25,000
  Deferred Registration Costs - Subsidiary         (100)    (12,650)
  Loans to Affiliate                                -0-         -0-
  Bad Debt - Loan to Affiliate                      -0-      11,400

  Net Cash Provided By (Used In)
   Investing Activities                          24,920      23,750

Net (Decrease) Increase in Cash
  and Cash Equivalents                           54,587      15,033

Cash and Cash Equivalents,
  Beginning of Period                           647,886     616,268

CASH AND CASH EQUIVALENTS
  END OF PERIOD                                $702,473    $631,301


Supplemental Disclosures of 
  Cash Flow Information
   Cash Paid During Period For:
     Taxes                                     $  8,113    $   523
     Interest                                       -0-         -0-


Subject to the comments contained in the Accountants' Review Report.


                                                           Page 6 of 10
                     MODERN TECHNOLOGY CORP.
         NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
            FOR THE NINE MONTHS ENDED MARCH 31, 1998
                           (Unaudited)

NOTE 1:   ORGANIZATION AND NATURE OF OPERATIONS

          Modern Technology Corp. (Modern) is a Nevada corporation. 
          Modern is engaged in aiding prospective clients in
          obtaining financing and in providing managerial services
          to client companies.  Modern's office is located in New
          York.

NOTE 2:   SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

          ACCOUNTING POLICIES

          Modern Technology Corp.'s accounting policies conform to
          generally accepted accounting principles.  Significant
          policies followed are described below.

          BASIS OF PRESENTATION

          The accompanying consolidated financial statements
          include the accounts of its wholly owned subsidiary Coral
          Development Corp (Coral).  All significant intercompany
          balances and transactions have been eliminated in
          consolidation.  Modern invested $30,300 in Coral during
          the quarter ended December 31, 1996.

          RECLASSIFICATIONS

          Certain items from prior periods within the financial
          statements have been reclassified to conform to current
          period classifications.

          CASH AND CASH EQUIVALENTS

          Cash equivalents consist of highly liquid, short-term
          investments with maturities of 90 days or less.

          ESTIMATES IN FINANCIAL STATEMENTS

          The preparation of the Company's financial statements in
          conformity with generally accepted accounting principles
          requires management to make estimates and assumptions
          that affect the reported amounts of assets and
          liabilities at the date of the financial statements and
          the reported amounts of revenues and expenses during the
          reporting period.  Actual results could differ from those
          estimates.

          INCOME TAXES

          The Company accounts for income taxes in accordance with
          Statement of Financial Accounting Standards ('SFAS') No.
          109, 'Accounting for Income Taxes.'  SFAS 109 has as its
          basic objective the recognition of current and deferred
          income tax assets and liabilities based upon all events
          that have been recognized in the financial statements as
          measured by the provisions of the enacted tax laws. 
                                                       Page 7 of 10
                     MODERN TECHNOLOGY CORP.
         NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
            FOR THE NINE MONTHS ENDED MARCH 31, 1998
                           (Unaudited)
                           (Continued)

          DEFERRED REGISTRATION COSTS

          As of March 31, 1998, the Company's subsidiary, Coral,
          has incurred deferred registration costs of $26,007
          relating to expenses incurred in connection with the
          Proposed Distribution of Coral's securities.  Upon
          consumation of this Proposed Distribution, the deferred
          registration costs will be charged to equity.  Should the
          Proposed Distribution prove to be unsuccessful, these
          deferred costs, as well as additional expenses to be
          incurred, will be charged to operations.

NOTE 3:   INVESTMENT IN EQUITY SECURITIES (At Cost)

          Investments in non-marketable Equity Securities consist
          of the following:
                                        March 31,  June 30,
                                          1998       1997  
          Investment in 25,000 Shares
          of Delta Three, Inc.          $   -0-    $25,000

          Investment in TTR Inc. 
          10% Promissory Note               -0-     25,000

          Investment in 72 million
          restricted shares in
          Daine Industries, Inc.         15,900     15,900

          Investment in 501,000
          restricted shares in
          Davin Enterprises, Inc.         7,950      7,950

          Investments in other
          restricted securities             900        920

                                        $24,750    $74,770

          The Company purchased 72 million shares of Daine
          Industries, Inc. stock at a cost of $15,900.  This
          represents 29% of the total outstanding shares of common
          stock.

          The Company purchased 501,000 shares of Davin
          Enterprises, Inc. at a cost of $7,950.

          The Company purchased an investment in TTR Inc., a 10%
          promissory note in the amount of $25,000 with warrants
          for 4,000 shares exercisable at $.01 at the time of a TTR
          initial public offering.  TTR Inc. incorporated for the
          purpose of designing, developing, and marketing computer
          software products.  During the quarter ended September
          30, 1997, this investment was sold.


                                                       Page 8 of 10
                     MODERN TECHNOLOGY CORP.
         NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
            FOR THE NINE MONTHS ENDED MARCH 31, 1998
                           (Unaudited)
                           (Continued)

          The Company purchased 25,000 shares of Delta Three Inc.
          for $25,000.  Delta Three, Inc. is a telecommunications
          provider using Internet technology for voice
          transmission.  During the quarter ended September 30,
          1997 this investment was sold.

NOTE 4:   INVESTMENT IN AFFILIATE (At Equity)

          Investment in Soft Sail Wind Power Inc.
          (representing approximately 36% of the
          outstanding common stock)                

          The summarized unaudited financial information below
          represents the Company's nonsubsidiary affiliate:

          Balance Sheet Data at June 30, 1996:
            Total Assets                           $ 12,656
            Total Liabilities                        11,400
              Net Assets                              1,256
            Company's Equity in Net Assets              452

          Earnings Data at June 30, 1996:
            Net Earnings (Loss)                     (26,350)
            Company's Equity in Net 
              Earnings (Loss)                        (9,486)

          During the year ended June 30, 1997 the Company
          recognized a complete loss on its investment and loan to 
          Soft Sail.  There is no financial information available 
          since June 30, 1996.  At the present time the Company 
          does not believe Soft Sail will be able to repay its debt 
          to the Company and has therefore considered its debt and 
          equity investment in Soft Sail to be worthless.  The loss 
          in the previous year on the loan was $11,400 and the loss 
          in the previous year on its equity investment was 
          $16,005.

NOTE 5:   INCOME TAXES

          The provision for income taxes is comprised of the
          following:
                                        3/31/98    3/31/97
          Current tax expense:
            Federal income tax          $ 4,890    $ 2,606
            State & city tax             11,301        506
                                        $16,191    $ 3,112

          There were no timing differences during the current 
          periods.  Therefore, there was no deferred tax expense 
          during the quarters ended March 31, 1998 and 1997.




                                                       Page 9 of 10
                     MODERN TECHNOLOGY CORP.
         NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
            FOR THE NINE MONTHS ENDED MARCH 31, 1998
                           (Unaudited)
                           (Continued)

          Deferred income taxes reflect the net tax effects of 
          temporary differences between the carrying amounts of 
          assets and liabilities for financial reporting purposes
          and amounts used for income tax purposes and the impact
          of available net operating loss carryforwards.  The net
          operating loss of approximately $25,000 will expire in
          fiscal year June 30, 2012.

          The tax effect of significant temporary differences,    
          which comprise the deferred tax assets are as follows:

                                        3/31/98    3/31/97
          Deferred tax assets:
            Net operating loss
              Carry forwards            $ 7,375    $  -0-
          Net deferred tax (assets)     $(7,375)   $  -0-


NOTE 6:   POSTRETIREMENT BENEFITS

          The Company does not maintain any employee benefits
          currently.  The Company does not maintain a plan for any
          postretirement employee benefits, therefore, no provision
          was made under FAS's 106 or 112.

NOTE 7:   RELATED PARTY TRANSACTIONS

          Arthur Seidenfeld, President and a director of the
          Company, owns 14.5% of the outstanding shares of Daine
          Industries, Inc.  Anne Seidenfeld, Treasurer, Secretary
          and a director of the Company, owns 12% of the
          outstanding shares of Modern Technology Corp.  Anne
          Seidenfeld is Arthur Seidenfeld's mother.

NOTE 8:   INTERIM FINANCIAL REPORTING

          The unaudited financial statements of the Company for the
          period July 1, 1997 to March 31, 1998 have been prepared
          by management from the books and records of the Company,
          and reflect, in the opinion of management, all
          adjustments necessary for a fair presentation of the
          financial position and operations of the Company as of
          the period indicated herein, and are of a normal
          recurring nature.










                                                     Page 10 of 10
                     
                 Part 1.  Financial Information

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

          Modern Technology Corp. ("The Company") is engaged in
aiding prospective clients in obtaining financing and in providing
management services to client companies.  During the nine months
ended March 31, 1998, the Registrant was involved in providing
managerial services to one firm which it aided in obtaining
financing, namely Davin Enterprises, Inc. ("Davin") and received
management fees of $3,200 from Davin.  As of January 1, 1998, Davin
is no longer a client of the company.

          During the nine months ended March 31, 1998, the
Registrant had net income of $14,994 as compared with net income of
$20,740 during the nine months ended March 31, 1997.  For the nine
months ended March 31, 1998 total revenues amounted to $93,909, a
49% increase over revenues generated during the nine months ended
March 31, 1997.   Expenses for the nine months ended March 31, 1998
amounted to $62,724, a 60% increase over expenses incurred for the
nine months ended March 31, 1997.  Net income before taxes amounted
to $31,185 for the nine months ended March 31, 1998, a 31% increase
over net income earned during the nine months ended March 31, 1997.

          After tax net income for the nine months ended March 31,
1998 declined by 28% ($5,746) when compared with net income after
tax earned during the nine months ended March 31, 1997.  This
decline can be attributed to income tax expense of $16,191 incurred
during the nine month period ended March 31, 1998, a dramatic
increase over income tax expense of $3,112 incurred during the nine
months ended March 31, 1997.

          During the nine month period ended March 31, 1998 the
Registrant sold its share positions in Delta Three Inc and TTR
Inc., generating a gain of $67,065.  The rise in expenses for the
nine months ended March 31, 1998 can be attributed to higher
officers salaries and general and administrative expenses offset by
a decline in bad debts (none incurred during the nine months ended
March 31, 1998 as compared with $11,400 incurred during the nine
months ended March 31, 1997 as a result of a writeoff of the
Registrant's loan to Soft Sail Wind Power Inc).

          During the nine months ended March 31, 1998 and 1997, the
Registrant's treasurer-secretary, Anne Seidenfeld received a salary
of $5,400.  During the nine months ended March 31, 1998 the
Registrant's president received a salary of $16,700.

          The cash and cash equivalents balances along with
holdings of U.S. Treasury Obligations of the Company as of March
31, 1998 and June 30, 1997 were $702,473 and $647,886.

          On July 27, 1994, the Registrant signed an agreement to
purchase a 40% ownership interest in a company entitled Soft Sail
Wind Power Inc.  The purpose of Soft Sail Wind Power Inc. will be
to exploit and commercialize wind power.  As of December 31, 1996,
the Registrant owned 404 shares of Soft Sail Wind Power Inc. at a
cost of $40,449 and has loaned Soft Sail Wind Power Inc. $11,400. 
As of March 31, 1997, the Registrant had written off its investment
and loan with Soft Sail Wind Power Inc.

          During the quarter ended March 31, 1995, the Registrant
purchased one unit in TTR Inc. in the amount of $25,000, consisting
of a 10% promissory note and warrants to purchase 4,000 shares of
common stock.  During the quarter ended March 31, 1997, TTR repaid
its note to the Registrant with interest amounting to $5,000.  The
Registrant exercised warrants to purchase 4,000 shares of TTR Inc.
costing $60 and sold the accompanying shares for $30,000,
generating a gain of $29,940.

          During the quarter ended June 30, 1996, the Registrant
purchased 25,000 shares of Delta Three Inc. for $25,000.  Delta
Three Inc. is an Israeli based telecommunications provider using
Internet technology for voice transmission.

                   Part 2.  Other Information


Item 1.   Legal Proceedings.  None.


Item 2.   Changes in Securities.  None.


Item 3.   Defaults upon Senior Securities.  None.


Item 4.   Submission of Matters to a Vote of Security Holders. 
          None.


Item 5.   Other Materially Important Events.  None.


Item 6.   Exhibits and Reports on Form 8-K.  None.


                           SIGNATURES


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


                     MODERN TECHNOLOGY CORP.


                   By:                        
                       Arthur J. Seidenfeld
                 President, Chief Executive and
                     Chief Financial Officer
                          May 12, 1998