U.S. SECURITIES
AND EXCHANGE COMMISSION

Washington,
D.C. 20549



FORM 10-Q/A

(Amendment No.
1)



(Mark One)



þQUARTERLY
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934



For the quarterly
period ended December 31, 2012



OR



oTRANSITION
REPORT UNDER SECTION 13 OF 15(d) OF THE EXCHANGE ACT OF 1934



Commission File
Number 001-34250



Description: http:||www.sec.gov|Archives|edgar|data|1408276|000135448813003149|img001.jpg



SEVEN ARTS
ENTERTAINMENT INC.

(Exact name of
small business issuer as specified in its charter)



|Nevada                                                         |  | 45-3138068                       
|-------------------------------------------------------------- |  | ---------------------------------
|(State or other jurisdiction of incorporation or organization) |  | (IRS Employer Identification No.)



8439
Sunset Boulevard 4thFloor

Los Angeles,
CA 90069

(Address of principal
executive offices)



(323) 372-3080

(Issuer's telephone
number)



(Former
name, former address and former fiscal year, if changed since last report)



Indicate
by check mark whether the registrant (1) filed all reports required to be filed by Section 13 or 15(d) of the Exchange Act during
the past 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject
to such filing requirements for the past 90 days: YesþNoo



Indicate
by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive
Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the
preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). YesþNoo



Indicate by check
mark whether the Registrant is a large accredited filer, an accelerated filer, a non-accelerated filer, or a smaller reporting
company. See the definitions of “large accredited filer”, “accelerated filer” and “smaller reporting
company” in Rule 12b-2 of the Exchange Act:



|Large Accredited Filer | o | Accelerated Filer         | o
|---------------------- | - | ------------------------- | -
|Non-Accredited Filer   | o | Smaller Reporting Company | þ



Indicate
by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). YesoNoþ



As of September
10, 2013, there were 200,635,536 shares of Common Stock of the issuer outstanding.













EXPLANATORY
NOTE



We
are filing this Amendment No. 1 on Form 10-Q/A for
the sole purpose of correcting an administrative error on Item 4 of Part I “Financial Information” on the original
Form 10-Q of our Quarterly Report on Form 10-Q for the quarter ended December 31, 2012 as originally filed with the Securities
and Exchange Commission on February 19, 2013 (the “Original Date”). This Amendment speaks as of the filing date of
the Original Date and does not reflect events which may have occurred subsequent to the filing of the Original Date.





ITEM 4: CONTROLS AND PROCEDURES



Evaluation of Disclosure Controls
and Procedures



Under the supervision and participation
of our management, including our Chief Executive Officer and Chief Financial Officer, we conducted an evaluation of the effectiveness
of our disclosure controls and procedures as such term is defined under Rule 13a-15(e) and 15d-15(e) under the Securities Exchange
Act of 1934, as amended (the “Exchange Act”). Based upon this evaluation, our Chief Executive Officer and our Chief
Financial Officer have concluded that as of December 31, 2012, our disclosure controls and procedures were ineffective due to a
material weakness existing in our internal controls over financial reporting as of September 30, 2012 (described below), which
has not been fully remediated as of December 31, 2012.



A material weakness is a deficiency,
or a combination of deficiencies, in Internal Control over Financial Reporting (“ICFR”), such that there is a reasonable
possibility that a material misstatement of the Company's annual or interim financial statements will not be prevented or detected
on a timely basis. A material weakness would permit information required to be disclosed by the Company in the reports that it
files or submits to not be recorded, processed, summarized and reported, within the time periods specified in the SEC rules and
forms. Based upon an evaluation conducted for the period ended December 31, 2012, our Chief Executive and Chief Financial
Officer as of December 31, 2012 and as of the date of this Report, has concluded that as of the end of the periods covered by this
report, we have identified the following material weakness of our internal controls:



|● | Lack of sufficient accounting staff which results in a lack of segregation of duties necessary for a good system of internal control and financial statement presentation.
|- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------



Changes in Internal Controls over
Financial Reporting



We have not yet made any changes in
our internal controls over financial reporting that occurred during the period covered by this report on Form 10-Q that has materially
affected, or is reasonably likely to materially affect, our internal control over financial reporting.













SIGNATURES



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



|                         | SEVEN ARTS PICTURES, INC. |                  
|------------------------ | ------------------------- | -----------------
|                         |                           |                  
|Date: September 11, 2013 | By:                       | /s/ Kate Hoffman 
|                         |                           | Kate Hoffman, CEO



|Date: September 11, 2013 | By: | /s/ Candace Wernick     | 
|------------------------ | --- | ----------------------- | 
|                         |     | Candace Wernick         | 
|                         |     | Chief Financial Officer |