----

----

| Delaware                                                                                         |  62-1133652                                                       |
|--------------------------------------------------------------------------------------------------|------------------------------------------------------------------------|
| (State                  or other jurisdiction of incorporation                  or organization) | (I.R.S.                  Employer Identification                  No.) |
|                                                                                             |                                                                   |
| P.O.                  Box 1355                                                                   |                                                                        |
| Englewood                  Cliffs, New Jersey                                                    |  11580                                                            |
| (Address                  of principal executive offices)                                        | (Zip                  code)                                            |

----

----

**Part      I Financial Information**

**Item      1.**
**      Financial Statements.**

| **Universal                Services Group, Inc. and Subsidiaries**   |   |
|----------------------------------------------------------------------|--------|
| **Consolidated                Balance Sheets**                       |   |
| **(UNAUDITED)**                                                      |   |
|                                                                 |   |
|                                                                 |   | May                1, |   | November                1, |   |
|                                                                      |   |   | 1998 |   |   | 1997 |   |
|                                                                      |   |   | (Unaudited) |   |   | (Unaudited) |   |
| **Assets:**                                                          |   |   |   |   |   |   |   |
| Current                Assets:                                       |   |   |   |   |   |   |   |
| Cash                and Cash Equivalents                             |   | $ | 0 |   | $ | 0 |   |
| Accounts                Receivable, Net                              |   |   | 0 |   |   | 0 |   |
| Accounts                Receivable-Sale of Assets                    |   |   | 0 |   |   | 0 |   |
| Other                Current Assets                                  |   |   | 0 |   |   | 0 |   |
|                                                                 |   |   |   |   |   |   |   |
| Total                Current Assets                                  |   | $ | 0 |   | $ | 0 |   |
|                                                                 |   |   |   |   |   |   |   |
| Property                & Equipment, Net                         |   |   | 0 |   |   | 0 |   |
|                                                                 |   |   |   |   |   |   |   |
| Other                Assets                                          |   |   | 0 |   |   | 0 |   |
|                                                                 |   |   |   |   |   |   |   |
| Total                Assets                                          |   | $ | 0 |   | $ | 0 |   |
|                                                                 |   |   |   |   |   |   |   |
| **Liabilities:**                                                     |   |   |   |   |   |   |   |
|                                                                 |   |   |   |   |   |   |   |
| Current                Liabilities                                   |   |   |   |   |   |   |   |
| Notes                Payable-Bank                                    |   | $ | 0 |   | $ | 0 |   |
| Current                Maturities of Long Term Debt                  |   |   | 97,752 |   |   | 97,752 |   |
| Accounts                Payable-Trade                                |   |   | 82,161 |   |   | 82,161 |   |
| Accrued                Payroll                                       |   |   | 0 |   |   | 0 |   |
| Payroll                Taxes Payable                                 |   |   | 248,578 |   |   | 248,578 |   |
| Accrued                Expenses                                      |   |   | 452,523 |   |   | 452,523 |   |
|                                                                 |   |   |   |   |   |   |   |
| Total                Current Liabilities                             |   | $ | 881,014 |   | $ | 881,014 |   |
|                                                                 |   |   |   |   |   |   |   |
| Non                Current Liabilities:                              |   |   |   |   |   |   |   |
| Notes                Payable-Related Parties                         |   |   | 805,090 |   |   | 805,090 |   |
|                                                                 |   |   |   |   |   |   |   |
| Total                Liabilities                                     |   | $ | 1,686,104 |   | $ | 1,686,104 |   |
|                                                                 |   |   |   |   |   |   |   |
| **Stockholders                Equity**                               |   |   |   |   |   |   |   |
| Common                Stock-$.06 Par Value                           |   | $ | 321,232 |   | $ | 321,232 |   |
| 50,000,000                Shares Authorized, 5,353,857 Shares        |   |   |   |   |   |   |   |
| Issued                and Outstanding                                |   |   |   |   |   |   |   |
| Additional                Paid in Capital                            |   |   | 322,097 |   |   | 322,097 |   |
| Retained                Earnings (Deficit)                           |   |   | (2,329,433 | ) |   | (2,329,433 | ) |
|                                                                 |   |   |   |   |   |   |   |
| Total                Stockholders Equity (Deficit)                   |   |   | (1,686,104 | ) |   | (1,686,104 | ) |
|                                                                 |   |   |   |   |   |   |   |
| Total                Liabilities & Stockholders Equity (Deficit) |   | $ | 0 |   | $ | 0 |   |

| See                Notes to Consolidated Financial Statements |   |   |   |
|---------------------------------------------------------------|--------|--------|--------|

----

| **Universal                Services Group, Inc. and Subsidiaries** |
|--------------------------------------------------------------------|
| **Consolidated                Statements of Operations**           |
| **For                the Three Months ended May 1, 1998 and 1997** |
| **(UNAUDITED)**                                                    |
|                                                               |   |   |   |   |   |   |   |
|                                                                    |   | For                the Three Months |
|                                                                    |   | Ended |
|                                                                    |   |   | May                1, |   |   | May                1, |   |
|                                                               |   |   | 1998 |   |   | 1997 |   |
|                                                                    |   |   | (Unaudited) |   |   | (Unaudited) |  |
|                                                               |   |   |   |   |   |   |   |
| Revenues                                                           |   | $ | 0 |   | $ | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Direct                Costs                                        |   |   | 0 |   |   | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Gross                Operating Profit                              |   | $ | 0 |   | $ | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Selling,                General and Administrative Expenses        |   |   | 0 |   |   | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Income                (Loss) from Operations                       |   | $ | 0 |   | $ | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Other                Income (Expenses)                             |   |   |   |   |   |   |   |
| Penalties                & Interest                            |   |   | 0 |   |   | 0 |   |
| Interest                Expense, Net                               |   |   | 0 |   |   | 0 |   |
| Total                Other Income (Expenses)                       |   | $ | 0 |   | $ | 0 |   |
|                                                               |   |   |   |   |   |   |   |
|                                                               |   |   |   |   |   |   |   |
| Net                Income (Loss) before Taxes                      |   | $ | 0 |   | $ | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Less:                Provision for Income Taxes                    |   |   | 0 |   |   | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Net                Income (Loss)                                   |   | $ | 0 |   | $ | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Net                Income (Loss) per Share                         |   | $ | 0.00 |   | $ | 0.00 |   |

| See                Notes to Consolidated Financial Statements |   |   |   |   |
|---------------------------------------------------------------|--------|--------|--------|--------|

----

| **Universal                Services Group, Inc. and Subsidiaries** |
|--------------------------------------------------------------------|
| **Consolidated                Statements of Operations**           |
| **For                the Six Months ended May 1, 1998 and 1997**   |
| **(UNAUDITED)**                                                    |
|                                                               |   |   |   |   |   |   |   |
|                                                                    |   | For                the Six Months |
|                                                                    |   | Ended |
|                                                                    |   |   | May                1, |   |   | May                1, |   |
|                                                               |   |   | 1998 |   |   | 1997 |   |
|                                                                    |   |   | (Unaudited) |   |   | (Unaudited) |  |
|                                                               |   |   |   |   |   |   |   |
| Revenues                                                           |   | $ | 0 |   | $ | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Direct                Costs                                        |   |   | 0 |   |   | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Gross                Operating Profit                              |   | $ | 0 |   | $ | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Selling,                General and Administrative Expenses        |   |   | 0 |   |   | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Income                (Loss) from Operations                       |   | $ | 0 |   | $ | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Other                Income (Expenses)                             |   |   |   |   |   |   |   |
| Penalties                & Interest                            |   |   | 0 |   |   | 0 |   |
| Interest                Expense, Net                               |   |   | 0 |   |   | 0 |   |
| Total                Other Income (Expenses)                       |   | $ | 0 |   | $ | 0 |   |
|                                                               |   |   |   |   |   |   |   |
|                                                               |   |   |   |   |   |   |   |
| Net                Income (Loss) before Taxes                      |   | $ | 0 |   | $ | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Less:                Provision for Income Taxes                    |   |   | 0 |   |   | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Net                Income (Loss)                                   |   | $ | 0 |   | $ | 0 |   |
|                                                               |   |   |   |   |   |   |   |
| Net                Income (Loss) per Share                         |   | $ | 0.00 |   | $ | 0.00 |   |
|                                                               |   |   |   |   |   |   |   |
| See                Notes to Consolidated Financial Statements      |   |   |   |   |   |

----

| **Universal                Services Group, Inc. and Subsidiaries**                                    |
|-------------------------------------------------------------------------------------------------------|
| **Consolidated                Statements of Cash Flows**                                              |
| **For                the Six Months ended May 1, 1998 and 1997**                                      |
| **(UNAUDITED)**                                                                                       |
|                                                                                                  |
|                                                                                                       |   |   |
|                                                                                                       |   | For                the Six Months |
|                                                                                                  |   | Ended |
|                                                                                                       |   |   | May                1, |   |   | May                1, |   |
|                                                                                                  |   |   | 1998 |   |   | 1997 |   |
|                                                                                                       |   |   | (Unaudited) |   |   | (Unaudited) |  |
| Cash                Flow from Operating Activities                                                    |   |   |   |   |   |   |   |
| Income                (Loss) from Operations                                                          |   | $ | 0 |   | $ | 0 |   |
|                                                                                                  |   |   |   |   |   |   |   |
| Adjustments                to Reconcile Net Income to                                                 |   |   |   |   |   |   |   |
| Net                income (Loss) to Net Cash Provided (Used)                by Continuing Operations: |   |   |   |   |   |   |   |
|                                                                                                       |   |   |   |   |   |   |   |
| Depreciation                and Amortization                                                          |   |   | 0 |   |   | 0 |   |
|                                                                                                  |   |   |   |   |   |   |   |
| (Increase)                Decrease in Assets                                                          |   |   |   |   |   |   |   |
| Accounts                Receivable                                                                    |   |   | 0 |   |   | 0 |   |
| Accounts                Receivable-Sale of Business                                                   |   |   |   |   |   | 0 |   |
| Other                Current Assets                                                                   |   |   | 0 |   |   | 0 |   |
| Other                Assets                                                                           |   |   | 0 |   |   | 0 |   |
| Increase                (Decrease) in Liabilities                                                     |   |   |   |   |   |   |   |
| Accounts                Payable                                                                       |   |   | 0 |   |   | 0 |   |
| Accrued                Expenses                                                                       |   |   | 0 |   |   | 0 |   |
| Payroll                Taxes Payable                                                                  |   |   | 0 |   |   | 0 |   |
| Total                Adjustments                                                                      |   | $ | 0 |   | $ | 0 |   |
| Net                Cash Provided (Used) by Operating Activities                                       |   | $ | 0 |   | $ | 0 |   |
|                                                                                                  |   |   |   |   |   |   |   |
| Investing                Activities                                                                   |   |   |   |   |   |   |   |
| Sale                of Assets                                                                         |   | $ | 0 |   | $ | 0 |   |
| Return                of Security Deposits                                                            |   |   | 0 |   |   | 0 |   |
| Purchase                of Assets                                                                     |   |   | 0 |   |   | 0 |   |
| Net                Cash Provided (Used) by Investing Activities                                       |   | $ | 0 |   | $ | 0 |   |
|                                                                                                  |   |   |   |   |   |   |   |
| Financing                Activities                                                                   |   |   |   |   |   |   |   |
| Additional                Borrowings-Banks                                                            |   | $ | 0 |   | $ | 0 |   |
| Payments                to Banks                                                                      |   |   | 0 |   |   | 0 |   |
| Payments                on Long Term Obligations                                                      |   |   | 0 |   |   | 0 |   |
| Additional                Borrowings-Related Parties                                                  |   |   | 0 |   |   | 0 |   |
| Net                Cash Provided (Used) by Financing Activities                                       |   | $ | 0 |   | $ | 0 |   |
|                                                                                                  |   |   |   |   |   |   |   |
| Net                Increase (Decrease) in Cash & Equivalents                                      |   | $ | 0 |   | $ | 0 |   |
|                                                                                                  |   |   |   |   |   |   |   |
| Cash                & Cash Equivalents-Beginning of Year                                          |   |   | 0 |   |   | 0 |   |
| Cash                & Cash Equivalents-End of Year                                                |   | $ | 0 |   | $ | 0 |   |
|                                                                                                  |   |   |   |   |   |   |   |
| Supplemental                Disclosures of Cash Flow Information                                      |   |   |   |   |   |   |   |
| Cash                Paid during Year for: Interest                                                    |   | $ | 0 |   | $ | 0 |   |
| Taxes                                                                                                 |   |   | 0 |   |   | 0 |   |
|                                                                                                  |   |   |   |   |   |   |   |
| See                Notes to Consolidated Financial Statements                                         |   |   |   |   |   |   |   |

----

**Universal      Services Group, Inc. and Subsidiaries**

**Notes      to Consolidated Financial Statements**

**May      1, 1998**

**1.      SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:**

----

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

**Introduction**

**Results      of Operations**

----

**Liquidity      and Capital Resources**

**Part      II OTHER INFORMATION**

**Item      1. Legal Proceedings.**

**Item      2. Changes in Securities.**

**Item      3. Defaults Upon Senior Securities.**

**Item      4. Other Information.**

**Item      5. Exhibits.**

| 31.1 | Certification                of Chief Executive Officer and Acting Chief Financial                Officer |
|------|-----------------------------------------------------------------------------------------------------------|

| 32.1  | 906              Certification |
|------------|--------------------------------|

----

**SIGNATURES**

|         |                                                                          |                                |
|--------------|-------------------------------------------------------------------------------|-------------------------------------|
|         | UNIVERSAL                SERVICES GROUP, INC.                                 |
|    |                                                                     |                           |
|              | By:                                                                 | /s/ Colin              Halpern |
|         | Colin              Halpern, Chairman and Chief Executive              Officer |
|         |                                                                          |
|         | Date: August 15,              2007                                            |

----