US SECURITIES & EXCHANGE COMMISSION
                     WASHINGTON, DC 20549
                            FORM 10-QSB

(X) Quarterly report under Section 13 or 15(d) of the Securities Exchange Act

 of 1934 for the quarterly period ended March 31, 2003.

( ) Transition report under Section 13 or 15(d) of the Securities
Exchange Act of 1934 for the transition period from
to               .

                        Commission File Number 0-24185

                        CENTRAL AMERICAN EQUITIES CORP.

              Florida                          65-0636168
(State or other jurisdiction of             (IRS Employer
incorporated or organization)           Identification Number)

              Hotel Alta, Alto de las Palomas
                  Santa Ana, Costa Rica
     Mailing Address: Interlink 964, PO Box 02-5635, Miami, FL   33102
           (Address of Principal Executive Offices)
                    +011 (506) 282-4160
    (Registrant's telephone number, including area code)

Securities registered under Section 12(b) of the Exchange Act:
None
Securities registered under Section 12(g) of the Exchange Act:

          Class A Common Stock, $.001 Par Value

Check whether the issuer (1) filed all reports required to be filed by
Section 13 or 15(d) of the Exchange Act during the preceding twelve (12)
months  (or for such shorter period that registrant was required to file
such reports), and (2) has been subject to such filing requirements for
the past ninety (90)  days.  YES ( X )  NO (   ).

Note:  The Company has not yet filed all 10-Q reports required in 2003,
nor the 10-KSB required for year 2003.

The number of shares outstanding on March 31, 2003 of each of the issuers
classes of common equity:

15,439,268 Shares Class A Common Stock, $.001 par value

* Note that the number of shares outstanding as of May 1, 2004 is as
follows:

19,789,268 shares of Class A Common Stock, $001 par value and
1,000,000 shares of Class A Preferred Stock.

Transitional Small Business disclosure format (check one)
                           YES [ X ]  NO [   ]

DOCUMENTS INCORPORATED BY REFERENCE
Annual Report on Form 10-KSB of Registrant for the year ended
December 31, 1998, 1999, 2000, 2001, 2002





PART I: FINANCIAL INFORMATION


ITEM 1. FINANCIAL INFORMATION

Central American Equities Corp. (the Company or CAE) is a US hospitality
 company, based in Santa Ana, Costa Rica and incorporated in the State of
Florida.  The Company owns and operates hotels, restaurants, and real
property in Costa Rica.   All CAE activities are related to the Companys
hotels in Costa Rica, and, as such, are reported as one operating segment
(per FASB Statement No. 131).  Financial statements follow.


             CENTRAL AMERICAN EQUITIES CORP. AND SUBSIDIARIES
                         Consolidated Balance Sheet


Assets

                                    March 31, 2003	December 31, 2002

Current assets
 Cash and cash equivalents              $30,256          $25,040
 Account receivable                      51,219           52,856
 Account receivable from sale of asset    5,790            5,790
 Inventory                               21,750           20,314
 Prepaid expenses                         2,768            7,537
                                        111,784          111,537
Buildings and equipment,
 Net of depreciation                  6,419,575        6,465,398

Other assets
 Other Assets                                 0                0

Total assets                          6,531,359        6,576,935

Liability and Stockholders' Equity

Current liabilities
 Accounts payable                       257,353          244,404
Accrued expenses                       295,744           299,181
                                        553,097          543,585
Other liabilities
Long term debt                         451,396          481,677
Due to officers                        136,200          138,700
                                       587,596          620,377


Stockholders' equity
 Common stock $.001 par value;
  20,000,000 authorized, 15,439,268

  issued and outstanding                 15,439           15,439
 Preferred stock - $.001 par value;
  1,000,000 shares authorized,
  0 issued and outstanding                    0                0
	Additional paid-in capital      10,163,116       10,163,116
	Accumulated other comprehensive
  Income                                 97,887           76,866
 	Retained deficit               (4,885,776)      (4,842,448)
                                      5,390,666        5,412,973
Total liabilities & stockholders
  Equity                              6,531,360        6,576,935


            See Notes to Consolidated Financial Statements


          CENTRAL AMERICAN EQUITIES CORP. AND SUBSIDIARIES
                Consolidated Statement of Operations

For the three month period ended March 31,


                                2002                       2003


Revenues                 $   364,981                $   316,870

Cost of Services             102,947                     86,908

Gross Profit                 262,034                    229,962

Operations
 General & Administrative    196,616                    206,334
 Depreciation                 36,364                     45,823

                             232,980                    252,157

Other Expense
  Interest Expense            17,405                     21,133

Income taxes                       0	                    0



NET INCOME (Loss)             11,649               $   (43,328)

Weighted Average share of
Common Stock Outstanding
                          14,739,268                 15,439,268

Net Gain (Loss) per
Common Share                   $ .01	             $   (.01)

Net Gain (Loss) per
Fully Diluted Share         $    .01	           $     (.01)





See Notes to Consolidated Financial Statements


          CENTRAL AMERICAN EQUITIES CORP. AND SUBSIDIARIES
                   Statements of Cash Flow

For the Three Months Ended March 31,


                                              2002           2003

Cash flows from operating activities:     $    11,649    $ (43,328)

Net Income
Adjustments to reconcile net loss to
net cash provided by operating activities:
  Unrealized Loss on Foreign Exchange             0         21,021
  Depreciation and amortization              36,364         45,823

Decrease (increase) in:
  Accounts receivable                       (4,316)         1,636
  Inventory                                  1,219         (1,436)
  Prepaid expense and other                  2,472          4,769

(Increase) decrease in:
  Accounts payable                         (18,000)        12,949
  Accrued expenses                          (6,052)        (3,437)

Net cash used in operating activities:      23,336         37,997

Cash flows from investing activities:
  Capital expenditures                          0               0

Net cash used in investing activities           0               0

Cash flows from financing activities:
  Proceeds from loans                      (9,000)        (30,281)
  Proceeds from loans from officers        (1,000)        ( 2,500)

Net cash provided by financing activities:(10,000)        (32,781)

Net increase (decrease) in 13,336           5,216

Cash beginning of period                   28,495          25,040

Cash end of period                         41,831          30,256

Supplemental Disclosures of cash flow information:

Interest                                   17,405          21,133
Income Taxes                                   0              0

            See Notes to Consolidated Financial Statements




            CENTRAL AMERICAN EQUITIES CORP. AND SUBSIDIARIES
                 Notes to Consolidated Financial Statements

Note 1   Summary of Accounting Policies

Nature of Business
Central American Equities Corp. and Subsidiaries (the "Company") was
incorporated under the laws of the State of Florida on January 23, 1996.
The Company is in the business of owning and operating hotels and real
property in Costa Rica.

In December of 1996, the Company entered into an agreement for the exchange
of common stock (Exchange Agreement) with Cal Tico, L.P., Ecolodge Partners,
L.P. and Marine Lodge Partners, L.P. (Partnership).  Pursuant to the
exchange agreement, the company issued 7,756,885 and 3,099,392 shares of
common stock to limited partners and the general partners, respectively,
of the
partnerships.  In exchange for the
shares, the partnership transferred
all of their interests (i.e. 100% of the outstanding common stock) in
the following Costa Rican corporations:  Hoteleria Cal Tico, S.A.;
Bandirma, S.A.; Sociedad Protectora De La Fuana y Flora Marintima
De Mal Pais, S.F.; Ecoprojecto San Luis, S.A. and Confluencia, S.A.

Cal Tico, L.P. was a California limited partnership that was formed in
July 1992 to raise $2 million to purchase the land and construct Hotel
Alta.  Cal Tico, L.P. owns 100% of the stock in Hoteleria Cal Tico, S.A.,
a Costa Rican corporation.  Hoteleria Cal Tico, S.A, owns the land and
buildings at Hotel Alta.

Ecolodge Partners, L.P. was formed in July 1993 to raise a total of $1.3
million in a private placement offering to purchase the land and construct the
 Ecolodge San Luis and Biological Station.  Ecolodge Partners was a
California limited partnership that owned all of the stock in Ecoproyecto
San Luis, S.A. and Confluencia San Luis, S.A., the two Costa Rican companies
that own the Ecolodge land and buildings.


Marine Lodge Partners L.P. was formed in March 1995 to raise $1 million for
the purchase and renovation of the Sunset Reef.  MarineLodge Partners
was a California limited partnership.
Marine Lodge Partners owned 100% of the stock
 in Bandirma, S.A. Bandirma owns: a) 90% of the Sociedad Protectora De La
Fauna y Flora Maritima de Mal Pais S.A., a Costa Rican corporation which
owns the land and buildings at Sunset Reef, and b) 100% of Muxia, S.A.
which owns 100% of the land and buildings at Playa Carmen.


Basis of Consolidation
The consolidated financial statements include the consolidated accounts of
Central American Equities Corp. and its subsidiaries. Hoteleria Cal Tico,
S.A., Bandirma, S.A., Sociedad Protectora De La Fuana y Flora Marintima De
Mal Pais, S.F., Ecoprojecto San Luis, S.A. and Confluencia, S.A. are
held 100% by the Company.  All intercompany transactions and accounts
have been eliminated in consolidation.

Cash and Cash Equivalents
For purposes of the statement of cash flows all certificates of deposits
with maturities of 90 days or less, were deemed to be cash equivalents.

Property and Equipment
Property and equipment are recorded at cost less accumulated
depreciation. Depreciation is computed provided using the straight-line
method over the estimated useful lives of five for equipment, seven
years for furniture and fixtures and forty years for buildings and
improvements.

Repairs and maintenance costs are expensed as incurred while additions
and betterments are capitalized.  The cost and related accumulated
depreciation of assets sold or retired are eliminated from the
accounts and any gain or losses are reflected in earnings.

Estimates
Preparation of 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 and disclosures of contingent 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.

Adoption of Statement of Accounting Standard No. 123
In 1997, the Company adopted Statement of Financial Accounting Standards No.
123, Accounting for Stock-Based Compensation (SFAS 123").  SFAS 123
encourages, but does not require companies to record at fair value
compensation cost for stock-based compensation plans.  The Company has
chosen to account for stock-based compensation using the intrinsic value
method prescribed in Accounting Principles Board Opinion No. 25, Accounting
for Stock Issued to Employees and related interpretations.
Accordingly, compensation cost for stock options is measured as the excess,
if any, of the quoted market price of the Companys stock at the
date of the grant over the amount an employee must pay to acquire the stock.
The difference between the fair value method of SFAS-123 and APB 25 is
immaterial.

Adoption of Statement of Accounting Standard No. 128
In February 1997, the Financial Accounting Standards Board (FASB) issued
Statement of Financial Accounting      Standards No. 128, Earnings per
Share (SFAS 128).  SFAS 128 changes the standards for computing and
presenting earnings per share (EPS) and supersedes Accounting Principles
Board Opinion
No. 15, "Earnings per Share." SFAS 128 replaces the presentation of primary
EPS with a presentation of basic EPS. It also requires dual presentation of
basic and diluted EPS on the face of the income statement for all entities
with complex capital structures and requires a reconciliation of the numerator
and denominator of the basic EPS computation to the numerator and denominator
of the diluted EPS computation. SFAS 128 is effective for financial statements
 issued for periods ending after December 15, 1997, including interim periods.
This Statement requires restatement of all prior period EPS data presented.

As it relates to the Company, the principal differences between the provisions
 of SFAS 128 and previous authoritative pronouncements are the exclusion of
common stock equivalents in the determination of Basic Earnings Per Share and
the market price at which common stock equivalents are calculated in the
 determination of Diluted Earnings Per Share.

Basic earnings per common share is computed using the weighted average number
 of shares of common stock outstanding for the period. Diluted earnings per
common share is computed using the weighted average number of shares of
common stock and dilutive common equivalent shares related to stock options
 and warrants outstanding during the period.

The adoption of SFAS 128 had no effect on previously reported loss per share
 amounts for the year ended December 31, 1997. For the years ended December
31, 1999 and 1998, primary loss per share was the same as basic loss per share
 and fully diluted loss per share was the same as diluted loss per share. A net
loss was reported in 1998 and 1997, and accordingly, in those years the
 denominator was equal to the weighted average outstanding shares with no
 consideration for outstanding options and warrants to purchase shares of the
 Company's common stock, because to do so would have been anti-dilutive. Stock
 options for the purchase of 357,500 shares at December 31, 1998 were not
included in loss per share calculations, because to do so would have
been anti-dilutive.

Revenue Recognition
The Company records revenue at the point of service and maintains its
corporate records for both financial statement and tax return purposes on
 the accrual method of accounting.

Foreign Exchange
Assets and liabilities of the Company, which are denominated in foreign
 currencies, are translated at exchange rates prevailing at the balance sheet
 date.  Non-monetary assets and liabilities are translated at historical
rates.  Revenues and expenses are translated at average rates throughout
the year.  The unrealized translation gains and loses are accumulated in a
 separate component of stockholders equity  Translation exchange gains and
losses are reflected in net earnings.

Fair Value of Financial Instruments
The carrying amount of the Company's financial instruments, which
principally include cash, note receivable, accounts payable and accrued
expenses,
approximates fair value due to the relatively short maturity of such
instruments.

The fair value of the Company's debt instruments is based on the amount
of future cash flows associated with each instrument discounted using the
 Company's borrowing rate.  At December 31, 2002 and 2001, respectively,
the carrying value of all financial instruments was not materially different
 from fair value.

Income Taxes
The Company has net operating loss carryovers of approximately $4.8 million
as of December 31, 2002, expiring in the years 2012 through 2022.  However,
based upon present Internal Revenue regulations governing the utilization of
net operating loss carryovers where the corporation has issued substantial
 additional stock, most of this loss carryover may not be available to the
Company.

The Company adopted Statement of Financial Accounting Standards (SFAS) No. 109,
 Accounting for Income Taxes, effective July 1993.  SFAS No.109 requires the
 establishment of a deferred tax asset for all deductible temporary
differencesand operating loss carryforwards.  Because of the uncertainties
 discussed in Note 2, however, any deferred tax asset established for
utilization of the Company's tax loss carryforwards would correspondingly
 require a valuation allowance of the same amount pursuant to SFAS
No. 109.  Accordingly, no deferred tax asset is reflected in these
financial statements.

Recent Accounting Pronouncements

In November 2002, the FASB issued Interpretation No. 45, "Guarantor's
Accounting and Disclosure Requirements for Guarantees, including
Indirect Guarantees of Indebtedness of Others"  ("Interpretation
No. 45"). Interpretation No. 45 elaborates on the existing disclosure
 requirements for most guarantees, including loan guarantees such as
standby letters of credit. It also clarifies that at the time a company
issues a guarantee, the company must recognize an initial liability for
the fair market value of the obligations it assumes under that guarantee
and must disclose that information in its interim and annual financial
statements. The initial recognition and measurement provisions of
Interpretation No. 45 apply on a prospective basis to guarantees issued
or modified after December 31, 2002. Interpretation No. 45 did not have
an effect on the financial statements.

In January 2003, the FASB issued Interpretation No. 46, "Consolidation of
Variable Interest Entities" ("Interpretation No. 46"), that clarifies the
 application of Accounting Research Bulletin No. 51, "Consolidated
Financial Statements," to certain entities in which equity investors do
not have the characteristics of a controlling financial interest or do not
have sufficient equity at risk for the entity to finance its activities
without additional subordinated financial support from other parties.
 Interpretation No. 46 is applicable immediately for variable interest
entities created after January
31, 2003. For variable interest entities created prior to January 31, 2003,
the provisions of Interpretation No. 46 are applicable no later than
July 1, 2003. Interpretation No. 46 did not have an effect on the
financial statements.

In December 2002, the FASB issued SFAS No. 148, "Accounting for Stock-Based
 Compensation -- Transition and Disclosure, an amendment of FASB Statement
No. 123" ("SFAS 148"). This Statement amends SFAS 123 to provide alternative
 methods of transition for a voluntary change to the fair value method of
 accounting for stock-based employee compensation. In addition, SFAS 148
amends the disclosure requirements of SFAS 123 to require prominent
disclosures in both annual and interim financial statements. Certain
of the disclosure modifications are required for fiscal years ending
after December 15, 2002 and are included in the notes to these consolidated
 financial statements.

Statement of Financial Accounting Standards SFAS No. 149, "Amendment of
Statement 133 on Derivative Instruments and Hedging Activities", SFAS No.
150, "Accounting for Certain Financial Instruments with Characteristics
of both Liabilities and Equity", were recently issued. SFAS No, 149, and
150 have no current applicability to the Company or their effect on the
financial statements would not have been significant.

Note 2    Federal Income Tax

At December 31, 2002 and 2001 deferred taxes consisted of the following:

                                            2003           2002
Deferred tax assets,
  Net operating loss carry-forward     $  1,564,000    $ 1,430,700
Less valuation allowance                ( 1,564,000)   ( 1,430,700)
                                         --------    --------------
   Net deferred taxes                 $       -0-       $     -0-
                                           ========    ========



The valuation allowance offsets the net deferred tax asset for which
there is no assurance of recovery. The change in the valuation allowance
 for the years ended December 31, 2002 and 2001 totaled $133,300 and
$242,200, respectively. The net operating loss carry- forward expires
in year 2022. The valuation allowance will be evaluated at the end of
each year, considering positive and negative evidence about whether
the deferred tax asset will be realized.

At that time, the allowance will either be increased or reduced;
reduction could result in the complete elimination of the allowance
if positive evidence indicates that the value of the deferred tax
assets is no longer impaired and the allowance is no longer required.

Note 3   Going Concern

The Company incurred a net loss of approximately $392,000 during the
year ended December 31, 2002 that raised substantial doubt about the
entity's ability to continue as a going concern.

The Company has received additional financing through the sale of a
non-performing asset, continues to control expenses, and evaluates the
ongoing performance of the Companys assets.  The ability of the Company
to continue as a going concern is dependent on the success of application
and techniques.  The financial statements do not include any adjustments that
might be necessary if the Company is unable to continue as a going concern.

Note 4   Property and Equipment

As of March 31, 2003 plant and equipment consisted of the following:

  Land                              $   840,075
  Buildings                           6,042,617
  Machinery and equipment               116,036
  Furniture and fixtures                286,635
  Computer equipment                     73,693
                                      7,359,056

  Less accumulated depreciation         939,438

                                    $ 6,419,575

Depreciation expense in the amount of $166,377 and $45,823 has been
recorded for the year ended December 31, 2002 and the quarter ended
March 31, 2003, respectively.

Note 5   Notes Payable

On March 31, 2003, the Company had $403,096 outstanding against a
$500,000 line of credit with Banco BCT, which bears interest at the
prime rate plus 3%.   Principal payments were to begin on January 10,
2000 in monthly installments of $38,462; however, payments were
renegotiated.  During 2001 and 2002, interest only was paid on the
last day of each month.  In February 2002, the Company restructured
the loan.  The new terms include a loan term of 70 months; an annual
interest rate of prime plus 3.75%, and monthly principal payments that
vary with the high and low occupancy periods of Hotel Alta.  Monthly
principal payments in year one will vary from $3,000 to $9,000.  The
funds advanced under this line of credit were utilized to supplement
cash flow for operating expenses and construction costs.  The note
is collateralized by property of the Company.

Included in notes payable at March 31, 2003 is a note payable to
shareholder, dated July 21, 2000, of $48,300.  The note payable
bears interest at 21% and is due July 22, 2002.


Note 6  Due to Officers

Notes payable as of March 31, 2003 are as follows:

Note payable to shareholder dated November 30, 2000 with interest at 5%
with no set terms for prepayment	    			$130,200
Note payable to shareholder dated July 15, 2000 with interest at 5% with
no set terms for prepayment                              6,000

Total Due to Officers 	    				$136,500

Note 7  Commitments and Contingencies

The Company has a month-to-month lease for 1 acre of property.  Minimum
rentals in the year ending December 31, 2003 are $18,000

Note 8 Business Combination

On December 6, 1996 the Company entered into an agreement for the exchange
of common stock (Exchange  Agreement) with Cal Tico, L.P., Ecolodge Partners,
L.P. and Marine Lodge Partners, L.P. (Partnership).  Pursuant to
the exchange agreement, the Company issued 7,756,885 and 3,099,392 shares of
 common stock to the limited partners and the general partners, respectively,
of the partnerships.  In exchange for the shares, the partnership
transferred all
of their interests (i.e. 100% of the outstanding common stock) in the
following Costa  Rican corporations: Hotelera Cal Tico, S.A.; Bandirma,
S.A.; Sociedad Protectora De La Fuana y Flora Marintima  De Mal Pais,
S.F.; Ecoprojecto San Luis, S.A. and Confluencia, S.A. The
acquisition has been accounted for as a purchase transaction and,
accordingly, the fair value of the Companys stock that was issued was
allocated to assets and liabilities based on the estimated fair
value as of the acquisition date.

Note 9  Subsequent Events

Included as a liability on the balance sheet is an accrued expenses
in the amount of approximately $250,000 for non-payment of sales taxes
 for Hotel Alta.   These amounts have grown over several years.  The
amount listed on March 31, 2003 is an accurate reflection on the amount
 past due at that time not including penalties or interest.

Penalties and interest were not included as the government had an
amnesty program that forgave penalties and interest on all past taxes
paid by April 30, 2003. The Company planned to have the cash available
to pay past taxes by selling a beach property called Tropicana before
April 1.  Instead, through negotiations with the government the Company
offered part of the property to the government in lieu of payment.  Before
April 30 the government accepted the property and began an appraisal to
see how much of the past taxes it would cover.  In August 2003, the
government reversed course on the offer to accept the property.  They
demanded full payment of the back taxes including penalties and interest.
As of the May 2004, the Company had paid down the tax liability by about
$80,000, but was disputing the interest and penalties.



ITEM 2. MANAGEMENT DISCUSSION AND ANALYSIS

Central American Equities Corp. (the "Company" or "CAE") is a US
hospitality company, based in Santa Ana, Costa Rica and incorporated
in the State of
Florida on January 23, 1996. The Company specializes in providing
high-quality food and lodging in unique natural settings in Costa Rica.
The Company is in the business of owning and operating hotels and
restaurants and real property in Costa Rica.

As of March 31, 2003, CAE owned Hotel Alta in Santa Ana (a suburb of the
capital city of San Jose), and Sunset Reef (on the Pacific Ocean in Mal
Pais near the protected Cabo Blanco Reserve).  CAE also owns and operates
La Luz Restaurant (located in Hotel Alta), Restaurant Tropicana (on the
beach at Playa Carmen near Sunset Reef), and ATP-Costa Rica  (a
full-service reservation, travel planning and in-bound tour operation
based in Costa Rica).

The first year of full operation of the Company's hotels was 1998.  All
Company owned facilities, except for Restaurant Tropicana, were opened and
 operating by the beginning of 1998.  Beginning in late 2001, Tropicana
Restaurant was operated by the Company (in past years it had been rented
on a monthly basis).  On March 31, 2003, the Company had approximately
60 full-time, part-time and contract employees.

The following is management's discussion and analysis of significant
factors which have affected the Company's financial position and
operations during the three month period ended March 31, 2002.

Results of Operations

Comparison of Operations for the 3-Month Periods Ended March 31, 2003 and 2002

As has been reported over the last 12 to 15 months, the Company has continued
to be challenged by diminished travel demand brought on by the terrorist
attacks of September 11 and the increased supply of hotel rooms and
 restaurants.  During the first three months of 2003, occupancy at
Hotel Alta declined by about 7% from the same period in 2002; occupancy
at Sunset Reef declined by about 23%.  In comparing the same periods,
Company revenues declined by about 13% to $316,870.  A portion of the
decline was attributed to a drop in revenues at Tropicana, the Companys
beach restaurant in Playa Carmen, reflecting the slowdown in visitors
to the Mal Pais area where Hotel Sunset Reef is located.

During the three-month period ended March 31, 2003, total operational
expenses (cost of services and operational costs) were about $293,000.
This represents a decline of approximately $6,000 or more than 2% from
the same period in 2002.

During the three-month period ended March 31, 2003 the Company earned
 approximately $24,000 before depreciation of about $46,000 and interest
costs of about $21,00.  The net loss, including depreciation and
interest, was about $43,000.

Liquidity and Capital Resources

During the first three months of 2003, the Company recorded positive
net cash flow of approximately $2000.   However, prior to this filing,
Company operations had resulted in losses. The Company has limited,
albeit improving, cash liquidity and capital resources.  The Company
plans to hold sufficient cash from the sale of assets in reserve to
protect against cash flow needs during 2003.



PART II: OTHER INFORMATION


ITEM 1.  LEGAL PROCEEDINGS

Actions in Costa Rican Labor Court

At this time there are actions against Central American Equities in the
Costa Rican Labor Court that have been brought by former employees who
had been dismissed by the Company due to poor performance or
insubordination.  These employees dispute the reason for their dismissal
and, as such, claim they are entitled to additional monetary
compensation.  The Company considers these actions to be routine
litigation that is incidental to the business (as defined under Reg.
228.103). It is anticipated that any contingent liability stemming
from these claims would be immaterial to the Company.  See Item 5 for
potential litigation subsequent to the due date for this filing.

Potential Legal Proceeding and Liability Post March 31, 2003

As of March 2003, Hotel Alta owed Tributacion (the Costa Rican taxing
authority) approximately $250,000 in unpaid sales taxes.  These taxes
have been listed on the balance sheet as an accrued expense.  The Costa
Rica government offered to all companies in Costa Rica amnesty from
interest and penalties for back taxes paid by April 30, 2003.  Prior to
April 30, 2003, CAE, unable to pay these taxes in cash, proposed that
the debt be resolved with the exchange of property worth an equivalent
value  (part of the parcel in Playa Carmen where Restaurante Tropicana
is located).

As of May 2004 the Company had filed an administrative complaint against
 Tributacion to obtain its full rights under the amnesty law.   If
this action is unsuccessful the Company may bring suit against the
Costa Rican sales tax authority for not accepting the offer of property in
 exchange for an outstanding tax liability.  The refusal of the offer denied
 the opportunity for the Company to successfully meet the tax amnesty
deadline.   Believing it has been denied due process and equal treatment
under Costa Rican law, management currently would pursue the case
vigorously if a negotiated or administrative settlement is not achieved.
It is difficult to evaluate the likelihood of an unfavorable outcome of
such a case but we estimate it to be at or below 50%.  If an unfavorable
outcome results, the Company could be liable for interest and penalties of
 approximately $150,000.  The tax liability as of March 31, 2003 (less
potential interest and penalties) has been accounted for in the financial
 statements of this filing.


ITEM 2. CHANGES IN SECURITIES

The Company did not sell or issue any securities of any kind during the
three-month period that ended on March 31, 2003.

Changes in Securities after March 31, 2003

During the fourth quarter of 2003, the Company raised cash by selling
securities that were not registered under the Securities Act of 1933,
as amended (the Securities Act), or any state securities laws.  The sale
of the securities was intended to be exempt from registration under the
Securities Act, by virtue of Section 4(2) of Regulation D.

The Company successfully sold 3,360,000 shares of Common Stock and 1 million
 shares of Class A convertible preferred stock.  In total, the Company raised
 $178,200 net of costs from the sale of stock.  The average price per share
was $0.05. The shares were sold entirely to current Company stockholders.


The proceeds of these sales, less any deductions for transactional fees
including, but not limited to, commissions, accounting fees, legal fees,
and printing costs was used for debt reduction (including reduction of a
tax liability) and working capital.  The Company paid a director of the
Company (Talley) $19,800 (10% of gross proceeds) in commission on the sale
of the stock.

The Class A convertible preferred stock has the following provisions:
a) the option to transfer the shares into common stock on a one-for-one
basis, b) the same voting rights as common stock, and c) the same
liquidation preferences as common stock.

During December 2003, the Company also exchanged 240,000 shares of Common
Stock for $12,000 debt owed to a director (Rosenmiller).  The debt was
exchanged for shares at a price of $0.05 per share.

The Company has also issued as compensation (subsequent to the due date of
this report) additional shares of Common Stock to Michael Caggiano, the
Company President and CEO.  In the fourth quarter of 2003 the Company issued
 an additional 700,000 shares of Common Stock to Caggiano.   In addition,
at a meeting of the board of directors, during the fourth quarter of 2002,
the board granted options to Mr. Caggiano as follows: 100,000 shares
@ $0.10; 100,000 shares @ $0.15; and 100,000 shares @ $0.20.  Recognizing
 that significant past salary was due and payable, the board collateralized
full compensation due with a company asset: the Playa Carmen (Tropicana)
property in Mal Pais.  In the first quarter of 2004 the Company granted
50,000 shares of Common Stock to an employee of the Company.

As of April 30, 2004 the Company had 19,789,268 shares of Common Stock issued
and outstanding and one million shares of Preferred Stock issued and
outstanding.


ITEM 3. DEFAULTS UPON SENIOR SECURITIES

The Company did not default upon any securities of any kind during the
three-month period that ended on March 31, 2003.

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

The Company submitted no matter to a vote of its security holders
during the three-month period ended March 30, 2003.

ITEM 5. OTHER INFORMATION


ITEM 5A. INFORMATION SUBSEQUENT TO MARCH 31, 2003

The following information occurred subsequent to the due date of this
filing and is not covered in the financial statements of this filing.

Changes in Registrant's Certifying Accountant

At a board of directors meeting held on August 28, 2003 of which a
quorum was present, the Board of Directors of Central American Equities
accepted the resignation of Pinkham and Pinkham as its Certified Accountant
 for the fiscal years ended December 31, 1999, December 31, 2000 and
December 31, 2001.

During the previous three years, Pinkham and Pinkham was the principal
accountant for Central American Equities Corp.  At no time did Pinkham
 and Pinkhams financial statements contain an adverse opinion or disclaimer
of opinion or was modified as to uncertainty, audit scope, or accounting
 principles.  Nor were there any disagreements with Pinkham and Pinkham
on any matter of accounting principles or practices, financial statement
 disclosure, or auditing scope or procedure.

On August 28, 2003, Central American Equities engaged Clyde Bailey, P.C.
Certified Public Accountants as the principal accountant for the Company.
Central American Equities has authorized Pinkham and Pinkham to respond
fully to the inquiries of the successor accountant.


ITEM 6.  EXHIBITS AND REPORTS

Exhibits and reports filed herewith: none.






VERIFICATION SIGNATURES

In accordance with Section 12 of the Securities and Exchange Act of
1934, the registrant caused this registration to be signed on its behalf
by the undersigned, thereunto duly authorized.


CENTRAL AMERICAN EQUITIES CORP.




BY: Michael N. Caggiano, President/CEO

MICHAEL N. CAGGIANO, President/CEO


CENTRAL AMERICAN EQUITIES CORP.




BY: Richard Wm. Talley, Director

RICHARD WM. TALLEY, DIRECTOR




CENTRAL AMERICAN EQUITIES CORP.




BY: P. James Voloshin, Director

P. James Voloshin, DIRECTOR




SARBANES-OXLEY ACT SECTION 302 CERTIFICATIONS

 I, Michael Caggiano, President and Chief Executive Officer, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Central American
Equities Corporation;

2. Based on my knowledge, this report does not contain any untrue statement
 of a material fact or omit to state a material fact necessary to make the
 statements made, in light of the circumstances under which such statements
were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial
 information included in this report, fairly present in all material respects
the financial condition, results of operations and cash flows of the registrant
 as of, and for, the periods presented in this report;

4. I am responsible for establishing and maintaining disclosure controls and
 procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and
internal control over financial reporting (as defined in Exchange Act Rules
 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such
disclosure controls and procedures to be designed under our supervision,
to ensure that material information relating to the registrant, including
its consolidated subsidiaries, is made known to us by others within those
 entities, particularly during the period in which this report is being
prepared;

(b) Designed such internal control over financial reporting, or caused such
 internal control over financial reporting to be designed under our
supervision, to provide reasonable assurance regarding the reliability
of financial reporting and the preparation of financial statements for
external purposes in accordance with generally accepted accounting
principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls
and procedures and presented in this report our conclusions about the
effectiveness of the disclosure controls and procedures; and

(d) Disclosed in the report any change in the registrant's internal control
over financial reporting that occurred during the registrant's most recent
fiscal quarter (the registrant's fourth fiscal quarter in the case of an
annual report) that has materially affected, or is reasonably likely to
materially affect, the registrant's internal control over financial
reporting;

5.  I have disclosed, based on our most recent evaluation of internal control
 over financial reporting, to the registrant's auditors and the audit committee
 of registrant's board of directors (or persons performing the equivalent
 functions):

(a) All significant deficiencies and material weaknesses in the design or
 operation of internal control over financial reporting which are reasonably
likely to adversely affect the registrant's ability to record, process,
summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other
 employees who have a significant role in the registrant's internal control
over financial reporting.


/s/ Michael N. Caggiano
----------------------------------------------
Michael N. Caggiano
President and Chief Executive Officer
May 7, 2004

SARBANES-OXLEY ACT SECTION 906 CERTIFICATIONS

I Michael N. Caggiano, President and Chief Executive Officer of Central
American Equities Corporation, hereby certify that:

1. The annual report of the registrant on Form 10-Q for the quarter ended
March 31, 2003 fully complies with the requirements of Section 13(a) or
15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the annual report fairly presents, in all
material respects, the financial condition and results of operations of the
 registrant as of the dates and for the periods expressed in the quarterly
report.

/s/ Michael N. Caggiano
----------------------------------------------
Name: Michael N. Caggiano
Title: President and Chief Executive Officer
Date:   May 7, 2004