SECURITIES AND EXCHANGE COMMISSION
                            Washington, D.C. 20549

                                 Form 10-QSB

(Mark One)

[X]   Quarterly report under Section 13 or 15(d) of the Securities Exchange Act
      of 1934 for the quarterly period ended September 30, 2001.

[ ]   Transition report under Section 13 or 15(d) of the Securities Exchange
      Act of 1934 for the transition Period From __________ to __________.


COMMISSION FILE NUMBER: 2-97360-A
                        ---------

                         LIGHT MANAGEMENT GROUP, INC.
                         ----------------------------
      (Exact Name of Small Business Issuer as Specified in its Charter)


            NEVADA                                    75-2727932
            ------                                    ----------
      (State or other jurisdiction of                 (I.R.S. Employer
      incorporation or organization)                  Identification No.)


             3060 Mainway, Suite 301, Burlington, Ontario L7M 1A3
             ----------------------------------------------------
             (Address of Principal Executive Offices) (Zip Code)

                                (800) 465-9216
                                --------------
               (Issuer's Telephone Number, Including Area Code)


      Check whether the issuer: (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.

                  YES   X                 NO

      On November 16, 2001, the number of shares outstanding of the issuer's
Common Stock, $0.0001 par value (the only class of voting stock), was
23,097,790.



<PAGE>


                              Table of Contents



PART I - FINANCIAL INFORMATION...............................................1

      ITEM 1.  FINANCIAL STATEMENTS..........................................1

      ITEM 2.  MANAGEMENT'S DISCUSSION & ANALYSIS OR PLAN OF
               OPERATION.....................................................2


PART II - OTHER INFORMATION..................................................3

      ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K..............................3

INDEX TO EXHIBITS............................................................5






<PAGE>



                        PART I - FINANCIAL INFORMATION

ITEM 1.     FINANCIAL STATEMENTS

As used herein, the term "Company" refers to Light Management Group, Inc., a
Nevada corporation, and its subsidiaries and predecessors unless otherwise
indicated. Consolidated, unaudited, condensed interim financial statements
including a balance sheet for the Company as of September 30, 2001, statement of
operations, statement of shareholders equity and statement of cash flows for the
interim period up to the date of such balance sheet and the comparable period of
the preceding year are attached hereto and begin on page F-1 and are
incorporated herein by this reference.

The consolidated financial statements for the Company included herein are
unaudited but reflect, in management's opinion, all adjustments, consisting only
of normal recurring adjustments, that are necessary for a fair presentation of
the Company's financial position and the results of its operations for the
interim periods presented. Because of the nature of the Company's business, the
results of operations for the three and nine months ended September 30, 2001 are
not necessarily indicative of the results that may be expected for the full
fiscal year. The financial statements included herein should be read in
conjunction with the financial statements and notes thereto included in the Form
10-KSB for the year ended December 31, 2000.



                                      1

<PAGE>

                           LIGHT MANAGEMENT GROUP, INC
                           CONSOLIDATED BALANCE SHEET
                               SEPTEMBER 30, 2001

                                     ASSETS

CURRENT ASSETS:
   Cash and cash equivalents (including restricted cash of $25,000)  $   47,710
   Accounts receivable ( net of allowance of $2,000)                    187,904
   Inventory                                                            925,417
   Prepaid expenses and other current assets                            261,456
                                                                     -----------
       TOTAL CURRENT ASSETS                                           1,422,487

PROPERTY AND EQUIPMENT - net of accumulated depreciation                316,164

GOODWILL - net                                                        2,346,442

PATENTS - net                                                           648,516
                                                                     -----------
TOTAL ASSETS                                                         $4,733,609
                                                                     ===========

                      LIABILITIES AND STOCKHOLDERS' EQUITY

CURRENT LIABILITIES:
   Accounts payable                                                  $1,057,790
   Accrued expenses                                                     618,805
   Note payable - bank                                                   69,348
   Loans payable - officers                                             428,956
   Due to related parties                                                53,935
                                                                     -----------
       TOTAL CURRENT LIABILITIES                                      2,228,834

  Note payable - bank (net of current portion)                           70,907
                                                                     -----------
       TOTAL LIABILITIES                                              2,299,741
                                                                     -----------
STOCKHOLDERS' EQUITY
   Preferred Stock - $.0001 par value, 10,000,000 authorized shares,
    2,766,798 shares issued and outstanding                                 277
   Common stock - $.0001 par value, 200,000,000
    authorized shares, 22,939,382 shares issued and outstanding           2,294
   Additional paid in capital                                        18,386,575
   Deferred compensation                                               (611,640)
   Accumulated deficit                                              (15,304,326)
   Accumulated other comprehensive loss                                 (39,312)
                                                                     -----------
           TOTAL STOCKHOLDERS' EQUITY                                 2,433,868
                                                                     -----------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                           $4,733,609
                                                                     ===========


                   See notes to consolidated financial statements

                                      F-1
<PAGE>

                           LIGHT MANAGEMENT GROUP, INC
                      CONSOLIDATED STATEMENTS OF OPERATIONS

<TABLE>
<CAPTION>
                                                      Three Months Ended            Nine Months Ended
                                                 September 30   September 30   September 30  September 30
                                                -------------- -------------- -------------- -------------
                                                     2001           2000           2001           2000
                                                -------------- -------------- -------------- -------------
           <S>                                        <C>            <C>            <C>            <C>
SALES                                           $    255,019   $     178,269  $     956,252  $    533,362

COST OF SALES                                         89,191         240,769        467,687       319,628
                                                -------------- -------------- -------------- -------------
GROSS PROFIT                                         165,828         (62,500)       488,565       213,734
                                                -------------- -------------- -------------- -------------
EXPENSES
  Selling, general and administrative expenses     1,016,044         546,319      2,985,823     3,073,713
  Litigation expenses                                     -               -              -        390,384
  Depreciation and amortization                      123,230          72,827        382,399       197,928
                                                -------------- -------------- -------------- -------------
TOTAL OPERATING EXPENSES                           1,139,274         619,146      3,368,222     3,662,025
                                                -------------- -------------- -------------- -------------
LOSS FROM OPERATIONS                                (973,446)       (681,646)    (2,879,657)   (3,448,291)

INTEREST EXPENSE                                       6,753             356         17,454        27,131
                                                -------------- -------------- -------------- -------------
LOSS BEFORE EXTRAORDINARY ITEM                      (980,199)       (682,002)    (2,897,111)   (3,475,422)

EXTRAORDINARY ITEM - loss on cancellation of debt         -               -        (765,000)           -
                                                -------------- -------------- -------------- -------------
NET LOSS                                            (980,199)       (682,002)    (3,662,111)   (3,475,422)

PREFERRED STOCK DIVIDEND                             (55,336)             -        (166,008)           -
                                                -------------- -------------- -------------- -------------
NET LOSS APPLICABLE TO COMMON STOCK             $ (1,035,535)  $    (682,002) $  (3,828,119) $ (3,475,422)
                                                ============== ============== ============== =============
NET LOSS PER SHARE - BASIC AND DILUTED
     Loss before extraordinary item             $      (0.05)  $       (0.03) $       (0.14) $      (0.18)
       Extraordinary item                                 -               -           (0.03)           -
                                                -------------- -------------- ------------- -------------
NET LOSS PER SHARE                              $      (0.05)  $       (0.03) $       (0.17) $      (0.18)
                                                ============== ============== ============== =============
Weighted Average Shares Used in Computation -
   Basic and diluted                              22,797,523      19,608,212     22,182,154    18,789,851
                                                ============== ============== ============== =============
NET LOSS                                        $   (980,199)  $    (682,002) $  (3,662,111) $ (3,475,422)

OTHER COMPREHENSIVE LOSS, NET OF TAX
     Foreign currency translation adjustment         (50,255)             -             (19)           -
COMPREHENSIVE LOSS                              $ (1,030,454)  $    (682,002) $  (3,662,130) $ (3,475,422)
                                                ============== ============== ============== =============


</TABLE>



                      See notes to consolidated financial statements

                                      F-2

<PAGE>

                           LIGHT MANAGEMENT GROUP, INC
                      CONSOLIDATED STATEMENTS OF CASH FLOWS

<TABLE>
<CAPTION>
                                                                  Nine Months Ended
                                                            ----------------------------
                                                            September 30,  September 30,
                                                            -------------  -------------
                                                                2001           2000
               <S>                                               <C>            <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
   Net loss                                                 $ (3,662,111)  $ (3,475,422)
   Adjustments to reconcile net loss to net
   cash used in operating activities:
      Depreciation and amortization                              382,399        197,928
      Extraordinary item - loss on cancellation of debt          765,000             -
      Stock issued for salaries                                    9,570        365,350
      Stock issued for legal services                                 -         126,661
      Stock issued for consulting services                       296,450        800,737
      Acquisition of research and development with stock              -         630,000

   Changes in assets and liabilities (net of effect of acquisitions):
      Accounts receivable                                        497,829        409,654
      Inventory                                                   49,091       (446,059)
      Prepaid and other current assets                           (70,430)       598,555
      Deferred compensation                                      109,434             -
      Accounts payable and accrued expenses                    1,249,395       (331,372)
                                                            -------------  -------------
NET CASH USED IN OPERATING ACTIVITIES                           (373,373)    (1,123,968)
                                                            -------------  -------------
CASH FLOWS FROM INVESTING ACTIVITIES:
   Purchase of property, plant and equipment                    (112,353)      (687,511)
   Purchase of patent                                                 -        (567,657)
                                                            -------------  -------------
NET CASH USED IN INVESTING ACTIVITIES                           (112,353)    (1,255,168)

CASH FLOWS FROM FINANCING ACTIVITIES:
   (Repayment of) Proceeds from note payable - bank              (43,945)       106,218
   Proceeds from (Repayment of) loans payable - officers         436,942        (66,401)
   Net increase in related party loan                                 -       2,329,486
   Proceeds from shares issued                                    40,000             -
                                                            -------------  -------------
NET CASH PROVIDED BY FINANCING ACTIVITIES                        432,997      2,369,303
                                                            -------------  -------------
EFFECT OF EXCHANGE ON CASH                                        45,203             -

NET DECREASE INCREASE IN CASH                                     (7,526)        (9,833)

Cash and cash equivalents -  Beginning of year                    55,236             -
                                                            -------------  -------------
Cash and cash equivalents - End of period                    $   47,710     $    (9,833)
                                                            =============  =============
SUPPLEMENTAL INFORMATION OF CASH FLOW INFORMATION:

Cash paid for interest                                       $   17,454     $    22,181
                                                            =============  =============
Cash paid for taxes                                          $       -      $        -
                                                            =============  =============
NON-CASH FINANCING AND INVESTING ACTIVITIES:

 Related party debt converted to preferred stock             $3,200,000     $        -
                                                            =============  =============
 Related party debt converted to common stock                $1,600,000     $        -
                                                            =============  =============
 Shares issued for acquisition of Exclusive Advertising, Inc.$       -      $ 2,500,000
                                                            =============  =============

</table>


                   See notes to consolidated financial statements

                                      F-3

<PAGE>


                          LIGHT MANAGEMENT GROUP, INC.
                        NOTES TO FINANCIAL STATEMENTS
                     Nine Months Ended September 30, 2001
                                 (Unaudited)

1.    BASIS OF PRESENTATION

      The accompanying unaudited consolidated financial statements have been
      prepared in accordance with generally accepted accounting principles for
      interim financial information and the instructions to Form 10-QSB.
      Accordingly, they do not include all the information and footnotes
      required by generally accepted accounting principles for complete
      financial statements. In the opinion of management, all adjustments (which
      include only normal recurring adjustments) necessary to present fairly the
      financial position, results of operations and cash flows for all periods
      presented have been made. The results of operations for the nine months
      period ended September 30, 2001, are not necessarily indicative of the
      operating results that may be expected for the year ending December 31,
      2001. These financial statements should be read in conjunction with the
      Company's December 31, 2000 Form 10-KSB, financial statements and
      accompanying notes thereto.

2.    GOING CONCERN

      The accompanying financial statements have been prepared assuming that the
      Company will continue as a going concern. The Company has had recurring
      losses, which raises substantial doubt about the Company's ability to
      continue as a going concern. Management's plans with respect to these
      matters include raising additional working capital through equity or debt
      financing and ultimately achieving profitable operations. The accompanying
      financial statements do not include any adjustments that might be
      necessary should the Company be unable to continue as a going concern.

3.    RECENT ACCOUNTING STANDARDS

      In July, 2001, the Financial Standards Board issued Statement of Financial
      Accounting Standard ("SFAS No. 141) "Business Combinations" and SFAS No.
      142 "Goodwill and Intangible Assets" ("SFAS No. 142"). SFAS No. 141
      requires that all business combinations initiated after June 30, 2001 be
      accounted for using purchase method of accounting and prohibits the use of
      pooling-of-interest method for such transactions. SFAS No. 142 applies to
      all goodwill and intangible assets acquired in a business combination.
      Under the new standard, all goodwill, including goodwill acquired before
      initial application of the standard should not be amortized but should be
      tested for impairment at least annually at the reporting unit level, as
      defined in the standard. Intangible assets other than goodwill should be
      amortized over their useful lives and reviewed for impairment in
      accordance with SFAS No. 121. The new standard is effective for fiscal
      years beginning after December 15, 2001. The Company currently expenses
      approximately $171,000 annually for the amortization of goodwill.




                                     F-4

<PAGE>


      In August 2001, the FASB issued Statement of Financial Accounting
      Standards No. 144 ("SFAS 144"), "accounting for the Impairment or Disposal
      of Long-lived Assets". SFAS 144 superceded Statement of Financial
      Accounting Standards No. 121, "accounting for the Impairment of Long-lived
      Assets and Assets to be Disposed of" and the accounting and reporting
      provisions of Accounting Principles Board Opinion No. 30, "reporting the
      Results of Operations - Reporting the Effects of Disposal of a Segment of
      a Business, and Extraordinary, Unusual and Infrequently Occurring Events
      and Transaction". SFAS 144 also amends Accounting Research Bulletin No.
      51, "Consolidated Financial Statements," to eliminate the exception to
      consolidation for a subsidiary for which control is likely to be
      temporary. The provision of SFAS 144 will be effective for fiscal years
      beginning after December 15, 2001. The Company has not yet determined the
      effect SFAS 144 will have on its financial position or results of
      operations in future periods.

4.    SEPTEMBER 2000 RESTATEMENT

      The financial statements for the nine months ended September 30, 2000 have
      been restated to reflect adjustments noted by the Company during the
      preparation of its year ending December 31, 2000 financial statements. The
      restatement is principally related to the issuance of shares of the
      Company's common stock for services, and the reversal of sales revenue and
      the reclassification of certain inventory previously classified as
      property and equipment. The effect on the previously reported results was
      to decrease sales by $1,101,683, increase total expenses by $514,283 and
      increase net loss by $1,615,966. Basic and diluted loss per share
      increased by ($0.07) to ($0.18).

5.    BORROWINGS

      In July 2001, the Company obtained a $50,000 revolving Line of Credit from
      a bank secured by a $25,000 certificate of deposit. During the nine months
      ended September 30, 2001 the Company borrowed approximately $300,000 from
      its Chairman. Such borrowings are without interest and are due upon
      demand. As at September 30, 2001, the amount due to such officer was
      $332,430.

6.    STOCKHOLDERS' EQUITY

      In March, 2001, the Company settled $3,200,000 of its loans payable, to an
      entity in which the Company's principal shareholder and Chief Executive
      Officer is also a shareholder, by issuing 2,766,798 shares of Series A
      cumulative Preferred Stock convertible into common stock on a one-for-one
      basis. Furthermore, the Company settled an additional $1,600,000 of its
      loans payable to such entity by issuing 1,855,072 shares of common stock
      valued at $2,365,000. As a result of the later transaction the Company
      recorded an extraordinary loss on extinguishment of debt of $765,000.

      During the nine months ended September 30, 2001 the Company issued an
      aggregate of 287,000 shares of stock to various consultants for
      approximately $296,000 of consulting services provided during such period
      and 11,000 shares of stock to employees for approximately $10,000 as a
      signing bonus. The Company also sold 200,000 shares for $40,000 to a
      former shareholder and officer.


                                     F-5

<PAGE>


7.    STOCK PURCHASE AGREEMENT

      On July 25, 2001, the Company entered into an agreement to purchase 51% of
      the stock of a company for $5,000,000. The purchase price will consist of
      cash for $2,500,0000 and the balance by the issuance of shares of the
      Company's common stock. The transaction has not yet been closed.

                                     F-6



<PAGE>



ITEM 2.     MANAGEMENT'S DISCUSSION & ANALYSIS OR PLAN OF
            OPERATION

Forward-looking information

This quarterly report contains forward-looking statements. For this purpose, any
statements contained herein that are not statements of historical fact may be
deemed to be forward-looking statements. These statements relate to future
events or to our future financial performance. In some cases, you can identify
forward-looking statements by terminology such as "may," "will," "should,"
"expects," "plans," "anticipates," "believes," "estimates," "predicts,"
"potential" or "continue" or the negative of such terms or other comparable
terminology. These statements are only predictions. Actual events or results may
differ materially. There are a number of factors that could cause the Company's
actual results to differ materially from those indicated by such forward-looking
statements.

Although the Company believes that the expectations reflected in the
forward-looking statements are reasonable, the Company cannot guarantee future
results, levels of activity, performance or achievements. Moreover, the Company
does not assume responsibility for the accuracy and completeness of such
statements. The Company is under no duty to update any of the forward-looking
statements after the date of this report to conform such statements to actual
results.

General

The Company specializes in the development of new applications of optical and
light technologies. These technologies use sound waves to focus and direct
lasers. For example, one of the Company's proprietary laser projection systems,
called the RGB Laser Projection System, produces graphic images in moving three
dimensional designs that are utilized to market products on large-scale
billboards. This laser system possesses software features which allow images to
be manipulated into almost any position, size, or scale in 256 colors. This
acousto- optic laser projection system works by a raster imaging process
allowing images to be projected in three dimensional appearance, and to be
active and moving across the full screen size.

Much of the Company's growth has been effected through mergers and acquisitions,
as its operations are now conducted through five subsidiaries, three of which
were acquired externally. The Company expects to continue to grow internally, as
its technological products become more well known and are sold in increasing
quantities, and externally, as it seeks to effect other acquisitions.

Results of Operations

As further discussed in note 4 to the unaudited financial statements attached
hereto, the financial statements for the three (3) months and nine (9) months
ended September 30, 2000, have been restated to reflect adjustments noted by the
Company during the preparation of its financial statements for the year ended
December 31, 2000. The following discussion sets forth certain financial
information regarding the Company's operations. The Company's financial
statements, and the following discussion on results of operations, set forth
financial information for the three months and nine months ended September 30,
2001 and September 30, 2000.

                                      2

<PAGE>



The Company had sales revenues of $255,019 for its quarter ended September 30,
2001 as compared to $178,269 for the quarter ended September 30, 2000. For the
nine months ended September 30, 2001, the Company had sales revenues of $956,252
as compared to $533,362 for the nine months ended September 30, 2000.

Operating expenses increased from $619,146 for the quarter ended September 30,
2000 to $1,139,274 for the third quarter of the year 2001. This increase is
largely attributable to an increase in selling, general and administrative
expenses which resulted from an increase in the amount of services rendered from
independent professionals and consultants. These expenses increased from
$546,319 for the quarter ended September 30, 2000, to $1,016,044 for the quarter
ended September 30, 2001. The increase in total operating expenses resulted in
an increase in the net loss for the quarter ended September 30, 2001 of
$980,199, as compared to a net loss of $682,002 for the same period in 2000.

Operating expenses decreased from $3,662,025 for the nine months ended September
30, 2000 to $3,368,222 for the same period in 2001. This decrease is
attributable to a decrease in selling, general and administrative expenses from
$3,073,713 for the nine months ended September 30, 2000 to $2,985,823 for the
same period in 2001, and the elimination of litigation expenses in 2001. Despite
the decrease in operating expenses and the increase in sales revenues for the
nine months ended September 30, 2001, the Company's net loss increased to
$3,662,111 as compared to $3,475,422 for the nine months ended September 30,
2000. The increase in net loss is attributable to an extraordinary loss on
extinguishment of debt of $765,000.

Current Liquidity and Capital Resources

We have relied upon our principal shareholder and chief executive officer for
our capital requirements and liquidity. The Company has had recurring losses,
which raises substantial doubt about the Company's ability to continue as a
going concern. Management's plans with respect to these matters include raising
additional working capital through equity or debt financing and ultimately
achieving profitable operations. The accompanying financial statements do not
include any adjustments that might be necessary should the Company be unable to
continue as a going concern.

                         PART II - OTHER INFORMATION

ITEM 6.     EXHIBITS AND REPORTS ON FORM 8-K

No reports on Form 8-K were filed during the quarter for which this report is
filed.

The following exhibits are attached hereto. Exhibits marked with an asterisk
have been filed previously with the Commission and are incorporated herein by
reference.

3.1   *     Articles of Incorporation
3.2   *     Bylaws


                                      3

<PAGE>


                                  SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange
Act of 1934, as amended, the Registrant has duly caused this quarterly report on
Form 10-QSB to be executed on its behalf by the undersigned, hereunto duly
authorized.

LIGHT MANAGEMENT GROUP, INC.


/s/ Donald Iwacha
Donald Iwacha
President and Chief Executive Officer

Dated: November 19, 2001



                                      4

<PAGE>


                              INDEX TO EXHIBITS

      Exhibits marked with an asterisk have been filed previously with the
Commission and are incorporated herein by reference.


EXHIBIT     PAGE
NO.         NO.      DESCRIPTION

3.1         *        Articles  of  Incorporation

3.2         *        Bylaws

                                      5