<PAGE>
                UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                              WASHINGTON D.C. 20549

                                   FORM 10-QSB

[ X ] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934.

For the quarterly period ended September 30, 2002

[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934.

For the transition period from __________, 19____, to __________, 19____.


                        Commission File Number: 333-61286

                       KID CASTLE EDUCATIONAL CORPORATION
           formerly King Ball International Technology Corporation


                 Florida                                    59-2549529
      -------------------------------            -------------------------------
      (State or Other Jurisdiction of            (I.R.S. Employer Identification
      Incorporation or Organization)                         Number)

                        8th Floor, No. 98 Mon Chuan Road
                         Hsien Tien, Taipei, Taiwan ROC


                                011-88622218 5996
                                -----------------
              (Registrant'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 Securities 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.


                      [X]  YES                     [ ]  NO


There were 15,074,329 shares of the Registrant's no par value common stock
outstanding as of April 11, 2003.

             Transitional Small Business Format (check one) Yes [ ]   NO [X]
<PAGE>
                                   FORM 10-QSB
                       KID CASTLE EDUCATIONAL CORPORATION

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                            Page
<S>                                                                         <C>
PART I.  FINANCIAL INFORMATION

         Item 1.  Consolidated Financial Statements......................... i

         Item 2.  Management's Discussion and Analysis of
                  Financial Condition and Results of Operations............. 3

         Item 3.  Controls and Procedures................................... 5


PART II. OTHER INFORMATION

         Item 5.  Other Events.............................................. 6

         Item 6.  Exhibits and Reports on Form 8-K.......................... 6


SIGNATURES.................................................................. 7
</TABLE>


                                       -2-
<PAGE>
                       KID CASTLE EDUCATIONAL CORPORATION
          (FORMERLY KING BALL INTERNATIONAL TECHNOLOGY CORPORATION)

                        FINANCIAL STATEMENTS (UNAUDITED)

                               SEPTEMBER 30, 2002
<PAGE>
                       KID CASTLE EDUCATIONAL CORPORATION
            (FORMERLY KING BALL INTERNATIONAL TECHNOLOGY CORPORATION)

                         PART I - FINANCIAL INFORMATION



ITEM 1.  CONSOLIDATED FINANCIAL STATEMENTS



                                      INDEX


<TABLE>
<CAPTION>
                                                                       Page
<S>                                                                    <C>
Independent Accountant's Report                                        F - 1

Statements of Financial Position                                       F - 2

Statements of Operations                                               F - 3

Statements of Cash Flow                                                F - 4

Statements of Changes in Stockholders' Equity                          F - 5

Notes to Financial Statements                                          F - 6
</TABLE>


                                       -i-
<PAGE>
                         INDEPENDENT ACCOUNTANT'S REPORT


To the Board of Directors

KID CASTLE EDUCATIONAL CORPORATION
  (Formerly King Ball International Technology Corporation)
Taipei, Taiwan, R.O.C.


We have reviewed the accompanying statements of financial position of Kid Castle
Educational Corporation (Company) as of September 30, 2002 and the related
statements of operations, changes in stockholders' equity and cash flows for the
three-month period ended September 30, 2002. These financial statements are the
responsibility of the Company's management.

We conducted our review in accordance with standards established by the American
Institute of Certified Public Accountants. A review of interim financial
information consists principally of inquiries of persons responsible for
financial and accounting matters and analytical procedures applied to financial
data. It is substantially less in scope than an audit in accordance with
generally accepted auditing standards generally accepted in the United States of
America, the objective of which is the expression of an opinion regarding the
financial statements taken as a whole. Accordingly, we do not express such an
opinion.

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

The June 30, 2002 financial statements of the Company were audited by other
accountants, whose report dated September 27, 2002, stated an unqualified
opinion and that the financial statements were presented in accordance with
accounting standards generally accepted in the United States of America.

The accompanying financial statements have been prepared assuming that the
Company will continue as a going concern. As discussed in Note 5 to the
financial statements, the Company's ability to exist as a going concern relies
on its ability to raise adequate financing. Those conditions raise substantial
doubt about its ability to continue as a going concern. Management's plans
regarding those matters are also described in Note 5. The financial statements
do not include any adjustments that might result from the outcome of this
uncertainty.


April 4, 2003
San Diego, California


                                       F-1
<PAGE>
                       KID CASTLE EDUCATIONAL CORPORATION
            (FORMERLY KING BALL INTERNATIONAL TECHNOLOGY CORPORATION)

                        STATEMENTS OF FINANCIAL POSITION

<TABLE>
<CAPTION>
                                                     September 30,
                                                         2002
                                                      (Unaudited)  June 30, 2002
                                                     ------------  -------------
<S>                                                  <C>           <C>
                                     ASSETS
Current Assets
    Cash and cash equivalents                         $         0   $         0

    Other receivables                                           0             0

            Total Current Assets                                0             0

Fixed Assets
    Property, furniture and equipment (net)                     0             0

           Total Fixed Assets                                   0             0

Other Assets                                                    0             0

    Total Assets                                      $         0   $         0

                      LIABILITIES AND STOCKHOLDERS' EQUITY

Current Liabilities
    Accounts payable and accrued expenses             $    10,000   $     4,000
    Payable to affiliate                                        0             0

              Total Current Liabilities                    10,000         4,000

Stockholders' Equity
    Common stock, no par value, 25,000,000
         shares authorized, 3,120,829 and 100,484
         issued and outstanding,respectively               55,767        55,767

    Additional paid in capital                          1,381,248       881,248

    Retained deficit                                   (1,447,015)     (941,015)

    Total Stockholders' Equity                            (10,000)       (4,000)

    Total Liabilities and Stockholders' Equity        $         0   $         0
</TABLE>


                See Accompanying Notes and Accountants' Report


                                       F-2
<PAGE>
                       KID CASTLE EDUCATIONAL CORPORATION
            (FORMERLY KING BALL INTERNATIONAL TECHNOLOGY CORPORATION)

                            STATEMENTS OF OPERATIONS
                                   (UNAUDITED)

<TABLE>
<CAPTION>
                                             Three Months Ended
                                               September 30,       September 30,
                                                    2002               2001
                                             ------------------    -------------
<S>                                          <C>                   <C>
Sales, net                                       $         0        $         0
Cost of sales                                              0                  0
    Gross profit                                           0                  0

Selling expenses                                           0                  0
General and administrative expenses                  506,000              3,250
    Income (loss) from operations                   (506,000)            (3,250)

Other (Income) Expense
    Interest income                                        0                  0
    Interest expense                                       0                  0
    Miscellaneous                                          0                  0
    Total Other (Income) Expense                           0                  0
    Income (loss)  before income taxes              (506,000)            (3,250)

Provision for income taxes                                 0                  0

    Net income (loss)                            ($  506,000)       ($    3,250)

    Net loss per share (basic and diluted)
        Basic                                    ($     0.31)       ($     0.14)
        Diluted                                  ($     0.31)       ($     0.14)

    Weighted average number of shares
        Basic                                      1,610,242             22,806
        Diluted                                    1,610,242             22,806
</TABLE>


                See Accompanying Notes and Accountants' Report


                                       F-3
<PAGE>
                        KID CASTLE EDUCATIONAL CORPORATION
            (FORMERLY KING BALL INTERNATIONAL TECHNOLOGY CORPORATION)

                             STATEMENTS OF CASH FLOWS
                                   (UNAUDITED)

<TABLE>
<CAPTION>
                                                    Three Months
                                                        Ended
                                                    September 30,  September 30,
                                                         2002           2001
                                                    -------------  -------------
<S>                                                 <C>            <C>
CASH FLOWS FROM OPERATING ACTIVITIES
   Net Income (loss)                                  ($506,000)     ($  3,250)

Adjustments to reconcile net loss to net cash
used in operating activities:
   Depreciation                                               0              0
   (Decrease) Increase in accounts
   payable and accrued expenses                           6,000          1,500
   (Decrease) Increase in income taxes payable                0              0
   Total Adjustments                                      6,000          1,500
   Net cash provided by (used in) operations           (500,000)        (1,750)


CASH FLOWS FROM INVESTING ACTIVITIES
   Purchase of fixed assets                                   0              0
   Net cash used in investing activities                      0              0


CASH FLOWS FROM FINANCING ACTIVITIES
   Advance by affiliate                                       0          1,750
   Sale of stock                                        500,000              0

   Net cash provided by financing activities            500,000          1,750

   Net change in cash and cash equivalents                    0              0
   Cash and cash equivalents at beginning of year             0              0

   Cash and cash equivalents at end of year           $       0      $       0

   Supplemental cash flow disclosures:
      Income tax payments                             $       0      $       0
      Interest payments                               $       0      $       0
</TABLE>


                See Accompanying Notes and Accountants' Report


                                       F-4
<PAGE>
                       KID CASTLE EDUCATIONAL CORPORATION
            (FORMERLY KING BALL INTERNATIONAL TECHNOLOGY CORPORATION)

                  STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY
                                   (UNAUDITED)

<TABLE>
<CAPTION>
                                                    September 30,      June 30
                                                         2002            2002
                                                    -------------   ------------
<S>                                                 <C>             <C>
Common Stock Outstanding
   Balance at beginning of period                        100,484      4,982,735
   Retroactive effect of reverse stock split, 1:50            --     (4,882,251)
   Sale of Regulation S common shares                  3,020,345              0

   Balance at end of period                            3,120,829        100,484

Retained deficits
   Balance at beginning of period                    ($  941,015)   ($  938,515)
   Net income (loss)                                    (506,000)        (2,500)
   Balance at end of period                           (1,447,015)      (941,015)

Common stock, no par value
   Balance at beginning of period                         55,767         55,767
   Issuance of common stock                                    0              0

   Balance at end of period                               55,767         55,767


Additional paid in capital
   Balance at beginning of period                        881,248        881,248
   Issuance of common stock, Reg S
      stock 3,020,345 shares                             500,000              0

   Balance at end of period                            1,381,248        881,248

Total stockholders' equity at end of period          ($   10,000)   ($    4,000)
</TABLE>


                See Accompanying Notes and Accountants' Report


                                       F-5
<PAGE>
                       KID CASTLE EDUCATIONAL CORPORATION
            (FORMERLY KING BALL INTERNATIONAL TECHNOLOGY CORPORATION)

                          NOTES TO FINANCIAL STATEMENTS
                               SEPTEMBER 30, 2002

Note 1 - NATURE OF OPERATIONS

Kid Castle Educational Corporation (the Company), formerly King Ball
International Technology Corporation and Omni Doors, Inc., was incorporated on
July 19, 1985 under the laws of the state of Florida. Prior to June 30, 1998,
the Company's primary business activity was the assembly and distribution of
industrial metal doors in Florida. Effective June 30, 1998, the Company ceased
all operations.

On August 22, 2002, the Company changed its name to Kid Castle Educational
Corporation, and on October 1, 2002, it acquired all of the issued and
outstanding stock of Hi Goal Developments Limited, a Cayman Island company
("Hi Goal") pursuant to an exchange agreement dated as of October 1, 2002, by
and among Hi Goal, the shareholders of Hi Goal, Kuo-An Wang and the Company.
Hi Goal based in Taipei, Taiwan, is the parent company of Kid Castle
Technology Corp. Ltd. (Taiwan) and Kid Castle Educational Software (Shanghai)
Corp. Ltd. (China).

Pursuant to the exchange agreement, Hi Goal became a wholly owned subsidiary of
the Company, and in exchange for the Hi Goal shares, the Company issued
11,880,000 shares of its common stock to the shareholders of Hi Goal,
representing eighty percent (80%) of the Company's outstanding stock at that
time.

Note 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Unaudited Interim Financial Information - The accompanying financial statements
have been prepared by Kid Castle Education Corporation, pursuant to the rules
and regulations of the Securities and Exchange Commission (the "SEC") Form
10-QSB and Item 310 of regulation S-B, and generally accepted accounting
principles for interim financial reporting. These financial statements are
unaudited and, in the opinion of management, include all adjustments (consisting
of normal recurring adjustments and accruals) necessary for a fair presentation
of the statement of financial position, operations, and cash flows for the
periods presented. Operating results for the three months ended September 30,
2002 are not necessarily indicative of the results that may be expected for the
fiscal year ending June 30, 2003, or any future period, due to seasonal and
other factors. Certain information and footnote disclosures normally included in
financial statements prepared in accordance with generally accepted accounting
policies have been omitted in accordance with the rules and regulations of the
SEC. These financial statements should be read in conjunction with the audited
financial statements and accompanying notes, included in the Company's Annual
Report for the year ended June 30, 2002.


                                       F-6
<PAGE>
                       KID CASTLE EDUCATIONAL CORPORATION
            (FORMERLY KING BALL INTERNATIONAL TECHNOLOGY CORPORATION)

                          NOTES TO FINANCIAL STATEMENTS
                               SEPTEMBER 30, 2002

Note 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

Cash and Cash Equivalents - Cash equivalents are stated at cost. Cash
equivalents are highly liquid investments readily convertible into cash with an
original maturity of three months or less and consist of time deposits with
commercial banks.

Fixed Assets - Property and equipment are stated at cost less accumulated
depreciation. Expenditures for major additions and improvements are capitalized
and minor replacements, maintenance and repairs are charged to expense as
incurred. Whenever an asset is retired or disposed of, its cost and accumulated
depreciation or amortization is removed from the respective accounts and the
resulting gain or loss is credited or charged to income.

Depreciation is computed using the straight-line and declining-balance methods
over the following estimated useful lives:

      Buildings and improvements                15 to 60 years
      Automobiles                               4 to 6 years
      Machinery and equipment                   5 to 12 years
      Furniture and Fixtures                    7 years

Contingencies - Certain conditions may exist as of the date the financial
statements are issued, which may result in a loss to the Company but which will
only be resolved when one or more future events occur or fail to occur. The
Company's management and legal counsel assess such contingent liabilities, and
such assessment inherently involves an exercise of judgment. In assessing loss
contingencies related to legal proceedings that are pending against the Company
or unasserted claims that may result in such proceedings, the Company's legal
counsel evaluates the perceived merits of any legal proceedings or unasserted
claims as well as the perceived merits of the amount of relief sought or
expected to be sought.

If the assessment of a contingency indicates that it is probable that a material
loss has been incurred and the amount of the liability can be estimated, then
the estimated liability would be accrued in the Company's financial statements.
If the assessment indicates that a potential material loss contingency is not
probable but is reasonably possible, or is probable but cannot be estimated,
then the nature of the contingent liability, together with an estimate of the
range of possible loss if determinable and material would be disclosed.


                                       F-7
<PAGE>
                       KID CASTLE EDUCATIONAL CORPORATION
            (FORMERLY KING BALL INTERNATIONAL TECHNOLOGY CORPORATION)

                          NOTES TO FINANCIAL STATEMENTS
                               SEPTEMBER 30, 2002

Note 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

Loss contingencies considered to be remote by management are generally not
disclosed unless they involve guarantees, in which case the guarantee would be
disclosed. As of September 30, 2002 and the date of our report, management has
informed us that there are no matters that warrant disclosure in the financial
statements.

Estimates - The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make certain estimates and
assumptions that affect the reported amounts of assets and liabilities and
disclosure 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. Significant
estimates include collectibility of accounts receivable, accounts payable, sales
returns and recoverability of long-term assets.

Earnings Per Share - Earnings per share are based on the weighted average number
of shares of common stock and common stock equivalents outstanding during each
period. Earnings per share are computed using the treasury stock method. The
options to purchase common shares are considered to be outstanding for all
periods presented but are not calculated as part of the earnings per share.

Income Taxes - Income taxes have been provided based upon the tax laws and rates
in the countries in which operations are conducted and income is earned. The
income tax rates imposed by the taxing authorities vary. Taxable income may vary
from pre-tax income for financial accounting purposes. There is no expected
relationship between the provision for income taxes and income before income
taxes because the countries have different taxation rules, which vary not only
to nominal rates but also in terms of available deductions, credits and other
benefits. Deferred tax assets and liabilities are recognized for the anticipated
future tax effects of temporary differences between the financial statement
basis and the tax basis of the Company's assets and liabilities using the
applicable tax rates in effect at year end as prescribed by SFAS 109 "Accounting
for Income Taxes".

New Accounting Pronouncements - In July 2001, the FASB issued SFAS 141 "Business
Combinations". SFAS 141 requires that all business combinations initiated or
completed after June 30, 2001 be accounted for using the purchase method of
accounting. The statement provides for recognition and measurement of intangible
assets separate from goodwill. The Company adopted SFAS 141 as of July 1, 2001.
The adoption of the new statement had no effect on the financial statements.


                                       F-8
<PAGE>
                       KID CASTLE EDUCATIONAL CORPORATION
            (FORMERLY KING BALL INTERNATIONAL TECHNOLOGY CORPORATION)

                          NOTES TO FINANCIAL STATEMENTS
                               SEPTEMBER 30, 2002

Note 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

In July 2001, the FASB issued SFAS 142, "Goodwill and Other Intangible Assets".
Under SFAS 142, goodwill and intangible assets with indefinite lives are no
longer amortized but are reviewed at least annually for impairment. The
amortization provisions of SFAS 142 apply to goodwill and intangible assets
acquired after June 30, 2001. With respect to Goodwill and intangible assets
acquired prior to July 1, 2001, the Company is required to and has adopted SFAS
142 effective January 1, 2002. The adoption of this pronouncement did not have a
material effect to the Company's financial position or results of operations.

In August 2001, the FASB issued SFAS 144 "Accounting for the Impairment or
Disposal of Long-Lived Assets". SFAS supersedes SFAS 121 and the accounting and
reporting provisions of APB 30. SFAS 144 provides guidance for determining
whether long-lived assets should be tested for impairment and specific criteria
for classifying assets to be disposed of as held for sale. The statement is
effective for fiscal years beginning after December 15, 2001, and the Company
has adopted the statement as of January 1, 2002. Management does not expect the
adoption of this statement to have a material effect on the Company's
consolidated financial position or results of operations.

Note 3 - COMMON STOCK

On August 19, 2002 the Company effected a reverse stock split of one share for
every fifty issued and outstanding share of common stock. The effect of the
stock split is reflected for all periods presented.

On August 16, 2002 the Company entered into an agreement to sell 3,020,345
shares of restricted common stock for a total price of $500,000. The shares were
sold according to Regulation S, Rule 902(k)(1) of the securities act. The
closing and issuance of these shares were subsequent to the reverse stock split
on August 19, 2002.


                                       F-9
<PAGE>
                       KID CASTLE EDUCATIONAL CORPORATION
            (FORMERLY KING BALL INTERNATIONAL TECHNOLOGY CORPORATION)

                          NOTES TO FINANCIAL STATEMENTS
                               SEPTEMBER 30, 2002

Note 4 - SUBSEQUENT EVENT

On October 1, 2002 the Company acquired all of the issued and outstanding stock
of Hi Goal Developments Limited (Hi Goal), a Cayman Islands company, pursuant to
an exchange agreement dated October 1, 2002.

Pursuant to the Exchange Agreement, Hi Goal became a wholly owned subsidiary of
the Company and in exchange for the Hi Goal shares the Company issued 11,880,000
shares of its common stock to the shareholders of Hi Goal. These shares
represent 80% of the issued and outstanding stock after the exchange.

Note 5 - GOING CONCERN

The accompanying financial statements have been prepared assuming the Company
will continue as a going concern. Due to the Company's change in ownership and
related transfer of all its operating activities, the Company had no continuing
operations effective July 1, 1998. Since coming under new control, the Company
had been dependent upon payments from related parties for working capital, has
had no independent income generating operations and has a stockholders' deficit
as of September 30, 2002. These factors raise substantial doubt about the
Company's ability to continue as a going concern. Management is in the process
of exploring business opportunities which they believe will permit the Company
to attain profitable operating results and allow it to continue as a going
concern.

However, at this time, the Company is fully dependant on future sales of
securities or upon advances of loans from significant stockholders or corporate
officers to provide sufficient working capital to continue in existence.

There is no assurance that the Company will be able to obtain additional funding
through the sale of additional securities or, that such funding, if available,
will be obtained on terms favorable to or affordable by the Company. However, it
is the intent of management and significant stockholders to provide sufficient
working capital necessary for the Company to continue in existence.


                                      F-10
<PAGE>
                       KID CASTLE EDUCATIONAL CORPORATION
            (FORMERLY KING BALL INTERNATIONAL TECHNOLOGY CORPORATION)


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

      The information contained in this Item 2, Management's Discussion and
Analysis or Plan of Operation, contains "forward looking statements" within the
meaning of Section 27A of the Securities Act 1933, as amended, and Section 21E
of the Securities Exchange Act of 1934, as amended. Actual results may
materially differ from those projected in the forward-looking statements as a
result of certain risks and uncertainties set forth in this report. Although
management believes that the assumptions made and expectations reflected in the
forward looking statements are reasonable, there is no assurance that the
underlying assumptions will, in fact, prove to be correct or that actual future
results will not be different from the expectations expressed in this report.


RESULTS OF OPERATIONS - THREE MONTHS ENDED SEPTEMBER 30, 2002 AND 2001


REVENUE

      The Company had no revenues for the three months ended September 30, 2002
and 2000, respectively.

      Direct general and administrative expenses for the three month periods
ended September 30, 2002 and 2001 were approximately $500,000 and $3,250,
respectively. The increase in general and administrative expenses was a direct
result of accounting and legal fees in furtherance of merger and acquisition
activities. During the three months ended September 30, 2002 and 2001,
respectively, the Company realized depreciation expense of approximately $6,000
and $1,500 on office furniture and computer equipment. The Company realized a
net loss of approximately $(506,000) and $(3,250) for the respective three month
periods.

      The Company does not expect to generate any meaningful revenue or incur
significant operating expenses unless and until such time that the Company
begins or acquires meaningful operations.


LIQUIDITY AND CAPITAL RESOURCES

      In August, 2002, we received $500,000 gross proceeds from a private
offering of our common stock.

      At September 30, 2002, the Company had working capital of $0.

      It is the intent of management and significant stockholders to provide
sufficient working capital necessary to support and preserve the integrity of
the corporate entity. However, there is


                                      -3-
<PAGE>
no legal obligation for either management or significant stockholders to provide
additional future funding. Should this pledge fail to provide financing, the
Company has not identified any alternative sources. Consequently, there is
substantial doubt about the Company's ability to continue as a going concern.

      The Company's need for capital may change dramatically as a result of any
business acquisition or combination transaction. There can be no assurance that
the Company will identify any such business, product, technology or company
suitable for acquisition in the future. Further, there can be no assurance that
the Company would be successful in consummating any acquisition on favorable
terms or that it will be able to profitably manage the business, product,
technology or company it acquires.

      The Company intends to locate and combine with an existing, privately-held
company which is profitable or, in management's view, has growth potential,
irrespective of the industry in which it is engaged. However, the Company does
not intend to combine with a private company which may be deemed to be an
investment company subject to the Investment Company Act of 1940. A combination
may be structured as a merger, consolidation, exchange of the Company's common
stock for stock or assets or any other form which will result in the combined
enterprise's becoming a publicly-held corporation.

      Pending negotiation and consummation of a combination, the Company
anticipates that it will have, aside from carrying on its search for a
combination partner, no business activities, and, thus, will have no source of
revenue. Should the Company incur any significant liabilities prior to a
combination with a private company, it may not be able to satisfy such
liabilities as are incurred.

      If the Company's management pursues one or more combination opportunities
beyond the preliminary negotiations stage and those negotiations are
subsequently terminated, it is foreseeable that such efforts will exhaust the
Company's ability to continue to seek such combination opportunities before any
successful combination can be consummated. In that event, the Company's common
stock will become worthless and holders of the Company's common stock will
receive a nominal distribution, if any, upon the Company's liquidation and
dissolution.


COMBINATION SUITABILITY STANDARDS

      In its pursuit for a combination partner, the Company's management intends
to consider only combination candidates which are profitable or, in management's
view, have growth potential. The Company's management does not intend to pursue
any combination proposal beyond the preliminary negotiation stage with any
combination candidate which does not furnish the Company with audited financial
statements for at least its most recent fiscal year and unaudited financial
statements for interim periods subsequent to the date of such audited financial
statements, or is in a position to provide such financial statements in a timely
manner. The Company will, if necessary funds are available, engage attorneys
and/or accountants in its efforts to investigate a combination candidate and to
consummate a business combination. The Company may require payment of fees by
such combination candidate to fund the investigation of such candidate. In the
event such a combination candidate is engaged in a high technology


                                       -4-
<PAGE>
business, the Company may also obtain reports from independent organizations of
recognized standing covering the technology being developed and/or used by the
candidate. The Company's limited financial resources may make the acquisition of
such reports difficult or even impossible to obtain and, thus, there can be no
assurance that the Company will have sufficient funds to obtain such reports
when considering combination proposals or candidates. To the extent the Company
is unable to obtain the advice or reports from experts, the risks of any
combined enterprise's being unsuccessful will be enhanced. Furthermore, to the
knowledge of the Company's officers and directors, neither the candidate nor any
of its directors, executive officers, principal shareholders or general
partners, for the previous five (5) Fiscal periods,:

      (1)   will not have been convicted of securities fraud, mail fraud, tax
            fraud, embezzlement, bribery, or a similar criminal offense
            involving misappropriation or theft of funds, or be the subject of a
            pending investigation or indictment involving any of those offenses;

      (2)   will not have been subject to a temporary or permanent injunction or
            restraining order arising from unlawful transactions in securities,
            whether as issuer, underwriter, broker, dealer, or investment
            advisor, may be the subject of any pending investigation or a
            defendant in a pending lawsuit arising from or based upon
            allegations of unlawful transactions in securities; or

      (3)   will not have been a defendant in a civil action which resulted in a
            final judgement against it or him awarding damages or rescission
            based upon unlawful practices or sales of securities.

      The Company's officers and directors will make these determinations by
asking pertinent questions of the management of prospective combination
candidates. Such persons will also ask pertinent questions of others who may be
involved in the combination proceedings. However, the officers and directors of
the Company will not generally take other steps to verify independently
information obtained in this manner which is favorable. Unless something comes
to their attention which puts them on notice of a possible disqualification
which is being concealed from them, such persons will rely on information
received from the management of the prospective combination candidate and from
others who may be involved in the combination proceedings.


ITEM 3.     CONTROLS AND PROCEDURES

      Within the 90 days prior to the date of filing this Quarterly Report on
Form 10-QSB, the Company carried out an evaluation, under the supervision and
with the participation of the Company's management, including the Chief
Executive Officer and the Chief Financial Officer, of the effectiveness of the
design and operation of the Company's disclosure controls and procedures
pursuant to Exchange Act Rule 13a-14. Based upon that evaluation, the Chief
Executive Officer and the Chief Financial Officer concluded that the Company's
disclosure controls and procedures are effective in timely alerting them to
material information relating to the Company required to be included in the
Company's periodic SEC filings.


                                       -5-
<PAGE>
                                    PART II.
                                OTHER INFORMATION


ITEM 5.     OTHER EVENTS

      On August 19, 2002, the Company's Board of Directors effected a one (1)
for fifty (50) reverse split of the Company's issued and outstanding stock. The
result of this action was to reduce the issued and outstanding shares of common
stock from 4,982,735 to 99,655. The effect of this action is reflected in the
accompanying financial statements as of the first day of the first period
presented.

      In August 2002, Kid Castle issued 3,020,345 restricted shares of common
stock to purchasers in a private offering resulting in gross proceeds of
$500,000. No commissions were paid. All of the purchasers in the private
offering were non "U.S. persons" as such term is defined in Rule 902(k)(1) of
Regulation S. The issuance of these shares was exempt from the registration
requirements of the securities act under Regulation S as a transaction involving
an offer and sale made outside of the United States.


ITEM 6.     EXHIBITS AND REPORTS ON FORM 8-K

A.  Exhibits


99.1  Certification of Kuo-An Wang pursuant to 18 U.S.C. 1350, as adopted
      pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.


99.2  Certification of Yu-En Chiu pursuant to 18 U.S.C. 1350, as adopted
      pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

B.  Reports on Form 8-K

July 2, 2002      Announcement of a change in control involving 2,830,926 shares
                  of the Company's common stock being sold by Halter Capital
                  Corporation to Powerlink International Finance, Inc.

July 15, 2002     Announcement of the resignation of S.W. Hatfield, CPA as the
                  Company's independent certified accountant.


                                       -6-
<PAGE>
                                   SIGNATURES

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



Dated:   April 15, 2003


                                    By:         /s/ Kuo-An Wang
                                          ------------------------------------
                                          Name:    Kuo-An Wang
                                          Title:   Chief Executive Officer


                                       -7-
<PAGE>
                  CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER

I, KUO-AN WANG, President and Chief Executive Officer (principal executive
officer) of Kid Castle Educational Corporation (the "Registrant"), certifies
that:

1. I have reviewed this quarterly report on Form 10-QSB of Kid Castle
Educational Corporation.

2. Based on my knowledge, this quarterly 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 quarterly
report;

3. Based on my knowledge, the financial statements, and other financial
information included in this quarterly 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 quarterly report;

4. The registrant's other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and we have:

      a) designed such disclosure controls and procedures 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 quarterly report is being prepared;

      b) evaluated the effectiveness of the registrant's disclosure controls and
procedures as of a date within 90 days prior to the filing date of this
quarterly report (the "Evaluation Date"); and

      c) presented in this quarterly report our conclusions about the
effectiveness of the disclosure controls and procedures based on our evaluation
as of the Evaluation Date;

5. The registrant's other certifying officers and I have disclosed, based on our
most recent evaluation, to the registrant's auditors and the audit committee of
registrant's board of directors (or persons performing the equivalent function):

      a) all significant deficiencies in the design or operation of internal
controls which could adversely affect the registrant's ability to record,
process, summarize and report financial data and have identified for the
registrant's auditors any material weaknesses in internal controls; and

      b) any fraud, whether or not material, that involves management or other
employees who have a significant role in the registrant's internal controls; and


                                     1 of 2
<PAGE>
6. The registrant's other certifying officers and I have indicated in this
quarterly report whether or not there were significant changes in internal
controls or in other factors that could significantly affect internal controls
subsequent to the date of our most recent evaluation, including any corrective
actions with regard to significant deficiencies and material weaknesses.


      /s/ Kuo-An Wang
------------------------------------
Kuo-An Wang
Date: April 15, 2003


                                     2 of 2
<PAGE>
                  CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER

I, YU-EN CHIU, Chief Financial Officer (principal financial officer) of Kid
Castle Educational Corporation (the "Registrant"), certifies that:

1. I have reviewed this quarterly report on Form 10-QSB of Kid Castle
Educational Corporation.

2. Based on my knowledge, this quarterly 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 quarterly
report;

3. Based on my knowledge, the financial statements, and other financial
information included in this quarterly 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 quarterly report;

4. The registrant's other certifying officers and I are responsible for
establishing and maintaining disclosure controls and procedures (as defined in
Exchange Act Rules 13a-14 and 15d-14) for the registrant and we have:

      a) designed such disclosure controls and procedures 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 quarterly report is being prepared;

      b) evaluated the effectiveness of the registrant's disclosure controls and
procedures as of a date within 90 days prior to the filing date of this
quarterly report (the "Evaluation Date"); and

      c) presented in this quarterly report our conclusions about the
effectiveness of the disclosure controls and procedures based on our evaluation
as of the Evaluation Date;

5. The registrant's other certifying officers and I have disclosed, based on our
most recent evaluation, to the registrant's auditors and the audit committee of
registrant's board of directors (or persons performing the equivalent function):

      a) all significant deficiencies in the design or operation of internal
controls which could adversely affect the registrant's ability to record,
process, summarize and report financial data and have identified for the
registrant's auditors any material weaknesses in internal controls; and

      b) any fraud, whether or not material, that involves management or other
employees who have a significant role in the registrant's internal controls; and

      6. The registrant's other certifying officers and I have indicated in this
quarterly report whether or not there were significant changes in internal
controls or in other factors that could


                                     1 of 2
<PAGE>
significantly affect internal controls subsequent to the date of our most recent
evaluation, including any corrective actions with regard to significant
deficiencies and material weaknesses.

      /s/ Yu-En Chiu
------------------------------
Yu-En Chiu
Date: April 15, 2003


                                     2 of 2