UNITED STATES                          
                SECURITIES AND EXCHANGE COMMISSION
                     WASHINGTON, D.C.  20549


                           FORM 10-QSB


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

For the Quarter ended June 30, 1997Commission File No. 133-16736 


    Gulfstar Industries, Inc. (formerly TIER Environmental Services, Inc.     
      (Exact name of registrant as specified in its charter)

           Delaware                                      23-2442288            
(State or other jurisdiction of          (I.R.S. Employer Identification Number)
 incorporation or organization)


20505 U.S. 19N. #12-283, Clearwater, FL                     34624              
(Address of principal executive offices)                  (Zip Code)


Issuer's telephone number, (813)   441    -   4442            


Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934, 
during the preceding 12 months (or for shorter period that the registrant was 
required to file such report), and (2) has been subject to such filing 
requirements for the past 90 days.

     Yes:   X            No:     


Transitional Small Business Disclosure Format:

     Yes:   X            No:     


The number of shares outstanding of each of the registrant's classes of common
stock as of June 30, 1997 is 9,106,365 shares all of one class of $.032 par 
value common stock.
<PAGE>
            GULFSTAR INDUSTRIES, INC. AND SUBSIDIARIES
           (FORMERLY TIER ENVIRONMENTAL SERVICES, INC.)



                              INDEX

                                                            PAGE 

PART I    FINANCIAL INFORMATION

          Consolidated Balance Sheet - June 30, 1997          1  

          Consolidated Statements of Operations - Nine Months
            Ended June 30, 1997 and Nine Months Ended
            June 30, 1996                                     2  

          Consolidated Statement of Changes in Stockholders Equity
            for Year and the Nine Months Ended June 30, 1997 3-4 

          Statement of Cash Flows - Nine Months Ended
            June 30, 1997 and Nine Months Ended
            June 30, 1996                                    5-6 

          Notes to Financial Statements                      7-8 

          Management's Discussion and Analysis of financial
            conditions and results of operations             9-10


PART II   OTHER INFORMATION

          Item 1.   Legal Proceedings                         11 

          Item 2.   Changes in Securities                     11 

          Item 3.   Defaults Upon Senior Securities           11 

          Item 4.   Submission of Matters to a Vote of
                      Security Holders                        11 

          Item 5.   Other Information                         11 

          Item 6.   Exhibits on Reports on Form 8-K           11 

Signature Page                                                12 

<PAGE>
            GULFSTAR INDUSTRIES, INC. AND SUBSIDIARIES
           (FORMERLY TIER ENVIRONMENTAL SERVICES, INC.)
                    CONSOLIDATED BALANCE SHEET
                          JUNE 30, 1997





      Assets

Current Assets
  Cash                                                      $       129

      Total Current Assets                                          129

      Total Assets                                          $       129

      Liabilities and Stockholders' Equity

Current Liabilities
  Accounts payable and accrued expenses                     $   283,996
  Notes due to related parties                                  821,649

      Total Current Liabilities                               1,105,645

Stockholders' Equity
  Common stock, par value $.032 per share; 
    authorized 10,000,000  shares, issued
    and outstanding 9,106,365                                   291,404
  Convertible preferred stock, authorized 1,000,000
    shares, par value $10.00; 75,000 shares issued
    and outstanding                                             750,000
Additional paid in capital                                    3,166,718
Retained deficit (October 1, 1993)                              (59,033)
Retained deficit, subsequent to quasi-reorganization         (5,254,605)

      Total Stockholders' (Deficit)                          (1,105,516)

      Total Liabilities and Stockholders' Deficit           $       129
<PAGE>
            GULFSTAR INDUSTRIES, INC. AND SUBSIDIARIES
           (FORMERLY TIER ENVIRONMENTAL SERVICES, INC.)
              CONSOLIDATED STATEMENTS OF OPERATIONS




                                                          For the
                                                      Nine Months Ended
                                                          June 30,
                                                      1997          1996   

Contract Revenues Earned                          $   967,260 $3,658,092
Other Income                                                -     28,010
  Total Revenue                                       967,260  3,686,102

Cost of contract revenues earned                      823,028  3,312,761

Gross Profit                                          144,232    373,341

Operating Expenses
  Selling and administrative expenses                 174,383    749,688
  Depreciation and amortization                        28,896    251,528
  Interest expense                                     32,386     93,118
  Provision for bad debts                               2,000     12,000
  Acquisition expenses                                      -     57,728

(Loss) from operations                                (93,433)  (790,721)

Loss from discontinued operations of Florida
 environmental subsidiary including $1,101,929
 of impairment of goodwill, $38,946 of bad
 debts, $16,403 abandonment of fixed assets,
 $196,132 cancellation of indebtedness
 income and $213,961 loss from operations
 during the phase out period                       (1,136,162)          -

Loss from discontinued operations of Texas
 engineering consulting subsidiary including
 $492,590 of impairment of goodwill, $113,359
 of bad debts, $1,151,092 abandonment of data
 base and fixed assets, $28,997 depreciation
 and amortization, $1,556,981 cancellation of
 indebtedness income and $144,576 loss from
 operations during the phase out period              (231,277)           -

(Loss) before taxes                                (1,460,872)    (790,721)

Benefit from income taxes                                   -            -

      Net (Loss)                                  $(1,460,872)  $ (790,721)

(Loss) per share                                  $     (.159)  $     (.08)

Weighted average shares outstanding                 9,181,365    9,081,852


<PAGE>
            GULFSTAR INDUSTRIES, INC. AND SUBSIDIARIES
           (FORMERLY TIER ENVIRONMENTAL SERVICES, INC.)
    CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY
               FOR THE PERIOD FROM OCTOBER 1, 1995
                      THROUGH JUNE 30, 1997


                                                                   
                                       Common Stock       Preferred Stock
                                    Shares      Amount    Shares    Amount  

Balance, October 1, 1995           8,399,123  $ 268,772   75,000  $ 750,000

Issuance of common stock           1,110,000     35,520        -          -

Net loss for the year ended
 September 30, 1996                        -          -        -          -

Balance, September 30, 1996        9,509,123    304,292   75,000    750,000

Recision of contingent common
 stock from prior acquisition       (357,133)   (11,428)       -          -

Recision of common stock for
 services                            (45,625)    (1,460)       -          -

Net loss for the six months
 ended March 31, 1997                      -          -        -          -

Balance, March 31, 1997            9,106,365  $ 291,404   75,000  $ 750,000





























<PAGE>




                                        Retained
                          Quasi-        Deficit
           Additional  Reorganization  Subsequent
            Paid In      (10-1-93)      To Quasi-   
            Capital     Adjustment   Reorganization       Total  

                $3,107,135     $(59,033)$(1,188,665)  $2,878,209

                   207,799            -           -      243,319


                         -            -           -            -

                 3,314,934      (59,033) (3,793,733)     516,460


                  (131,426)           -           -     (142,854)


                   (16,790)           -           -      (18,250)


                         -            -  (1,460,872)  (1,460,872)

                $3,166,718    $ (59,033)$(5,254,605) $(1,105,516)


























<PAGE>
            GULFSTAR INDUSTRIES, INC. AND SUBSIDIARIES
              CONSOLIDATED STATEMENTS OF CASH FLOWS


                                                    For the Nine Months Ended
                                                             June 30,
                                                        1997         1996   

OPERATING ACTIVITIES
  Cash Flows From (Used In) Operating Activities:
    Net loss                                        $  (93,433)  $ (790,721)
    Adjustments to reconcile net loss to net
      cash used in operating activities:
    Depreciation and amortization                       28,896      251,528
    Expense paid by issuance of common stock                 -       44,419
    Expense reduction via recision of common stock     (18,250)           -
    Provision for bad debts                              2,000       12,000
    Loss on assets disposed                                  -            -
    Impairment loss                                          -            -
    Decrease (increase) in contracts in-progress             -    1,561,203
    Decrease (increase) in accounts receivable         (60,716)     385,259
    (Increase) decrease in other receivables
      and escrow deposits                                    -     (118,359)
    (Decrease) increase in contracts payable                 -   (1,556,203)
    Increase (decrease) in accounts payable and
      accrued expenses                                 160,090      (29,815)
    (Decrease) increase in deferred taxes                    -            -
    Increase in accrued interest                        32,386            -
    Decrease (increase) in other assets                      -      (15,089)
      Net cash from (used in) operating activities      50,973     (255,778)

DISCONTINUED OPERATING ACTIVITIES:
  Cash Flows (Used In) Discontinued Operating
   Activities:
   Net loss                                         (1,367,439)           -
   Adjustments to reconcile net loss to net cash
    used in operating activities:
    Depreciation and amortization                       28,997           
    Expense paid by issuance of common stock                 -            -
    Allowance for escrow loss                                -            -
    Provision for bad debts                            152,305            -
    Loss on assets disposed                          1,167,495            -
    Impairment losses                                1,594,519            -
    Cancellation of indebtedness                     1,616,552            -
    Decrease (increase) in contracts in progress     1,493,814            -
    Decrease (increase) in accounts receivable         720,491            -
    (Increase) decrease in other receivables and
      escrow deposits                                  304,212            -
    (Decrease) increase in contracts payable        (1,493,814)           -
    (Decrease) increase in accounts payable and
      accrued expenses                              (1,037,529)           -
    (Decrease) in deferred taxes                             -            -
    Decrease in escrow account                               -            -
    Decrease (increase) in other assets                      -            -
      Net cash (used in) discontinued operating
        activities                                     (52,501)           -

INVESTING ACTIVITIES
  Cash Flows Used In Investment Activities:
    Acquisition of fixed assets                              -      (13,800)
      Net cash used in investing activities                  -      (13,800)<PAGE>



                                                   For the Nine Months Ended
                                                             June 30,
                                                        1997         1996   


FINANCING ACTIVITIES
  Cash Flows Used In Financing Activities:
    Issuance of common stock, net of direct
      offering costs of $35,100 in 1996             $        - $  198,800
    Repayment of stockholder loans                           -     (2,000)
    Proceeds from loan payable - related parties             -    110,583
    Repayment of notes payable                               -    (33,431)

      Net cash provided by financing activities              -    274,052

Net (decrease) increase in cash and cash
  equivalents                                           (1,528)     4,474

Cash and cash equivalents, beginning of year             1,657     63,763

Cash and cash equivalents, end of year              $      129 $   68,237



<PAGE>
A.   BASIS OF PRESENTATION

     The accompanying unaudited condensed consolidated financial statements
     have been prepared in accordance with generally accepted accounting
     principles for interim financial information and with the instructions to
     Form 10-QSB and Article 10 of Regulation S-X.  Accordingly, they do not
     include all of the information and footnotes required by generally
     accepted accounting principles for complete financial statements.  In the
     opinion of management, all adjustments (consisting of normal recurring
     accruals) considered necessary for a fair presentation have been included. 
     Operating results for the nine month period ended June 30, 1997 are not
     necessarily indicative of the results that may be expected for the year
     ended September 30, 1997.  Earnings per share are based on weighted
     average shares outstanding for all periods presented giving effect to
     75,000 convertible preferred shares treated as a common stock equivalent. 
     For further information, refer to the consolidated financial statements
     and footnotes thereto included in the Registrant Company and Subsidiaries'
     annual report on form 10-K for the year ended September 30, 1996.

B.   PURCHASE OF SUBSIDIARIES

     Acquisition and Discontinuation (during the quarter ending December 31,
     1996) of Tier Environmental Services, Inc.

     On September 26, 1994 Gulfstar Industries, Inc. acquired all of the common
     stock of Tier Environmental Services, Inc. through an acquisition and
     redemption by Tier Environmental Services, Inc. of its common stock
     totaling approximately $2,982,400 in value, exclusive of acquisition
     costs.  Tier's principal business is to provide environmental remediation
     services in the State of Florida, at petroleum contaminated sites
     designated by the State of Florida as sites subject to authorized
     reimbursement under the Inland Protective Trust Fund.  The acquisition was
     accounted for as a purchase in accordance with Accounting Principles Board
     Opinion No. 16.  The agreement also called for the additional issuance of
     Gulfstar stock to Tier shareholders if the Company spun off a former
     subsidiary, which in turn the Company did on September 25, 1995.  As such,
     the Company was required to issue an additional 357,133 shares which were
     valued at $142,855.  The excess (approximately $2,845,220) of the total
     acquisition cost over the recorded value of assets acquired was allocated
     to goodwill and is being amortized over 20 years.  The statement of
     operations includes Tier's results of operations for the six months ended
     March 31, 1996, and for the six month period ended March 31, 1997, the
     Tier operating results were included in discontinued operations through
     the quarter ending December 31, 1996, which was when the company recorded
     the discontinuation of this subsidiary.



<PAGE>
B.     PURCHASE OF SUBSIDIARIES - (Continued)

  Acquisition and Discontinuation (during the quarter ending March 31, 1997)
  of Plant Technical Services, Inc.

  Plant Technical Services, Inc. was engaged in the professional engineering
  business, providing consulting, design, start-up support, operation,
  maintenance, contract personnel and construction management service to
  technical industries throughout the United States.

  On September 29, 1995 Gulfstar acquired all of the common stock of Plant
  Technical Services, Inc. (PTS) through an acquisition and redemption by
  PTS of its stock with the issuance of 750,000 shares of Gulfstar common
  stock, 75,000 shares of Gulfstar $10.00 preferred stock and cash and notes
  of $1,220,000, exclusive of acquisition costs.  The acquisition was
  accounted for as a purchase in accordance with Accounting Principles Board
  Opinion No. 16.  The excess (approximately $1,278,000) of the total
  acquisition cost over the recorded value of assets acquired was allocated
  $500,000 to a proprietary database PTS developed and was expected to be
  amortized over seven years and $571,144 to goodwill which was being
  amortized over 20 years. The statement of operations for the six months
  ended March 31, 1996 includes the results of operations for PTS.  In
  fiscal 1997, the statement of operations includes PTS' results of
  operations for the first quarter ended December 31, 1996, and discontinued
  operations for the second quarter ended March 31, 1997.

C.     RELATED PARTY TRANSACTIONS

  During the six months ending March 31, 1996, $162,600 was charged to
  operations based upon the value ascribed to services of a director and
  administrative assistant performed during the period for which they were
  issued 242,500 shares.

  Included in amounts due to related parties at March 31, 1997 for expenses
  advanced by a company affiliated with a stockholder and director of the
  company is $724,943 plus accrued interest through March 31, 1997 of
  $87,705 at 12%, and $9,000 advanced from a corporate stockholder, which is
  non-interest bearing.

  Note payable to stockholder (the former sole stockholder of PTS) had
  included $7,145 of a non-interest bearing instrument.  Additionally, this
  note had been reduced by amounts reserved for the anticipated loss on long
  term contract and $918,944 remains which represents the balance on the
  acquisition note after such reduction, bearing interest at 8%.  $54,760 of
  interest was accrued on this note and is included in interest expense and
  accrued expenses for the nine month period ending June 30,, 1996, and the
  balance including accrued interest of $72,760 was recorded as cancellation
  of indebtedness income in connection with the discontinuation of this
  subsidiary as reported in the quarter ending March 31, 1997.




<PAGE>
The following is management's discussion and analysis of certain significant
factors which have affected the Company's financial position and operating
results during the periods included in the accompanying condensed financial
statements including the Company's Florida operating subsidiary, as well as
information relating to the plans of the Company's current management.

ABOUT THE SUBSIDIARIES

TIER Environmental Services, Inc.

The primary revenue of this environmental subsidiary came from its work in 
direct cooperation with the Florida legislature towards reimbursement for 
eligible sites for environmental clean-up. The Governor's executive order 
dated March 8, 1995 in reference to the Inland Protection Trust Fund (the 
"fund") referendum has caused some confusion over the past few months. For 
the purpose of clearing this up and stating the facts, the fund is still very 
much in place, claims are still being paid by the State, and the interests of 
the contractors as well as those of the investors are still being met.

To be specific, on March 29, 1995 Governor Chiles signed into law 95-2, Laws of
Florida (SB 1290).  This law revises Florida Statute 376 as it relates to
continued and future site rehabilitation tasks for eligible sites.  Chapter 95-2
does not specifically amend or change the reimbursement regulations set forth in
Chapter 62-773, F.A.C.  As of this date, the Legislature has not finalized the
fiscal year 1995-96 budget allocation and accompanying Legislative intent
regarding the IPTF (SB 2800; HB 2585).  Therefore, the new Legislation primarily
affects what eligible sites can continue and start site rehabilitation tasks;
does not revise the allowable markups and handling fees in the Reimbursement
Rule; and does not provide any more certainty as to the actual date when a
Reimbursement Claim will be paid.

During the quarter ended December 31, 1996, the Company discontinued operations
in this subsidiary.

Plant Technical Services

The primary revenue sources of this subsidiary comes from utilities in North
America with high demands at peak periods for engineering professionals.

During the fourth quarter 1995 the Company's former president spent a 
substantial portion of his time pursuing one acquisition in Mexico, the 
Hemyc Group (see form 10-K for the fiscal year ended September 30, 1995) 
which in turn, the Company has since rescinded. The Company has also 
continued to complete or resolve a joint venture with the Hemyc Group which 
was substantially delayed as for the fiscal year ended September 30, 1995. 
This subsidiary recorded a loss on the contract to the extent it has accrued 
costs associated with the joint venture and charged the same loss to amounts 
due to the former president shareholder. During the quarter ended March 31, 
1997, the remaining assets of this joint venture, as well as the other assets 
of this subsidiary, including fixed assets, database, and goodwill were 
recorded as losses, net of the liabilities directly associated with the 
purchase of the subsidiary and the idle equipment, and included in 
discontinued operations.
<PAGE>
RESULTS OF OPERATIONS

Nine Months Ended June 30, 1996 vs. June 30, 1995

The Company's historical results from operations for the six months ended March
31, 1996 consisted a loss of $557,822 on revenues of $2,268,413.  These included
the operations of both the PTS and Tier subsidiary.  The results of operations
for the nine months ended June 30, 1997 includes operations of the PTS 
subsidiary through December and the parent company through June 30, 1997 for 
a loss of $93,433 on revenues of $967,260 and the Tier environmental 
subsidiary reported a loss from discontinued operations of $1,136,162 
including an operating loss of $213,961 during the phase out period effective 
for the quarter ended December 31, 1996, and the PTS reported a loss of 
$231,277 from the discontinuation of its operations including an operating 
loss of $144,576 during the phase out period effective for the quarter ended 
March 31, 1997.

Liquidity and Working Capital

The Company's working capital continued to remain negative during the quarter
ended June 30, 1997.  Despite the discontinuation of both subsidiaries and the
reversal of liabilities associated with the operating assets of these
subsidiaries. At September 30, 1996 the Company had a deficit of $1,959,320 as
compared to a deficit of $1,105,516 at June 30, 1997.





<PAGE>
                   PART II - OTHER INFORMATION



Item 1.   Legal Proceedings

          On May 15, 1995 the Company terminated and initiated legal action
          against the former president and shareholder of its PTS subsidiary. 
          Both subsidiaries are defendants in various litigations with
          debtors, over contract obligations and performance clauses.

Item 2.   Changes in Securities

          NONE

Item 3.   Defaults Upon Senior Securities

          NONE

Item 4.   Submission of Matters to a Vote of Security Holders

          NONE

Item 5.   Other Information

          NONE

Item 6.   Exhibits and Reports on Form 8-K

          NONE



<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.



                                 GULFSTAR INDUSTRIES, INC.
                                 FORMERLY TIER ENVIRONMENTAL SERVICES, INC.




Dated: December 31, 1998,           By:/s/William O'Callaghan                  
 and submitted with                    William O'Callaghan, Acting President
 re-assigned access codes
 February 12, 1999