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 quarter ended March 31, 1999


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

               For the transition period from _________to_________

                           Commission File No. 1-11996

                              IMMUNE RESPONSE, INC.
             ------------------------------------------------------
             (Exact Name of Registrant as Specified in its Charter)


Colorado                                                              84-0950197
-------------------------------                              -------------------
(State or other jurisdiction of                                    (IRS Employer
incorporation or organization)                               Identification No.)


7315 East Peakview Avenue
Englewood, Colorado                                                        80111
----------------------------------------                              ----------
(Address of principal executive offices)                              (Zip code)


                                 (303) 796-8139
               ---------------------------------------------------
               (Registrant's telephone number including area code)


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,  and (2) has been subject to such filing  requirements
for the past 90 days.  Yes ( X )   No (   )

Number of shares of common stock outstanding at May 17, 1999: 2,949,700

<PAGE>

                              IMMUNE RESPONSE, INC.


Part 1.  FINANCIAL INFORMATION

Item 1.  FINANCIAL STATEMENTS

     The accompanying interim unaudited condensed financial statements have been
prepared in accordance  with the  instructions to Form 10-QSB and 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  (consisting of normal recurring  adjustments)  considered necessary
for a fair presentation have been included,  and the disclosures are adequate to
make the information  presented not misleading.  Operating results for the three
months ended March 31, 1999 are not  necessarily  indicative of the results that
may be expected for the year ended December 31, 1999. These statements should be
read in conjunction with the financial  statements and notes thereto included in
the Annual 10-KSB Report (filed with the Securities and Exchange Commission) for
the year ended December 31, 1998.






                                       F-1
<PAGE>

                              IMMUNE RESPONSE, INC.
                          (A Development Stage Company)
                                  Balance Sheet
                                 March 31, 1999
                                   (Unaudited)


ASSETS
Current assets
    Cash and cash equivalents ................................        $   8,667
    Investment - available for sale securities
         (cost of $3,958) ....................................           11,726
                                                                      ---------

                                                                      $  20,393
                                                                      =========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
    Accounts payable .........................................        $      65
    Accounts payable - related entity ........................            3,742
    Accounts payable - directors .............................            2,400
    Interest payable - related entity ........................           22,453
                                                                      ---------
                                                                         28,660

Stockholders' equity (deficit)
    Common stock, $.0001 par value; 25,000,000
       shares authorized; 3,124,700 shares
       issued; 2,949,700 shares outstanding ..................              312
    Additional paid-in capital ...............................          908,841
    Accumulated other comprehensive income ...................            7,768
    Deficit accumulated during the
       development stage .....................................         (925,188)
    Less:  treasury stock, at cost
       (175,000 shares) ......................................             --
                                                                      ---------

                                                                         (8,267)
                                                                      ---------
                                                                        $20,393
                                                                      =========

                                       F-2
<PAGE>

                              IMMUNE RESPONSE, INC.
                          (A Development Stage Company)
           Statements of Income (Loss) and Comprehensive Income (Loss)
                                   (Unaudited)

<TABLE>
<CAPTION>
                                                                            FOR THE PERIOD FROM
                                                       FOR THE THREE            INCEPTION
                                                        MONTHS ENDED             (MAY 14,
                                                         MARCH 31,               1984) TO
                                                     1999          1998       MARCH 31, 1999
                                                     ----          ----       --------------
<S>                                              <C>            <C>            <C>
Revenue
   Interest income ...........................   $        71    $       133    $   125,748
   Laboratory test income ....................        50,187
   Revenue from sale of marketing
      rights to related entity ...............          --             --            7,004
   Miscellaneous income ......................          --             --           12,710
   Gain on sale of stock .....................          --             --          192,189
   Debt forgiveness income ...................        35,147
                                                 -----------    -----------    -----------
                                                          71            133        422,985
Expenses
   Write-off of deferred warrant
      registration costs .....................          --             --           29,422
   Loss on sale of laboratory ................          --             --           74,710
   Realized loss on investment ...............          --             --          178,668
   Laboratory supplies .......................          --             --           55,244
   Consulting fees to related entities .......          --             --           37,500
   Interest ..................................          --             --          138,306
   Abandoned license agreement costs .........          --             --           50,000
   Research and development ..................          --             --           28,680
   Rent ......................................          --             --           79,232
   Services for stock ........................          --             --            7,597
   Salary ....................................          --             --          275,287
   Depreciation and amortization .............          --             --           34,848
   Bad debt expense ..........................          --             --           17,971
   General and administrative ................         1,114          3,580        340,618
                                                 -----------    -----------    -----------
                                                       1,114          3,580      1,348,173
                                                 -----------    -----------    -----------

   Net (loss) ................................        (1,043)        (3,447)      (925,188)

Other comprehensive income, net of tax:
      Unrealized gains (losses) on securities:
         Unrealized holding gains
         (losses) arising during period ......         4,467          1,303          7,768
                                                 -----------    -----------    -----------
      Other comprehensive income .............         4,467          1,303          7,768
                                                 -----------    -----------    -----------

Comprehensive income (loss) ..................   $     3,424    $    (2,144)   $   917,420
                                                 ===========    ===========    ===========

Net income (loss) per common share ...........   $     (--)     $     (.001)   $      (.37)
                                                 ===========    ===========    ===========

Weighted average number of
   common shares .............................     2,949,700      2,949,700      2,496,471
                                                 ===========    ===========    ===========
</TABLE>

                                       F-3
<PAGE>

                              IMMUNE RESPONSE, INC.
                          (A Development Stage Company)
                            Statements of Cash Flows
                                   (Unaudited)

<TABLE>
<CAPTION>
                                                                            FOR THE PERIOD FROM
                                                       FOR THE THREE            INCEPTION
                                                        MONTHS ENDED             (MAY 14,
                                                         MARCH 31,               1984) TO
                                                     1999          1998       MARCH 31, 1999
                                                     ----          ----       --------------
<S>                                              <C>            <C>            <C>
Cash flows from operating activities:
    Net (loss) ...............................   $    (1,043)   $    (3,447)   $  (925,188)
      Adjustments to reconcile net income
        (loss) to net cash provided
        by operating activities:
      Depreciation ...........................          --             --           34,848
      Abandoned license agreement costs ......          --             --           50,000
      Services for stock .....................          --             --            7,597
      Bad debt expense .......................          --             --           10,887
      Realized net gain on investments .......          --             --          (13,519)
      Write-off of deferred warrant
        registration costs ...................          --             --           29,422
      Changes in assets and liabilities:
      (Increase) in notes receivable .........          --             --         (287,102)
     (Increase) in interest receivable .......          --             --           (5,294)
      Increase in accounts payable
        to related entity ....................          --              202          3,742
      Increase (decrease) in accounts
        payable to directors .................           800           --            2,400
      Increase in interest payable to
        related entity .......................          --             --           22,453
      Increase (decrease) in accounts
        payable to others ....................          (285)         1,983             65
                                                 -----------    -----------    -----------

      Net cash (used) by
         operating activities ................          (528)        (1,262)    (1,069,689)
                                                 -----------    -----------    -----------

Cash flows from investing activities:
    Proceeds from sale of
      investment in MacGregor ................          --             --          298,070
    Purchase of certificate of deposit .......          --             --          (75,278)
    Redemption of certificates of deposit ....          --             --           75,278
    Capital expenditures .....................          --             --          (92,094)
    Disposal of laboratory assets ............          --             --           57,246
    Purchase of license agreement ............          --             --          (50,000)
    Acquisition of investment -
         related entity ......................          --             --           (7,000)
                                                 -----------    -----------    -----------
      Net cash provided by
         investing activities ................          --             --          206,222
                                                 -----------    -----------    -----------
</TABLE>

                                                                     (Continued)
                                       F-4
<PAGE>



                              IMMUNE RESPONSE, INC.
                          (A Development Stage Company)
                        Statements of Cash Flows (Page 2)
                                   (Unaudited)

<TABLE>
<CAPTION>
                                                                            FOR THE PERIOD FROM
                                                       FOR THE THREE            INCEPTION
                                                        MONTHS ENDED             (MAY 14,
                                                         MARCH 31,               1984) TO
                                                     1999          1998       MARCH 31, 1999
                                                     ----          ----       --------------
<S>                                              <C>            <C>            <C>
Cash flows from financing activities:
    Proceeds from issuance of note
      payable to bank ........................   $      --      $      --      $    50,000
    Proceeds from issuance of notes
      payable to related entities
      and others .............................          --             --          144,964
    Payments to retire notes payable
      to bank ................................          --             --          (50,000)
    Payments to retire notes payable
      to others ..............................          --             --          (68,864)
    Payments to retire notes payable
      to related entity ......................          --             --          (76,100)
    (Increase) in deferred warrant
      registration costs .....................          --             --          (29,422)
    Proceeds from issuance of common
      stock ..................................          --             --          901,556
                                                 -----------    -----------    -----------
      Net cash provided  (used) by
         financing activities ................          --             --          872,134
                                                 -----------    -----------    -----------

Net increase (decrease) in cash and
    cash equivalents .........................          (528)        (1,262)         8,667

Cash and cash equivalents at
    beginning of period ......................         9,195         15,825           --
                                                 -----------    -----------    -----------
Cash and cash equivalents at
    end of period ............................   $     8,667    $    14,563    $     8,667
                                                 ===========    ===========    ===========

Supplemental cash flow information:
    Interest received ........................   $        71    $       133    $   125,748
                                                 ===========    ===========    ===========
    Interest paid ............................   $      --      $      --      $   138,306
                                                 ===========    ===========    ===========

Non-cash financing activities:
    Common stock issued for services .........   $      --      $      --      $     7,605
                                                 ===========    ===========    ===========
    Investment in common stock of
      related entity received in
      exchange for marketing rights ..........   $      --      $      --      $     7,000
                                                 ===========    ===========    ===========
    Exchange of note receivable for
      investment in SAC ......................   $      --      $      --      $   281,506
                                                 ===========    ===========    ===========
</TABLE>

                                       F-5
<PAGE>

                              IMMUNE RESPONSE, INC.


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

     LIQUIDITY, CAPITAL RESOURCES AND RESULTS OF OPERATIONS The
     Company  experienced  a net loss from  operations  of $1,043  for the three
months  ended March 31, 1999 which  relates  principally  to its small amount of
interest and miscellaneous income of $71 during the three months ended March 31,
1999 not being  sufficient to cover its minimum basic  operating  expenses.  The
Company  expects  this trend to continue  for the balance of 1999 as  management
continues to investigate  potential business mergers and/or  acquisitions.  This
net  operating  loss of $(1,043)  compares  to a loss of $(3,447)  for the three
months  ended March 31,  1998.  During the three months ended March 31, 1998 the
Company incurred legal and accounting fees. Similar fees were not incurred until
the second quarter of 1999.

PART II. OTHER INFORMATION

Item 1:  Legal Proceedings
                None

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
                (a) Exhibit 27 - Financial  Data Schedule (for SEC use only)
                (b) During the quarter ended March 31, 1999 the Company
                    filed no reports on Form 8-K.


                                       F-6
<PAGE>

                                   SIGNATURES


Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.


                              IMMUNE RESPONSE, INC.

                              (Registrant)





                               By: /S/ JOSEPH W. HOVORKA
                                   --------------------------------
                                   Joseph W. Hovorka, President and
                                   Chief Financial Officer


Date:  June 3, 1999