| x | Quarterly                report under Section 13 or 15(d) of The Securities Exchange Act Of                1934 |
|---|-----------------------------------------------------------------------------------------------------------------|

| o | Transition                report under Section 13 or 15(d) of The Securities Exchange Act Of                1934 |
|---|------------------------------------------------------------------------------------------------------------------|

| Utah                                           |   | 34-1413104                                         |
|------------------------------------------------|--------|----------------------------------------------------|
| (State                or other jurisdiction of |   | (I.R.S.                Employer Identification No) |
| Incorporation                or organization)  |   |                                               |

----

**DIGITAL      CREATIVE DEVELOPMENT CORPORATION AND SUBSIDIARY**

**FOR      THE THREE MONTHS ENDED**

**SEPTEMBER      30, 2006**

**INDEX**

| **Part                I - FINANCIAL INFORMATION** |   |                                                                                                                                                                            |
|---------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                              |   |                                                                                                                                                                            |
| Item                1.                            |   | INTERIM                FINANCIAL STATEMENTS                                                                                                                                     |   | 3 |
|                                              |   |                                                                                                                                                                            |   |   |
|                                              |   | Consolidated                Balance Sheets as of September 30, 2006 (Unaudited) and June 30,                2006                                                                |   | F-1 |
|                                              |   |                                                                                                                                                                            |   |   |
|                                              |   | Consolidated                (Unaudited) Statements of Operations and Comprehensive Income for                the                three months ended September 30, 2006 and 2005. |   | F-2 |
|                                              |   |                                                                                                                                                                            |   |   |
|                                              |   | Consolidated                (Unaudited) Statement of Stockholders’ Equity for the three months ended                September 30, 2006                                    |   | F-3 |
|                                              |   |                                                                                                                                                                            |   |   |
|                                              |   | Consolidated                Statements of Cash Flow for the three months ended September 30, 2006 and                2005.                                                      |   | F-4 |
|                                              |   |                                                                                                                                                                            |   |   |
|                                              |   | Notes                to Interim Financial Statements                                                                                                                            |   | F-5 |
|                                              |   |                                                                                                                                                                            |   |   |
| Item                2.                            |   | MANAGEMENT'S                DISCUSSION AND ANALYSIS AND PLAN OF OPERATION                                                                                                       |   | 4 |
|                                              |   |                                                                                                                                                                            |   |   |
| Item                3.                            |   | QUANTITATIVE                AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK                                                                                                       |   | 6 |
|                                              |   |                                                                                                                                                                            |   |   |
| Item                4.                            |   | CONTROLS                AND PROCEDURES                                                                                                                                          |   | 6 |
|                                              |   |                                                                                                                                                                            |   |   |
| **Part                II - OTHER INFORMATION**    |   |                                                                                                                                                                            |
|                                              |   |                                                                                                                                                                            |   |   |
| Item                6.                            |   | EXHIBITS                AND REPORTS ON FORM 8-K                                                                                                                                 |   | 7 |
|                                              |   |                                                                                                                                                                            |   |   |
|                                              |   | Signatures.                                                                                                                                                                     |   | 8 |
|                                              |   |                                                                                                                                                                            |   |   |
|                                              |   | Certifications                                                                                                                                                                  |   |   |

----

**Part      I - FINANCIAL INFORMATION**

**Item      1**

**INTERIM      FINANCIAL STATEMENTS**

----

| **DIGITAL                  CREATIVE DEVELOPMENT CORPORATION AND                  SUBSIDIARY** |
|-----------------------------------------------------------------------------------------------|
| **CONSOLIDATED                  BALANCE SHEETS**                                              |
| **SEPTEMBER                  30, 2006 AND JUNE 30,                  2006**               |

|                                                                                                                                                                                                                                    |   |  **September                  30,****2006** |        | **June                  30,****2006** |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------|-------------|---------------------------------------|--------|
|                                                                                                                                                                                                                                    |   |  **(Unaudited)**                            |        | **(Audited)**                         |   |
|                                                                                                                                                                                                                                    |   |  **(in                  thousands)**        |        |
| **ASSETS**                                                                                                                                                                                                                              |   |                                        |        |                                  |   |
| **CURRENT                  ASSETS**                                                                                                                                                                                                     |   |                                        |        |                                  |   |
| Cash                  and cash equivalents                                                                                                                                                                                              |   | $                                                | 25.0        |                                  | $      | 73.4 |   |
| Marketable                  securities                                                                                                                                                                                                  |   |                                             | 831.6       |                                  |   | 1,302.0 |   |
| **TOTAL                  CURRENT ASSETS**                                                                                                                                                                                               |   |                                             | 856.6       |                                  |   | 1,375.4 |   |
|  .                                                                                                                                                                                                                                 |   |                                             |        |                                  |   |   |   |
| **OTHER                  ASSETS**                                                                                                                                                                                                       |   |                                             |        |                                  |   |   |   |
| Marketable                  securities and non-marketable securities and advances, net of $                  300,000at                  September 30 ,2006 and June 30,2006                                                             |   |                                             | 6,087.1     |                                  |   | 9,565.1 |   |
| **TOTAL                  ASSETS**                                                                                                                                                                                                       |   | **$**                                            | **6,943.7** |                                  | **$**  | **10,940.5** |   |
|                                                                                                                                                                                                                                    |   |                                             |        |                                  |   |   |   |
| **LIABILITIES                  AND STOCKHOLDERS' EQUITY**                                                                                                                                                                               |   |                                             |        |                                  |   |   |   |
| **CURRENT                  LIABILITIES**                                                                                                                                                                                                |   |                                             |        |                                  |   |   |   |
| Accrued                  expenses and other liabilities                                                                                                                                                                                 |   | $                                                | 626.0       |                                  | $      | 599.9 |   |
| Current                  portion of notes payable—related                  parties                                                                                                                                                |   |                                             | 1,004.0     |                                  |   | 914.1 |   |
| **TOTAL                  CURRENT LIABILITIES**                                                                                                                                                                                          |   |                                             | 1,630.0     |                                  |   | 1,514.0 |   |
|                                                                                                                                                                                                                                    |   |                                             |        |                                  |   |   |   |
| **STOCKHOLDERS'                  EQUITY**                                                                                                                                                                                               |   |                                             |        |                                  |   |   |   |
| Preferred                  Stock 2,000,000 Shares Authorized                                                                                                                                                                            |   |                                             |        |                                  |   |   |   |
| Series                  A Convertible, Par Value $ 1 ; 2,200 Shares Issued and Outstanding;                  Involuntary Liquidation Preference of $ 1 Per Share Plus Accrued                  and                  Unpaid Dividends    |   |                                             | 2.2         |                                  |   | 2.2 |   |
| Series                  C, Par Value $ 100 ; 9,900 Shares Issued and Outstanding; Involuntary                  Liquidation Preference of $ 100 Per Share Plus Accrued and Unpaid                  Dividends                             |   |                                             | 852.7       |                                  |   | 852.7 |   |
| Series                  D, Par Value $ 100 ; 4,000 Shares Issued and Outstanding; Involuntary                  Liquidation Preference of $ 100 Per Share Plus Accrued and Unpaid                  Dividends                             |   |                                             | 400.0       |                                  |   | 400.0 |   |
| Common                  Stock, Par Value $ .01; Authorized 75,000,000 Shares; Issued and                  Outstanding: 50,689,165 Shares at September 30, 2006 and 51,689,165                  Shares                  at June 30, 2006 |   |                                             | 506.9       |                                  |   | 516.9 |   |
| Additional                  paid in capital                                                                                                                                                                                             |   |                                             | 38,380.1    |                                  |   | 38,370.1 |   |
| Accumulated                  other comprehensive income                                                                                                                                                                                 |   |                                             | 3,777.2     |                                  |   | 7,692.7 |   |
| Accumulated                  deficit                                                                                                                                                                                                    |   |                                             | (38,605.4   | )                                     |   | (38,408.1 | ) |
| **TOTAL                  STOCKHOLDERS' EQUITY**                                                                                                                                                                                         |   |                                             | 5,313.7     |                                  |   | 9,426.5 |   |
|                                                                                                                                                                                                                                    |   |                                             |        |                                  |   |   |   |
| **TOTAL                  LIABILITIES AND STOCKHOLDERS' EQUITY**                                                                                                                                                                         |   | **$**                                            | **6,943.7** |                                  | **$**  | **10,940.5** |   |
|                                                                                                                                                                                                                                    |
| **See                  accompanying Notes to Consolidated Financial                  Statements**                                                                                                                                       |

----

| **DIGITAL                      CREATIVE DEVELOPMENT CORPORATION AND                      SUBSIDIARY**        |
|--------------------------------------------------------------------------------------------------------------|
| **CONSOLIDATED                      STATEMENTS OF OPERATIONS AND COMPREHENSIVE                      INCOME** |
| **(Unaudited)**                                                                                              |

|                                                                       |   | **For                      the Three Months Ended****September 30,** |       |
|----------------------------------------------------------------------------|--------|----------------------------------------------------------------------|------------|
|                                                                       |   | **2006**                                                             |       | **2005** |   |
|                                                                       |   | **(in                      thousands)**                              |       |
| **REVENUE**                                                                |   | $                                                                    | -          |   | $ | - |   |
| **OPERATING                      EXPENSES**                                |   |                                                                 |       |   |   |   |   |
| General                      and administrative expenses                   |   |                                                                 | (32.8      | ) |   | (87.0 | ) |
|                                                                       |   |                                                                 |       |   |   |   |   |
| **LOSS                      FROM OPERATIONS**                              |   |                                                                 | (32.8      | ) |   | (87.0 | ) |
|                                                                       |   |                                                                 |       |   |   |   |   |
| **OTHER                      INCOME (EXPENSE)**                            |   |                                                                 |       |   |   |   |   |
| Interest                      expense, net and other                       |   |                                                                 | (39.5      | ) |   | (21.5 | ) |
| Realized                      gains net of unrealized gain on investments  |   |                                                                 | 12.5       |   |   | - |   |
| Other                      settlements                                     |   |                                                                 | (137.5     | ) |   | - |   |
| **TOTAL                      OTHER INCOME (EXPENSE)**                      |   |                                                                 | (164.5     | ) |   | (21.5 | ) |
|                                                                       |   |                                                                 |       |   |   |   |   |
| **NET                      LOSS**                                          |   | **$**                                                                | **(197.3** | **)** | **$** | **(108.5** | **)** |
|                                                                       |   |                                                                 |       |   |   |   |   |
| **UNDECLARED                      PREFERRED STOCK DIVIDENDS**              |   |                                                                 | (36.4      | ) |   | (36.4 | ) |
|                                                                       |   |                                                                 |       |   |   |   |   |
| **Net                      Loss available to common shareholders**         |   | **$**                                                                | **(233.7** | **)** | **$** | **(144.9** | **)** |
|                                                                       |   |                                                                 |       |   |   |   |   |
| **WEIGHTED                      AVERAGE NUMBER OF OUTSTANDING SHARES FOR** |   |                                                                 |       |   |   |   |   |
| **BASIC                      AND DILUTED EARNINGS PER SHARE**              |   |                                                                 | 50,689.2   |   |   | 51,653.5 |   |
|                                                                       |   |                                                                 |       |   |   |   |   |
| **BASIC                      AND DILUTED INCOME (LOSS) PER SHARE**         |   | $                                                                    | (0.005)    |   | $ | (0.003) |   |
|                                                                       |   |                                                                 |       |   |   |   |   |
| **NET                      INCOME (LOSS)**                                 |   | $                                                                    | (197.3     | ) | $ | (108.5 | ) |
| **Other                      comprehensive operations**                    |   |                                                                 |       |   |   |   |   |
| **Unrealized                      gain (loss) on marketable securities**   |   |                                                                 | (3,915.5   | ) |   | (253.2 | ) |
| **Comprehensive                      net income (loss)**                   |   | $                                                                    | (4,112.8   | ) | $ | (361.7 | ) |

**See            accompanying Notes to Consolidated Financial            Statements**

----

**DIGITAL              CREATIVE DEVELOPMENT CORPORATION AND SUBSIDIARY**

**CONSOLIDATED              STATEMENTS OF STOCKHOLDERS' EQUITY**

**FOR              THE THREE MONTHS ENDED SEPTEMBER 30, 2006 **

**(Unaudited)**

|                                    |
|-----------------------------------------|
| **(in                      thousands)** |

|                                                          |   |                                     |    |                              |   |                              |   |              |      |            |   | **Accumulated** |   |        |         |      |   |
|---------------------------------------------------------------|--------|------------------------------------------|---------|-----------------------------------|--------|-----------------------------------|--------|-------------------|-----------|-----------------|--------|-----------------|--------|-------------|--------------|-----------|--------|
|                                                          |   |                                     |    |                              |   |                              |   |              |      | **Additional**  |   | **Other**       |   |        |         |      |   |
|                                                          |   | **Preferred                      Stock** |    | **Common**                        |   | **Paid-in**                       |   | **Comprehensive** |      | **Accumulated** |   |            |   |
|                                                          |   | **Series                      A**        |    | **Series                      C** |   | **Series                      D** |   | **Stock**         |      | **Capital**     |   | **Operations**  |   | **Deficit** |         | **Total** |   |
| **Balance                      at June 30, 2006 (Audited)**   |   | **$**                                    | **2.2** |                              | **$**  | **852.7**                         |   | **$**             | **400.0** |            | **$**  | **516.9**       |   | **$**       | **38,370.1** |      | **$**  | **7,692.7** |   | **$** | **(38,408.1** | **)** | **$** | **9,426.5** |   |
|                                                          |   |                                     |    |                              |   |                              |   |              |      |            |   |            |   |        |         |      |   |   |   |   |   |   |   |   |   |
| Unrealized                      loss on investments      |   |                                     |    |                              |   |                              |   |              |      |            |   |            |   |        |         |      |   | (3,915.5 | ) |   |   |   |   | (3,915.5 | ) |
|                                                          |   |                                     |    |                              |   |                              |   |              |      |            |   |            |   |        |         |      |   |   |   |   |   |   |   |   |   |
| Cancellation of                      common shares  |   |                                     |    |                              |   |                              |   |              |      |            |   | (10.0           | )      |        | 10.0         |      |   |   |   |   |   |   |   | - |   |
|                                                          |   |                                     |    |                              |   |                              |   |              |      |            |   |            |   |        |         |      |   |   |   |   |   |   |   |   |   |
| Net                      loss                            |   |                                     |    |                              |   |                              |   |              |      |            |   |            |   |        |         |      |   |   |   |   | (197.3 | ) |   | (197.3 | ) |
|                                                          |   |                                     |    |                              |   |                              |   |              |      |            |   |            |   |        |         |      |   |   |   |   |   |   |   |   |   |
| **Balance                      at September 30, 2006**        |   | **$**                                    | **2.2** |                              | **$**  | **852.7**                         |   | **$**             | **400.0** |            | **$**  | **506.9**       |   | **$**       | **38,380.1** |      | **$**  | **3,777.2** |   | **$** | **(38,605.4** | **)** | **$** | **5,313.7** |   |

**See            accompanying Notes to Consolidated Financial            Statements**

----

| **DIGITAL                      CREATIVE DEVELOPMENT CORPORATION AND                      SUBSIDIARY** |
|-------------------------------------------------------------------------------------------------------|
| **CONSOLIDATED                      STATEMENTS OF CASH FLOWS**                                        |
| **(Unaudited)**                                                                                       |

|                                                                                                                    |   | **For                  the Three Months Ended****September                  30,** |   |
|-------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------|--------|
|                                                                                                                    |   | **2006**                                                                          |   | **2005** |   |
|                                                                                                                    |   | **(in                  thousands)**                                               |   |
| CASH                  FLOWS FROM OPERATING ACTIVITES:                                                                   |   |                                                                              |   |   |   |
| Net                  loss                                                                                               |   | $                                                                                 | (197.3 | ) | $ | (108.5 | ) |
| Adjustments                  to reconcile net loss to net cash used in operating                  activities:      |   |                                                                              |   |   |   |   |   |
|  Realized                  (gain) on investments net of unrealized gains on                  investments           |   |                                                                              | (12.5  | ) |   | - |   |
|  Issuance                  of stock for services                                                                   |   |                                                                              | -      |   |   | 5.6 |   |
| Changes                  in assets and liabilities:                                                                |   |                                                                              |   |   |   |   |   |
|  Increase                  (decrease) in accounts payable, accrued expenses and other                  liabilities |   |                                                                              | 48.7   |   |   | (40.5 | ) |
|                                                                                                                    |   |                                                                              |   |   |   |   |   |
| NET                  CASH USED IN OPERATING ACTIVITIES                                                                  |   |                                                                              | (161.1 | ) |   | (143.4 | ) |
|                                                                                                                    |   |                                                                              |   |   |   |   |   |
| CASH                  FLOWS FROM INVESTING ACTIVITES:                                                                   |   |                                                                              |   |   |   |   |   |
| Proceeds                  from sale of investments                                                                 |   |                                                                              | 22.7   |   |   | 72.7 |   |
| NET                  CASH (USED IN) PROVIDED BY INVESTING ACTIVITIES                                                    |   |                                                                              | 22.7   |   |   | 72.7 |   |
|                                                                                                                    |   |                                                                              |   |   |   |   |   |
| CASH                  FLOWS FROM FINANCING ACTIVITES:                                                                   |   |                                                                              |   |   |   |   |   |
| Proceeds                  from issuance of notes payable—related parties                                     |   |                                                                              | 90.0   |   |   | - |   |
| Payments                  of note payable                                                                          |   |                                                                              | -      |   |   | (30.0 | ) |
|                                                                                                                    |   |                                                                              |   |   |   |   |   |
| NET                  CASH PROVIDED BY FINANCING ACTIVITIES                                                              |   |                                                                              | 90.0   |   |   | (30.0 | ) |
|                                                                                                                    |   |                                                                              |   |   |   |   |   |
| NET                  CHANGE IN CASH AND CASH EQUIVALENTS                                                                |   | $                                                                                 | (48.4  | ) | $ | (100.7 | ) |
|                                                                                                                    |   |                                                                              |   |   |   |   |   |
| CASH                  AND EQUIVALENTS, beginning of year                                                                |   |                                                                              | 73.4   |   |   | 111.5 |   |
|                                                                                                                    |   |                                                                              |   |   |   |   |   |
| CASH                  AND EQUIVALENTS, end of year                                                                      |   | $                                                                                 | 25.0   |   | $ | 10.8 |   |
|                                                                                                                    |   |                                                                              |   |   |   |   |   |
| Cash                  payments for:                                                                                     |   |                                                                              |   |   |   |   |   |
| Interest                  expense                                                                                       |   | $                                                                                 | -      |   | $ | - |   |
| Income                  taxes                                                                                           |   | $                                                                                 | -      |   | $ | - |   |
|                                                                                                                    |   |                                                                              |   |   |   |   |   |
| **Supplemental                  disclosure of noncash transactions:**                                                   |   |                                                                              |   |   |   |   |   |
|                                                                                                                    |   |                                                                              |   |   |   |   |   |
| None                                                                                                                    |   | $                                                                                 | -      |   | $ | - |   |

**See        accompanying Notes to Consolidated Financial Statements**

----

**DIGITAL      CREATIVE DEVELOPMENT CORPORATION AND SUBSIDIARY**

**NOTES      TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

**September      30, 2006**

**(Unaudited**

**NOTE      1- BASIS OF PRESENTATION **

**NOTE      2- PRINCIPLES OF CONSOLIDATION **

----

**DIGITAL      CREATIVE DEVELOPMENT CORPORATION AND SUBSIDIARY**

**NOTES      TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

**September      30, 2006**

**(Unaudited**

**NOTE      3- MARKETABLE SECURITIES**

|                                                    |   | September                30, 2006   |    | June                30, 2006 |   |
|---------------------------------------------------------|--------|-------------------------------------|---------|------------------------------|--------|
|                                                    |   |  (in                thousands) |    |
| Marketable                Securities - current:         |   |                                |    |                         |   |
| Broadcaster                (formerly IMSI)              |   | $                                   | 380.4   |                         | $      | 380.4 |   |
|                                                    |   |                                |    |                         |   |   |   |
| Other                marketable securities              |   |                                | -       |                         |   | - |   |
|                                                    |   |                                | 380.4   |                         |   | 380.4 |   |
| Unrealized                gain on marketable securities |   |                                | 451.2   |                         |   | 921.6 |   |
| Total                                                   |   | $                                   | 831.6   |                         | $      | 1,302.0 |   |
|                                                    |   |                                |    |                         |   |   |   |
| Marketable                Securities - non-current:     |   |                                |    |                         |   |   |   |
| Broadcaster                (formerly IMSI)              |   | $                                   | 2,784.1 |                         | $      | 2,794.3 |   |
| Access                Propeller Holdings , Inc.         |   |                                | 300.0   |                         |   | 300.0 |   |
| Sub                total                                |   |                                | 3,084.1 |                         |   | 3,094.3 |   |
| Unrealized                gain on marketable securities |   |                                | 3,303.0 |                         |   | 6,770.8 |   |
| Less:                allowance for impairments          |   |                                | (300.0  | )                            |   | (300.0) | ) |
| Total                                                   |   | $                                   | 6,087.1 |                         | $      | 9,565.1 |   |

----

**DIGITAL      CREATIVE DEVELOPMENT CORPORATION AND SUBSIDIARY**

**NOTES      TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

**September      30, 2006**

**(Unaudited)**

**NOTE      4- ACCOUNTS PAYABLE AND ACCRUED EXPENSES**

**NOTE      5-. NOTES PAYABLE - RELATED PARTIES **

|                                                                                                  |   | September                30, 2006   |    | June                30, 2006 |   |
|-------------------------------------------------------------------------------------------------------|--------|-------------------------------------|---------|------------------------------|--------|
|                                                                                                  |   |  (in                thousands) |    |
| Secured                Promissory Note with Interest at 15%                                           |   | $                                   | 325.0   |                         | $      | 325.0 |   |
| $345,000                Secured Promissory Notes with Interest at 10%, net of                discount |   |                                | 345.0   |                         |   | 345.0 |   |
| Notes                payable to certain former executives and related parties                         |   |                                | 230.6   |                         |   | 140.7 |   |
| Debt                due to former employees in conjunction with settlement                agreement   |   |                                | 103.4   |                         |   | 103.4 |   |
|                                                                                                  |   |                                | 1,004.0 |                         |   | 914.1 |   |
|                                                                                                  |   |                                |    |                         |   |   |   |
| Less:                Current portion                                                                  |   |                                | 1,004.0 |                         |   | 914.1 |   |
| Long-term                portion                                                                      |   | $                                   | -       |                         | $      | - |   |

----

**DIGITAL      CREATIVE DEVELOPMENT CORPORATION AND SUBSIDIARY**

**NOTES      TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

**September      30, 2006**

**(Unaudited)**

----

**DIGITAL      CREATIVE DEVELOPMENT CORPORATION AND SUBSIDIARY**

**NOTES      TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

**September      30, 2006**

**(Unaudited)**

**NOTE      6- COMMITMENTS AND CONTINGENCIES **

**NOTE      7- SUBSEQUENT EVENTS **

----

**DIGITAL      CREATIVE DEVELOPMENT CORPORATION AND SUBSIDIARY**

**NOTES      TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS**

**September      30, 2006**

**(Unaudited)**

----

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

**PLAN      OF OPERATION**

| · | unforeseen                  obligations or liabilities; |
|--------|---------------------------------------------------------|

| · | difficulty                  assimilating the acquired operations and                  personnel; |
|--------|--------------------------------------------------------------------------------------------------|

| · | risks                  of entering markets in which we have little or no direct prior                  experience; |
|--------|--------------------------------------------------------------------------------------------------------------------|

| · | potential                  impairment of relationships with employees or customers as a result                  of                  changes in management; and |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Potential                  dilutive issuances of equity, large and immediate write-offs, the                  incurrence of debt, and amortization of goodwill or other intangible                  assets. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

** **

----

**ITEM      3.**
**QUANTITATIVE      AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK**

**ITEM      4. CONTROLS AND PROCEDURES**

**Evaluation      of Disclosure Controls and Procedures**

----

**Changes      in Internal Controls**

**PART      II. OTHER INFORMATION**

**Item      1.**

** **

**Legal      Proceedings.**

**Item      2.**

** **

**Unregistered      Sales of Equity Securities and Uses of Proceeds.**

**Item      3. Defaults upon Senior Securities**

**Item      4.**

** **

**Submission      of Matters to a Vote of Security Holders**

**Item      5.**

** **

**Other      Information.**

**Item      6.**

** **

**Exhibits      And Reports On Form 8-K**

|   | 31     | Certification                pursuant to Rule 13a-14(a) of the Exchange Act                                                                                                                                               |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                      |
|   | 32     | Certification                pursuant to Rule 13a-14(b) of the Exchange Act and 18 U.S.C. Section                1350,                as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of                2002 |

----

**SIGNATURES**

|                                        |                                                  |                     |
|---------------------------------------------|-------------------------------------------------------|--------------------------|
|                                        | DIGITAL                CREATIVE DIGITAL CORPORATION   |
|  Dated:                October 9, 2007 |                                             |                |
|                                             | By:                                         | Gary              Herman |
|                                        | Name:                Gary HermanTitle: President |

|        |                                                                                 |                            |
|--------|--------------------------------------------------------------------------------------|---------------------------------|
|        | By:                                                                        | Vincent              De Lorenzo |
|   | Name:                Vincent De LorenzoTitle:                Chief Financial Officer |

----