SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                    FORM 10-Q

                   Quarterly Report Under Section 13 or 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

                  For the Three Months Ended September 30, 1996

                         Commission File Number 0-17214

                             ADMIRAL FINANCIAL CORP.

          State of Florida                   I.R.S. No. 59-2806414

                             825 Arthur Godfrey Road
                           Miami Beach, Florida 33140

                        Telephone Number: (305) 672-5800

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 twelve (12) months (or for such shorter period that
the registrant was required to file such reports), and (2) has been subject to
such filing requirements for the past ninety (90) days.

            Yes   X                                     No___

                          Common Stock $.001 Par Value
              Outstanding Shares at September 30, 1996: 10,985,046


<PAGE>

                     ADMIRAL FINANCIAL CORP. AND SUBSIDIARY

                                TABLE OF CONTENTS

                                    FORM 10-Q

                                     PART I

                              FINANCIAL INFORMATION

Item 1.      FINANCIAL STATEMENTS

             Consolidated Balance Sheets                                    1

             Consolidated Statements of Operations                          2

             Consolidated Statements of Cash Flows                          3

             Notes to Consolidated Financial Statements                     4

Item 2.      MANAGEMENT'S DISCUSSION AND ANALYSIS OF
             CONSOLIDATED FINANCIAL CONDITION AND
             RESULTS OF OPERATIONS                                          5

                                PART II

                           OTHER INFORMATION

Item 1.      Legal Proceedings                                              8

Item 2.      Changes in Securities                                          8

Item 3.      Defaults Upon Senior Securities                                8

Item 4.      Submission of Matters to a Vote of Security Holders            8

Item 5.      Other Information                                              8

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


<PAGE>
                                               PART I  -  FINANCIAL INFORMATION

                             ADMIRAL FINANCIAL CORP.
                                 AND SUBSIDIARY

                           Consolidated Balance Sheets

                  ASSETS                    SEPTEMBER 30, 1996   JUNE 30, 1996
                                               (Unaudited)        (Unaudited)

Cash                                          $         0          $        0
Prepaid expenses and other assets                       0                   0
Net assets of Haven Federal Savings and
   Loan Association (notes 1 and 2)                     0                   0
                                               ----------           ---------
                  Total assets                $                    $        0
                                               ==========          ==========


LIABILITIES AND STOCKHOLDERS' (DEFICIT) EQUITY

Accrued expenses and other liabilities           $ 23,890        $     23,890
Net liabilities of Haven Federal Savings
  and Loan Association (notes 1 and 2)                  0                   0
                                                 --------        ------------
                  Total liabilities                23,890              23,890


Preferred stock, $.01 par value, Authorized
  6,000,000 shares, none outstanding

Common stock, $.001 par value,
  50,000,000 shares authorized,

  10,987,000 shares issued                         10,987              10,987
  Treasury stock, 1,954 and 1,954 shares,        0                          0
  at cost
Additional paid-in capital                        680,710             680,710
Deficit                                          (715,587)           (715,587)
                                                 --------            --------
         Total stockholders' (deficit) equity     (23,890)            (23,890)
                                                 --------            --------
         Total liabilities and stockholders'
                  (deficit) equity               $      0            $      0
                                                 ========            ========


          See accompanying notes to consolidated financial statements.

                                        1
<PAGE>

                                                 PART I - FINANCIAL INFORMATION

                     ADMIRAL FINANCIAL CORP. AND SUBSIDIARY

                      Consolidated Statements of Operations
                                   (Unaudited)

                                            Three Months Ended Sept 30
                                            ----------------------------
                                               1996              1995
                                            ----------        ----------

Interest Income                                      0                 0
Other income                                         0                 0
                                            ----------        ----------
         Total income                                0                 0

Expense
         Employee Compensation                       0                 0
         Other                                       0                 0
                                            ----------        ----------

         Total expense                               0                 0

         Loss from discontinued
                  operation (note 2)                 0                 0
                                            ----------        ----------
Net loss                                     $       0                 0
                                            ==========        ==========
Loss per share                               $    0.00         $    0.00
                                            ==========        ==========

Dividend per share                              ---              ---
                                            ==========        ==========

Weighted average number
   of shares outstanding                    10,985,046        10,985,046
                                            ==========        ==========


           See accompanying notes to consolidated financial statements

                                        2

<PAGE>
                                                 PART I - FINANCIAL INFORMATION

                     ADMIRAL FINANCIAL CORP. AND SUBSIDIARY

                      Consolidated Statements of Cash Flows
                                   (Unaudited)

<TABLE>
<CAPTION>
                                                           Three Months Ended Sept 30
                                                           --------------------------
                                                            1996            1995
                                                           -------         -------
<S>                                                       <C>              <C>

Cash flows from operating activities:

Net loss                                                   $     0         $     0

Adjustments to reconcile net loss to net cash
 provided by operating activities:

Decrease in deficit arising from confiscation of
   Haven Federal after retroactive disallowance
   of agreed supervisory goodwill and regulatory capital          0              0
Decrease in prepaid expenses and other assets                     0              0
Decrease (increase) in net assets of
   Haven Federal                                                  0              0
(Decrease) in accrued expenses and other liabilities              0              0
(Decrease) Increase in net liabilities of
   Haven Federal                                                  0              0
Amortization of organization expenses                             0              0
                                                             ------        -------

Net cash provided (used) by operating activities                  0              0

Cash and cash equivalents, beginning of year                      0              0
                                                             ------        -------

Cash and cash equivalents, end of quarter                    $    0        $     0
                                                             ======        =======
</TABLE>

           See accompanying notes to consolidated financial statements

                                        3

<PAGE>

                                                 PART I - FINANCIAL INFORMATION

                     ADMIRAL FINANCIAL CORP. AND SUBSIDIARY

                   Notes to Consolidated Financial Statements

Note 1.                    In the opinion of management, the accompanying
                           consolidated financial statements contain all the
                           adjustments (principally consisting of normal
                           recurring accruals and the prior confiscation of all
                           the principal assets of the Company by the United
                           States government) necessary to present fairly the
                           financial statements of Admiral Financial Corp.
                           ('Admiral') and Subsidiary.

Note 2.                    The net assets of Admiral's principal operating
                           subsidiary, Haven Federal Savings and Loan
                           Association ('Haven'), were confiscated by the United
                           States government on March 2, 1990. Therefore, where
                           applicable, Haven's net assets and net liabilities
                           are presented in the balance sheets in the aggregate;
                           and its loss is shown in the aggregate in the
                           Statements of Operations for the three month period
                           ended September 30, 1996 and 1995.

                                        4
<PAGE>
                                                  PART I - FINANCIAL INFORMATION

                  ITEM 2 - Management's Discussion and Analysis
          of Consolidated Financial Condition and Results of Operations

GENERAL

         ADMIRAL FINANCIAL CORP. ("ADMIRAL") IS CURRENTLY AN INACTIVE
CORPORATION, WITH NO ONGOING BUSINESS ACTIVITY.

         Admiral Financial Corp. was formed in 1987 to acquire an insolvent
savings and loan association in a supervisory acquisition solely with private
investment funds, and without the benefit of any federal assistance payments.
Admiral acquired Haven Federal Savings and Loan Association of Winter Haven,
Florida on June 16, 1988. In that acquisition transaction, Admiral issued
8,000,000 new common shares in exchange for assets (primarily real estate and a
profitable business engaged in the purchase and redemption of Florida tax sale
certificates) having a fair market value of approximately $40 million, subject
to approximately $27 million of mortgages and other liabilities, and less
approximately $1 million of fees and expenses (necessary to provide the proper
forms and documentation in accordance with government rules and regulations),
for a net equity contribution of approximately $12 million. Admiral then
contributed virtually all of these net assets and liabilities to the capital of
Haven, plus an additional 987,000 new common shares of Admiral, which were
simultaneously issued in exchange for 100% of the outstanding shares of Haven in
an approved "supervisory acquisition" of an insolvent thrift institution.
Admiral has had substantially no assets or operations other than its investment
in Haven.

         The Financial Institution Reform, Recovery and Enforcement Act of 1989
("FIRREA") was introduced on February 5, 1989, and enacted into law on August 9,
1989. FIRREA imposed more stringent capital requirements upon savings
institutions than those previously in effect. Haven did not meet these new
capital requirements. Because of certain provisions of FIRREA relating primarily
to the disallowance of supervisory goodwill and certain other intangible assets
in the calculation of required net capital, management estimates that Admiral
would have been required under the Agreement to infuse additional capital of
approximately $18 million by December 7, 1989. Admiral did not infuse any
additional capital, and the net assets of Haven were confiscated by the federal
authorities on March 2, 1990.

         In the agreement allowing Admiral to acquire Haven in the supervisory
acquisition, Haven was credited with new capital under "Regulatory Accounting
Principles" (RAP) then in effect equal to $11 million. This amount was computed
by taking into account the $13 million fair market value of the net assets
contributed by Admiral to Haven, less the $1 million of fees and costs incurred,
and less an additional $1 million resulting from reduced valuations of certain
of the contributed assets for purposes of calculating Haven's RAP equity by the
appraisal division of the Federal Home Loan Bank Board.

         A condition to the Federal Home Loan bank Board ("FHLBB") Resolution
approving the acquisition of control of Haven by Admiral (the "Agreement")
required that Admiral account for the acquisition of Haven under

                                        5

<PAGE>

the "purchase" method of accounting, whereby an asset in the nature of
"Goodwill" would be realized, generally, to the extent of any previous negative
net worth of the acquired insolvent thrift, plus the excess of the fair market
values of the contributed assets over their respective historical costs. Haven's
regulatory goodwill of approximately $20 million was, in accordance with the
Agreement, to be amortized against earnings over a period of twenty-five years.

         Another condition to the same Agreement required that Admiral execute a
Regulatory Capital Maintenance/Dividend Agreement which provided certain
remedies if Haven and Admiral were unable to liquidate, on a scheduled basis
ending June 30, 1990, the real estate used by Admiral to capitalize its
acquisition of Haven. The remedies of the Federal Savings and Loan Insurance
Corporation ("FSLIC") agreed to by Admiral in the Agreement included the right
of the FSLIC to (I.) vote the common stock of Haven; (ii.) remove the board of
directors of Haven; and/or (iii.) dispose of any or all of the voting securities
of Haven owned by Admiral.

         The failure of Admiral and Haven to liquidate the real estate in
accordance with the agreement with the FHLBB could have caused the forfeiture to
the FSLIC of all shares of Haven. If the voting securities of Haven were so
forfeited, the stockholders of Admiral would still hold their shares of Admiral.
However, Admiral would have lost substantially its only asset, and the shares of
Admiral common stock, after such forfeiture, could have had little or no value.

         Under the same Agreement, Admiral was also obligated to cause the
regulatory capital of Haven to be maintained at a level at or above the minimum
regulatory capital requirement and, if necessary, infuse additional equity
capital into Haven.

         At all times during Admiral's control , Haven was successful in meeting
the real estate liquidation requirements imposed by the Agreement, including any
extensions of time granted thereunder. However, Haven experienced a $4.3 million
erosion of its regulatory capital due in large part to losses sustained as a
result of liquidating the real estate under the "fire sale" conditions imposed
by the Agreement. This loss, together with other operating losses and goodwill
amortization expenses, caused Haven to fail to meet its minimum capital
requirement as of March 31, 1989 and at all times thereafter. Admiral and Haven
continued to abide by the Agreement entered into with the FHLBB, to its
financial detriment, in spite of the United States government's assertion that
the enactment of FIRREA retroactively eliminated the need for the government (or
any of its instrumentalities) to live up to any express or implied agreements
which may have been contrary to the subsequent legislation, without the
necessity of the retroactive return of Admiral's $13+ million of net capital and
expenses invested in Haven.

         Admiral was notified by the FHLBB on July 17, 1989 that Admiral was in
default of the Agreement and had 90 days (i.e. until October 16. 1989) to cure
the default. Admiral had virtually no assets other than the stock of Haven, and
has had no other viable means available to cure the default since the
introduction of FIRREA. The net assets of Haven, including Admiral's $13 million
of contributed equity, were confiscated on March 2, 1990.

Admiral and Haven applied for relief from the requirements of the Resolution and
the Agreement. Haven has also applied for regulatory relief from sanctions
imposed by FIRREA for failing to meet the minimum regulatory capital
requirements. Furthermore, Admiral and Haven have also applied for federal
assistance payments under a FIRREA provision for assistance which management
believes is directly applicable to Admiral/Haven's current situation. Admiral
received no notice of any hearings prior to the confiscation of Haven on March
2, 1990.

         On August 5, 1993, Admiral filed a Complaint against the United States
of America in the United States

                                        6

<PAGE>

Court of Federal Claims, arising in part out of contractual promises made to
Admiral by the United States' Government, acting through the Federal Home Loan
Bank Board ("FHLBB") and the Federal Savings and Loan Insurance Corporation
("FSLIC") pursuant to their statutory supervisory authority over federally
insured savings and loan institutions and savings banks (hereinafter referred to
a "thrifts" or "thrift institutions"), and in part out of takings of property by
the FHLBB and FSLIC in the course of exercising that authority. In this action,
Admiral seeks (1) a declaration that the government's actions constitute a
repudiation and material breach of their contractual obligations to Admiral and,
thereby, effect a taking of Admiral's property without just compensation and a
deprivation of Admiral's property without due process of law, in violation of
the Fifth Amendment, and (2) compensatory damages for the United States' breach
of contract, or (3) rescission of the contract and restitutionary relief, or (4)
compensation for the taking of Admiral's property, or (5) damages for the
deprivation of Plaintiffs' property without due process of law."

         This action was stayed by order of the Court dated September 3, 1993,
pending the en banc decision on rehearing of the Court of Appeal for the Federal
Circuit in WINSTAR CORP., ET AL. V. UNITED STATES, a pending action which
Admiral management believes to contain a substantially similar fact pattern.

         On August 30, 1995, the United States Court of Appeals for the Federal
Circuit, in an EN BANC decision, affirmed the summary judgment decisions by the
Court of Federal Claims on the liability portion of the breach of contract
claims against the United States in WINSTAR, and in two other similar cases
(STATESMAN and GLENDALE) which had been consolidated for purposes of the appeal.
In its WINSTAR decisions, the Court of Federal Claims found that an
implied-in-fact contract existed between the government and WINSTAR, and that
the government breached this contract when Congress enacted FIRREA. In STATESMAN
and GLENDALE, that Court found that the Plaintiffs had express contracts with
the government which were breached by the enactment of FIRREA.

         The federal government appealed the WINSTAR decisions to the United
States Supreme Court. On November 14, 1995, Admiral's action (and all other
similar actions) was stayed by order of the Court, pending the outcome of that
appeal.

         On July 1, 1996, the United States Supreme Court concluded in WINSTAR
that the United States is liable for damages for breach of contract, affirmed
the summary judgment decisions in Winstar, and remanded the cases to the Court
of Federal Claims for further hearings on the calculation of damages. The
majority of the Court found "no reason to question the Federal Circuit's
conclusion that the Government had express contractual obligations to permit
respondents to use goodwill and capital credits in computing their regulatory
capital reserves. When the law as to capital requirements changed, the
Government was unable to perform its promises and became liable for breach under
ordinary contract principles."

         Subsequent to the United States Supreme Court decision in Winstar, the
stay on Admiral's litigation proceedings has been lifted. While the Supreme
Court's ruling in U.S. v. Winstar Corp., et al., serves to support Admiral's
legal claims in its pending lawsuit against the federal government, it is not
possible at this time to predict what effect the Supreme Court's ruling, and the
subsequent rulings of a lower court concerning damages, will have on the outcome
of Admiral's lawsuit. Notwithstanding the Supreme Court's ruling, there can be
no assurance that Admiral will be able to recover any funds arising out of its
claim and, if any recovery is made, the amount of such recovery.

         Since Haven was the only significant asset owned by Admiral, the
Admiral common stock has little or no continuing value.

                                        7
<PAGE>

LIQUIDITY AND CAPITAL RESOURCES

         Admiral has been reduced to a corporate "shell," with no operations or
current activity. There is no corporate liquidity, no available capital
resources, and no immediately foreseeable prospects for the future improvement
of Admiral's financial picture.

         Admiral management intends to seek a new line of business. as yet
unidentified. In connection therewith, Admiral's management believes that a
restructuring of Admiral may be necessary in order to raise capital for new
operations, and any such restructuring may have a substantial dilutive effect
upon Admiral's existing shareholders. Admiral has no ongoing commitments or
obligations other than with respect to its obligations related to the
acquisition of Haven.

COMPARISON OF THREE MONTHS ENDED SEPTEMBER 30. 1996 AND 1995

Admiral was inactive, and recorded no income or expenses during the three months
ended September 30, 1996 and 1995, respectively.

                                        8

<PAGE>
                                                    PART II - OTHER INFORMATION

Item 1.   Legal Proceedings

         Admiral did not become involved in any new material legal proceedings
during the period covered by this report.

Item 2.   Changes in Securities

         Not applicable.

Item 3.   Defaults Upon Senior Securities

         Not applicable.

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

         Not applicable.

Item 5.   Other Information

         Not applicable.

Item 6.   Exhibits and Reports on Form 8-k

         Not applicable.

                                        9

<PAGE>
                                   SIGNATURES

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

                                         ADMIRAL FINANCIAL CORP. (Registrant)

Date:    November 15, 1996         By:   /s/ WM. LEE POPHAM
                                         ---------------------------------------
                                         Wm. Lee Popham, President

Date:    November 15, 1996         By:   /s/ LINDA E. BAKER
                                         ---------------------------------------
                                         Linda E. Baker, Principal Financial
                                         and Accounting Officer

                                       10