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                   U.S. SECURITIES AND EXCHANGE COMMISSION
                          Washington, D.C.  20549


                                                        

                               FORM 12b-25

                      NOTIFICATION OF LATE FILING 
                    
                           [ X ] FORM 10-Q  
                   
               For the Quarter Ended December 31, 1997          




 Part I - Registrant Information 
 


          Full Name of Registrant:         
          
                  ERLY Industries Inc.
                 
          Address of Principal Executive Office:       

                  10990 Wilshire Boulevard                        
                  Los Angeles, California                         
                  90024-3913 




Part II - Rules 12b-25(b) and (c)
      

If the subject report could not be filed without unreasonable effort or
expense and the registrant seeks relief pursuant to Rule 12b-25(b), the
following should be completed.

     The reasons described in reasonable detail in Part III of this
     form could not be eliminated without unreasonable effort or
     expense.

                                                         



                             
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                             ERLY INDUSTRIES INC.

Part III - Narrative

State below in reasonable detail the reasons why Form 10-Q could not be
filed within the prescribed time period.

     The Company is in the process of reviewing a number of disclosure
     and accounting policy issues with its legal counsel.  Due to the 
     timing and difficulty of the review and reporting process the 
     additional expense would be unreasonable.


Part IV - Other Information

(1)  Name and telephone number of person to contact in regard to
     this notification:

          Thomas A. Whitlock
          (213) 879-1480

(2)  Have all other periodic reports required under Section 13 or 15(d) of
     the Securities Exchange Act of 1934 or Section 30 of the Investment
     Company Act of 1940 during the preceding 12 months or for such shorter
     period that the registrant was required to file such report(s) been
     filed?  If the answer is no, identify report(s).

                                                     Yes  X    No
                                                         ---      ---

(3)  Is it anticipated that any significant change in results of operations
     from the corresponding period for the last fiscal year will be reflected
     by the earnings statements to be included in the subject report or
     portion thereof?    
                        Yes  X    No  
                            ---      ---

     If so, attach an explanation of the anticipated change, both narratively
     and quantitatively, and, if appropriate, state the reasons why a 
     reasonable estimate of the results cannot be made.

          The Company is in the process of reviewing a number of disclosure 
          and accounting policy issues with its legal counsel.  The outcome 
          of these discussions may materially affect the reported results 
          for the quarter ended December 31, 1997.



Dated:   February 18, 1998                  ERLY INDUSTRIES INC.

                                       By   /s/ Thomas A. Whitlock     
                                            -----------------------
                                            Thomas A. Whitlock
                                            Vice President and
                                            Corporate Controller