10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

(Mark One)

[ X] QUARTERLY REPORT UNDER SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

For Quarterly Period Ended June 30, 2009

or

[  ] TRANSITION REPORT UNDER SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Transition period from _______________ to ______________

Commission File Number:	000-10210
TREE TOP INDUSTRIES, INC.
(Exact name of registrant as specified in its charter)
NEVADA	83-0250943
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)
840 North Hollywood Way, 2nd Floor Burbank, CA 91505
(Address of principal executive offices) (Zip Code)
(775) 261-3728
Registrant's telephone number, including area code
100 Corporate Pointe, Suite 230, Culver City, CA 90230
(Former name, former address and former fiscal year, if changed since last report)

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 proceeding 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 90 days.

Yes  o No  x

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company.  See definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check One).

Large accelerated filer	o	Accelerated filer	o
Non-accelerated filer (Do not check if a smaller reporting company)	o	Smaller reporting company	x

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes  o No  x

Indicate the number of shares outstanding of each of the issuer’s classes of common stock as of the latest practicable date.

As of June 30, 2009 the number of shares outstanding of the registrant’s class of common stock was  69,778,400.

PART I.                      FINANCIAL INFORMATION

Item 1.              Financial Statements

Consolidated Balance Sheets at June 30, 2009 (Unaudited) and December 31, 2008 (Audited)

Tree Top Industries, Inc.
(A Development Stage Company)
Consolidated Balance Sheets
ASSETS
	June 30,			December 31,
	2009			2008
CURRENT ASSETS	(unaudited)
Cash	$	2,846		$	663
Prepaid expenses		-			5,164
Total Current Assets		2,846			5,827
PROPERTY AND EQUIPMENT, NET		117,898			134,075
TOTAL ASSETS	$	120,744		$	139,902
LIABILITIES AND STOCKHOLDERS' (DEFICIT)
CURRENT LIABILITIES
Accounts payable and accrued expenses	$	442,397		$	385,102
Bank overdraft		792			6,125
Accrued interest payable		57,642			52,490
Due to officers and directors		880,067			583,529
Notes payable		227,200			113,000
Total Current Liabilities		1,608,098			1,140,246
STOCKHOLDERS' (DEFICIT)
Preferred stock, $0.0001 par value, 50,000 shares authorized,
-0- shares issued and outstanding		-			-
Common stock, $0.0001 par value, 350,000,000 shares authorized,
66,278,400 and 48,828,400  shares issued and outstanding, respectively		6,628			4,883
Additional paid-in capital		24,284,452			8,792,904
(Deficit) accumulated during the development stage		(25,778,434	)		(9,798,131	)
Total Stockholders' (Deficit)		(1,487,354	)		(1,000,344	)
TOTAL LIABILITIES AND
STOCKHOLDERS' (DEFICIT)	$	120,744		$	139,902

-  -

Consolidated Statements of Operations for the Three Months and Six Months Ended June 30, 2009 and 2008 (Unaudited)

Tree Top Industries, Inc.
(A Development Stage Company)
Consolidated Statements of Operations
(unaudited)
													From Inception
	For the						For the						on August 1,
	Three Months Ended						Six Months Ended						2007 through
	June 30,						June 30,						June 30,
	2009			2008			2009			2008			2009
REVENUES, net	$	-		$	-		$	-		$	-		$	2,967
COST OF SALES, net		-			-			-			-			-
GROSS PROFIT		-			-			-			-			2,967
OPERATING EXPENSES
General and administrative		104,720			273,925			170,302			498,554			4,302,011
Officer compensation		6,232,396			62,500			15,743,293			923,963			20,668,977
Professional fees		6,300			45,329			45,378			184,762			751,649
Depreciation		8,089			4,053			16,177			8,238			45,489
Total Operating Expenses		6,351,505			385,807			15,975,150			1,615,517			25,768,126
OPERATING LOSS		(6,351,505	)		(385,807	)		(15,975,150	)		(1,615,517	)		(25,765,159	)
OTHER INCOME (EXPENSES)
Interest income		-			-			-			-			9
Interest expense		(3,245	)		(149	)		(5,153	)		(2,225	)		(13,284	)
Total Other Income (Expenses)		(3,245	)		(149	)		(5,153	)		(2,225	)		(13,275	)
LOSS BEFORE INCOME TAXES		(6,354,750	)		(385,956	)		(15,980,303	)		(1,617,742	)		(17,598,045	)
INCOME TAX EXPENSE		-			-			-			-			-
NET LOSS	$	(6,354,750	)	$	(385,956	)	$	(15,980,303	)	$	(1,617,742	)	$	(25,778,434	)
BASIC LOSS PER SHARE	$	(0.10	)	$	(0.01	)	$	(0.27	)	$	(0.02	)
WEIGHTED AVERAGE NUMBER
OF SHARES OUTSTANDING		62,797,081			59,371,257			59,028,124			65,976,202

-  -

Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2009 and 2008 (Unaudited)

Tree Top Industries, Inc.
(A Development Stage Company)
Consolidated Statements of Cash Flows
(unaudited)
							From Inception
	For the						on August 1,
	Six Months Ended						2007 through
	June 30,						June 30,
	2009			2008			2009
OPERATING ACTIVITIES
Net loss	$	(15,980,303	)	$	(1,617,742	)	$	(25,778,434	)
Adjustments to reconcile net loss to net
used by operating activities:
Depreciation and amortization		16,177			8,238			43,880
Stock options and warrants
granted for services rendered		6,556,792			923,963			11,103,079
Common stock issued for services rendered		8,936,501			-			11,638,001
Changes in operating assets and liabilities
(Increase) decrease in prepaid expenses		5,164			(13,329	)		-
Increase (decrease) in accounts payable
and accrued expenses		62,447			75,318			659,336
Net Cash Used in Operating Activities		(403,222	)		(623,552	)		(2,334,138	)
INVESTING ACTIVITIES
Cash received in acquisition		-			-			44,303
Cash paid for property and equipment		-			(67,731	)		(161,778	)
Net Cash Used in Investing Activities		-			(67,731	)		(117,475	)
FINANCING ACTIVITIES
Repayment of related party loans		-			(193,365	)		(59,755	)
Bank overdraft		(5,333	)		-			792
Cash received from issuance of common stock		-			725,000			1,550,000
Cash received from notes payable		114,200			-			114,200
Cash received from related party loans		296,538			38,120			849,222
Net Cash Provided by
Financing Activities		405,405			569,755			2,454,459
NET DECREASE IN CASH		2,183			(121,528	)		2,846
CASH AT BEGINNING OF PERIOD		663			435,858			-
CASH AT END OF PERIOD	$	2,846		$	314,330		$	2,846

Tree Top Industries, Inc.
(A Development Stage Company)
Consolidated Statements of Cash Flows (Continued)
(unaudited)
							From Inception
	For the						on August 1,
	For the Six Months Ended						2007 through
	June 30,						June 30,
	2009			2008			2009
SUPPLEMENTAL DISCLOSURES OF
CASH FLOW INFORMATION
CASH PAID FOR:
Interest		$	-		$	-		$	-
Income Taxes			-			-			-
NON-CASH TRANSACTIONS
Common stock issued for services		$	8,936,501		$	-		$	11,638,001

-  -

Notes to Consolidated Financial Statements

1. INTERIM PRESENTATION

The December 31, 2008 balance sheet data was derived from audited financial statements but does not include all disclosures required by generally accepted accounting principles.  In the opinion of management, the accompanying unaudited financial statements contain all normal and recurring adjustments necessary to present fairly the financial position of the Company as of June 30, 2009, its results of operations for the three months and six months ended June 30, 2009 and 2008 and its cash flows for the six months ended June 30, 2009 and 2008.

The statements of operations for the three months and six months ended June 30, 2009 and 2008 are not necessarily indicative of the results for the full year.

While the Company believes that the disclosures presented are adequate to make the information not misleading, these financial statements should be read in conjunction with the financial statements and accompanying notes included in the Company's annual Report on Form 10-K for the year ended December 31, 2008.

2. GOING CONCERN

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. The Company has incurred accumulated losses totaling $25,778,434 has a working capital deficit of $1,605,252 and is in default on several notes payable (see Note 5).

Since inception (February 23, 1999) through June 30, 2009, the Company has not generated any significant revenues. Through the date of these financial statements viable operations have not been achieved and the Company has been unsuccessful in raising all the capital that it requires. Revenues have been minimal and the Company continues to require substantial financing. Much of the financing has been provided by David Reichman, the present Chief Executive Officer, and Chairman . The Company is dependent upon his ability and willingness to continue to provide such financing which is required to meet reporting and filing requirements of a public company.

In order for the Company to remain a going concern, it will need to continue to receive funds from the exercise of outstanding warrants and options or through other equity or debt financing. There can be no assurance that the Company will continue to receive any proceeds from the exercise of warrants or options or that the Company will be able to obtain the necessary funds to finance its operations.  These conditions raise substantial doubt about its ability to continue as a going concern. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.

3. SIGNIFICANT ACCOUNTING POLICIES

Please refer to the Company's Form 10-K for the year ended December 31, 2008 for its significant accounting policies.

4. EARNINGS (LOSS) PER SHARE

The Company computes earnings or loss per share in accordance with Statement of Financial Accounting Standards No. 128 (SFAS 128), "Earnings Per Share". Basic earnings per share are computed by dividing income available to common stockholders by the weighted average number of common shares outstanding. Diluted earnings per share reflect the potential dilution that could occur if securities or other agreements to issue common stock were exercised or converted into common stock. Diluted earnings per share are computed based upon the weighted average number of common shares and dilutive common equivalent shares outstanding, which includes convertible debentures, stock options and warrants. The calculation of basic and diluted income (loss) per share for the three months and six months is as follows:

-  -

	Three Months Ended June 30,
	2009				2008
Net income (loss)		$	(6,354,750	)		$	(385,956	)
Weighted average shares outstanding - basic			62,797,081				59,371,257
Net income (loss) - per share - basic		$	(0.10	)		$	(0.01	)

	Six Months Ended June 30,
	2009				2008
Net income (loss)		$	(15,980,303	)		$	(1,617,742	)
Weighted average shares outstanding - basic			59,028,124				65,976,202
Net income (loss) - per share - basic		$	(0.27	)		$	(0.02	)

For 2009 and 2008, 10,875,000 and 3,875,000, common equivalent shares were considered and excluded from the calculation as their effects are anti-dilutive.

5. NOTES PAYABLE            

Notes payable consist of various notes bearing interest at rates from 5% to 7%, all with original due dates between August 2000, September 2002, March 2009 and June 2009. $113,000 of the notes are unpaid to date and are in default. At December 31, 2008 and June 30,, 2009, notes payable amounted to $113,000 and $227,200.

At June 30, 2009, accrued interest on the notes was $57,642. Interest expense on the notes amounted to $5,153 and $2,225 for the three months and $3,245 and $149 for the six months ended June 30, 2009 and 2008, respectively.

6. RELATED PARTY TRANSACTIONS

Due to officers and directors consists of advances and accrued compensation due primarily to David Reichman, CEO, and Chairman of the Company. The advances are due on demand and do not bear interest.   The balance owing to Mr. Reichman is $583,529 and $880,067 at December 31, 2008 and June 30, 2009, respectively.

7. STOCKHOLDERS' EQUITY

Effective January 1, 2008, the Company's Board of Directors approved for issuance 250,000 stock options to each of its four directors, to be issued effective January 1, 2008, with an exercise price of $4.50 per share, expiring in 2018. The options vest 1/24th upon grant and then 1/24th each subsequent month. The fair value of the options as calculated under the Black-Scholes model totaled $3,787,174 which vested over a 2 year period. For the year ended December 31, 2008, the Company recognized $1,893,587 of compensation expense related to these options. The fair value of these options was determined using the following assumptions: risk free rate of 3%, no dividend yield, an expected life of five years and a volatility factor of 202%.

-  -

The Company also recorded $946,792of compensation expense relating to the amortization of the January 1, 2008 options issued to the Directors during the six months ended June 30, 2009. During the six months ended June 30, 2009, the Company recorded the value of 11,000,000 stock options issued to shareholders with an exercise price of $0.55-$1.20 per share, expiring in 2019. The fair value of the options as calculated under the Black-Scholes model totaled $5,610,000 which was recorded as compensation expense. The fair value of these options was determined using the following assumptions: risk free rate of 3.5%, no dividend yield, an expected life of ten years and a volatility factor of 291%-360%.  During the six months ended June 30, 2009, the Company issued 17,450,000 shares of its common stock at $0.51 per share for an aggregate value of $8,936,501.

A summary of our stock option activity is as follows for the year ended December 31, 2008 and the six months ended June 30, 2009:

							Weighted
				Range of			Average		Remaining Contractual
				Exercise Prices			Exercise		Life
	Shares			Per Share			Price		(Years)
Options outstanding at December 31, 2007		2,975,000		$	$	0.50-2.00	$	0.98		3.96
Granted		2,000,000				1.00-4.75		2.75		10
Exercised		(1,100,000	)			0.25-1.00		0.66
Expired		-				-		-
Options outstanding at December 31, 2008		3,875,000		$	$	1.00-2.00		0.68		7.07
Granted		11,000,000			$	0.55-1.20		0.85		9.83
Exercised		-				-		-
Expired		-				-
Options outstanding at March 31, 2009		14,875,000		$	$	0.25-2.00	$	0.97		9.23

Information with respect to stock options outstanding at June 30, 2009 is as follows:

Range of Exercise		Number of Outstanding		Number Exercisable		Average Remaining Contractual Term (Years)		Weighted Average Exercise Price		Aggregate Intrinsic Value
$	0.25-$0.55		275,000		275,000	$	0.35	$	1.36		862,500
$	1.00-$2.00		2,100,000		2,100,000	$	2.49	$	0.38		1,115,000
$	1.00		500,000		500,000	$	9	$	1.00		500,000
$	4.50		1,000,000		625,000	$	9	$	4.50		4,500,000
$	12.0		11,000,000		11,000,000	$	0.85	$	0.85		9,300,000
Total			14,875,000		14,500,000						16,277,500

8. RECENT ACCOUNTING PRONOUNCEMENTS

In May 2009, the FASB issued FAS 165, “Subsequent Events”.  This pronouncement establishes standards for accounting for and disclosing subsequent events (events which occur after the balance sheet date but before financial statements are issued or are available to be issued). FAS 165 requires an entity to disclose the date subsequent events were evaluated and whether that evaluation took place on the date financial statements were issued or were available to be issued. It is effective for interim and annual periods ending after June 15, 2009. The adoption of  FAS 165 did not have a material impact on the Company’s financial condition or results of operation.

In June 2009, the FASB issued FAS 166, “Accounting for Transfers of Financial Assets” an amendment of FAS 140. FAS 140 is intended to improve the relevance, representational faithfulness, and comparability of the information that a reporting entity provides in its financial statements about a transfer of financial assets: the effects of a transfer on its financial position, financial performance , and cash flows: and a transferor’s continuing involvement, if any, in transferred financial assets. This statement must be applied as of the beginning of each reporting entity’s  first annual reporting period that begins after November 15,  2009. The Company does not expect the adoption of  FAS 166 to have an impact on the Company’s results of operations, financial condition or cash flows.

In June 2009, the FASB issued FAS 167, “Amendments to FASB Interpretation No. 46(R) ”. FAS 167 is intended to (1) address the effects on certain provisions of FASB Interpretation No. 46 (revised December 2003), Consolidation of Variable Interest Entities, as a result of the elimination of the qualifying special-purpose entity concept in FAS 166, and (2) constituent concerns about the application of certain key provisions of Interpretation 46(R), including those in which the accounting and disclosures under the Interpretation do not always provided timely and useful information about an enterprise’s involvement in a variable interest entity. This statement must be applied as of the beginning of each reporting entity’s  first annual reporting period that begins after November 15,  2009. The Company does not expect the adoption of  FAS 167 to have an impact on the Company’s results of operations, financial condition or cash flows.

-  -

In June 2009, the FASB issued FAS 168, “The FASB Accounting Standards Codification and the Hierarchy of Generally Accepted Accounting Principles”. FAS 168 will become the source of authoritative U.S. generally accepted accounting principles (GAAP) recognized by the FASB to be applied by nongovernmental entities. Rules and interpretive releases of the Securities and Exchange Commission (SEC) under authority of federal securities laws are also sources of authoritative GAAP for SEC registrants. On the effective date of this Statement, the Codification will supersede all then-existing non-SEC accounting and reporting standards. All other nongrandfathered non-SEC accounting literature not included in the Codification will become nonauthoritative. This statement is effective for financial statements issued for interim and annual periods ending after September 15, 2009.The Company does not expect the adoption of  FAS 168 to have an impact on the Company’s results of operations, financial condition or cash flows.

9. Subsequent Event:

TTI closed an acquisition  of 100% of the outstanding capital stock of Bioenergy Applied Technologies, Inc..(“BAT”) in  a stock-for-stock exchange..  The closing took place on Wednesday, August 13th, 2009 in New York City.  BAT is the originator of various proprietary, clean-tech, environmentally-friendly technologies and intellectual properties in the areas of hazardous waste destruction, energetic materials, chemical recycling processes, and coal gasification.  BAT also maintains unique electrolytic technology that simplifies the product of bio fuels, specifically biodiesel and its byproducts.  All of the BAT products and systems offer green, sustainable solutions to the problems of waster generation, collection, storage, and destruction.

Regarding  hazardous waste destruction, BAT owns key intellectual properties which have been applied to the construction of systems and equipment designed to facilitate the destruction of pharmaceutical, medical, biological, chemical, red bag and other hazardous wastes, with clean reusable energy produced as a byproduct.  The system utilizes cold plasma technology to initiate a chemical reaction inside the unit.  The chemical reaction causes enough heat to facilitate the waste destruction, resulting in a drastically reduced carbon footprint, as no incineration is needed.  The energy needed to start the process is the equivalent of only five light bulbs, resulting in a significantly lower cost of operation.  The unit is relatively compact, can be retrofitted into existing structures or made mobile for smaller venues, and can be scaled up to meet the hazardous waste destruction needs of almost any user.

TTI plans to concentrate on the clean-tech, green, and healthcare industries more vigorously, and is actively searching and planning for subsequent acquisition in these areas in the next quarter.

-  -

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

Cautionary Statements

This Form 10-Q may contain "forward-looking  statements," as that term is used in  federal  securities  laws,  about  Tree  Top  Industries,  Inc.'s  financial condition,  results of operations and business.  These statements include, among others:

o statements concerning the potential benefits that Tree Top Industries, Inc.  ("TTI"  or  the  "Company")  may  experience  from  its  business activities and certain  transactions  it contemplates or has completed; and

o statements of TTI's expectations, beliefs, future plans and strategies, anticipated  developments and other  matters  that are not  historical facts.  These statements may be made expressly in this Form 10-Q. You can find many of these statements by looking for words such as "believes," "expects," "anticipates," "estimates," "opines," or similar expressions used in this Form 10-Q. These forward-looking statements are subject to numerous assumptions, risks and uncertainties that may cause TTI's actual results to be materially different from any future results expressed or implied by TTI in those statements.  The most important facts that could prevent TTI from achieving its stated goals include, but are not limited to, the following:

         (a)      volatility or decline of TTI's stock price;

         (b)      potential fluctuation of quarterly results;

         (c)      failure of TTI to earn revenues or profits;

         (d)      inadequate  capital to  continue or expand its  business,  and inability  to  raise   additional   capital  or  financing  to implement its business plans;

         (e)      failure to commercialize TTI's technology or to make sales;

         (f)      decline in demand for TTI's products and services;

         (g)      rapid adverse changes in markets;

         (h)      litigation with or legal  claims and  allegations  by outside parties  against TTI,  including but not limited to challenges to TTI's intellectual property rights;

         (i)      insufficient revenues to cover operating costs;

         (j)      failure of NetThruster.com(R) to acquire or develop and profitably operate a new business to replace its old content delivery business model, which is no longer being implemented, and

-  -

         (k)      competition   from  other   businesses and technologies   that   materially   adversely   impacts   TTI's operations, financial condition and business performance.

There is no assurance that TTI will be profitable,  TTI may not be able to successfully develop, manage or market its products and services, TTI may not be able to attract or retain qualified executives and technology personnel,  TTI may not be able to obtain customers for its products or services, TTI's products and  services  may become  obsolete,  government  regulation  may  hinder  TTI's business, additional dilution in outstanding stock ownership may be incurred due to the issuance of more shares,  warrants and stock options,  or the exercise of outstanding  warrants  and stock  options,  and other  risks inherent  in TTI's businesses.

Because the statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by the forward-looking statements. TTI cautions you not to place undue reliance on the statements, which speak only as of the date of this Form 10-Q. The cautionary statements  contained or referred to in this  section  should be  considered  in connection with any subsequent written or oral  forward-looking  statements that TTI or  persons  acting on its  behalf may  issue.  TTI does not  undertake  any obligation  to review or  confirm  analysts'  expectations  or  estimates  or to release  publicly any  revisions to any  forward-looking  statements  to reflect events or  circumstances  after the date of this Form 10-Q,  or to reflect the occurrence of unanticipated events.

Current Overview

NetThruster Inc. (formerly known as Ludicrous, Inc.) is in the process of reevaluating and reorienting its business.  It has successfully broadcast live streaming video of events for its customers pursuant to event based contracts resulting in minimal revenue to date. This capability may be used by another TTII subsidiary, MLN, Inc., in the operation of that Company’s new Internet website.  NetThruster also has worked out the necessary hardware equipment designs to support the Internet background logistics of the My Lord’s Network Internet website to be established by MLN. NetThruster may be employed to implement and maintain the website’s operational equipment.

The primary business of MLN, Inc., a Delaware corporation and a wholly-owned subsidiary of TTII (MLN), is the operation of the My Lord’s Network™ website.  MLN has completed the research and planning necessary to create the website and its supporting business.  The focus of the website is the worldwide Christian community but with the initial enrollment emphasis on Christians in the United States. The website is designed to facilitate interaction between enrolled individual members and, in addition, provide information about Christian churches, both their location and events.  MLN plans to contract for creation of the initial website and expects to make its revenues through the ongoing operation of the website (through subscriptions fees and advertising).

My Lord’s Network will be designed to bring together members of the Christian community in an arena that provides an opportunity for online social networking and information about church activities across the community.  It will strive to provide up-to-date information from its church and ministry members to the individual members.  It plans to offer Christian-oriented contemporary news as well.

The primary business model is a content-based Internet website. Individual members will join for free and receive the basic website services.  Individual members may enroll with optional yearly fees for additional premium website services. Individual churches will pay a yearly membership fee for services that will enable a church to upload and update church information including a current event schedule and, for an additional amount, weekly videos of the pastor’s sermon. There are several sources for the site’s  actual content. Some sources are simple information pages plus there may be on-demand video downloads. The website plans to have three basic kinds of information pages: each enrolled individual will have his/her own page; each enrolled church will have its own page; and each enrolled ministry will have its own page. The information contained on each type of page is unique. If a sufficient number of people have joined, it will become profitable to sell advertising since a guaranteed audience will exist. Advertising may be either nationwide (or even worldwide) or local since the website will have geographical information about its members and can target advertising based upon that information.

-  -

My Lord’s Network also plans to offer live streaming video of selected events of particular interest to Christians. Another TTII subsidiary, NetThruster, Inc., has already demonstrated the capability to capture and broadcast live streaming video at high-definition standards. Because of the costs associated with this feature, these broadcasts will be available either only to those members who have paid a nominal yearly membership fee or perhaps for a one-time special charge.

There are both products and services that will be provided as well as marketed on the site. Each church page will have location and activity information for that church. Each church has the ability to continually update its activity or event schedule so that when its page is visited, the information will be topical. Each enrolled church will be able to continuously update the church’s web page with topical information. The ministry pages will be customized for each ministry and feature information unique to each particular ministry. Many ministries sell products such as books and videos on their own websites and My Lord’s Network plans to offer these same products on its site. Advertising revenues can be realized once a sufficient number of individuals have joined the site and provided their demographic information.

Critical Accounting Policies

Our discussion and analysis of our financial condition and results of operations are based upon our financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States of America.  The  preparation  of these  financial  statements  requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues  and  expenses,   and  related  disclosure  of  contingent  assets  and liabilities.  We monitor our estimates on an on-going basis for changes in facts and circumstances, and material changes in these estimates could occur in the future.  Changes in estimates are recorded in the period in which they become known. We base our estimates on historical experience and other assumptions that we believe to be reasonable under the circumstances.  Actual results may differ from our estimates if past experience or other assumptions do not turn out to be substantially accurate.

Certain of our accounting policies are particularly important to the portrayal and understanding of our financial position and results of operations and require us to apply significant judgment in their application.  As a result, these policies are subject to an inherent degree of uncertainty.  In applying these policies, we use our judgment in making certain assumption and estimates. Our critical accounting policies are described in our Annual Report on Form 10-K for the year ended December 31, 2008.  There have been no material changes to our critical accounting policies as of June 30, 2009 and for the six months then ended.

Results of Operations for the Three Months Ended June 30, 2009 Compared to Three Months Ended June 30, 2008

We had no revenues in the second three months of 2009 or in the same period of 2008. Our operating expenses increased from $385,807 in the second three months of 2008 to $6,351,505 in the same period of 2009, primarily due to a increase in stock based compensation expense to officers, directors and a shareholder. Stock based compensation aggregated $-0- in 2008 compared to $6,107,397 in 2009.  Our net loss was $385,956 in the second three months of 2008 compared to net loss of $6,354,750 in the same period of 2009. Excluding this non cash expense our net loss would have been $385,956  and $247,353 in 2008 and 2009, respectively.

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Results of Operations for the Six Months Ended June 30, 2009 Compared to Six Months Ended June 30, 2008

We had no revenues in the first six months of 2009 or in the same period of 2008. Our operating expenses increased from $1,615,517 in the first six months of 2008 to $15,975,150 in the same period of 2009, primarily due to a increase in stock based compensation expense to officers, directors and a shareholder. Stock based compensation aggregated $923,963 in 2008 compared to $15,493,293 in 2009.  Our net loss was $1,617,742 in the first six months of 2008 compared to net loss of $15,980,303 in the same period of 2009. Excluding this non cash expense our net loss would have been $693,779 and $487,010 in 2008 and 2009, respectively.

Liquidity and Capital Resources

The Company's cash position was $2,846 at June 30, 2009 compared to $663 at December 31, 2008.  The increase in cash is attributable to cash proceeds from related party loans and notes payable of $410,738, offset by repayments of bank overdrafts and cash utilized in operating activities.

As of June 30, 2009, the Company had current assets of $2,846 and current liabilities of $1,608,098.

Net cash used in operating activities amounted to $403,222 for the six month period ended June 30, 2009, as compared to $623,552 of net cash used in operations for the six month period ended June 30, 2008.  The primary reason for the higher utilization of cash in 2008 was to fund the new software development business of the Company.  Net cash provided by financing activities amounted to a $405,405 and $569,755 for the six months ended June 30, 2009 and 2008, respectively. The larger amount in 2008 resulted from the exercise of stock options. The Company had net repayments of officers’ loans of $193,365 in 2008. During the six months ended June 30, 2009 the Company did not use any cash in investing activities. The Company used $67,731 of cash in during the same period in 2008.

The Company does not have sufficient capital to meet its current cash needs, which include the costs of compliance with the continuing reporting requirements of the Securities Exchange Act of 1934, as amended.  The Company intends to seek additional capital and long-term debt financing to attempt to overcome its working capital deficit.  The Company will need between $150,000 and $200,000 annually to maintain its reporting obligations.  Financing options may be available to the Company either via a private placement or through the public sale of stock.  The Company will seek to raise sufficient capital to market NetThruster.com and to sustain monthly operations.  There is no assurance, however, that the available funds will be available or adequate.  Its need for additional financing is likely to persist.

Going Concern Qualification

The Company has incurred significant losses from operations, and such losses are expected to continue.  The Company's auditors have included a "Going Concern Qualification" in their report for the year ended December 31, 2008. In addition, the Company has limited working capital.  The foregoing raises substantial doubt about the Company's ability to continue as a going concern.  Management's plans include seeking additional capital and/or debt financing.  There is no guarantee that additional capital and/or debt financing will be available when and to the extent required, or that if available, it will be on  terms acceptable to the Company.  The financial statements do not include any adjustments that might result from the outcome of this uncertainty.  The "Going Concern Qualification" may make it substantially more difficult to raise capital.

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Off-Balance Sheet Arrangements

We have no off-balance sheet arrangements.

Item 3.  Quantitative and Qualitative Disclosures about Market Risk

Not Applicable.

Item 4T.                 Controls and Procedures

Evaluation of Disclosure Controls and Procedures

Disclosure controls and procedures are controls and other procedures that are designed to ensure that information we are required to disclose is recorded, processed, summarized and reported, within the time periods specified in the rules and forms of the Commission.  David Reichman, our Chief Executive Officer and our Principal Accounting Officer, is responsible for establishing and maintaining our disclosure controls and procedures.

Under the supervision and with the participation of our management, including the Chief Executive Officer and Principal Accounting Officer, we have evaluated the effectiveness of our disclosure controls and procedures (as defined in Rule 13a-15(e) and Rule 15d-15(e) of the Exchange Act) as of the end of the period covered by this report.  Based on that evaluation, the Chief Executive Officer and Principal Accounting Officer has concluded that, as of June 30, 2009 these disclosure controls and procedures were ineffective to ensure that all information required to  be disclosed by us in the reports that we file or submit under the Exchange Act is: (i) recorded, processed, summarized and reported, within the time periods specified in the Commission’s rule and forms; and (ii) accumulated and communicated to our management, including our Chief Executive Officer and Principal Accounting Officer, as appropriate to allow timely decisions regarding required disclosure.

The term “internal control over financial reporting” is defined as a process designed by, or under the supervision of, the registrant’s principal executive and principal financial officers, or persons performing similar functions, and effected by the registrant’s board of directors, management and other personnel, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles and includes those policies and procedures that:

· pertain to the maintenance of records that in reasonable detail accurately and fairly reflect the transactions and dispositions of the assets of the registrant;

· provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the registrant are being made only in accordance with authorizations of management and directors of the registrant; and

·          provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of the registrant’s assets that could have a material effect on the financial          statements.

Changes in Internal Controls over Financial Reporting

There were no additional changes in our internal control over financial reporting that occurred during the fiscal quarter ended June 30, 2009 that has materially affected, or is reasonably likely to materially affect, our  internal control over financial reporting.

Inherent Limitations over Internal Controls

TTI’s management does not expect that its disclosure controls or its internal control over financial reporting will prevent or detect all error and all fraud.  A control system, no matter how well designed and operated, can provide only reasonable, not absolute, assurance that the control system’s objectives will be met. The design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs.  Further, because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that misstatements due to error or fraud will not occur or that all control issues and instances of fraud, if any, within TTI have been detected.  These inherent limitations include the realities that judgments in decision making can be faulty and that breakdowns can occur because of simple error or mistake. Controls can also be circumvented by the individual acts of some persons, by collusion of two or more people, or management override of the controls.  The design of any system of controls is based in part on certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions. Projections of any evaluation of controls effectiveness to future periods are subject to risks.  Over time, controls may become inadequate because of changes in conditions or deterioration in the degree of compliance with policies or procedures.

Our disclosure controls and procedures are designed to provide reasonable assurance of that our reports will be accurate. Our Chief Executive Officer and Principal Accounting Officer concludes that our disclosure controls and procedures were ineffective at that reasonable assurance level, as of the end of the period covered by this Form 10-Q.  Our future reports shall also indicate that our disclosure controls and procedures are designed for this reason and shall indicate the related conclusion by the Chief Executive Officer and Principal Accounting Officer as to their effectiveness.

PART II                      OTHER INFORMATION

Item 1.              Legal Proceedings

In the recent past, one of the TTI’s shareholders, Dr. Steven Hoefflin, has harassed the Company both in private and in public, as well as its officers and the officers of one of the Company’s subsidiaries, in an apparent attempt to civilly extort money from the Company.  To address the allegedly libelous claims made by the shareholder, TTI has filed suit in United States District Court. The suit seeks redress in the form of enjoining the shareholder from any further harassment and in the form of damages from the shareholder and others who have allegedly abetted the shareholder’s actions.  TTI is confident of prevailing in this suit although there is no assurance regarding the results of litigation.  This case was dismissed in New York and we are currently evaluating if it would be productive to file the claim in the Los Angeles County Federal Court.  In addition, we have recently become aware this same shareholder has filed a third party cross complaint against TTI and one of its officers, in Los Angeles Superior Court. TTI is confident of prevailing in this suit although there is no assurance regarding the results of litigation.

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Item 1A.-Risk Factors

Item 2.              Unregistered Sales of Equity Securities and Use of Proceeds

None.

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

 TTI signed a three year employment contract with Kathy M. Griffin as Director of Strategic Planning for the company.  Mrs. Griffin started her employment on April 1st, 2009.  Subsequently, the Board of Directors, on May 28th, 2009, elected her as a Director for a one year term, and appointed her President of TTI.

Further, Tree Top Industries, Inc.  signed a definitive agreement with Bioenergy Applied Technologies, Inc. (“BAT”) on April 24th, 2009.  BAT is the originator of various proprietary, clean-tech, environmentally-friendly technologies and intellectual properties in the areas of hazardous waste destruction, energetic materials, chemical recycling processed, and coal gasification.  Specifically, BAT has key intellectual properties which have been applied to the construction of systems and equipment used for the destruction of pharmaceutical, medical, biological, chemical, red bag and other hazardous waste, with clean reusable energy produced as a byproduct.

Item 6.              Exhibits

(a)           Exhibits

EXHIBIT NO.                           DESCRIPTION

31.1	Section 302 Certification of Chief Executive Officer
31.2	Section 302 Certification of Chief Financial Officer
32.1	Section 906 Certification of Chief Executive Officer
32.2	Section 906 Certification of Chief Financial Officer

 (b) The following is a list of Current Reports on Form 8-K filed by the Company during and subsequent to the quarter for which this report is filed.

 Form 8 –K filed on April 29th, 2009 related to signing of material definitive agreement

Form 8 – K filed on August 13th, 2009 related to the completion of the acquisition of BAT

SIGNATURES

-  -

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Dated: August  14 , 2009                                                                TREE TOP INDUSTRIES, INC.

By:  \s\ David Reichman                                                                           

David Reichman, Chief Executive Officer

and Chairman (Principal Executive Officer)

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By:  /s/ David Reichman                                                                  Dated: August 14, 2009

David Reichman, Chief Executive Officer

and Chairman (Principal Executive Officer)

By:  /s/ David Reichman                                                                  Dated: August 14, 2009

Kathy M. Griffin, Director, President

By:  /s/ David Reichman                                                                  Dated: August 14, 2009

David Reichman, Chief Financial Officer,

(Principal Financial/Accounting Officer)

EX-31.1

EXHIBIT 31.1

CERTIFICATION

I, David Reichman, certify that:

1.           I have reviewed this report on Form 10-Q of Tree Top Industries, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b. Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c. Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d. Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the small business issuer’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (of persons performing the equivalent functions):

a. All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b. Any fraud, whether or not material, that involves management or other employees who have a significant role in the small business issuer’s internal control over financial reporting.

Date:  August 14, 2009

/s/David Reichman                                                                           

David Reichman, Chief Executive Officer

(Principal Executive Officer)

EX-31.2

EXHIBIT 31.2

CERTIFICATION

I, David Reichman, certify that:

1.           I have reviewed this report on Form 10-Q of Tree Top Industries, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a. Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b. Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c. Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d. Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the small business issuer’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (of persons performing the equivalent functions):

a. All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b. Any fraud, whether or not material, that involves management or other employees who have a significant role in the small business issuer’s internal control over financial reporting.

Date:  August 14, 2009

/s/David Reichman                                                                           

David Reichman, Chief Financial Officer

(Principal Financial/Accounting Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of Tree Top Industries, Inc. (the “Company”) on Form 10-Q for the period ending September 30, 2008 (the “Report”) I, David Reichman, Chief Executive Officer of the Company, certify, pursuant to 18 USC Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to the best of my knowledge and belief:

(1)           The Report fully complies with the requirements of Section 13(a) or 15(d)

of the Securities Exchange Act of 1934; and

(2)           The information contained in the Report fairly presents, in all material

respects, the financial condition and results of operations of the Company.

/s/David Reichman                                                                    Date:   August 14, 2009

David Reichman, Chief Executive Officer and

This certification accompanies the Report pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and shall not, except to the extent required by the Sarbanes-Oxley Act of 2002, be deemed filed by the Company for purposes of Section 18 of the Securities Exchange Act of 1934, as amended.

EX-32.2

Exhibit 32.2

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of Tree Top Industries, Inc. (the “Company”) on Form 10-Q for the period ending September 30, 2008 (the “Report”) I, David Reichman, Chief Financial Officer (Principal Financial/Accounting Officer) of the Company, certify, pursuant to 18 USC Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to the best of my knowledge and belief:

(1)           The Report fully complies with the requirements of Section 13(a) or 15(d)

of the Securities Exchange Act of 1934; and

(2)           The information contained in the Report fairly presents, in all material

respects, the financial condition and results of operations of the Company.

/s/David Reichman                                                                Date:  August 14, 2009

David Reichman, Chief Financial Officer

This certification accompanies the Report pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 and shall not, except to the extent required by the Sarbanes-Oxley Act of 2002, be deemed filed by the Company for purposes of Section 18 of the Securities Exchange Act of 1934, as amended.