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    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>SECURITIES
      AND EXCHANGE COMMISSION</strong></font></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Washington</strong><strong>,
      D.C.20549</strong></font></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">&#160;</div>
    <div align="center"><font style="DISPLAY: inline; FONT-SIZE: 14pt; FONT-FAMILY: Times New Roman">FORM
      8-K</font></div>
    <div align="center">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><strong>CURRENT
      REPORT</strong></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><strong>Pursuant
      to Section 13 or 15(d) of</strong></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><strong>the
      Securities Exchange Act of 1934</strong></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">Date of
      Report
      (Date of earliest event reported)&#160; <strong>May 10, 2006</strong></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: justify">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><strong><font style="DISPLAY: inline; FONT-SIZE: 24pt; FONT-FAMILY: Times New Roman">Sanders
      Morris Harris Group Inc.</font></strong></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">(Exact name
      of
      registrant as specified in its charter)</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><strong>Texas</strong></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">(State or
      other jurisdiction of incorporation)</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">&#160;</div>
    <div>
      <table border="0" cellpadding="0" cellspacing="0" width="100%" style="WIDTH: 100%; BORDER-COLLAPSE: collapse; mso-padding-alt: 0in 0in 0in 0in">

          <tr style="mso-yfti-irow: 0; mso-yfti-firstrow: yes;">
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              <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>0-30066</strong></font></div>
            </td>
            <td valign="bottom" width="2%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 2%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt">&#160;</div>
            </td>
            <td valign="top" width="49%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 49%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>76-0583569</strong></font></div>
            </td>
          </tr>
          <tr style="mso-yfti-irow: 1;">
            <td valign="top" width="49%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 49%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(Commission
                File Number)</font></div>
            </td>
            <td valign="bottom" width="2%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 2%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt">&#160;</div>
            </td>
            <td valign="top" width="49%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 49%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(IRS
                Employer Identification No.)</font></div>
            </td>
          </tr>
          <tr style="mso-yfti-irow: 2;">
            <td valign="top" width="49%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 49%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">&#160;</div>
            </td>
            <td valign="bottom" width="2%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 2%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt">&#160;</div>
            </td>
            <td valign="top" width="49%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 49%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">&#160;</div>
            </td>
          </tr>
          <tr style="mso-yfti-irow: 3;">
            <td valign="top" width="49%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 49%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt 10pt; TEXT-INDENT: -10pt; TEXT-ALIGN: center" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>600
                Travis, Suite 3100, Houston, Texas</strong></font></div>
            </td>
            <td valign="bottom" width="2%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 2%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt">&#160;</div>
            </td>
            <td valign="top" width="49%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 49%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>77002</strong></font></div>
            </td>
          </tr>
          <tr style="mso-yfti-irow: 4; mso-yfti-lastrow: yes;">
            <td valign="top" width="49%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 49%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(Address
                of principal executive offices)</font></div>
            </td>
            <td valign="bottom" width="2%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 2%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt">&#160;</div>
            </td>
            <td valign="top" width="49%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 49%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(Zip
                Code)</font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Registrant&#8217;s
      telephone number, including area code&#160;&#160;<strong>(713)
      993-4610</strong></font></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">(Former
      name or former address, if changed since last report)</font></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Check
      the
      appropriate box below if the Form 8-K filing is intended to simultaneously
      satisfy the filing obligation of the registrant under any of the following
      provisions:</font></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: justify">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt 0.25in; TEXT-INDENT: -0.25in; TEXT-ALIGN: justify"><font style="DISPLAY: inline; FONT-FAMILY: Wingdings">o</font>&#160;&#160;
Written
      communications pursuant to Rule 425 under the Securities Act (17 CFR
      230.425)</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: justify">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt 0.25in; TEXT-INDENT: -0.25in; TEXT-ALIGN: justify"><font style="FONT-FAMILY: Wingdings">o</font>&#160;&#160;
Soliciting
      material pursuant
      to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: justify">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt 0.25in; TEXT-INDENT: -0.25in; TEXT-ALIGN: justify"><font style="FONT-FAMILY: Wingdings">o</font>&#160;&#160;
Pre-commencement
      communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
      240.14d-2(b))</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: justify">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt 0.25in; TEXT-INDENT: -0.25in; TEXT-ALIGN: justify"><font style="FONT-FAMILY: Wingdings">o</font>&#160;
&#160;Pre-commencement
      communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
      240.13e-4(c))</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
        </div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
      <div>&#160;</div>
    </div>
    <div style="MARGIN: 0in 0in 0pt"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
      8.01.&#160;&#160; Other Events.</strong></font></div>
    <div style="MARGIN: 0in 0in 0pt">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-INDENT: 0.5in"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">On
      May 10,
      2006, Sanders Morris Harris Group Inc. announced its results of operations
      for
      the first quarter of 2006. </font></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-INDENT: 0.5in">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt"><strong><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Item
      9.01.&#160;&#160; Financial Statements and Exhibits.</font></strong></div>
    <div style="MARGIN: 0in 0in 0pt">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">

          <tr valign="top" style="line-height: 1.25;">
            <td align="left" style="width: 63pt;">
              <div style="MARGIN: 0in 0in 0pt; TEXT-INDENT: 0.5in">a.</div>
            </td>
            <td align="left">
              <div><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Financial
                statements of business acquired</u></font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-INDENT: 0.5in">&#160;</div>
    <div style="MARGIN: 0in 0pt 0pt 63pt; TEXT-INDENT: 0pt"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Not
      Applicable</font></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-INDENT: 1in">&#160;</div>
    <div>
      <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">

          <tr valign="top" style="line-height: 1.25;">
            <td align="left" style="width: 63pt;">
              <div style="MARGIN: 0in 0in 0pt; TEXT-INDENT: 0.5in">b.</div>
            </td>
            <td align="left">
              <div><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Pro
                forma financial information</u></font></div>
            </td>
          </tr>

      </table>
    </div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-INDENT: 0.5in">&#160;</div>
    <div style="MARGIN: 0in 0pt 0pt 63pt; TEXT-INDENT: 0pt"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Not
      Applicable</font></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-INDENT: 1in">&#160;</div>
    <div>
      <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.3; MARGIN-RIGHT: 0pt" align="left">
        <div>
          <table align="center" border="0" cellpadding="0" cellspacing="0" id="hangingindent" width="100%" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">

              <tr valign="top" style="line-height: 1.25;">
                <td align="left" style="width: 63pt;">
                  <div style="MARGIN: 0in 0in 0pt; TEXT-INDENT: 0.5in">c.</div>
                </td>
                <td align="left">
                  <div><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Exhibits</u></font></div>
                </td>
              </tr>

          </table>
        </div>
      </div>
    </div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-INDENT: 0.5in">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt 96.6pt; TEXT-INDENT: -36.75pt; tab-stops: 96.6pt"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">99.1
      Press Release</font></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">
        </div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center"><font style="DISPLAY: inline; FONT-SIZE: 8pt; FONT-FAMILY: Times New Roman">2</font></div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">
        </div>
      </div>
      <div>&#160;</div>
    </div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>SIGNATURES</strong></font></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: center" align="center">&#160;</div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-INDENT: 0.5in"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Pursuant
      to the requirements of the Securities Exchange Act of 1934, the registrant
      has
      duly caused this report to be signed on its behalf by the undersigned hereunto
      duly authorized.</font></div>
    <div style="MARGIN: 0in 0in 0pt; TEXT-INDENT: 0.5in">&#160;</div>
    <div>
      <table border="0" cellpadding="0" cellspacing="0" width="100%" style="WIDTH: 100%; BORDER-COLLAPSE: collapse; mso-padding-alt: 0in 0in 0in 0in">

          <tr style="mso-yfti-irow: 0; mso-yfti-firstrow: yes;">
            <td valign="top" width="48%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 48.12%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: right" align="right">&#160;</div>
            </td>
            <td colspan="4" valign="top" width="51%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 51.88%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">SANDERS
                MORRIS HARRIS GROUP INC.</font></div>
            </td>
          </tr>
          <tr style="mso-yfti-irow: 1;">
            <td valign="top" width="48%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 48.12%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: right" align="right">&#160;</div>
            </td>
            <td colspan="4" valign="top" width="51%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 51.88%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt">&#160;</div>
            </td>
          </tr>
          <tr style="mso-yfti-irow: 2;">
            <td valign="top" width="48%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 48.12%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt; TEXT-ALIGN: right" align="right">&#160;</div>
            </td>
            <td colspan="4" valign="top" width="51%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 51.88%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt">&#160;</div>
            </td>
          </tr>
          <tr style="mso-yfti-irow: 3;">
            <td valign="top" width="48%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 48.12%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt">&#160;</div>
            </td>
            <td valign="top" width="2%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 2.7%; padding-top: 0in; border-bottom: #d4d0c8;">
              <div style="MARGIN: 0in 0in 0pt"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">By</font>:</div>
            </td>
            <td colspan="2" valign="top" width="38%" bgcolor="transparent" style="border-right: #d4d0c8; padding-right: 0in; border-top: #d4d0c8; padding-left: 0in; padding-bottom: 0in; border-left: #d4d0c8; width: 38.52%; padding-top: 0in; border-bottom: windowtext 1pt solid;">
              <div style="MARGIN: 0in 0in 0pt"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">/s/
                Ben T. Morris</font></div>
            </td>
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              <div style="MARGIN: 0in 0in 0pt">&#160;</div>
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              <div style="MARGIN: 0in 0in 0pt 9pt; TEXT-INDENT: 0pt"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Ben
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              <div style="MARGIN: 0in 0in 0pt 9pt; TEXT-INDENT: 0pt"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><i>Chief
                Executive Officer</i></font></div>
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              <div style="MARGIN: 0in 0in 0pt"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Date:
                May 11, 2006</font></div>
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{"company-data": {"conformed-name": "SANDERS MORRIS HARRIS GROUP INC", "cik": "0001071341", "assigned-sic": "6199", "irs-number": "760583569", "state-of-incorporation": "TX", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "000-30066", "film-number": "06829610"}, "business-address": {"street1": "600 TRAVIS", "street2": "SUITE 2900", "city": "HOUSTON", "state": "TX", "zip": "77002", "phone": "7139934610"}, "mail-address": {"street1": "600 TRAVIS", "street2": "SUITE 2900", "city": "HOUSTON", "state": "TX", "zip": "77002"}, "former-company": {"former-conformed-name": "PINNACLE GLOBAL GROUP INC", "date-changed": "19980930"}}
SECURITIES
      AND EXCHANGE COMMISSION
Washington
,
      D.C.20549
FORM
      8-K
CURRENT
      REPORT
Pursuant
      to Section 13 or 15(d) of
the
      Securities Exchange Act of 1934
Date of
      Report
      (Date of earliest event reported)
May 10, 2006
Sanders
      Morris Harris Group Inc.
(Exact name
      of
      registrant as specified in its charter)
Texas
(State or
      other jurisdiction of incorporation)
0-30066
76-0583569
(Commission
                File Number)
(IRS
                Employer Identification No.)
600
                Travis, Suite 3100, Houston, Texas
77002
(Address
                of principal executive offices)
(Zip
                Code)
Registrant's
      telephone number, including area code
(713)
      993-4610
(Former
      name or former address, if changed since last report)
Check
      the
      appropriate box below if the Form 8-K filing is intended to simultaneously
      satisfy the filing obligation of the registrant under any of the following
      provisions:
o
Written
      communications pursuant to Rule 425 under the Securities Act (17 CFR
      230.425)
o
Soliciting
      material pursuant
      to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o
Pre-commencement
      communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
      240.14d-2(b))
o
Pre-commencement
      communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
      240.13e-4(c))
Item
      8.01.   Other Events.
On
      May 10,
      2006, Sanders Morris Harris Group Inc. announced its results of operations
      for
      the first quarter of 2006.
Item
      9.01.   Financial Statements and Exhibits.
a.
Financial
                statements of business acquired
Not
      Applicable
b.
Pro
                forma financial information
Not
      Applicable
c.
Exhibits
99.1
      Press Release
2
SIGNATURES
Pursuant
      to the requirements of the Securities Exchange Act of 1934, the registrant
      has
      duly caused this report to be signed on its behalf by the undersigned hereunto
      duly authorized.
SANDERS
                MORRIS HARRIS GROUP INC.
By
:
/s/
                Ben T. Morris
Ben
                T. Morris,
Chief
                Executive Officer
Date:
                May 11, 2006
3