The two aircraft, a Cessna 340A and a North American SNJ-4, collided in flight at approximately 3,000 ft MSL over Orlando, FL in VMC with a visibility of 7 miles. Both aircraft were in contact with and being radar vectored by Orlando Approach Control. The C-340 was in level flight and the SNJ was completing a right turn and still descending to 1,500 ft when the collision occurred. Both aircraft were operating under IFR flight rules with the C-340 being vectored to runway 18R at Orlando International Airport (MCO) and the SNJ being directed to Orlando Executive Airport (ORL). The accident occurred 7 miles NW of ORL in the MCO airport radar service outer area. During the vectoring, there was a lack of coordination between controllers during a transfer of control. The receiving controller failed to maintain radar target identification. There was also a lack of traffic advisories. The aircraft pilots were limited in their ability to see due to aircraft structure and relative positions to each other. After the collision, both aircraft crashed in uncontrolled descent.