SHORT TERM LOANS AND DUE TO FACTOR	6 Months Ended
Dec. 31, 2012
Short-Term Debt [Abstract]
SHORT TERM LOANS AND DUE TO FACTOR	NOTE 4. SHORT TERM LOANS AND DUE TO FACTOR On September 7, 2012 and September 24, 2012, the Company issued secured bridge loan promissory notes totaling in the aggregate $300,000 bearing interest at a rate of 10% per annum. If the Company does not pay the loan when due then the loans and interest due shall bear interest at a rate of 12% per annum. The promissory notes were issued in two installments: · September 7, 2012 - $150,000, due by December 7 2012 · September 24, 2012 - $150,000, due by December 24, 2012 The notes were due and payable on the earliest of: · On the dates mentioned above, or · Closing of additional financings of an amount equal to at least $300,000 in respect to the September 7, 2012 notes and $450,000 in respect to the September 24, 2012 notes in new proceeds in any private placements by the Company. As of December 21, 2012, the Company had re-paid the principal and accrued interest on one $50,000 note with $250,000 of principal plus accrued interest still outstanding. The unpaid portion of these notes are currently in default and are accruing interest of 12%. On November 9, 2012, the Company issued a short-term note in the principal amount of $60,000 to a stockholder of the Company. The note accrues interest at an annual rate of 10% and is due the earlier of (i) 180 days from its issuance or (ii) a closing by the Company of an offering of its equity and/or debt securities (in the case of mandatorily redeemable stock or debt, with a redemption date or maturity of twelve (12) months or more from issue), whether in one or a series of related transactions (including the Offering), to persons or entities who are not affiliates of the holder of the note. As of December 21, 2012, the Company had re-paid the principal plus accrued interest on this promissory note. On October 4, 2012, the Company entered into a Purchase Order Sale Agreement (the “PO Agreement”) with Solops LLC, under which it financed certain of its contracts of orders (or purchase orders) (the “Orders”), which represent amounts due from bona fide contracts for the sale and delivery of the Company’s goods to certain merchants, in the principal amount of $1,125,000. Pursuant to the PO Agreement, the Company sold the Orders to Solops for a purchase price of $875,000. Under the terms of the PO Agreement, Solops will receive $1,065,000 through a combination of the merchants’ payments under the Orders directly to Solops, the Company’s collection of accounts receivable under the Orders and resulting payments to Solops and/or any other payments made by the Company to Solops under the PO Agreement. Upon the full payment to Solops of $1,065,000, the PO Agreement will immediately terminate and Solops will convey, assign and deliver back to the Company the Orders and all of its rights thereunder. After such full payment is made, the Company will regain sole ownership of the Orders and it will not have any further obligations to Solops, and Solops will not have any further rights, with respect to the Orders or under the PO Agreement. As of November 21, 2012, the Company has re-paid its obligation under the PO Agreement. On December 7, 2012, the Company issued a secured bridge loan promissory note totaling $100,000 bearing interest at a rate of 10% per annum. If the Company does not pay the loan when due then the loan and interest due shall bear interest at a rate of 12% per annum. The note accrues interest at an annual rate of 10% and is due the earlier of (i) 180 days from its issuance or (ii) a closing by the Company of an offering of its equity and/or debt securities (in the case of mandatorily redeemable stock or debt, with a redemption date or maturity of twelve (12) months or more from issue), whether in one or a series of related transactions (including the Offering), to persons or entities who are not affiliates of the holder of the note. As of December 21, 2012, the Company has re-paid the principal plus interest on this promissory note. Effective as of November 21, 2012, the Company entered into a one-year Factoring Agreement and Supply Agreement with Star Funding, Inc. Under the terms of the Factoring Agreement, the Company is able to borrow up to 80% of its accounts receivable. Under the terms of the Supply Agreement, the Company is able to finance the purchases of its inventory.

SHORT TERM LOANS AND DUE TO FACTOR

6 Months Ended

Dec. 31, 2012

NOTE 4. SHORT TERM LOANS AND DUE TO FACTOR

On September 7, 2012 and September 24, 2012, the Company issued secured bridge loan promissory notes totaling in the aggregate $300,000 bearing interest at a rate of 10% per annum. If the Company does not pay the loan when due then the loans and interest due shall bear interest at a rate of 12% per annum.

The promissory notes were issued in two installments:

· September 7, 2012 - $150,000, due by December 7 2012

· September 24, 2012 - $150,000, due by December 24, 2012

The notes were due and payable on the earliest of:

· On the dates mentioned above, or

· Closing of additional financings of an amount equal to at least $300,000 in respect to the September 7, 2012 notes and $450,000 in respect to the September 24, 2012 notes in new proceeds in any private placements by the Company.

As of December 21, 2012, the Company had re-paid the principal and accrued interest on one $50,000 note with $250,000 of principal plus accrued interest still outstanding. The unpaid portion of these notes are currently in default and are accruing interest of 12%.

On November 9, 2012, the Company issued a short-term note in the principal amount of $60,000 to a stockholder of the Company. The note accrues interest at an annual rate of 10% and is due the earlier of (i) 180 days from its issuance or (ii) a closing by the Company of an offering of its equity and/or debt securities (in the case of mandatorily redeemable stock or debt, with a redemption date or maturity of twelve (12) months or more from issue), whether in one or a series of related transactions (including the Offering), to persons or entities who are not affiliates of the holder of the note. As of December 21, 2012, the Company had re-paid the principal plus accrued interest on this promissory note.

On October 4, 2012, the Company entered into a Purchase Order Sale Agreement (the “PO Agreement”) with Solops LLC, under which it financed certain of its contracts of orders (or purchase orders) (the “Orders”), which represent amounts due from bona fide contracts for the sale and delivery of the Company’s goods to certain merchants, in the principal amount of $1,125,000. Pursuant to the PO Agreement, the Company sold the Orders to Solops for a purchase price of $875,000. Under the terms of the PO Agreement, Solops will receive $1,065,000 through a combination of the merchants’ payments under the Orders directly to Solops, the Company’s collection of accounts receivable under the Orders and resulting payments to Solops and/or any other payments made by the Company to Solops under the PO Agreement. Upon the full payment to Solops of $1,065,000, the PO Agreement will immediately terminate and Solops will convey, assign and deliver back to the Company the Orders and all of its rights thereunder. After such full payment is made, the Company will regain sole ownership of the Orders and it will not have any further obligations to Solops, and Solops will not have any further rights, with respect to the Orders or under the PO Agreement. As of November 21, 2012, the Company has re-paid its obligation under the PO Agreement.

On December 7, 2012, the Company issued a secured bridge loan promissory note totaling $100,000 bearing interest at a rate of 10% per annum. If the Company does not pay the loan when due then the loan and interest due shall bear interest at a rate of 12% per annum. The note accrues interest at an annual rate of 10% and is due the earlier of (i) 180 days from its issuance or (ii) a closing by the Company of an offering of its equity and/or debt securities (in the case of mandatorily redeemable stock or debt, with a redemption date or maturity of twelve (12) months or more from issue), whether in one or a series of related transactions (including the Offering), to persons or entities who are not affiliates of the holder of the note. As of December 21, 2012, the Company has re-paid the principal plus interest on this promissory note.

Effective as of November 21, 2012, the Company entered into a one-year Factoring Agreement and Supply Agreement with Star Funding, Inc. Under the terms of the Factoring Agreement, the Company is able to borrow up to 80% of its accounts receivable. Under the terms of the Supply Agreement, the Company is able to finance the purchases of its inventory.

- Definition

The entire disclosure for short-term debt.

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