RELATED PARTY TRANSACTIONS	9 Months Ended
Mar. 31, 2014
Notes to Financial Statements
RELATED PARTY TRANSACTIONS	NOTE 7. RELATED PARTY TRANSACTIONS For the nine months ended March 31, 2014 and 2013, the Company accrued $117,000 and $117,000, respectively, in salaries payable to its officers and major shareholders, which are reflected in Loans payable to shareholders. For the same periods, the Company accrued $0 and $50,000, respectively, to the officers and directors who resigned in December of 2012. As of March 31, 2013, these individuals are no longer considered insiders, and balances of their shareholder notes were transferred to convertible notes payable. As of March 31, 2014 and June 30, 2013, the balances of shareholder notes were $564,839 and $448,289, respectively. The balance included accrued salaries, along with various advances to and from the Company. The notes are unsecured, due upon demand and accrue interest at the end of each month on the then outstanding balance at the rate of 5.00% per annum. As of March 31, 2014 and June 30, 2013, accrued interest payable on the notes was $24,486 and $12,191, respectively. Interest paid during the nine months ended March 31, 2014 and 2013, was $7,112 and $8,283, respectively. These notes payable do not approximate fair value, as they are with related parties, and do not bear market rates of interest.

RELATED PARTY TRANSACTIONS

9 Months Ended

Mar. 31, 2014

NOTE 7. RELATED PARTY TRANSACTIONS

For the nine months ended March 31, 2014 and 2013, the Company accrued $117,000 and $117,000, respectively, in salaries payable to its officers and major shareholders, which are reflected in Loans payable to shareholders. For the same periods, the Company accrued $0 and $50,000, respectively, to the officers and directors who resigned in December of 2012. As of March 31, 2013, these individuals are no longer considered insiders, and balances of their shareholder notes were transferred to convertible notes payable.

As of March 31, 2014 and June 30, 2013, the balances of shareholder notes were $564,839 and $448,289, respectively. The balance included accrued salaries, along with various advances to and from the Company. The notes are unsecured, due upon demand and accrue interest at the end of each month on the then outstanding balance at the rate of 5.00% per annum. As of March 31, 2014 and June 30, 2013, accrued interest payable on the notes was $24,486 and $12,191, respectively. Interest paid during the nine months ended March 31, 2014 and 2013, was $7,112 and $8,283, respectively. These notes payable do not approximate fair value, as they are with related parties, and do not bear market rates of interest.

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

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