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Condensed financial information of the parent company | 12 Months Ended
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Jun. 30, 2020
Condensed Financial Information Disclosure [Abstract] |
Condensed financial information of the parent company | Note 16 – Condensed financial information of the parent company The Company performed a test on the restricted net assets of the consolidated subsidiaries in accordance with Securities and Exchange Commission Regulation S-X Rule 4-08 (e) (3), "General Notes to Financial Statements" and concluded that it was applicable for the Company to disclose the financial statements for the parent company. The subsidiaries did not pay any dividend to the Company for the periods presented. For the purpose of presenting parent-only financial information, the Company records its investment in its subsidiary under the equity method of accounting. Such investment is presented on the separate condensed balance sheets of the Company as "Loss in excess of investment in subsidiaries" and the loss of the subsidiaries is presented as "Equity loss of subsidiaries". Certain information and footnote disclosures generally included in financial statements prepared in accordance with U.S. GAAP have been condensed and omitted. The Company did not have significant capital and other commitments, long-term obligations, or guarantees as of June 30, 2020 and 2019. PARENT COMPANY BALANCE SHEETS AS OF JUNE 30, 2020 AND 2019 (UNAUDITED)
|  | June 30, 2020 |  |  | June 30, 2019 |
ASSETS
CURRENT ASSETS: |  |  |  |  |  |
Cash |  | $ | 793,234 |  |  | $ | 60,122 |
Other receivables |  |  | 1,002,300 |  |  |  | 2,300 |
Prepayments and advances |  |  | 150,000 |  |  |  | 25,000 |
Total current assets |  |  | 1,945,534 |  |  |  | 87,422 |
OTHER ASSETS: |  |  |  |  |  |  |  |
Intercompany receivable |  |  | 1,709,710 |  |  |  | 19,149,878 |
Investment in subsidiaries |  |  | 3,457,764 |  |  |  | - |
Total other assets |  |  | 5,167,474 |  |  |  | 19,149,878 |
Total assets |  | $ | 7,113,008 |  |  | $ | 19,237,300 |
LIABILITIES AND SHAREHOLDERS' EQUITY |
CURRENT LIABILITIES: |  |  |  |  |  |  |  |
Other payables and accrued liabilities |  | $ | 511,799 |  |  | $ | 203,292 |
Other payables - shareholders |  |  | 10,711 |  |  |  | 540,000 |
Loans payable - employee |  |  | - |  |  |  | 308,089 |
Total current liabilities |  |  | 552,510 |  |  |  | 1,051,381 |
OTHER LIABILITIES: |  |  |  |  |  |  |  |
Loss in excess of investment in subsidiaries |  |  | - |  |  |  | 17,665,121 |
Total other liabilities |  |  | - |  |  |  | 17,665,121 |
Total liabilities |  |  | 552,510 |  |  |  | 18,716,502 |
COMMITMENTS AND CONTINGENCIES |  |  |  |  |  |  |  |
SHAREHOLDERS' EQUITY: |  |  |  |  |  |  |  |
Preferred share, $0.001 par value, 1,000,000 shares authorized, no share issued or outstanding |  |  | - |  |  |  | - |
Ordinary share, $0.001 par value, 74,000,000 shares authorized, 25,623,822 and 7,174,626 shares issued and outstanding as of June 30, 2020 and 2019, respectively |  |  | 25,624 |  |  |  | 7,175 |
Additional paid-in-capital |  |  | 69,689,789 |  |  |  | 54,237,082 |
Deferred stock compensation |  |  | (1,201,183 | ) |  |  | (3,161,200 | )
Deficit |  |  | (61,923,732 | ) |  |  | (64,031,446 | )
Statutory reserves |  |  | - |  |  |  | 6,248,092 |
Accumulated other comprehensive income |  |  | - |  |  |  | 7,221,095 |
Total shareholders' equity |  |  | 6,590,498 |  |  |  | 520,798 |
Total liabilities and shareholders' equity |  | $ | 7,113,008 |  |  | $ | 19,237,300 |
PARENT COMPANY STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS FOR THE YEARS ENDED JUNE 30, 2020, 2019 AND 2018 (UNAUDITED)
|  | For the Years Ended June 30, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
GENERAL AND ADMINISTRATIVE EXPENSES |  | $ | (1,402,044 | ) |  | $ | (1,756,972 | ) |  | $ | (858,605 | )
STOCK COMPENSATION EXPENSE |  |  | (3,444,617 | ) |  |  | (4,592,200 | ) |  |  | (1,388,501 | )
LOSS FROM OPERATIONS |  |  | (4,846,661 | ) |  |  | (6,349,172 | ) |  |  | (2,247,106 | )
OTHER INCOME (EXPENSE), NET |  |  |  |  |  |  |  |  |  |  |  |
Interest income |  |  | - |  |  |  | 84 |  |  |  | 13 |
Finance expense |  |  | (5,007 | ) |  |  | (1,465 | ) |  |  | (26 | )
Equity loss of subsidiaries |  |  | (12,562,142 | ) |  |  | (8,037,977 | ) |  |  | (5,152,846 | )
Gain on sale of subsidiaries |  |  | 5,787,213 |  |  |  | - |  |  |  | - |
TOTAL OTHER EXPENSE, NET |  |  | (6,779,936 | ) |  |  | (8,039,358 | ) |  |  | (5,152,859 | )
NET LOSS |  |  | (11,626,597 | ) |  |  | (14,388,530 | ) |  |  | (7,399,965 | )
OTHER COMPREHENSIVE INCOME (LOSS): |  |  |  |  |  |  |  |  |  |  |  |
Foreign currency translation income (loss) |  |  | - |  |  |  | (335,080 | ) |  |  | 347,097 |
COMPREHENSIVE LOSS |  | $ | (11,626,597 | ) |  | $ | (14,723,610 | ) |  | $ | (7,052,868 | )
PARENT COMPANY STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED JUNE 30, 2020, 2019 AND 2018 (UNAUDITED)
|  | For the Years Ended June 30, |
|  | 2020 |  |  | 2019 |  |  | 2018 |
CASH FLOWS FROM OPERATING ACTIVITIES: |  |  |  |  |  |  |  |  |
Net loss |  | $ | (11,626,597 | ) |  | $ | (14,388,530 | ) |  | $ | (7,399,965 | )
Adjustments to reconcile net loss to cash used in operating activities: |  |  |  |  |  |  |  |  |  |  |  |
Stock compensation expense |  |  | 3,444,617 |  |  |  | 4,592,000 |  |  |  | 1,388,501 |
Equity loss of subsidiaries |  |  | 12,562,142 |  |  |  | 8,037,977 |  |  |  | 5,152,846 |
Gain on sale of discontinued operations |  |  | (5,787,213 | ) |  |  | - |  |  |  | - |
Changes in operating assets and liabilities |  |  |  |  |  |  |  |  |  |  |  |
Other receivables |  |  | - |  |  |  | - |  |  |  | (2,300 | )
Prepayments and advances |  |  | (125,000 | ) |  |  | 15,458 |  |  |  | (40,458 | )
Intercompany receivables |  |  | (1,231,449 | ) |  |  | (575,094 | ) |  |  | (42,350 | )
Other payables and accrued liabilities |  |  | 93,711 |  |  |  | 509,381 |  |  |  | 2,000 |
Other payables – related parties |  |  | - |  |  |  | 540,000 |  |  |  | 720,000 |
Net cash used in operating activities |  |  | (2,669,789 | ) |  |  | (1,268,608 | ) |  |  | (221,726 | )
CASH FLOWS FROM INVESTING ACTIVITIES: |  |  |  |  |  |  |  |  |  |  |  |
Purchase of equipment |  |  | (2,000,000 | ) |  |  | - |  |  |  | - |
Proceeds from disposal of subsidiaries |  |  | 600,000 |  |  |  | - |  |  |  | - |
Net cash used in investing activities |  |  | (1,400,000 | ) |  |  | - |  |  |  | - |
CASH FLOWS FROM FINANCING ACTIVITIES: |  |  |  |  |  |  |  |  |  |  |  |
Borrowings from shareholders |  |  | 300,000 |  |  |  | - |  |  |  | - |
Proceeds from sale of ordinary shares |  |  | 4,502,901 |  |  |  | 950,000 |  |  |  | 600,000 |
Net cash provided by financing activities |  |  | 4,802,901 |  |  |  | 950,000 |  |  |  | 600,000 |
NET CHANGE IN CASH |  |  | 733,112 |  |  |  | (318,608 | ) |  |  | 378,274 |
CASH, beginning of year |  |  | 60,122 |  |  |  | 378,730 |  |  |  | 456 |
CASH, end of year |  | $ | 793,234 |  |  | $ | 60,122 |  |  | $ | 378,730 |
NON-CASH TRANSACTIONS OF INVESTING AND FINANCING ACTIVITIES: |  |  |  |  |  |  |  |  |  |  |  |
Accrued liabilities reclassified to loans payable – employees upon tri-party agreements |  | $ | - |  |  | $ | 308,089 |  |  | $ | - |
Ordinary shares issued to repay other payables – related parties and service providers |  | $ | 1,137,378 |  |  | $ | 4,928,400 |  |  | $ | 3,859,443 |
Ordinary shares issued to repay debt in subsidiary |  | $ | 5,240,679 |  |  | $ | - |  |  | $ | - |
Ordinary share issued for acquisition of subsidiary |  | $ | 1,889,799 |  |  | $ | - |  |  | $ | - |
Ordinary share issued for acquisition of equipment |  | $ | 1,963,607 |  |  | $ | - |  |  | $ | - |
Other receivables outstanding from disposal of subsidiary |  | $ | 1,000,000 |  |  | $ | - |  |  | $ | - |
Recognition of accrued liabilities from subsidiary |  | $ | 214,792 |  |  | $ | - |  |  | $ | - |
Derecognition of intercompany balance upon disposal of subsidiary |  | $ | 23,164,488 |  |  | $ | - |  |  | $ | - |

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- Definition The entire disclosure for condensed financial information, including the financial position, cash flows, and the results of operations of the registrant (parent company) as of the same dates or for the same periods for which audited consolidated financial statements are being presented. Alternatively, the details of this disclosure can be reported by the specific parent company taxonomy elements, indicating the appropriate date and period contexts in an instance document. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 10 -Section S99 -Paragraph 6 -Subparagraph (SX 210.5-04(Schedule I)) -URI http://asc.fasb.org/extlink&oid=120391182&loc=d3e5864-122674 Reference 2: http://www.xbrl.org/2003/role/recommendedDisclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 810 -SubTopic 10 -Section 45 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=108774443&loc=d3e5283-111683 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 3 -Subparagraph (SX 210.12-04(a)) -URI http://asc.fasb.org/extlink&oid=120395691&loc=d3e24072-122690 + Details
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