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COMMITMENTS AND CONTINGENCY
 12 Months Ended
Jun. 30, 2012
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Disclosure [Text Block]

7. COMMITMENTS AND CONTINGENCY

 

(a) Office leases

 

The Company leases certain office premises and apartments for employees under operating leases through October 31, 2013. Future minimum lease payments under operating leases agreements are as follows:

 

    Amount  
       
Twevle months ending June 30,        
         
2013   $ 138,437  
2014     17,598  
    $ 156,035  

 

Rent expense for the years ended June 30, 2012 and 2011 was $354,265 and $311,169, respectively.

 

(b) Contingency

 

The Labor Contract Law of the People’s Republic of China requires employers to assure the liability of the severance payments if employees are terminated and have been working for the employers for at least two years prior to January 1, 2008. The employers will be liable for one month for severance pay for each year of the service provided by the employees. As of June 30, 2012, the Company has estimated its severance payments of approximately $156,100, which has not been reflected in its consolidated financial statements, because management cannot predict what the actual payment, if any, will be in the future.