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6) Related Party Transactions
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9 Months Ended |
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Sep. 30, 2012
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| Notes | |
| 6) Related Party Transactions | 6) RELATED PARTY TRANSACTIONS
As of September 30, 2012, the Company’s President has advanced the Company $500.
During 2007, Martin Honig, a former Director and current stockholder of the Company loaned the Company $8,000 on a non-interest bearing basis in order to provide the Company with working capital. In July 2008 this same individual loaned the Company an additional $5,000 to be used for working capital. The Company repaid $7,000 to Mr. Honig. In March 2012, Mr. Honig loaned the Company an additional $6,000. In May 2012, Mr. Honig elected to convert his $6,000, 10.0% Loan into common stock of the Company. In the conversion transaction, Mr Honig received 6,000,000 shares of common stock in exchange for the loan and no accrued interest, resulting in a balance of $0- due him as of September 30, 2012.
Marshal Shichtman, the Company’s securities counsel and a stockholder of 7,500,000 common shares has billed the Company $162,000 for legal services performed thru September 30, 2012. $152,000 is currently outstanding and reported in accounts payable in the accompanying financial statements. The Company incurred legal fees for services provided by Marshal Shichtman in the amounts of $30,000 and $18,000 for the three month periods ended September 30, 2012 and 2011, respectively, and $90,000 and 54,000 for the nine month periods ended September 30, 2012 and 2011, respectively. |