0001683168-17-002659.txt : 20171016 0001683168-17-002659.hdr.sgml : 20171016 20171016081308 ACCESSION NUMBER: 0001683168-17-002659 CONFORMED SUBMISSION TYPE: 10-Q/A PUBLIC DOCUMENT COUNT: 25 CONFORMED PERIOD OF REPORT: 20170731 FILED AS OF DATE: 20171016 DATE AS OF CHANGE: 20171016 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Omni Global Technologies, Inc. CENTRAL INDEX KEY: 0001084370 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-BUSINESS SERVICES, NEC [7389] IRS NUMBER: 880335407 STATE OF INCORPORATION: NV FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q/A SEC ACT: 1934 Act SEC FILE NUMBER: 000-51126 FILM NUMBER: 171137669 BUSINESS ADDRESS: STREET 1: 53 CALLE PALMERAS, SUITE 802 CITY: SAN JUAN STATE: PR ZIP: 00901 BUSINESS PHONE: 787-767-0808 MAIL ADDRESS: STREET 1: 53 CALLE PALMERAS, SUITE 802 CITY: SAN JUAN STATE: PR ZIP: 00901 FORMER COMPANY: FORMER CONFORMED NAME: BUSINESS.VN, INC. DATE OF NAME CHANGE: 20080313 FORMER COMPANY: FORMER CONFORMED NAME: WORLDTRADESHOW COM INC DATE OF NAME CHANGE: 19990415 10-Q/A 1 omni_10qa1-073117.htm AMENDMENT NO. 1

 

Table of Contents

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 10-Q/A

 

(Mark One)

 

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the quarterly period ended July 31, 2017

 

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the transition period from _______________ to _______________.

 

Commission File Number: 000-51126

 

OMNI GLOBAL TECHNOLOGIES, INC.

(Exact name of registrant as specified in its charter)

 

Nevada 88-0355407

(State or Other Jurisdiction of

Incorporation or Organization)

(IRS Employer

Identification Number)

 

53 Calle Palmeras, Suite 802

San Juan Puerto Rico, 00901

 

00901

(Address of principal executive offices) (Zip Code)

 

Registrant’s telephone number, including area code: 787-767-0808

 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  x    No  ¨

 

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes      No x

 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer”, “smaller reporting company”, and “emerging growth company” in Rule 12b-2 of the Exchange Act. (Check one)

 

  Large accelerated filer  o Accelerated filer  o
  Non-accelerated filer  o Smaller reporting company  x
  Emerging growth company o  

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes ¨    No x

 

As of August 30, 2017 there were 20,368,703 shares of Common Stock, par value $0.001 issued and outstanding.

 

 

 

 
 

 

EXPLANATORY NOTE

 

Omni Global Technologies Inc is filing Amendment No. 1 to its Quarterly Report on Form 10-Q for the three-month period ended July 31, 2017 (“Amendment No. 1”) to amend the Quarterly Report which was originally filed with the Securities and Exchange Commission (the “SEC”) on August 31, 2017 (the “Original Quarterly Report”). The purpose of this Amendment No. 1 is to amend financial information related to activity for the three-month period ended July 31, 2016 which reflected as no activity in the Original Quarterly Report. This Amendment reflect a loss of $29,760 for the period ended July 31, 2016 compared to no loss or activity during the relevant period. Changes have been made throughout the Report to reflect this loss. Additionally, an accounting policy was added to describe the Company’s process for recording professional fees and the Statements of operations and Cash flow statement have been labeled as unaudited. No changes were made to the financial statements or disclosures for the period ended July 31, 2017.

 

Except as described above, no attempt has been made in this Amendment No. 1 to modify or update the other disclosures in the Original Quarterly Report. Amendment No. 1 continues to speak as of the date of the Original Quarterly Report, and Omni Global Technologies has not updated the disclosures contained therein to reflect any events which occurred at a date subsequent to the filing of the Original Quarterly Report. Accordingly, Amendment No. 1 should be read in conjunction with the Original Quarterly Report.

 

 

 

 

   
 

 

 

OMNI GLOBAL TECHNOLOGIES, INC.

TABLE OF CONTENTS

FORM 10-Q

 

  Page
Part I – FINANCIAL INFORMATION  
     
Item 1. Financial Statements 4
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations 10
Item 3. Quantitative and Qualitative Disclosures about Market Risk 11
Item 4. Controls and Procedures 11
     
Part II – OTHER INFORMATION  
     
Item 1. Legal Proceedings 12
Item 1A. Risk Factors 12
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 12
Item 3. Defaults upon Senior Securities 12
Item 4. Mine Safety Disclosures 12
Item 5. Other Information 12
Item 6. Exhibits 12

 

 

 

 

 

 

 

 

 

 

 

 2 

 

 

CAUTIONARY STATEMENT ON FORWARD-LOOKING INFORMATION

 

This Quarterly Report on Form 10-Q contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based upon our current assumptions, expectations and beliefs concerning future developments and their potential effect on our business. In some cases, you can identify forward-looking statements by the following words: “may,” “will,” “could,” “would,” “should,” “expect,” “intend,” “plan,” “anticipate,” “believe,” “approximately,” “estimate,” “predict,” “project,” “potential,” “continue,” “ongoing,” or the negative of these terms or other comparable terminology, although the absence of these words does not necessarily mean that a statement is not forward-looking. This information may involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from the future results, performance or achievements expressed or implied by any forward-looking statements.

 

All forward-looking statements speak only as of the date of this Report. We undertake no obligation to update any forward-looking statements or other information contained herein. Stockholders and potential investors should not place undue reliance on these forward-looking statements. Although we believe that our plans, intentions and expectations reflected in or suggested by the forward-looking statements in this report are reasonable, we cannot assure stockholders and potential investors that these plans, intentions or expectations will be achieved.

 

These forward-looking statements represent our intentions, plans, expectations, assumptions and beliefs about future events and are subject to risks, uncertainties and other factors. Many of those factors are outside of our control and could cause actual results to differ materially from the results expressed or implied by those forward-looking statements. In light of these risks, uncertainties and assumptions, the events described in the forward-looking statements might not occur or might occur to a different extent or at a different time than we have described. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of the Quarterly Report on Form 10-Q. All subsequent written and oral forward-looking statements concerning other matters addressed in this Quarterly Report on Form 10-Q and attributable to us or any person acting on our behalf are expressly qualified in their entirety by the cautionary statements contained or referred to in this Quarterly Report on Form 10-Q.

 

Except to the extent required by law, we undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events, a change in events, conditions, circumstances or assumptions underlying such statements, or otherwise.

 

 

 

 3 

 

 

PART I - FINANCIAL INFORMATION

 

ITEM 1.    FINANCIAL STATEMENTS

 

Our unaudited financial statements included in this Form 10-Q are as follows:
 
F-1 Balance Sheets as of July 31, 2017 (Unaudited) and April 30, 2017
   
F-2 Interim Unaudited Statements of Operations and Comprehensive Income (Loss) for the Three Months Ended July 31, 2017 and 2016
   
F-3 Interim Unaudited Statements of Cash Flows for the Three Months Ended July 31, 2017 and 2016
   
F-4 Notes to Interim Unaudited Financial Statements

 

 

 

 

 

 

 

 

 

 

 

 

 4 

 

 

OMNI GLOBAL TECHNOLOGIES, INC.

(Formerly Business.vn, Inc.)
Balance Sheets
As of July 31, 2017 and April 30, 2017

 

   July 31,
2017
   April 30,
2017
 
   Unaudited   Audited 
ASSETS
Current assets          
Cash  $   $ 
Total assets  $   $ 
           
LIABILITIES AND SHAREHOLDERS' DEFICIT 
Current liabilities          
Accounts payable  $    429,679 
Due to related parties   36,269    3,981,423 
Accrued liabilities       63,917 
Note payable       501,112 
Convertible note       53,000 
Total liabilities   36,269    5,029,131 
           
Shareholders' Deficit          
Preferred stock, $0.001 par value, 5,000,000 authorized. None issued        
Common stock; $0.001 par value; 400,000,000 shares authorized 20,368,703 and 20,368,703 shares issued and outstanding as of July 31, 2017 and April 30, 2017, respectively   20,368    20,368 
Additional paid-in capital   6,179,489    6,179,489 
Accumulated deficit   (6,236,126)   (11,228,988 
Total shareholders' deficit   (36,269)   (5,029,131)
Total liabilities and shareholders' deficit  $   $ 

 

The Accompanying Notes Are An Integral Part Of These Financial Statements.

 

 

 

 5 

 

 

OMNI GLOBAL TECHNOLOGIES, INC.

(Formerly Business.vn, Inc.)

Statements of Operations (unaudited)

 

   For the three months ended 
July 31,
 
   2017   2016 
         
         
Revenue  $   $ 
           
Professional fees   9,890    28,500 
Administrative expenses       1,260 
Total operating expenses   9,890    29,760 
           
(Loss) from operations   (9,890)   (29,760)
         
Other income (expense)        
Debt forgiveness   5,003,192     
Interest expense   (441)    
Total other income and expense   5,002,752    (29,760)
Income (loss) from operations   4,992,862     
Provision for income taxes        
Net Income (Loss)  $4,992,862    (29,760)
           
Income (loss) per common share:          
Basic and diluted  $0.25   $(0.08)
           
Weighted average shares outstanding:          
Basic and diluted   20,368,703    368,703 

 

The Accompanying Notes Are An Integral Part Of These Financial Statements.

  

 

 

 6 

 

 

OMNI GLOBAL TECHNOLOGIES, INC. 
(Formerly Business.vn, Inc.)
Statement of Cash Flows (unaudited)

 

   For the three months ended July 31, 
   2017   2016 
         
Cash flows from operating activities:          
Net income  $4,992,862   $(29,760)
Changes in operating assets and liabilities          
Forgiveness of debt   (5,003,192)    
Increase in related party liabilities   10,330     
Net cash (used in) operating activities       (29,760)
           
Cash flows from investing activities:          
Net cash (used in) provided by investing activities        
           
Cash flows from financing activities:          
Loans and advances       30,000 
Net cash provided by financing activities       30,000 
           
Net change in cash       240 
Cash, beginning of the period        
Cash, end of the period  $   $240 

 

The Accompanying Notes Are An Integral Part Of These Financial Statements.

 

 

 

 7 

 

 

Notes to Unaudited Financial Statements

For The Three Month Interim Period Ended July 31, 2017

(Unaudited)

 

 

 

NOTE 1. ORGANIZATION AND DESCRIPTION OF BUSINESS

 

Unless the context otherwise requires, the terms "we", "our", "us", "OMNI", OMGT or "Omni Global Technologies, Inc." refers to Omni Global Technologies Inc. (formerly Business.vn, Inc.)

 

Omni Global Technologies, Inc. (“OMNI” or the "Company") was originally formed on September 15, 1995 as Interactive Processing, Inc., a Nevada corporation, to market high-tech consumer electronics through television home-shopping networks, retail stores, catalog companies and their website remotecontrols.com. In March 1999, the Company changed its name to Worldtradeshow.com, Inc. In April, 1999, the Company acquired intellectual property rights to a database and business plan and significantly changed its business plan to develop tradeshow software and market both physical and virtual tradeshow space through the Company's website.

 

The Company was dormant from October 2008 through May 15, 2016 until it was placed under the control of a Receiver in Nevada’s Eighth Judicial District pursuant to Case #A14-715484-P (“the Case”). On March 23, 2017 we entered into a share purchase agreement described below. On June 13, 2017, pursuant to an order by the judge presiding over this Case, OMNI emerged from receivership and substantially all liabilities that had been outstanding since 2009 were officially discharged.

 

SHARE PURCHASE AGREEMENT

 

From the period from May 15, 2016 through March 22, 2017 we were under the control of a court appointed Receiver. During that period the Receiver ran the Company and incurred expenses to maintain its status as public company and to locate a potential buyer for the Company. On May 23, 2017 the Company entered into a Share Purchase Agreement (“SPA”) with JOJ Holdings (the “Purchaser”, LLC maintaining an address at 53 Calle Palmeras, San Juan Puerto Rico. Under the terms of the SPA, the Purchaser agreed to purchase 20,000,000 of our $0.001 par value common stock; and to assume the liability of a judgement creditor in the amount of $25,690.41. Additionally, and concurrent with the signing of the SPA by the Company; the Receiver resigned from the Company, and the Purchaser elected Olivia Funk as the sole officer and director of the Company. The $150,000 received at closing was distributed by an escrow agent and was used to cover Receiver expenses incurred during the receivership period, and other company expenses. All $150,000 was disbursed prior to April 30, 2017. During the three months ended July 31, 2017, the Purchaser loaned the Company $9,890 to pay certain professional fees to maintain the company’s status as a public company.

 

Reverse Split and Name Change

 

On November 18, 2016, the Company effected a 1 for 150 reverse split and changed its name from Business.vn, Inc., to Omni Global Technologies, Inc., and the Company’s trading symbol changed from “BVNI” to “OMGT”. Under the guidelines of Staff Accounting Bulletin 4c, a capital structure change such as a stock split that occurs after the date of the most recent balance sheet must be given retroactive effect in the balance sheet. Accordingly, all references to the numbers of Common Shares and per share data in the accompanying financial statements have been adjusted to reflect this forward split on a retroactive basis, unless indicated otherwise.

 

NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

 

Basis of Presentation

 

Management’s Representation of Interim Financial Statements

 

The accompanying unaudited consolidated financial statements have been prepared by the Company without audit pursuant to the rules and regulations of the SEC. Certain information and disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed or omitted as allowed by such rules and regulations, and management believes that the disclosures are adequate to make the information presented not misleading. These consolidated financial statements include all of the adjustments, which in the opinion of management are necessary to a fair presentation of financial position and results of operations. All such adjustments are of a normal and recurring nature. Interim results are not necessarily indicative of results for a full year. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements at July 31, 2017 as presented in the Company’s Annual Report on Form 10-K filed on August 30, 2017 with the SEC.

 

Similarly, management must make estimates of the uncollectibility of accounts receivable. Management specifically analyzes accounts receivable and historical bad debts, customer concentrations, customer credit-worthiness, current economic trends and changes in our customer payment terms when evaluating the adequacy of the allowance for doubtful accounts. If the financial condition of our customers were to deteriorate, resulting in an impairment of their ability to make payments, additional allowances may be required.

 

Management’s Representation of Interim Financial Statements

 

The accompanying unaudited consolidated financial statements have been prepared by the Company without audit pursuant to the rules and regulations of the SEC. Certain information and disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed or omitted as allowed by such rules and regulations, and management believes that the disclosures are adequate to make the information presented not misleading. These consolidated financial statements include all of the adjustments, which in the opinion of management are necessary to a fair presentation of financial position and results of operations. All such adjustments are of a normal and recurring nature. Interim results are not necessarily indicative of results for a full year. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements at December 31, 2013 as presented in the Company’s Annual Report on Form 10-K filed on April 15, 2014 with the SEC.

 

 

 8 

 

 

Income Taxes

 

The Company utilizes SFAS No. 115,  Accounting for Income Taxes , which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are determined based on the difference between the tax basis of assets and liabilities and their financial reporting amounts based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected to be realized.

 

Going Concern

 

The Company has an accumulated deficit of $6,236,126 to date. We will need additional working capital for ongoing operations, which raises substantial doubt about its ability to continue as a going concern. Management of the Company is working a strategy to meet future operational goals which may include equity funding, short term or long term financing or debt financing, to enable the Company to reach profitable operations, however, there can be no assurances that the plan will succeed nor that the Company will be able to execute its plans.

 

Professional fees

 

With the exception of accounting fees, substantially all professional fees expensed by the Company are hours of work performed by the Court appointed receiver to help the Company emerge from receivership by obtaining external financing. The fees are expensed as incurred as a liability of the Company and the reimbursement of these fees incurred by Receiver is dependent on the amount of financing obtained.

 

Basic and Diluted Net Loss Per Share

 

Net loss per share is calculated in accordance with SFAS No. 128, Earnings Per Share for the period presented. Basic net loss per share is based upon the weighted average number of common shares outstanding. Diluted net loss per share is based on the assumption that all dilative convertible shares and stock options were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method, options and warrants are assumed exercised at the beginning of the period (or at the time of issuance, if later), and as if funds obtained thereby we used to purchase common stock at the average market price during the period.

 

Use of Estimates

 

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the periods presented. Actual results could differ from those estimates.

 

Significant estimates made by management are, among others, realizability of long-lived assets, deferred taxes and stock option valuation. Management reviews its estimates on a quarterly basis and, where necessary, makes adjustments prospectively.

 

NOTE 3. PROVISION FOR INCOME TAXES

 

As of July 31, 2017 the Company has a federal net operating loss carry forwards of $6,236,126 that can be utilized to reduce future taxable income. The net operating loss carry forward will expire through 2023 if not utilized. Utilization of the net operating loss and tax credit carry forward may be subject to substantial annual limitations due to the ownership change limitations provided by the Internal Revenue Code of 1986, as amended, and similar state provisions. The annual limitation may result in the expiration of net operating loss and tax credit carry forwards before utilization. The Company has provided a full valuation allowance on the deferred tax asset because of uncertainty regarding realizability.

 

NOTE 4. STOCKHOLDER’S EQUITY

 

Common Stock

 

The Company has 400,000,000 shares of Common Stock authorized with a par value of $0.001 per share and 5,000,000 shares of Preferred Stock authorized, with a par value of $0.001 per share. As of July 31, 2017 and April 30, 2017 there were 20,368,703 and 20,368,703 common shares outstanding, respectively. No shares of Preferred Stock are outstanding.

 

Common Stock Issued in Private Placements

 

During the three- month period ended July 31, 2017, the Company did not accept any subscription agreements for the sale of its common stock.

 

 

 

 9 

 

 

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

 

The following discussion should be read in conjunction with our financial statements and notes thereto included herein. In connection with, and because we desire to take advantage of, the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, we caution readers regarding certain forward looking statements in the following discussion and elsewhere in this report and in any other statement made by, or on our behalf, whether or not in future filings with the Securities and Exchange Commission. Forward looking statements are statements not based on historical information and which relate to future operations, strategies, financial results or other developments. Forward looking statements are necessarily based upon estimates and assumptions that are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond our control and many of which, with respect to future business decisions, are subject to change. These uncertainties and contingencies can affect actual results and could cause actual results to differ materially from those expressed in any forward looking statements made by, or on our behalf. We disclaim any obligation to update forward looking statements.

 

The Company was dormant from October 2008 through May 15, 2016 until it was placed under the control of a Receiver in Nevada’s Eighth Judicial District pursuant to Case #A14-715484-P (“the Case”). On March 23, 2017 we entered into a share purchase agreement described below. On June 13, 2017, pursuant to an order by the judge presiding over this Case, OMNI emerged from receivership and substantially all liabilities that had been outstanding since 2009 were officially discharged. As a result the company recorded $5,003,192 in income from the forgiveness of debt that had been outstanding since the Company became dormant in 2009.

 

SHARE PURCHASE AGREEMENT

 

From the period from May 15, 2016 through March 22, 2017 we were under the control of a court appointed Receiver. During that period the Receiver ran the Company and incurred expenses to maintain its status as public company and to locate a potential buyer for the Company. On May 23, 2017 the Company entered into a Share Purchase Agreement (“SPA”) with JOJ Holdings the Purchaser, LLC maintaining an address at 53 Calle Palmeras, San Juan Puerto Rico. Under the terms of the SPA, the Purchaser agreed to purchase 20,000,000 of our $0.001 par value common stock; and to assume the liability of a judgement creditor in the amount of $25,690.41. Additionally, and concurrent with the signing of the SPA by the Company; the Receiver resigned from the Company, and the Purchaser elected Olivia Funk as the sole officer and director of the Company. The $150,000 received at closing was distributed by an escrow agent and was used to cover Receiver expenses incurred during the receivership period, and other company expenses. All $150,000 was disbursed prior to April 30, 2017. During the three months ended July 31, 2017, the Purchaser loaned the Company $9,890 to pay certain professional fees to maintain the company’s status as a public company.

 

Reverse Split and Name Change

 

On November 18, 2016, we effected a 1 for 150 reverse split and changed our name from Business.vn, Inc. to Omni Global Technologies, Inc., and the Company’s trading symbol changed from “BVNI” to “OMGT”. Under the guidelines of Staff Accounting Bulletin 4c, a capital structure change such as a stock split that occurs after the date of the most recent balance sheet must be given retroactive effect in the balance sheet. Accordingly, all references to the numbers of Common Shares and per share data in the accompanying financial statements have been adjusted to reflect this reverse split on a retroactive basis, unless indicated otherwise. As of July 31, 2017 we had 20,368,703 shares outstanding.

 

Results of Operations

 

Results of Operations for the three months ended July 31, 2017 and 2016

 

The Company has not commenced any operating activity subsequent to the SPA. For the three months ended July 31, 2017 we incurred $9,890 in operating expenses to maintain our status as a public company. Additionally we incurred $441 in interest expense. For the three month period ended July 31, 2016 we recorded $29,760 in expenses of which $28,500 were professional fees incurred by the Court appointed receiver.

 

As a result of the discharge of all liabilities pursuant to the court order in the Case, we recorded non-cash other income of $5,003,192 for the three month period ended July 31, 2017.

 

 

 10 

 

Liquidity and Capital Resources

 

We had no cash on hand as of July 31, 2017. All funding for company expenses is being provided by the Purchaser who holds controlling interest in the Company.

 

Inflation

 

Although our operations may be influenced by general economic conditions, we do not believe that inflation had a material effect on our results of operations during the three month period ended July 31, 2017.

  

Off-Balance Sheet Arrangements

 

We had no off-balance sheet arrangements as of July 31, 2017 and April 30, 2017.

 

Critical Accounting Estimates

 

Our financial statements and accompanying notes have been prepared in accordance with U.S. GAAP. The preparation of these financial statements requires management to make estimates, judgments and assumptions that affect reported amounts of assets, liabilities, revenues and expenses. We continually evaluate the accounting policies and estimates used to prepare the financial statements. The estimates are based on historical experience and assumptions believed to be reasonable under current facts and circumstances. Actual amounts and results could differ from these estimates made by management. Certain accounting policies that require significant management estimates and are deemed critical to our results of operations or financial position are discussed in our 2017 in Form 10-K Critical Accounting Policies section of Management’s Discussion and Analysis of Financial Condition and Results of Operations.

 

Item 3. Quantitative and Qualitative Disclosures about Market Risk

 

Not applicable

 

Item 4. Controls and Procedures

 

Evaluation of Disclosure Controls and Procedures

 

As required by Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), we have carried out an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures as of July, 31, 2017. This evaluation was carried out under the supervision and with the participation of our Chief Executive Officer/Chief Financial Officer. Based on this evaluation, our CEO has concluded that our disclosure controls and procedures were ineffective as of July 31, 2017.

 

Changes in Internal Control over Financial Reporting

 

There have been no changes in our internal control over financial reporting during the last quarterly period covered by this report that have materially affected, or are reasonably likely to affect, our internal control over financial reporting.

 

 

 

 

 11 

 

 

PART II — OTHER INFORMATION

 

Item 1. Legal Proceedings.

 

We are not a party to any legal proceeding that we believe will have a material adverse effect upon our business or financial position and no such action has been threatened.

 

Item 1A. Risk Factors

 

As a smaller reporting company, we are not required to provide the information required by this Item.

 

Item 2.  Unregistered Sales of Equity Securities and Use of Proceeds

 

During the three month period ended July 31, 2017 we did not sell any shares of our common stock.

 

Item 3. Defaults upon Senior Securities

 

None.

 

Item 4. Mine Safety Disclosures

 

Not applicable.

 

Item 5. Other Information

 

None.

 

Item 6 Exhibits

 

EXHIBIT    
NUMBER   DESCRIPTION
3.1*   Articles of Incorporation of the Company Filed September 15, 1995 (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
4.1*   Form of Common Stock Certificate (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.1*   Business.com.vn MOU (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.2*   Hotels.vn Marketing agreement (Business.com.vn agreement) (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.3*   Hotels Extension document (Business.com.vn extension) (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.4*   Hi-Tek Reservation Engine agreement (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.5*   Maxsima discount card (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.6*   Hi-Tek service agreement (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.8*   My BajaGuide.com MOU (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.9*   Mexican association agreement (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.10*   DotVN agreement (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.11*   VTIC MOU (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.12*   Consulting Agreement (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.13*   Hi-Tek interest agreement (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.14*   Hi-Tek Reservation Engine Extension (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.15*   Independent contractors' agreement (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.16*   Independent contractors' agreement (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.17*   Hi-Tek Service agreement with attached schedule “A” (Incorporated by reference to Form 10SB12G/A filed on June 30, 2006)
10.18*   Share Purchase Agreement (Incorporated by reference to Form 10-K filed August 30, 2017)
10.19*   Change order of Discharge (Incorporated by reference to Form 10-Q filed August 31, 2017)
31.1**   Certification of Receiver pursuant to Exchange Act Rule 13a-14(a)
32.1**   Certification of Receiver pursuant to Exchange Act Rule 13a-14(b) and 18 U.S.C. Section 1350
101.INS**   XBRL Instances Document
101.SCH**   XBRL Taxonomy Extension Schema Document
101.CAL**   XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF**   XBRL Taxonomy Extension Definition Linkbase Document
101.LAB**   XBRL Taxonomy Extension Label Linkbase Document
101.PRE**   XBRL Taxonomy Extension Presentation Linkbase Document

___________

* These documents are incorporated herein by reference as exhibits hereto. Following the description of each such exhibit is a reference to the document as it appeared in a specified report previously filed with the SEC, to which there have been no amendments or changes.

** Filed or Furnished herewith.

 12 

 

 

SIGNATURES

 

In accordance with Section 13 or 15(d) of the Exchange Act, the registrant caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

  OMNI GLOBAL TECHNOLOGIES,  INC.  
       
Date: October 12, 2017 By: /s/ Olivia Funk  
    Olivia Funk
Chief Executive Officer and Director
 

 

 

 

In accordance with the Exchange Act, this report has been signed by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

 

 

 

 

 

 

 

 

 

 

 

 13 

EX-31.1 2 omni_10q-ex3101.htm CERTIFICATION

EXHIBIT 31.1

 

CERTIFICATION PURSUANT TO 
RULE 13a-14(a) AND 15d-14(a) OF THE SECURITIES EXCHANGE ACT OF 1934, 
AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANE-OXLEY ACT.

 

I, Olivia Funk, certify that:

 

1. I have reviewed this quarterly report on Form 10-Q/A of Omni Global Technologies, Inc. for the period ended July 31, 2017;
   
2. Based on my knowledge, this report does not contain any untrue statement of material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
   
3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of Omni Global Technologies, Inc., as of, and for, the periods presented in this report;
   
4. I am responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for Omni Global Technologies, Inc., and have:
   

 

  a. Designed such disclosure controls and procedures to ensure that material information relating to Omni Global Technologies, Inc. including its consolidated subsidiaries, is made known to me by others within those entities, particularly during the period in which this report is being prepared;
     
  b. Designed such internal controls over financial reporting to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
     
  c. Evaluated the effectiveness of Omni Global Technologies, Inc., disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
     
  d. Disclosed in this report any change in Omni Global Technologies, Inc.’s. internal controls over financial reporting that occurred during Omni Global Technologies, Inc.'s most recent fiscal quarter that has materially affected or is reasonably likely to materially affect, Omni Global Technologies, Inc., internal control over financial reporting.
     

 

5. I have disclosed, based on my most recent evaluation of internal control over financial reporting, to Omni Global Technologies, Inc., auditors and the audit committee of Omni Global Technologies, Inc., board of directors (or persons performing the equivalent functions):
   

 

  a. All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect Omni Global Technologies, Inc., ability to record, process, summarize and report financial information; and
     
  b. Any fraud, whether or not material, that involves management or other employees who have a significant role in Omni Global Technologies, Inc., internal control over financial reporting.

 

                 

Dated: October 12, 2017

 

  /s/ Olivia Funk
  Olivia Funk
  Chief Executive Officer and Director

EX-32.1 3 omni_10q-ex3201.htm CERTIFICATION

EXHIBIT 32.1

 

CERTIFICATION PURSUANT TO 
18 U.S.C. SECTION 1350 
AS ADOPTED PURSUANT TO 
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

 

In connection with the Quarterly Report of Omni Global Technologies, Inc., (the “Company”) on Form 10-Q/A for the period ended July 31, 2017 as filed with the Securities and Exchange Commission on the date hereof (the “Report”) the undersigned hereby certifies pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to the best of my knowledge:

 

  (1) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
     
  (2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
     

 

Dated: October 12, 2017 By: /s/ Olivia Funk  
    Olivia Funk
Chief Executive Officer and Director
 
       

 

 

 

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Certain information and disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed or omitted as allowed by such rules and regulations, and management believes that the disclosures are adequate to make the information presented not misleading. These consolidated financial statements include all of the adjustments, which in the opinion of management are necessary to a fair presentation of financial position and results of operations. All such adjustments are of a normal and recurring nature. Interim results are not necessarily indicative of results for a full year. 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None issued Common stock; $0.001 par value; 400,000,000 shares authorized 20,368,703 and 20,368,703 shares issued and outstanding as of July 31, 2017 and April 30, 2017, respectively Additional paid-in capital Accumulated deficit Total shareholders' deficit Total liabilities and shareholders' deficit Preferred stock, par value Preferred stock, shares authorized Preferred stock, shares issued Preferred stock, shares outstanding Common stock, par value Common stock, shares authorized Common stock, shares issued Common stock, shares outstanding Income Statement [Abstract] Revenue Consulting fees Professional fees Administrative expenses Total operating expenses (Loss) from operations Other income (expense) Debt forgiveness Interest expense Total other income and expense Income (loss) from operations Provision for income taxes Net income (loss) Loss per common share: Basic and diluted Weighted average shares outstanding: Basic and diluted Statement of Cash Flows [Abstract] Cash flows from operating activities: Net income Changes in operating assets and liabilities Forgiveness of debt Increase in related party liabilities Net cash (used in) operating activities Cash flows from investing activities: Net cash (used) provided by investing activities Cash flows from financing activities: Loans and advances Net cash provided by financing activities Net increase (decrease) in cash Cash, beginning of the period Cash, end of the period Organization, Consolidation and Presentation of Financial Statements [Abstract] Organization and Description of Business Accounting Policies [Abstract] Summary of Significant Accounting Policies Income Tax Disclosure [Abstract] Provision for Income Taxes Equity [Abstract] Stockholders' Equity Basis of Presentation Income Taxes Going Concern Professional fees Basic and Diluted Net Loss Per Share Use of Estimates Operating loss carryforward Carryforward expiration date Professional fees [Policy Text Block] Assets Liabilities Stockholders' Equity Attributable to Parent Liabilities and Equity Operating Expenses Interest Expense Other Nonoperating Income (Expense) Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest Net Cash Provided by (Used in) Operating Activities Net Cash Provided by (Used in) Financing Activities Cash, Period Increase (Decrease) ProfessionalFeesPolicyTextBlock EX-101.PRE 9 omgt-20170731_pre.xml XBRL PRESENTATION FILE XML 10 R1.htm IDEA: XBRL DOCUMENT v3.8.0.1
Document and Entity Information - shares
3 Months Ended
Jul. 31, 2017
Aug. 30, 2017
Document And Entity Information    
Entity Registrant Name Omni Global Technologies, Inc.  
Entity Central Index Key 0001084370  
Document Type 10-Q  
Document Period End Date Jul. 31, 2017  
Amendment Flag true  
Current Fiscal Year End Date --04-30  
Is Entity a Well-known Seasoned Issuer? No  
Is Entity a Voluntary Filer? No  
Is Entity's Reporting Status Current? Yes  
Entity Filer Category Smaller Reporting Company  
Entity Common Stock, Shares Outstanding   20,368,703
Document Fiscal Year Focus 2018  
Document Fiscal Period Focus Q1  
Amendment description Revised July 2016 financials  
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Balance Sheets (Unaudited) - USD ($)
Jul. 31, 2017
Apr. 30, 2017
Current assets    
Cash $ 0 $ 0
Total assets 0 0
Current liabilities    
Accounts payable 0 429,679
Due to related parties 36,269 3,981,423
Accrued liabilities 0 63,917
Note payable 0 501,112
Convertible note 0 53,000
Total liabilities 36,269 5,029,131
Shareholders' Deficit    
Preferred stock, $0.001 par value, 5,000,000 authorized. None issued 0 0
Common stock; $0.001 par value; 400,000,000 shares authorized 20,368,703 and 20,368,703 shares issued and outstanding as of July 31, 2017 and April 30, 2017, respectively 20,368 20,368
Additional paid-in capital 6,179,489 6,179,489
Accumulated deficit (6,236,126) (11,228,988)
Total shareholders' deficit (36,269) (5,029,131)
Total liabilities and shareholders' deficit $ 0 $ 0
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Balance Sheets (Unaudited) (Parenthetical) - $ / shares
Jul. 31, 2017
Apr. 30, 2017
Statement of Financial Position [Abstract]    
Preferred stock, par value $ 0.001 $ .001
Preferred stock, shares authorized 5,000,000 5,000,000
Preferred stock, shares issued 0 0
Preferred stock, shares outstanding 0 0
Common stock, par value $ 0.001 $ .001
Common stock, shares authorized 400,000,000 400,000,000
Common stock, shares issued 20,368,703 20,368,703
Common stock, shares outstanding 20,368,703 20,368,703
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Statements of Operations (Unaudited) - USD ($)
3 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Income Statement [Abstract]    
Revenue $ 0 $ 0
Professional fees 9,890 28,500
Administrative expenses 0 1,260
Total operating expenses 9,890 29,760
(Loss) from operations (9,890) (29,760)
Other income (expense)    
Debt forgiveness 5,003,192 0
Interest expense (441) 0
Total other income and expense 5,002,752 0
Income (loss) from operations 4,992,862 (29,760)
Provision for income taxes 0 0
Net income (loss) $ 4,992,862 $ (29,760)
Loss per common share: Basic and diluted $ .25 $ (.08)
Weighted average shares outstanding: Basic and diluted 20,368,703 368,703
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Statements of Cash Flows (Unaudited) - USD ($)
3 Months Ended
Jul. 31, 2017
Jul. 31, 2016
Cash flows from operating activities:    
Net income $ 4,992,862 $ (29,760)
Changes in operating assets and liabilities    
Forgiveness of debt (5,003,192) 0
Increase in related party liabilities 10,330 0
Net cash (used in) operating activities 0 (29,760)
Cash flows from investing activities:    
Net cash (used) provided by investing activities 0 0
Cash flows from financing activities:    
Loans and advances 0 30,000
Net cash provided by financing activities 0 30,000
Net increase (decrease) in cash 0 240
Cash, beginning of the period 0 0
Cash, end of the period $ 0 $ 240
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1. Organization and Description of Business
3 Months Ended
Jul. 31, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Organization and Description of Business

Unless the context otherwise requires, the terms "we", "our", "us", "OMNI", OMGT or "Omni Global Technologies, Inc." refers to Omni Global Technologies Inc. (formerly Business.vn, Inc.)

 

Omni Global Technologies, Inc. (“OMNI” or the "Company") was originally formed on September 15, 1995 as Interactive Processing, Inc., a Nevada corporation, to market high-tech consumer electronics through television home-shopping networks, retail stores, catalog companies and their website remotecontrols.com. In March 1999, the Company changed its name to Worldtradeshow.com, Inc. In April, 1999, the Company acquired intellectual property rights to a database and business plan and significantly changed its business plan to develop tradeshow software and market both physical and virtual tradeshow space through the Company's website.

 

The Company was dormant from October 2008 through May 15, 2016 until it was placed under the control of a Receiver in Nevada’s Eighth Judicial District pursuant to Case #A14-715484-P (“the Case”). On March 23, 2017 we entered into a share purchase agreement described below. On June 13, 2017, pursuant to an order by the judge presiding over this Case, OMNI emerged from receivership and substantially all liabilities that had been outstanding since 2009 were officially discharged.

 

SHARE PURCHASE AGREEMENT

 

From the period from May 15, 2016 through March 22, 2017 we were under the control of a court appointed Receiver. During that period the Receiver ran the Company and incurred expenses to maintain its status as public company and to locate a potential buyer for the Company. On May 23, 2017 the Company entered into a Share Purchase Agreement (“SPA”) with JOJ Holdings (the “Purchaser”, LLC maintaining an address at 53 Calle Palmeras, San Juan Puerto Rico. Under the terms of the SPA, the Purchaser agreed to purchase 20,000,000 of our $0.001 par value common stock; and to assume the liability of a judgement creditor in the amount of $25,690.41. Additionally, and concurrent with the signing of the SPA by the Company; the Receiver resigned from the Company, and the Purchaser elected Olivia Funk as the sole officer and director of the Company. The $150,000 received at closing was distributed by an escrow agent and was used to cover Receiver expenses incurred during the receivership period, and other company expenses. All $150,000 was disbursed prior to April 30, 2017. During the three months ended July 31, 2017, the Purchaser loaned the Company $9,890 to pay certain professional fees to maintain the company’s status as a public company.

 

Reverse Split and Name Change

 

On November 18, 2016, the Company effected a 1 for 150 reverse split and changed its name from Business.vn, Inc., to Omni Global Technologies, Inc., and the Company’s trading symbol changed from “BVNI” to “OMGT”. Under the guidelines of Staff Accounting Bulletin 4c, a capital structure change such as a stock split that occurs after the date of the most recent balance sheet must be given retroactive effect in the balance sheet. Accordingly, all references to the numbers of Common Shares and per share data in the accompanying financial statements have been adjusted to reflect this forward split on a retroactive basis, unless indicated otherwise.

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2. Summary of Significant Accounting Policies
3 Months Ended
Jul. 31, 2017
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies

Basis of Presentation

 

Management’s Representation of Interim Financial Statements

 

The accompanying unaudited consolidated financial statements have been prepared by the Company without audit pursuant to the rules and regulations of the SEC. Certain information and disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed or omitted as allowed by such rules and regulations, and management believes that the disclosures are adequate to make the information presented not misleading. These consolidated financial statements include all of the adjustments, which in the opinion of management are necessary to a fair presentation of financial position and results of operations. All such adjustments are of a normal and recurring nature. Interim results are not necessarily indicative of results for a full year. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements at July 31, 2017 as presented in the Company’s Annual Report on Form 10-K filed on August 30, 2017 with the SEC.

 

Similarly, management must make estimates of the uncollectibility of accounts receivable. Management specifically analyzes accounts receivable and historical bad debts, customer concentrations, customer credit-worthiness, current economic trends and changes in our customer payment terms when evaluating the adequacy of the allowance for doubtful accounts. If the financial condition of our customers were to deteriorate, resulting in an impairment of their ability to make payments, additional allowances may be required.

 

Management’s Representation of Interim Financial Statements

 

The accompanying unaudited consolidated financial statements have been prepared by the Company without audit pursuant to the rules and regulations of the SEC. Certain information and disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed or omitted as allowed by such rules and regulations, and management believes that the disclosures are adequate to make the information presented not misleading. These consolidated financial statements include all of the adjustments, which in the opinion of management are necessary to a fair presentation of financial position and results of operations. All such adjustments are of a normal and recurring nature. Interim results are not necessarily indicative of results for a full year. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements at December 31, 2013 as presented in the Company’s Annual Report on Form 10-K filed on April 15, 2014 with the SEC.

 

Income Taxes

 

The Company utilizes SFAS No. 115,  Accounting for Income Taxes , which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are determined based on the difference between the tax basis of assets and liabilities and their financial reporting amounts based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected to be realized.

 

Going Concern

 

The Company has an accumulated deficit of $6,236,126 to date. We will need additional working capital for ongoing operations, which raises substantial doubt about its ability to continue as a going concern. Management of the Company is working a strategy to meet future operational goals which may include equity funding, short term or long term financing or debt financing, to enable the Company to reach profitable operations, however, there can be no assurances that the plan will succeed nor that the Company will be able to execute its plans.

 

Professional fees

 

With the exception of accounting fees, substantially all professional fees expensed by the Company are hours of work performed by the Court appointed receiver to help the Company emerge from receivership by obtaining external financing. The fees are expensed as incurred as a liability of the Company and the reimbursement of these fees incurred by Receiver is dependent on the amount of financing obtained.

 

Basic and Diluted Net Loss Per Share

 

Net loss per share is calculated in accordance with SFAS No. 128, Earnings Per Share for the period presented. Basic net loss per share is based upon the weighted average number of common shares outstanding. Diluted net loss per share is based on the assumption that all dilative convertible shares and stock options were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method, options and warrants are assumed exercised at the beginning of the period (or at the time of issuance, if later), and as if funds obtained thereby we used to purchase common stock at the average market price during the period.

 

Use of Estimates

 

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the periods presented. Actual results could differ from those estimates.

 

Significant estimates made by management are, among others, realizability of long-lived assets, deferred taxes and stock option valuation. Management reviews its estimates on a quarterly basis and, where necessary, makes adjustments prospectively.

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3. Provision for Income Taxes
3 Months Ended
Jul. 31, 2017
Income Tax Disclosure [Abstract]  
Provision for Income Taxes

As of July 31, 2017 the Company has a federal net operating loss carry forwards of $6,236,126 that can be utilized to reduce future taxable income. The net operating loss carry forward will expire through 2023 if not utilized. Utilization of the net operating loss and tax credit carry forward may be subject to substantial annual limitations due to the ownership change limitations provided by the Internal Revenue Code of 1986, as amended, and similar state provisions. The annual limitation may result in the expiration of net operating loss and tax credit carry forwards before utilization. The Company has provided a full valuation allowance on the deferred tax asset because of uncertainty regarding realizability.

 

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4. Stockholders' Equity
3 Months Ended
Jul. 31, 2017
Equity [Abstract]  
Stockholders' Equity

Common Stock

 

The Company has 400,000,000 shares of Common Stock authorized with a par value of $0.001 per share and 5,000,000 shares of Preferred Stock authorized, with a par value of $0.001 per share. As of July 31, 2017 and April 30, 2017 there were 20,368,703 and 20,368,703 common shares outstanding, respectively. No shares of Preferred Stock are outstanding.

 

Common Stock Issued in Private Placements

 

During the three- month period ended July 31, 2017, the Company did not accept any subscription agreements for the sale of its common stock.

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2. Summary of Significant Accounting Policies (Policies)
3 Months Ended
Jul. 31, 2017
Accounting Policies [Abstract]  
Basis of Presentation

Management’s Representation of Interim Financial Statements

 

The accompanying unaudited consolidated financial statements have been prepared by the Company without audit pursuant to the rules and regulations of the SEC. Certain information and disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed or omitted as allowed by such rules and regulations, and management believes that the disclosures are adequate to make the information presented not misleading. These consolidated financial statements include all of the adjustments, which in the opinion of management are necessary to a fair presentation of financial position and results of operations. All such adjustments are of a normal and recurring nature. Interim results are not necessarily indicative of results for a full year. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements at July 31, 2017 as presented in the Company’s Annual Report on Form 10-K filed on August 30, 2017 with the SEC.

 

Similarly, management must make estimates of the uncollectibility of accounts receivable. Management specifically analyzes accounts receivable and historical bad debts, customer concentrations, customer credit-worthiness, current economic trends and changes in our customer payment terms when evaluating the adequacy of the allowance for doubtful accounts. If the financial condition of our customers were to deteriorate, resulting in an impairment of their ability to make payments, additional allowances may be required.

 

Management’s Representation of Interim Financial Statements

 

The accompanying unaudited consolidated financial statements have been prepared by the Company without audit pursuant to the rules and regulations of the SEC. Certain information and disclosures normally included in financial statements prepared in accordance with US GAAP have been condensed or omitted as allowed by such rules and regulations, and management believes that the disclosures are adequate to make the information presented not misleading. These consolidated financial statements include all of the adjustments, which in the opinion of management are necessary to a fair presentation of financial position and results of operations. All such adjustments are of a normal and recurring nature. Interim results are not necessarily indicative of results for a full year. These consolidated financial statements should be read in conjunction with the audited consolidated financial statements at December 31, 2013 as presented in the Company’s Annual Report on Form 10-K filed on April 15, 2014 with the SEC.

Income Taxes

Income Taxes

 

The Company utilizes SFAS No. 115,  Accounting for Income Taxes , which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are determined based on the difference between the tax basis of assets and liabilities and their financial reporting amounts based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established, when necessary, to reduce deferred tax assets to the amount expected to be realized.

Going Concern

Going Concern

 

The Company has an accumulated deficit of $6,236,126 to date. We will need additional working capital for ongoing operations, which raises substantial doubt about its ability to continue as a going concern. Management of the Company is working a strategy to meet future operational goals which may include equity funding, short term or long term financing or debt financing, to enable the Company to reach profitable operations, however, there can be no assurances that the plan will succeed nor that the Company will be able to execute its plans.

Professional fees

Professional fees

 

With the exception of accounting fees, substantially all professional fees expensed by the Company are hours of work performed by the Court appointed receiver to help the Company emerge from receivership by obtaining external financing. The fees are expensed as incurred as a liability of the Company and the reimbursement of these fees incurred by Receiver is dependent on the amount of financing obtained.

Basic and Diluted Net Loss Per Share

Basic and Diluted Net Loss Per Share

 

Net loss per share is calculated in accordance with SFAS No. 128, Earnings Per Share for the period presented. Basic net loss per share is based upon the weighted average number of common shares outstanding. Diluted net loss per share is based on the assumption that all dilative convertible shares and stock options were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method, options and warrants are assumed exercised at the beginning of the period (or at the time of issuance, if later), and as if funds obtained thereby we used to purchase common stock at the average market price during the period.

Use of Estimates

Use of Estimates

 

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the periods presented. Actual results could differ from those estimates.

 

Significant estimates made by management are, among others, realizability of long-lived assets, deferred taxes and stock option valuation. Management reviews its estimates on a quarterly basis and, where necessary, makes adjustments prospectively.

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3. Provision for Income Taxes (Details Narrative)
3 Months Ended
Jul. 31, 2017
USD ($)
Income Tax Disclosure [Abstract]  
Operating loss carryforward $ 6,236,126
Carryforward expiration date Dec. 31, 2023
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