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NOTE 9. RELATED PARTY TRANSACTIONS
12 Months Ended
Sep. 30, 2012
Related Party Transactions [Abstract]  
NOTE 9. RELATED PARTY TRANSACTIONS

NOTE 9– RELATED PARTY TRANSACTIONS

 

During the year ended September 30, 2011, the Company issued 15,000,000 common shares to new management at the trading price of the common stock of $0.007. The stock was recorded at fair value as compensation expense of $105,000.

 

In April 2011, the Company issued 4,000,000 common shares to new management valued at the trading price of the common stock of $0.0095. The stock was recorded at fair value as compensation expense of $38,000.

 

On October 15, 2013, the Company issued 30,000,000 common shares to the CEO to convert the debt in the principal amount of $1,200,106 in principal.

 

During the years ended September 30, 2012 and 2011, the CEO advanced the Company cash proceeds of $7,969 and $159,515, respectively. In addition, during the year ended September 30, 2012, the CEO made payments on the Company’s behalf of $25,236 on the Company’s line of credit. The Company repaid $188,410 and $0 of the advances in the years ended September 30, 2012 and 2011, respectively. The advances from the CEO are due on demand and do not accrue interest. As of September 30, 2012 and 2011, the amount owed to the CEO for advances was $25,591 and $180,796, respectively.