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NOTE 4 - ADVANCES FROM AND NOTES PAYABLE TO OFFICER
3 Months Ended
Sep. 30, 2012
Advancesfrom Officerand Stockholder
NOTE 4 – ADVANCES FROM AND NOTES PAYABLE TO OFFICER

Advances from a stockholder at both September 30, 2012 and March 31, 2012 were $32,400.

Our CEO, Ryan Corley, has made advances to the Company in prior years. During the nine months ended September 30, 2012, the CEO made additional unsecured advances totaling $18,900. During nine months ended September 30, 2012 the Company made payments on these advances of $11,000. On May 17, 2012, advances in the amount of $36,900 were converted into a note payable bearing interest at 2% and convertible into common stock of the Company at $0.08 per share.

The Company has notes payable to the CEO totaling $642,455 and $605,555 as of September 30, 2012 and March 31, 2012. Accrued interest owed on these notes is $129,108 and $122,670. These notes and accrued interest are convertible into 14,740,512 and 13,372,992 shares, respectively.

An entity controlled by the CEO has made unsecured advances and notes payables to the Company. Advances and notes payable from the entity controlled by the CEO as of September 30, 2012 and March 31, 2012 is $160,250. Accrued interest owed on these notes was $14,301 and $12,136, respectively. These notes and accrued interest are convertible into 2,814,949 and 2,780,783 shares, respectively.