NOTES PAYABLE

3 Months Ended

Mar. 31, 2013

Notes Payable Disclosure [Abstract]

Notes Payable Disclosure [Text Block]

10. NOTES PAYABLE

Notes payable consists of the following as of March 31, 2013:

Promissory note payable, unsecured, bearing interest at 5% simple interest per annum, due in weekly principal and interest payments of $250, maturing on March 10, 2015.	$	24,640
Less amounts due within one year		12,067
Long-term portion of notes payable	$	12,573

As of March 31, 2013, principal payments on the notes payable are as follows:

2013	$	9,228
2014		12,540
2015		2,872
2016		--
2017		--
Thereafter		--
	$	24,640

In February 2011, the Company converted a vendor payable into an unsecured promissory note as reflected above and below in note payable balances as of March 31, 2013, and December 31, 2012. Principal and interest payments of $2,000 per month were to begin on February 28, 2011, and continue through August 31, 2012, maturity. Since the Company was in arrears on payments, on June 1, 2012, the Company restructured the Note with the vendor. Effective June 5, 2012, the Company began making payments under the restructured terms as reflected in both note payable tables.

Notes payable consisted of the following as of December 31, 2012:

Promissory note payable, unsecured, bearing interest at 5% simple interest per annum, due in weekly principal and interest payments of $250, maturing on March 10, 2015.	$	27,564
Less amounts due within one year		12,152
Long-term portion of notes payable	$	15,412