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8. Related Parties
9 Months Ended
Sep. 30, 2019
Related Party Transactions [Abstract]  
Related Parties

8. RELATED PARTIES

 

At September 30, 2019 and December 31, 2018, the amount due to stockholders was $1,000. The balance is payable to two stockholders related to opening bank balances.

 

At September 30, 2019 and December 31, 2018 accounts payable due to three officers was $600,077 and $237,514, respectively which is represented in accounts payable on the consolidated balance sheets. The majority of the balance is related to deferred salary expenses while the remainder is related to reimbursable expenses that were incurred throughout the year.

 

In January 2018 the Company entered into a lease agreement with a stockholder of the Company and paid monthly installments of $2,000 which terminated on December 31, 2018. The Company renewed the lease agreement in January 2019 for monthly installments of $2,000 which terminated on June 30, 2019, the Company now rents month to month. For the three and nine months ended September 30, 2019 and 2018, rent expense paid to the stockholder amounted to $6,000 and $18,000, respectively.

 

The Company entered into a verbal arrangement in June of 2017 with a company controlled by a shareholder to provide administrative services. Total payments to the related party for administrative services amounted to approximately $0 for the three and nine months ended September 30, 2019 and approximately $0 and $26,000, for the three and nine months ended September 30, 2018, respectively.  

 

For the three and nine months ended September 30, 2019 professional expense paid to directors and officers of the Company amounted to $0. For the three and nine months ended September 30, 2018, professional expense paid to directors and officers of the Company amounted to approximately $7,200 and $57,400, respectively. For the three and nine months ended September 30, 2019, travel expense paid on behalf of directors and officers of the Company amounted to approximately $0. For the three and nine months ended September 30, 2018, travel expenses paid on behalf of directors and officers of the Company amounted to approximately $0 and $10,000, respectively.