NOTES PAYABLE, RELATED PARTIES

12 Months Ended

Aug. 31, 2013

Payables and Accruals [Abstract]

NOTES PAYABLE, RELATED PARTIES

NOTE 6 - NOTES PAYABLE, RELATED PARTIES

Notes payable as of August 31, 2013 and, 2012 are comprised of the following:

	August 31, 2013		August 31, 2012
Note payable, 8% per annum, due on demand, unsecured	$	23,821	$	23,821
Note payable, 8% per annum, due on demand, unsecured		34,075		34,075
Note payable, 8% per annum, due on demand, unsecured		16,317		16,317
Note payable, 8% per annum, due on demand, unsecured		37,827		37,827
Note payable, 8% per annum, due on demand, unsecured		10,053		10,053
Note payable, 8% per annum, due on demand, unsecured		15,933		15,933
	$	138,026	$	138,026
Add: Accrued interest		30,519		19,952
Total	$	168,545	$	157,978

During the year ended August 31, 2012, the Company issued an aggregate of 118,880 shares of common stock, valued at $6.75 - $24 per share in settlement of $357,124 of the outstanding notes payable and accrued interest and recorded a loss on settlement of notes payable and accrued interest of $656,000.

During the year ended August 31, 2012, the Company issued six notes totaling $138,026 in exchange for operating funds provided by a shareholder of its majority owned subsidiary.  The note bears an 8% per annum interest rate, unsecured and are due on demand.

The Company charged to operations interest expense on the above notes of $10,567 during the year ended August 31, 2013.