OTHER RECEIVABLES, DEPOSITS AND PREPAYMENTS

9 Months Ended

Sep. 30, 2013

Other Receivables Deposits and Prepayments [Abstract]

OTHER RECEIVABLES, DEPOSITS AND PREPAYMENTS

NOTE 6 OTHER RECEIVABLES, DEPOSITS AND PREPAYMENTS

Other receivables, deposits and prepayments consisted of the following:

	September 30,		December 31,
	2013		2012
Prepaid insurance	$	303,650	$	162,000
Other receivables		367,396		118,031
Utility deposits		81,327		79,548
Other prepayments		13,874		-
Prepaid research and development costs		-		200,376
Less: Allowance for valuation and doubtful debts		-		-
	$	766,247	$	559,955

In 2011, the Company signed various research and development contracts with Shanghai Electric Cable Research Institute. The service periods of the contracts vary from approximately 1.5 years to 3 years, with installment payment terms. Prepaid research and development costs as of September 30, 2013 and December 31, 2012 represented aggregate installment payments made upon execution of the contracts, net of amortization in 2013 and 2012, pursuant to the terms of these contracts.