Related Party Transactions

6 Months Ended

Jun. 30, 2016

Related Party Transactions [Abstract]

Related Party Transactions

Note 9 - Related Party Transactions

Advances from Related Party

From time to time, the former CEO of the Company and a shareholder advanced funds to the Company for working capital purpose. Those advances are unsecured, non-interest bearing and due on demand. As of December 31, 2015, outstanding advances from related party amounted to $31,000.

During the six-month ended June 30, 2016, Mr. Tarek Kirschen, the Company’s CEO at that time, advanced a total of $354,000 which was used to payoff of certain of the Company’s outstanding payables, convertible notes payable and accrued interest. In June 2016, the Company settled these advances from Mr. Kirschen in exchange for 5,000,000 of Preferred A shares and 1,000,000 of Preferred B shares.

As of June 30, 2016, total outstanding advances from related party amounted to $31,000.

Accrued Payroll

Pursuant to a September 2010 employment agreement with our former Chief Executive Officer, at June 30, 2016 and December 31, 2015, the Company had accrued payroll of $125,000.

During the period ended June 30, 2016, the Company accrued payroll of $85,000 pursuant to a February 2016 employment agreement with Mr. Tarek Kirschen, CEO. In June 2016, the Company settled this accrued payroll in exchange for 5,000,000 of Preferred A shares and 1,000,000 of Preferred B shares.