Note 10 - Loans Payable - Related Parties

12 Months Ended

Dec. 31, 2018

Notes to Financial Statements

Loans Payable to Related Party [Text Block]

NOTE

10

– LOANS PAYABLE- RELATED PARTY

Loans payable - related party consists of the following at

December 31:

	2018		2017
Loan payable in default to the spouse of Bill Chaaban, President of CEN, bears an interest at 10% per annum. This is an unsecured loan that matured on December 31, 2018.	$	234,306	$	237,423
Loan payable in default to a former director of Creative, former parent company, bears interest at 10% per annum. This is an unsecured loan that matured on December 31, 2018.		601,500		601,500
Loan payable to R&D Labs Canada, Inc., whose president is Bill Chaaban, also the President of CEN, bearing interest at 8% per annum. This is an unsecured loan with a maturity date of October 2, 2019. R&D Labs Canada is a company owned by Bill Chaaban’s spouse.		300,000		300,000
Loan payable in default to the spouse of Joseph Byrne, CEO of CEN, issued January 12, 2018 with a 30-day maturity, bearing share interest of 4,000 common shares per 30-day period. This is an unsecured loan that matured on March 16, 2019.		100,000		-
Loan payable in default to Alex Tarrabain, a Director of CEN, issued January 17, 2018 with a 30-day maturity, bearing share interest of 3,000 common shares per 30-day period. This is an unsecured loan that matured on March 16, 2019.		75,000		-
Loan payable in default to Joseph Byrne, CEO of CEN, issued January 24, 2018 with a 30-day maturity, bearing share interest of 2,000 common shares per 30-day period. This is an unsecured loan that matured on March 16, 2019.		50,000		-
Total loans payable - related party		1,360,806		1,138,923
Less: current portion		1,360,806		838,923
Long-term portion loans payable - related party	$	-	$	300,000

In

March 2018,

Bill Chaaban, President of CEN, fully assigned and transferred all rights, title, and interests in his loans and related accrued interest due from CEN to his spouse.

Attributable related party accrued interest was

$357,373

and

$248,100

as of

December 31, 2018

and

2017,

respectively. Interest expense attributable to related party loans was

$184,250

and

$89,892

in

2018

and

2017,

respectively.

During

2018,

108,000

common shares were issued to related parties in connection with interest terms of the above loans made to CEN. Accordingly,

$77,490

in related party interest expense, which is included above, and additional paid-in capital was recorded.

No

such common shares were issued during

2017.