6. STOCKHOLDERS’ DEFICIT

9 Months Ended

Sep. 30, 2013

Equity [Abstract]

STOCKHOLDERS’ DEFICIT

ISSUANCES OF COMMON STOCK

On January 28, 2013, the Board of Directors authorized the issuance of 50,000 shares of common stock to an attorney for services performed. The shares were valued at the market price on the day of issuance, in the amount of $60,000.

Also on January 28, 2013, the Board of Directors authorized the issuance of 18,484 shares to our corporate council, however the shares were not issued at June 30, 2013 and have been recorded as a stock payable contra-equity account on the financial statements. The share were valued at the market price on the day of grant of $22,181.

During each of the three quarters ended September 30, 2013, the Company recorded imputed interest on a non-interest bearing note in the amount of $3,360 per quarter, with an increase in paid in capital.

On June 20, 2013, the Board of Directors, authorized the issuance of 194,304 shares of common stock for the conversion of accounts payable in the amount of $204,081. The transaction was recorded at the market price of the stock on the day of issuance of $.20 per share. A gain on the settlement of this debt was recorded in the amount of $165,220.

On June 30, 2013, in connection with the settlement of the officer debt as described in the notes payable disclosure above, a contribution to paid in capital was recorded in the amount of $3,108,133.

On July 5, 2013, the officers of the company converted $17,205 of debt into 1,550,000 shares of common stock. No gain or loss was recorded in connection with this issuance, because the market value of the shares issued was equal to the amount converted.

Also on July 5, 2013, the board of directors authorized the issuance of 200,000 shares to the directors of the Company. The issuance was valued at $2,220, the market value of the stock on the day of issuance.

During the nine months ended September 30, 2013, the Company did not issue any stock options or warrants.