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8. RELATED PARTY TRANSACTIONS
12 Months Ended
May 31, 2012
Related Party Transactions [Abstract]  
8. RELATED PARTY TRANSACTIONS

During the year ended May 31, 2012, the major stockholder of the Company provided additional loans to the Company totaling $195,000. The aggregate balance at May 31, 2012 of $37,000 of shareholder loans are interest bearing and due on demand. In November 2010, the Company reached an agreement with the major stockholder to convert the $274,000 shareholder loan during the 2011 fiscal year to common stock.

 

During the year ended May 31, 2012, a sales commission was paid to a director of the Company for services rendered in connection with the sale of Catrix in Europe.  The Company has an exclusive agreement with such director that provides for a commission equal to 7% of gross sales to European customers in exchange for customer service and sales services rendered on behalf of the Company.  Pursuant to this agreement, the Company incurred sales commission expense of $19,489 and $21,236 during the year ended May 31, 2012 and 2011, respectively.