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Related Party Transactions
9 Months Ended
Aug. 31, 2013
Related Party Transactions [Abstract]  
Related Party Transactions

Note 11 – Related Party Transactions

 

In connection with software development costs, we paid fees to a third-party intellectual property development firm (the “Consultant”) of $143,500 and $144,000, respectively, for the nine-month periods ended August 31, 2013 and 2012, and $48,000 for the three-month periods ended August 31, 2013 and 2012. One of our officers performed work for the Consultant, including the function of distributing such funds to appropriate vendors, for which he was not compensated. The fees for software development services performed by the Consultant were deemed to be operating costs.

 

At August 31, 2013 and November 30, 2012, we owed our chief executive officer $883,436 and $732,575 respectively for loans he provided to the Company, unpaid salary and unpaid business expenses.

 

At August 31, 2013 and November 30, 2012, we owed our chief information officer $29,947 and $24,557, respectively, for unpaid salary and unpaid business expenses.

 

During the nine-months ended August 31, 2013, the Company sold to its chief executive officer a warrant to purchase 25,333,333 shares of common stock, par value $0.001, of the Company and its chief information officer a warrant to purchase 20,000,000 shares of common stock. The Company received, in the aggregate, cash payments totaling $68,000. The warrants have a ten-year life and exercise price of $0.005. During the quarter ended August 31, 2012 the Company converted debt owed the chief executive officer of $18,500 into 1,500,000 shares at a price of $0.012 per share.