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Related Party Transactions
12 Months Ended
Nov. 30, 2013
Related Party Transactions [Abstract]  
Related Party Transactions

13. Related Party Transactions

 

The Company paid fees to a software consulting firm (“Consultant”) of $191,500 in fiscal 2013 and $192,000 in fiscal 2012. All such work performed by the Consultant is the property of the Company.  An officer of the Company has performed work for the Consultant, including disbursement services, in which funds that were remitted by the Company to a company controlled by the officer were subsequently distributed for the Consultant to appropriate vendors.

 

At November 30, 2013 and 2012, total unpaid salary owed to the Company’s chief executive officer was $464,776 and $318,946, respectively, which has been converted into unsecured short-term loans bearing interest at 12%.  Accrued interest on such loans was $96,531 and $51,233 as of November 30, 2013 and 2012, which is included in the other current liabilities. At November 30, 2013 and 2012, total unpaid salary owed the Company’s chief information officer was $18,465 and $3,465, respectively.

 

At November 30, 2013 and 2012, the total amount due to our chief executive officer, including loans, unpaid salary, interest and expenses amounted to $938,210 and $752,575, respectively.

 

At November 30, 2013 and 2012, unpaid salary owed to our chief information officer amounted to $39,947 and $23,465, respectively.

  

At November 30, 2013 and 2012, a subsidiary of the Company owed G3 Connect LLC (a shareholder of the Company), $25,453 and $5,548 in unpaid commissions, respectively.

 

During the fiscal 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.