2. Transactions with Affliliates

12 Months Ended

Dec. 31, 2016

Related Party Transactions [Abstract]

2. Transactions with Affliliates

Mr. Ernest M. Stern, the Company’s outside U.S. counsel, is both a director of the Company and was a partner in Akerman LLP, the firm retained in 2016 and 2015 as legal counsel by the Company. Fees paid to the law firm in the years ended December 31, 2016 and 2015, amounted to E63 and E30, respectively. Mr. Stern resigned from the firm Akerman LLP and became a partner in the law firm of Culhane Meadows PLLC as of March 1, 2017. Culhane Meadows PLLC is the Company’s legal councel effective March 1, 2017.

Two of the Company’s major shareholders have granted secured convertible notes and short term convertible notes, which have a total carrying amount of E45,486, including interest due to date. Conversion prices on the Euro-denominated convertible debt have been fixed to a fixed Euro/US dollar exchange rate.

The details of these notes and other loans are as follows at December 31, 2016:

									Fixed
								Conversion	Rate
Lender	1st-Issue	Principal		Duration		Interest		Price	EUR/USD
Price	Date	Amount		(Note)		Rate		(US$ stated)	Conversion
Eardley Holding A.G. (1)	06/23/2006	E	181	(2	)	10% pa	$	0.10	N/A
Anglo Irish Bank S.A.(3)	10/01/2007	E	500	(2	)	10% pa	$	0.50	1.4090
Round Enterprises Ltd.	12/10/2007	E	1,500	(2	)	10% pa	$	0.50	1.4429
Round Enterprises Ltd.	01/22/2008	E	1,500	(2	)	10% pa	$	0.50	1.4629
Round Enterprises Ltd.	04/25/2008	E	2,000	(2	)	10% pa	$	0.50	1.5889
Round Enterprises Ltd.	06/30/2008	E	1,500	(2	)	10% pa	$	0.50	1.5380
Round Enterprises Ltd.	11/17/2008	E	1,200	(2	)	10% pa	$	0.50	1.2650
Round Enterprises Ltd.	02/06/2009	E	1,500	(2	)	10% pa	$	0.50	1.2940
Round Enterprises Ltd.	06/15/2009	E	5,500	(2,4	)	10% pa	$	0.80	1.4045
Eardley Holding A.G.	06/15/2009	E	100	(2,4	)	10% pa	$	0.80	1.4300
Von Meyenburg	08/03/2009	E	200	(2	)	10% pa	$	0.80	1.4400
Round Enterprises Ltd.	10/13/2009	E	2,000	(2	)	5% pa	$	0.25	1.4854
Round Enterprises Ltd.	12/18/2009	E	2,200	(2	)	5% pa	$	0.25	1.4338
Round Enterprises Ltd.	08/04/2011	E	1,141	(5,6	)	10% pa	$	0.034	N/A
Eardley Holding A.G.	08/04/2011	E	285	(5,6	)	10% pa	$	0.034	N/A
Round Enterprises Ltd.	11/08/2011	E	400	(6	)	10% pa	$	0.034	1.3787
Eardley Holding A.G.	11/08/2011	E	100	(6	)	10% pa	$	0.034	1.3787
Round Enterprises Ltd.	02/10/2012	E	1,000	(6	)	10% pa	$	0.034	1.3260
Eardley Holding A.G.	02/14/2012	E	200	(6	)	10% pa	$	0.034	1.3260
Round Enterprises Ltd.	04/19/2012	E	321	(6	)	10% pa	$	0.034	1.3100
Eardley Holding A.G.	04/19/2012	E	81	(6	)	10% pa	$	0.034	1.3100
Round Enterprises Ltd.	05/04/2012	E	480	(6	)	10% pa	$	0.034	1.3152
Eardley Holding A.G.	05/04/2012	E	120	(6	)	10% pa	$	0.034	1.3152
Round Enterprises Ltd.	09/03/2012	E	200	(6	)	10% pa	$	0.034	1.2576
Eardley Holding A.G.	09/03/2012	E	50	(6	)	10% pa	$	0.034	1.2576
Round Enterprises Ltd.	11/04/2012	E	500	(6	)	10% pa	$	0.034	1.2718
Eardley Holding A.G.	12/06/2012	E	125	(6	)	10% pa	$	0.034	1.3070
Round Enterprises Ltd.	01/16/2013	E	240	(6	)	10% pa	$	0.034	1.3318
Eardley Holding A.G.	01/16/2013	E	60	(6	)	10% pa	$	0.034	1.3318
Round Enterprises Ltd.	03/25/2013	E	400	(6	)	10% pa	$	0.037	1.2915
Eardley Holding A.G.	04/14/2013	E	150	(6	)	10% pa	$	0.034	1.3056
Round Enterprises Ltd.	04/14/2013	E	600	(6	)	10% pa	$	0.034	1.3056
Eardley Holding A.G.	05/15/2013	E	170	(6	)	10% pa	$	0.037	1.2938
Round Enterprises Ltd.	05/15/2013	E	680	(6	)	10% pa	$	0.037	1.2938
Eardley Holding A.G.	06/24/2013	E	60	(6	)	10% pa	$	0.025	1.3340
Round Enterprises Ltd.	06/24/2013	E	240	(6	)	10% pa	$	0.025	1.3340
Eardley Holding A.G.	08/05/2013	E	80	(6	)	10% pa	$	0.018	1.3283
Round Enterprises Ltd.	08/05/2013	E	320	(6	)	10% pa	$	0.018	1.3283
Total Short Term Principal Amounts		E	27,884
Accrued Interest		E	17,950
TOTAL LOANS AND NOTES		E	45,834

(1) Private investment company of Dr. Thomas Staehelin, member of the Board of Directors and of the Audit Committee of the Company. Face value is stated in U.S. dollars at $190.

(2) This maturity date is automatically prolonged for periods of three months, unless called for repayment.

(3) Renamed Hyposwiss Private Bank Geneve S.A. and acting on behalf of Round Enterprises Ltd. which is a major shareholder.

(4) The loan is secured against 2/3rds of the IP assets of Bestewil Holding BV and against all property of the Company.

(5) The face values of the loans are stated in U.S. dollars at $1,200 and $300, respectively.

(6) This maturity date is automatically prolonged for periods of three months, unless called for repayment. The conversion price per share is determined by the lower of (i) reducing by 10% the price per share of the Company’s common stock paid by the investors in connection with an investment in the Company of not less than US$20,000, or (ii) at the stated conversion price using a fixed exchange rate which are noted in the table above.