RELATED PARTY TRANSACTIONS AND BALANCES

9 Months Ended

Sep. 30, 2011

Related Party Transactions [Abstract]

Related Party Transactions Disclosure [Text Block]

NOTE 6 - RELATED PARTY TRANSACTIONS AND BALANCES

Transactions

	Nine Months Ended September 30,
	2011		2010
Compensation and related expenses to Chairman (1)	$	223,000	$	222,000
Compensation to Chief Financial Officer (2)		90,000		90,000
Cash advance from Royal HTM Group  (3)		164,000		171,000
Cash advances in the form of direct payment of expenses by Royal HTM Group  (3)		37,000		160,000
Business development services  (3)		90,000		90,000
Consulting services (4)		10,000		-
	$	614,000	$	733,000

1) Mr. Boris Birshtein serves as the Company’s Chairman of the Board of Directors (the “Chairman”) and its Chief Executive Officer.  Mr. Birshtein owns 50% of Royal HTM Group, Inc., the Company’s majority shareholder.

2) Jack Braverman serves as a member of the Company’s Board of Directors and as the Company’s Chief Financial Officer.  Mr. Braverman owns 50% of Royal HTM Group, Inc., the Company’s majority shareholder.

3) Royal HTM Group, Inc., a Canadian company owned by Messrs Birshtein and Braverman, renders           certain business development services to the Company.  Royal HTM Group has also advanced         money to the Company to fund its expenses.

4) Effective April 1, 2011 the Company agreed to a quarterly expense allowance of $5,000 for Royal HTM Group for expenses incurred in connection with its consulting services rendered to the Company.

Balances

As of September 30, 2011 payables to related parties consist of the following:

Amount due to Royal HTM Group	$	3,324,000
Accrued compensation due to Chief Financial Officer		330,000
Accrued compensation due to the Chairman		1,722,000
	$	5,376,000

These amounts are non-interest bearing and due on demand.