RELATED PARTY TRANSACTIONS AND BALANCES (Tables)

3 Months Ended

Mar. 31, 2013

Related Party Transactions [Abstract]

Schedule of Related Party Transactions [Table Text Block]

Transactions

	Three Months Ended March 31,
	2013		2012
Compensation and related expenses to the Chairman (1)	$	7,500	$	74,000
Compensation to the Chief Financial Officer (2)		7,500		30,000
Cash advance from Royal HTM Group, Inc. (3)		38,000		34,000
Business development services (4)		-		12,000
	$	53,000	$	150,000

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) Although it is under no obligation to do so, Royal HTM Group, Inc., a Canadian company owned by Messrs Birshtein and Braverman, lends funds to the Company (and advances funds on its behalf) to cover the Company’s on-going expenses.

4) Royal HTM Group, Inc. renders certain business development services to the Company. During the fiscal year 2012, the monthly fee for such services was $2,500, together with a quarterly expense allowance of $5,000. Effective January 1, 2013 we will no longer accrue any fees or expenses related to such business development services.

Schedule of Related Party Payables [Table Text Block]

As of March 31, 2013 payables to related parties consist of the following:

Amount due to Royal HTM Group, Inc.	$	3,665,000
Accrued compensation due to the Chief Financial Officer		487,000
Accrued compensation due to the Chairman		2,095,000
	$	6,247,000