Other Current Liabilities

3 Months Ended

Mar. 31, 2015

Notes to Financial Statements

8. Other Current Liabilities

As of March 31, 2015 and 2014, included in other current liabilities are four outstanding notes to various individuals aggregating approximately $289,224 and $139,000, respectively, in principal and accrued interest. Interest accrues at the rate of 9% - 14% per annum.

 The Company has recognized a “Liability for unissued shares” for shares granted to employees and consultants, but unissued as of the balance sheet date. The granted shares are recorded at the fair market value of the shares to be issued at the grant date and a corresponding current liability is recorded for these unissued shares. The activity in this account and balances, classified as Liabilities for unissued shares, as of March 31, 2015 and December 31, 2014 was as follows:

	March 31, 2015			December 31, 2014
Balance, beginning	$	567,043		$	160,543
Stock based compensation recognized		-			421,500
Issuance of shares in satisfaction of liability		(10,000	)		(15,000	)
Balance, ending	$	557,043		$	567,043

The total number of shares granted but unissued were 5,595,711 shares as of December 31, 2014 and 6,790,343 shares as of March 31, 2015.