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Convertible Debentures, and Loans Payable (Tables)
12 Months Ended
Dec. 31, 2021
Short-term Debt [Line Items]  
Schedule of Convertible Debentures

Convertible debentures consist of the following at December 31, 2021:

Origination
Date
  Maturity
Date
   Interest
Rate
   Origination
Principal
Balance
   Original
Discount
Balance
   Period
End
Principal
Balance
   Period
End
Discount
Balance
   Period
End
Balance,
Net
   Accrued
Interest
Balance
   Reg. 
8/31/11   8/31/13    5%   10,000    (4,286)   -    -    -    -    (1)
12/01/17   12/31/21    6%   50,000    (12,500)   -    -    -    -    (2)
12/05/17   12/31/21    6%   50,000    (12,500)        -              (3)
9/03/21   9/03/24    8%   346,500    (12,355)   346,500    (10,639)   335,861    9,240    (4)
9/03/21   9/03/24    8%   3,500    (125)   3,500    (107)   3,393    92    (5)
                       $  350,000   $  (10,746)  $  339,254   $   9,332      

 

 

Convertible debentures consist of the following at December 31, 2020:

 

Origination
Date
  Maturity
Date
   Interest
Rate
   Origination
Principal
Balance
   Original
Discount
Balance
   Period End
Principal
Balance
   Period End
Discount
Balance
   Period End
Balance,
Net
   Accrued
Interest
Balance
   Reg. 
8/31/2011   8/31/2013    5%   10,000    (4,286)   10,000        10,000    4,694    (1)
12/01/17   12/31/20    6%   50,000    (12,500)   50,000        50,000    9,250    (2)
12/05/17   12/31/20    6%   50,000    (12,500)   50,000        50,000    9,218    (3)
                       $   110,000   $       $    110,000   $    23,162      

 

(1) The Company borrowed $10,000 in exchange for a convertible note (the “Hoboken Convertible Note”). The holder at its option may convert all or part of the note plus accrued interest into common stock at a price of 30% discount as determined from the average four highest closing bid prices over the preceding five trading days. The Company valued the beneficial conversion feature of the convertible debenture at $4,286, which was accreted to interest expense over the period of the note. On February 22, 2021, this note and accrued interest of $4,777 were converted by the holder for 422,209 shares of common stock in accordance with the terms of the note.
   
(2) On December 1, 2017, the Company issued a $50,000 principal amount 6% secured convertible promissory note, initially due December 1, 2018, subject to extension. The note is secured with such assets of the Company equal to the principal and accrued interest, is guaranteed by the Company’s wholly-owned subsidiaries, Trebor and BHP and the personal guarantee of Mr. Carmichael.

 

  The conversion price under the note initially ranged from $0.02 per share if converted in the first year to $0.125 per share if converted in year five. The lender may convert at any time until the note plus accrued interest is paid in full. Various other fees and penalties apply if payments or conversions are not done timely by the Company. The lender will be limited to maximum conversion of 9.99% of the outstanding common stock of the Company at any one time. In 2019, the maturity date of the note was extended for one additional year to December 31, 2019 with a reduction in the conversion price to $0.01 per share. The Company recorded a loss on extinguishment of debt of $32,000 upon the modification of conversion price. On June 10, 2021, this note and accrued interest of $10,554 were converted by the holder for 6,055,358 shares of common stock in accordance with the terms of the note.

 

(3) On December 5, 2017, the Company issued a $50,000 principal amount 6% secured convertible promissory note, initially due December 4, 2018, subject to extension. The note is secured with such assets of the Company equal to the principal and accrued interest, is guaranteed by the Company’s wholly-owned subsidiaries, Trebor and BHP and the personal guarantee of Mr. Carmichael.
   
  The conversion price under the note initially ranged from $0.02 per share if converted in the first year to $0.125 per share if converted in year five. The lender may convert at any time until the note plus accrued interest is paid in full. Various other fees and penalties apply if payments or conversions are not done timely by the Company. The lender will be limited to maximum conversion of 9.99% of the outstanding common stock of the Company at any one time. In 2019, the note was extended for one additional year to December 31, 2019 with a reduction in the conversion price to $0.01 per share. The Company recorded a loss on extinguishment of debt of $99,000 upon the modification of conversion price. The maturity date was further extended to December 31, 2021. On August 18, 2021, this note and accrued interest of $11,145 were converted by the holder for 6,114,516 shares of common stock in accordance with the terms of the note.
   
(4) On September 3, 2021, the Company issued a $346,500 note payable to Summit Holding V, LLC as part of the acquisition of SSI. The note carries 8% unsecured convertible promissory note, due September 3, 2024. Payments on the note are to be equivalent to 50% of the adjusted net profit of Submersible Systems, Inc., payable calendar quarterly commencing on December 31, 2021. Interest is payable in company stock at the conversion price of $.051272 and shall be paid quarterly. The note holder may convert any outstanding principal and unpaid interest at a conversion rate of $.051272 at any time up to the maturity date of the note. The Company recorded $12,355 for the beneficial conversion feature.
   
(5) On September 3, 2021, the Company issued a three-year 8% unsecured convertible promissory note for $3,500 to Tierra Vista Partners, LLC as part of the acquisition of SSI. Payments on the note are to be equivalent to 50% of the adjusted net profit of SSI, payable calendar quarterly commencing on December 31, 2021. Interest is payable quarterly in common stock of the Company at the conversion price of $.051272 per share. The note holder may convert any outstanding principal and unpaid interest at a conversion rate of $.051272 at any time up to the maturity date of the note. The Company recorded $125 for the beneficial conversion feature.
Marlin Note [Member]  
Short-term Debt [Line Items]  
Schedule of Future Amortization of Loans Payable

   Payment Amortization 
2022   25,079 
Total Loan Payments  $25,079 
Current portion of Loan payable   (25,079)
Non-Current Portion of Loan Payable  $- 
Mercedes Benz Note [Member]  
Short-term Debt [Line Items]  
Schedule of Future Amortization of Loans Payable

   Payment Amortization 
2022   11,168 
2023   11,168 
2024   11,168 
2025 and thereafter   9,618 
Total note payments  $43,122 
Current portion of note payable   (11,168)
Non-Current Portion of notes payable  $31,954 
Navitas Credit Corp [Member]  
Short-term Debt [Line Items]  
Schedule of Future Amortization of Loans Payable

Schedule of Future Amortization of Loans Payable

   Payment Amortization 
2022   14,155 
2023   15,342 
2024   16,629 
2025   18,024 
Balance   6,007 
Total Note Payments  $70,157 
Current portion of Note payable   (14,155)
Non-Current Portion of Note Payable  $56,002