0001785982-19-000066.txt : 20191204 0001785982-19-000066.hdr.sgml : 20191204 20191204134602 ACCESSION NUMBER: 0001785982-19-000066 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 31 CONFORMED PERIOD OF REPORT: 20191031 FILED AS OF DATE: 20191204 DATE AS OF CHANGE: 20191204 FILER: COMPANY DATA: COMPANY CONFORMED NAME: DIAMOND CARTEL INC CENTRAL INDEX KEY: 0001347491 STANDARD INDUSTRIAL CLASSIFICATION: BLANK CHECKS [6770] IRS NUMBER: 000000000 STATE OF INCORPORATION: DE FISCAL YEAR END: 0430 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 333-215884 FILM NUMBER: 191267882 BUSINESS ADDRESS: STREET 1: 1586 NOAH BEND CITY: LONDON STATE: A6 ZIP: N6G 0T2 BUSINESS PHONE: 519-619-4370 MAIL ADDRESS: STREET 1: 1586 NOAH BEND CITY: LONDON STATE: A6 ZIP: N6G 0T2 10-Q 1 form10q.htm 10-Q

 

 

 

UNITED STATES 

SECURITIES AND EXCHANGE COMMISSION 

Washington, D.C. 20549

 

FORM 10-Q

 

[X]

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the quarterly period ended October 31, 2019

OR

 

[  ]

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the transition period from __________________ to _________________

 

Commission file number: None

 

THE DIAMOND CARTEL, INC.

(Exact name of registrant as specified in its charter)

 

Delaware

80-0914174

(State or other jurisdiction of incorporation or organization)

(IRS Employer Identification No.)

 

 

1586 Noah Bend, London, Ontario, Canada

N6G 0T2

(Address of principal executive offices)

(Zip Code)

 

(519) 619-4370

(Registrant’s telephone number, including area code)

 

N/A

(Former name, former address and former fiscal year, if changed since last report)

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

None

N/A

N/A

 

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes  [X]  No  [  ]

 

Indicate by a checkmark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Date File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes  [X]  No  [  ]

 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definitions of “large accelerated filer,” “accelerated filer” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

 

 

 

 

 

Large accelerated filer

[  ]

 

Accelerated filer

[  ]

 

 

 

 

 

Non-accelerated filer

[X]

 

Smaller reporting company

[X]

 

 

 

 

 

 

 

Emerging growth company

[X]

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  [X]

 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

Yes  [X]  No  [  ]

 

As of December 3, 2019, the registrant had 895,750 outstanding shares of common stock.

 

 

 

 

 

FORM 10-Q

 

TABLE OF CONTENTS

 

PART I – FINANCIAL INFORMATION

 

 

 

 

 

 

Item 1.

Financial Statements (unaudited)

 

 

 

 

 

 

 

Balance Sheets as of October 31, 2019 and April 30, 2019

 

F-1

 

 

 

 

 

Statements of Operations for the Three and Six Months Ended October 31, 2019 and 2018

 

F-2

 

 

 

 

 

Statements of Stockholders’ Deficit Six Months Ended October 31, 2019 and 2018

 

F-3

 

 

 

 

 

Statements of Cash Flows for the Six Months Ended October 31, 2019 and 2018

 

F-4

 

 

 

 

 

Notes to Financial Statements

 

F-5

 

 

 

 

Item 2.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

 

3

 

 

 

 

Item 4.

Controls and Procedures

 

3

 

 

 

 

PART II – OTHER INFORMATION

 

 

 

 

 

 

Item 6.

Exhibits

 

4

 

 

 

 

SIGNATURES

 

5

 

2 

 

 

The Diamond Cartel Inc.

Balance Sheets

(unaudited)

 

 

October 31,
2019

 

 

April 30,
2019

 

 

 

 

 

 

 

 

 

 

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total Assets

 

$

 

 

$

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS’ DEFICIT

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current Liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Account payable and accrued liabilities

 

$

17,620

 

 

$

11,680

 

Due to related party

 

 

57,150

 

 

 

43,368

 

Advances payable

 

 

42,376

 

 

 

42,220

 

 

 

 

 

 

 

 

 

 

Total Liabilities

 

 

117,146

 

 

 

97,268

 

 

 

 

 

 

 

 

 

 

Stockholders’ Deficit

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Preferred Stock, 946,000 shares authorized, $0.001 par value; no shares issued and outstanding at October 31, 2019 and April 30, 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Preferred stock – Series A, 54,000 shares authorized, $0.001 par value, 0.48 shares issued and outstanding at October 31, 2019 and April 30, 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common stock, 200,000,000 shares authorized, $0.0001 par value; 895,750 shares issued and outstanding at October 31, 2019 and April 30, 2019

 

 

90

 

 

 

90

 

 

 

 

 

 

 

 

 

 

Additional paid-in capital

 

 

454,126

 

 

 

454,126

 

 

 

 

 

 

 

 

 

 

Accumulated deficit

 

 

(571,362

)

 

 

(551,484

)

 

 

 

 

 

 

 

 

 

Total Stockholders’ Deficit

 

 

(117,146

)

 

 

(97,268

)

 

 

 

 

 

 

 

 

 

Total Liabilities and Stockholders’ Deficit

 

$

 

 

$

 

 

F-1 

 

 

The Diamond Cartel Inc.

Statements of Operations

(unaudited)

 

 

 

Three Months
Ended
October 31,
2019

 

 

Three Months
Ended
October 31
2018

 

 

Six Months
Ended
October 31,
2019

 

 

Six Months
Ended
October 31
2018

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$

 

 

$

 

 

$

 

 

$

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

General and administrative

 

 

8,589

 

 

 

5,702

 

 

 

19,878

 

 

 

12,077

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Loss

 

 

(8,589

)

 

 

(5,702

)

 

 

(19,878

)

 

 

(12,077

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Loss Per Common Share – Basic and Diluted

 

$

(0.01

)

 

$

(0.01

)

 

$

(0.02

)

 

$

(0.01

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted Average Number of Common Shares Outstanding

 

 

895,750

 

 

 

895,750

 

 

 

895,750

 

 

 

895,750

 

 

(The accompanying notes are an integral part of these financial statements)

 

F-2 

 

 

The Diamond Cartel Inc.

Statements of Stockholders’ Deficit

(unaudited)

 

 

Preferred
Stock

 

 

Preferred
Stock

 

 

Common
Stock

 

 

Common
Stock

 

 

Additional
Paid-In
Capital

 

 

Accumulated
Deficit

 

 

Total

 

 

 

#

 

 

$

 

 

#

 

 

$

 

 

$

 

 

$

 

 

$

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance – April 30, 2019

 

 

0.48

 

 

 

 

 

 

895,750

 

 

 

90

 

 

 

454,126

 

 

 

(551,484

)

 

 

(97,268

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss for the period

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(19,878

)

 

 

(19,878

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance – October 31, 2019

 

 

0.48

 

 

 

 

 

 

895,750

 

 

 

90

 

 

 

454,126

 

 

 

(571,362

)

 

 

(117,146

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance – April 30, 2018

 

 

0.48

 

 

 

 

 

 

895,750

 

 

 

90

 

 

 

454,126

 

 

 

(524,201

)

 

 

(69,985

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss for the period

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(12,077

)

 

 

(12,077

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Balance – October 31, 2018

 

 

0.48

 

 

 

 

 

 

895,750

 

 

 

90

 

 

 

454,126

 

 

 

(536,278

)

 

 

(82,062

)

 

(The accompanying notes are an integral part of these financial statements)

 

F-3 

 

 

The Diamond Cartel Inc.

Statements of Cash Flows

(unaudited)

 

 

 

Six Months
Ended
October 31,

 

 

Six Months
Ended
October 31,

 

 

 

2019

 

 

2018

 

 

 

$

 

 

$

 

Operating Activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

 

(19,878

)

 

 

(12,077

)

 

 

 

 

 

 

 

 

 

Adjustments to reconcile net loss to net cash used in operating activities:

 

 

 

 

 

 

 

 

Foreign exchange gain on amount due to related party

 

 

311

 

 

 

(140

)

 

 

 

 

 

 

 

 

 

Changes in operating assets and liabilities:

 

 

 

 

 

 

 

 

Prepaid expenses

 

 

 

 

 

(3,936

)

Accounts payable and accrued liabilities

 

 

5,895

 

 

 

(24,126

)

Advances payable

 

 

 

 

 

40,279

 

 

 

 

 

 

 

 

 

 

Net Cash Used in Operating Activities

 

 

(13,672

)

 

 

 

 

 

 

 

 

 

 

 

 

Financing Activities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Proceeds of loan from related party

 

 

13,672

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Cash Provided by Financing Activities

 

 

13,672

 

 

 

 

 

 

 

 

 

 

 

 

 

Change in Cash

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash – Beginning of Period

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash – End of Period

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Supplemental Disclosures:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest paid

 

 

 

 

 

 

Income taxes paid

 

 

 

 

 

 

 

(The accompanying notes are an integral part of these financial statements)

 

F-4 

 

 

The Diamond Cartel Inc.

Notes to the Financial Statements

October 31, 2019

(unaudited)

 

1.

The Diamond Cartel Inc. (the “Company”) was incorporated in the State of Delaware on August 17, 2005. The Company is a Blank Check Company which plans to effect a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business with one or more businesses. On July 14, 2018 the Company had entered into a Letter of Intent with an unrelated third party. Except for this Letter of Intent, the Company has not identified any business combination target and has not, nor has anyone on its behalf, initiated any substantive discussions, directly or indirectly, with any business combination target.

 

2.

Going Concern

 

These financial statements have been prepared on a going concern basis, which contemplates the Company will continue to realize its assets and discharge its liabilities in the normal course of business. The Company has not generated any revenue since inception. As of October 31, 2019, the Company has a working capital deficiency of $117,146 and has accumulated losses of $571,362 since inception. These factors, among others, raise substantial doubt regarding the Company’s ability to continue as a going concern. The continuation of the Company as a going concern is dependent upon the continued financial support from its stockholders, the ability of the Company to obtain necessary equity financing to continue operations. These financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. The Company intends to fund its activities through debt and equity financing arrangements. There is no assurance that the Company will obtain the necessary financing to complete its objectives.

 

3.

Summary of Significant Accounting Policies

 

 

a)

Basis of Presentation

 

The accompanying unaudited financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial statements and with Article 8 of Regulation S-X of the United States Securities and Exchange Commission (“SEC”). Accordingly, they do not contain all information and footnotes required by accounting principles generally accepted in the United States of America for annual financial statements. In the opinion of the Company’s management, the accompanying unaudited financial statements contain all the adjustments necessary (consisting only of normal recurring accruals) to present the financial position of the Company at October 31, 2019 and the results of operations and cash flows for the periods presented. The results of operations for the six months ended October 31, 2019 are not necessarily indicative of the operating results for the full fiscal year or any future period. These unaudited financial statements should be read in conjunction with the financial statements and related notes thereto for the years ended April 30, 2019 and 2018. The Company has an April 30 year-end.

 

 

b)

Use of Estimates

 

The preparation of financial statements in accordance with United States generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses in the reporting period. The Company regularly evaluates estimates and assumptions related to deferred income tax asset valuations. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected.

 

 

c)

Recent Accounting Pronouncements

 

The Company has implemented all new pronouncements that are in effect and that may impact its financial statements and does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations.

 

F-5 

 

 

The Diamond Cartel Inc.

Notes to the Financial Statements

October 31, 2019

(unaudited)

 

4.

Advances Payable

 

On July 14, 2018, the Company executed a Letter of Intent (the “LOI”) with a Corporation registered in the country of Chile (“Corporation”). Pursuant to the LOI, the Corporation agreed to exchange 100% of its total issued and outstanding shares for 13,056,626 shares of common stock of the Company. In addition, the Corporation agreed to provide funding of $500,000 and to enter into a consulting contract with the President of Company. Of the $500,000 funding, $15,000 shall be payable to the President of the Company immediately upon acceptance of the LOI. The $15,000 is refundable in the event the terms of the LOI are not met. Of the $500,000 funding, $135,000 is to be deposited to a trust account with the Company’s legal counsel for payment of outstanding payables, closing costs associated with the transaction and costs associated with raising capital for the Corporation. Once the Corporation raised a minimum of $4,500,000 after the completion of transaction, the President of the Company shall receive the remaining $350,000. As at October 31, 2019, the Corporation provided $42,376 representing professional fees paid on behalf of the Company. The Company has recognized them in advances payable as at October 31, 2019.

 

5.

Related Party Transactions and Balances

 

As at October 31, 2019 and April 30, 2019, the Company was indebted to the President of the Company for $57,150 and $43,368, respectively, for expenses incurred on behalf of the Company. These amounts are non-interest bearing, unsecured, and are due on demand.

 

6.

Subsequent Events

 

Management has evaluated subsequent events through the date that these financial statements were available to be issued. There have been no events that would require adjustment to or disclosure in the financial statements.

 

F-6 

 

 

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

 

We are a “blank check” Company incorporated on August 17, 2005 as a Delaware corporation. We plan to effect a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses. On July 14, 2018 we had entered into a Letter of Intent with an unrelated third party. Except for this Letter of Intent, we have not identified any business combination target and we have not, nor has anyone on our behalf, initiated any substantive discussions, directly or indirectly, with respect to identifying any business combination target.

 

Except as disclosed above, we have not identified any business combination target and we have not, nor has anyone on our behalf, initiated any substantive discussions directly or indirectly, with respect to identifying any business combination target.

 

Until we complete an acquisition, we may seek to raise additional funds through a private offering of debt or equity to fund our operations, including the costs associated with being a public company. We are not a party to any arrangement or understanding with any third party with respect to raising any additional capital.

 

We have neither engaged in any operations nor generated any revenues to date. Our only activities since inception have been organizational activities. We may not generate any operating revenues until after the completion of a business combination. There has been no significant change in our financial condition and no material adverse change has occurred since October 31, 2019. We expect to incur increased expenses as a result of being a public company (for legal, financial reporting, accounting and auditing compliance), as well as for due diligence expenses.

 

As of October 31, 2019 we owed Michel Atlidakis, our sole officer and director, $57,150 for expenses incurred on our behalf. The amount we owe Mr. Atlidakis is non-interest bearing, unsecured, and due on demand.

 

As of October 31, 2019, we did not have any off-balance sheet arrangements and did not have any commitments or contractual obligations.

 

See Note 3 to our financial statements included as part of this report for a description of our critical accounting policies and the potential impact of the adoption of any new accounting pronouncements.

 

ITEM 4. CONTROLS AND PROCEDURES

 

Evaluation of Disclosure Controls and Procedures

 

Under the direction and with the participation of the Company’s management, including the Company’s Chief Executive and Chief Financial Officer, the Company has conducted an evaluation of the effectiveness of the design and operation of its disclosure controls and procedures as of October 31, 2019. The Company maintains disclosure controls and procedures that are designed to ensure that information required to be disclosed in its periodic reports with the Securities and Exchange Commission is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and regulations, and that such information is accumulated and communicated to the Company’s management, including its principal executive officer and principal financial officer, as appropriate, to allow timely decisions regarding required disclosure. The Company’s disclosure controls and procedures are designed to provide a reasonable level of assurance of reaching its desired disclosure control objectives. Based on the evaluation, the Chief Executive and Chief Financial Officer concluded that the Company’s disclosure controls and procedures were effective as of October 31, 2019.

 

Changes in Internal Control over Financial Reporting

 

During the period ended October 31, 2019 there were no changes in the Company’s internal controls that materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

 

3 

 

 

PART II OTHER INFORMATION

 

ITEM 6. EXHIBITS

 

Exhibit
Number

 

Description of Document

 

 

 

31.1

 

Certification of Principal Executive Officer pursuant to Rule 13a-14(a) or Rule 15d-14(a) of the Securities Exchange Act of 1934, (filed herewith)

 

 

 

31.2

 

Certification of Principal Financial Officer pursuant to Rule 13a-14(a) or Rule 15d-14(a) of the Securities Exchange Act of 1934, (filed herewith)

 

 

 

32

 

Certifications of Principal Executive Officer and Principal Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished herewith)

 

 

 

101.INS

 

XBRL Instance Document.

 

 

 

101.SCH

 

XBRL Taxonomy Extension Schema Document.

 

 

 

101.CAL

 

XBRL Taxonomy Extension Calculation Linkbase Document.

 

 

 

101.DEF

 

XBRL Taxonomy Extension Definition Linkbase Document.

 

 

 

101.LAB

 

XBRL Taxonomy Extension Label Linkbase Document.

 

 

 

101.PRE

 

XBRL Taxonomy Extension Presentation Linkbase Document.

 

4 

 

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

 

THE DIAMOND CARTEL, INC.

 

 

 

Dated: December 3, 2019

By:

/s/ Michel Atlidakis

 

 

Michel Atlidakis

 

 

Principal Executive Officer

 

 

 

 

By:

/s/ Michel Atlidakis

 

 

Michel Atlidakis

 

 

Principal Financial and Accounting Officer

 

5 

EX-31 2 ex31-1.htm EXHIBIT 31.1

 

Exhibit 31.1

 

CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER

PURSUANT TO RULES 13a-14(a)AND 15a-14(a) 

OF THE SECURITIES EXCHANGE ACT OF 1934

 

I, Michel Atlidakis, certify that:

 

1. I have reviewed this Quarterly Report on Form 10-Q of The Diamond Cartel, Inc.;

 

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

 

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

 

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

 

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

 

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

 

Dated: December 3, 2019

By:

/s/ Michel Atlidakis

 

 

Michel Atlidakis

 

 

Principal Executive Officer

 

EX-31 3 ex31-2.htm EXHIBIT 31.2

 

Exhibit 31.2

 

CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER

PURSUANT TO RULES 13a-14(a) AND 15a-14(a)

OF THE SECURITIES EXCHANGE ACT OF 1934

 

I, Michel Atlidakis, certify that:

 

1. I have reviewed this Quarterly Report on Form 10-Q of The Diamond Cartel, Inc.;

 

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

 

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

 

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

(c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

(d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

 

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

 

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

 

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

 

Dated: December 3, 2019

By:

/s/ Michel Atlidakis

 

 

Michel Atlidakis

 

 

Principal Financial Officer

 

EX-32 4 ex32.htm EXHIBIT 32

 

Exhibit 32

 

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

 

In connection with the Quarterly Report on Form 10-Q of The Diamond Cartel, Inc. (the “Company”), for the period ended October 31, 2019, as filed with the Securities and Exchange Commission (the “Report”), Michel Atlidakis the principal executive and financial officer of the Company, hereby certifies, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that, to the best of his knowledge:

 

 

(1)

The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

 

 

(2)

The information contained in the Report fairly presents, in all material respects, the financial condition and result of operations of the Company.

 

Dated December 3, 2019

By:

/s/ Michel Atlidakis

 

 

Michel Atlidakis

 

 

Principal Executive and Financial Officer

 

 

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The Company has not generated any revenue since inception. As of October 31, 2019, the Company has a working capital deficiency of $117,146 and has accumulated losses of $571,362 since inception. These factors, among others, raise substantial doubt regarding the Company&#x2019;s ability to continue as a going concern. The continuation of the Company as a going concern is dependent upon the continued financial support from its stockholders, the ability of the Company to obtain necessary equity financing to continue operations. These financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. The Company intends to fund its activities through debt and equity financing arrangements. There is no assurance that the Company will obtain the necessary financing to complete its objectives.</font></p> <table style="width: 100%; margin-right: auto; margin-left: auto; float: none;" border="0" cellspacing="0" cellpadding="0" align="center"> <tr> <td style="width: 18pt;" valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">3.</font></p> </td> <td valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">Summary of Significant Accounting Policies</font></p> </td> </tr> </table> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin-top: 0pt; margin-bottom: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">&nbsp;</font></p> <table style="width: 100%; margin-right: auto; margin-left: auto; float: none;" border="0" cellspacing="0" cellpadding="0" align="center"> <tr> <td style="width: 18pt;" valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">&nbsp;</font></p> </td> <td style="width: 18pt;" valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">a)</font></p> </td> <td valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">Basis of Presentation</font></p> </td> </tr> </table> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin-top: 0pt; margin-bottom: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">&nbsp;</font></p> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt 0pt 0pt 36pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">The accompanying unaudited financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial statements and with Article 8 of Regulation S-X of the United States Securities and Exchange Commission (&#8220;SEC&#8221;). Accordingly, they do not contain all information and footnotes required by accounting principles generally accepted in the United States of America for annual financial statements. In the opinion of the Company&#x2019;s management, the accompanying unaudited financial statements contain all the adjustments necessary (consisting only of normal recurring accruals) to present the financial position of the Company at October 31, 2019 and the results of operations and cash flows for the periods presented. The results of operations for the six months ended October 31, 2019 are not necessarily indicative of the operating results for the full fiscal year or any future period. These unaudited financial statements should be read in conjunction with the financial statements and related notes thereto for the years ended April 30, 2019 and 2018. The Company has an April 30 year-end.</font></p> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin-top: 0pt; margin-bottom: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">&nbsp;</font></p> <table style="width: 100%; margin-right: auto; margin-left: auto; float: none;" border="0" cellspacing="0" cellpadding="0" align="center"> <tr> <td style="width: 18pt;" valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">&nbsp;</font></p> </td> <td style="width: 18pt;" valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">b)</font></p> </td> <td valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">Use of Estimates</font></p> </td> </tr> </table> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin-top: 0pt; margin-bottom: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">&nbsp;</font></p> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt 0pt 0pt 36pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">The preparation of financial statements in accordance with United States generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses in the reporting period. The Company regularly evaluates estimates and assumptions related to deferred income tax asset valuations. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company&#x2019;s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected.</font></p> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin-top: 0pt; margin-bottom: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">&nbsp;</font></p> <table style="width: 100%; margin-right: auto; margin-left: auto; float: none;" border="0" cellspacing="0" cellpadding="0" align="center"> <tr> <td style="width: 18pt;" valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">&nbsp;</font></p> </td> <td style="width: 18pt;" valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">c)</font></p> </td> <td valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">Recent Accounting Pronouncements</font></p> </td> </tr> </table> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin-top: 0pt; margin-bottom: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">&nbsp;</font></p> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt 0pt 0pt 36pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">The Company has implemented all new pronouncements that are in effect and that may impact its financial statements and does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations.</font></p> <table style="width: 100%; margin-right: auto; margin-left: auto; float: none;" border="0" cellspacing="0" cellpadding="0" align="center"> <tr> <td style="width: 18pt;" valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">5.</font></p> </td> <td valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">Related Party Transactions and Balances</font></p> </td> </tr> </table> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin-top: 0pt; margin-bottom: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">&nbsp;</font></p> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt 0pt 0pt 18pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">As at October 31, 2019 and April 30, 2019, the Company was indebted to the President of the Company for $57,150 and $43,368, respectively, for expenses incurred on behalf of the Company. These amounts are non-interest bearing, unsecured, and are due on demand.</font></p> <table style="margin: 0px auto; width: 100%; float: none;" border="0" cellspacing="0" cellpadding="0" align="center"> <tr> <td style="width: 18pt;" valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">6.</font></p> </td> <td valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">Subsequent Events</font></p> </td> </tr> </table> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin-top: 0pt; margin-bottom: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">&nbsp;</font></p> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt 0pt 0pt 18pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">Management has evaluated subsequent events through the date that these financial statements were available to be issued. There have been no events that would require adjustment to or disclosure in the financial statements.</font></p> <table style="width: 100%; margin-right: auto; margin-left: auto; float: none;" border="0" cellspacing="0" cellpadding="0" align="center"> <tr> <td style="width: 18pt;" valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">a)</font></p> </td> <td valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">Basis of Presentation</font></p> </td> </tr> </table> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin-top: 0pt; margin-bottom: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">&nbsp;</font></p> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt 0pt 0pt 36pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">The accompanying unaudited financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial statements and with Article 8 of Regulation S-X of the United States Securities and Exchange Commission (&#8220;SEC&#8221;). Accordingly, they do not contain all information and footnotes required by accounting principles generally accepted in the United States of America for annual financial statements. In the opinion of the Company&#x2019;s management, the accompanying unaudited financial statements contain all the adjustments necessary (consisting only of normal recurring accruals) to present the financial position of the Company at October 31, 2019 and the results of operations and cash flows for the periods presented. The results of operations for the six months ended October 31, 2019 are not necessarily indicative of the operating results for the full fiscal year or any future period. These unaudited financial statements should be read in conjunction with the financial statements and related notes thereto for the years ended April 30, 2019 and 2018. The Company has an April 30 year-end.</font></p> <table style="width: 100%; margin-right: auto; margin-left: auto; float: none;" border="0" cellspacing="0" cellpadding="0" align="center"> <tr> <td style="width: 18pt;" valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; font-stretch: normal;">&nbsp;</p> </td> <td style="width: 18pt;" valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">b)</font></p> </td> <td valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">Use of Estimates</font></p> </td> </tr> </table> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin-top: 0pt; margin-bottom: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">&nbsp;</font></p> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt 0pt 0pt 36pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">The preparation of financial statements in accordance with United States generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses in the reporting period. The Company regularly evaluates estimates and assumptions related to deferred income tax asset valuations. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company&#x2019;s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected.</font></p> <table style="width: 100%; margin-right: auto; margin-left: auto; float: none;" border="0" cellspacing="0" cellpadding="0" align="center"> <tr> <td style="width: 18pt;" valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; font-stretch: normal;">&nbsp;</p> </td> <td style="width: 18pt;" valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">c)</font></p> </td> <td valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">Recent Accounting Pronouncements</font></p> </td> </tr> </table> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin-top: 0pt; margin-bottom: 0pt; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">&nbsp;</font></p> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt 0pt 0pt 36pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">The Company has implemented all new pronouncements that are in effect and that may impact its financial statements and does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations.</font></p> 135000 The Corporation agreed to provide funding of $500,000 and to enter into a consulting contract with the President of Company. Of the $500,000 funding, $15,000 shall be payable to the President of the Company immediately upon acceptance of the LOI. The $15,000 is refundable in the event the terms of the LOI are not met. Of the $500,000 funding, $135,000 is to be deposited to a trust account with the Company's legal counsel for payment of outstanding payables, closing costs associated with the transaction and costs associated with raising capital for the Corporation. Once the Corporation raised a minimum of $4,500,000 after the completion of transaction, the President of the Company shall receive the remaining $350,000. Yes Yes true <table cellspacing="0" cellpadding="0" style="width: 100%; font: 10pt Times New Roman, Times, Serif; border-collapse: collapse"><tr style="vertical-align: top; font: 10pt Times New Roman, Times, Serif"><td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in"><font style="font: 10pt Times New Roman, Times, Serif">4.</font></td> <td style="font: 10pt Times New Roman, Times, Serif"><font style="font: 10pt Times New Roman, Times, Serif">Advances Payable</font></td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.25in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">&#160;</font></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.25in; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">On July 14, 2018, the Company executed a Letter of Intent (the &#8220;LOI&#8221;) with a Corporation registered in the country of Chile (&#8220;Corporation&#8221;). Pursuant to the LOI, the Corporation agreed to exchange 100% of its total issued and outstanding shares for 13,056,626 shares of common stock of the Company. In addition, the Corporation agreed to provide funding of $500,000 and to enter into a consulting contract with the President of Company. Of the $500,000 funding, $15,000 shall be payable to the President of the Company immediately upon acceptance of the LOI. The $15,000 is refundable in the event the terms of the LOI are not met. Of the $500,000 funding, $135,000 is to be deposited to a trust account with the Company&#8217;s legal counsel for payment of outstanding payables, closing costs associated with the transaction and costs associated with raising capital for the Corporation. Once the Corporation raised a minimum of $4,500,000 after the completion of transaction, the President of the Company shall receive the remaining $350,000. As at July 31, 2019, the Corporation provided $42,384 representing professional fees paid on behalf of the Company. The Company has recognized them in advances payable as at July 31, 2019.</font></p> true true 15000 15000 350000 895750 3936 333-215884 -117146 -97268 90 90 454126 454126 -524201 -551484 90 90 454126 454126 -571362 -536278 -82062 -69985 0.48 0.48 895750 895750 0.48 0.48 895750 895750 -19878 -8589 -12077 -19878 -12077 -5702 117146 42376 42220 42376 40279 <table style="width: 100%; margin-right: auto; margin-left: auto; float: none;" border="0" cellspacing="0" cellpadding="0" align="center"> <tr> <td style="width: 18pt;" valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">1.</font></p> </td> <td valign="top"> <p style=" font-size: 10pt; line-height: normal; font-family: 'Times New Roman', Times, serif; margin: 0pt; text-align: justify; font-stretch: normal;"><font style="font-family: 'Times New Roman', Times, serif; font-size: 10pt;">The Diamond Cartel Inc. (the &#8220;Company&#8221;) was incorporated in the State of Delaware on August 17, 2005. The Company is a Blank Check Company which plans to effect a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business with one or more businesses. On July 14, 2018 the Company had entered into a Letter of Intent with an unrelated third party. Except for this Letter of Intent, the Company has not identified any business combination target and has not, nor has anyone on its behalf, initiated any substantive discussions, directly or indirectly, with any business combination target.</font></p> </td> </tr> </table> EX-101.SCH 6 dmci-20191031.xsd XBRL TAXONOMY EXTENSION SCHEMA DOCUMENT 00000001 - Document - Document and Entity Information link:presentationLink link:calculationLink link:definitionLink 00000002 - Statement - Balance Sheets (unaudited) link:presentationLink link:calculationLink link:definitionLink 00000003 - Statement - Balance Sheets (Parenthetical) (unaudited) link:presentationLink link:calculationLink link:definitionLink 00000004 - Statement - Statements of Operations (unaudited) link:presentationLink link:calculationLink link:definitionLink 00000005 - Statement - Statements of Stockholders' Deficit (unaudited) link:presentationLink link:calculationLink link:definitionLink 00000006 - Statement - Statements of Cash Flows (unaudited) link:presentationLink link:calculationLink link:definitionLink 00000007 - Disclosure - Business Description link:presentationLink link:calculationLink link:definitionLink 00000008 - Disclosure - Going Concern link:presentationLink link:calculationLink link:definitionLink 00000009 - Disclosure - Summary of Significant Accounting Policies link:presentationLink link:calculationLink link:definitionLink 00000010 - Disclosure - Advances Payable link:presentationLink link:calculationLink link:definitionLink 00000011 - Disclosure - Related Party Transactions and Balances link:presentationLink link:calculationLink link:definitionLink 00000012 - Disclosure - Subsequent Events link:presentationLink link:calculationLink link:definitionLink 00000013 - Disclosure - Summary of Significant Accounting Policies (Policies) link:presentationLink link:calculationLink link:definitionLink 00000014 - Disclosure - Going Concern (Details Narrative) link:presentationLink link:calculationLink link:definitionLink 00000015 - Disclosure - Advances Payable (Details Narrative) link:presentationLink link:calculationLink link:definitionLink 00000016 - Disclosure - Related Party Transactions and Balances (Details Narrative) link:presentationLink link:calculationLink link:definitionLink EX-101.CAL 7 dmci-20191031_cal.xml XBRL TAXONOMY EXTENSION CALCULATION LINKBASE DOCUMENT EX-101.DEF 8 dmci-20191031_def.xml XBRL TAXONOMY EXTENSION DEFINITION LINKBASE DOCUMENT EX-101.LAB 9 dmci-20191031_lab.xml XBRL TAXONOMY EXTENSION LABEL LINKBASE DOCUMENT. Class of Stock [Axis] Series A Preferred Stock [Member] Related Party [Axis] Related Party [Member] Equity Components [Axis] Preferred Stock [Member] Common Stock [Member] Additional Paid-In Capital [Member] Accumulated Deficit [Member] Title of Individual [Axis] President [Member] Related Party [Axis] Document And Entity Information Entity Registrant Name Entity Central Index Key Document Type Document Period End Date Amendment Flag Current Fiscal Year End Date Entity Current Reporting Status Entity Interactive Data Current Entity Filer Category Entity Incorporation, State or Country Code Entity File Number Entity Small Business Flag Entity Emerging Growth Company Entity Ex Transition Period Entity Shell Company Entity Common Stock, Shares Outstanding Document Fiscal Period Focus Document Fiscal Year Focus Statement [Table] Statement [Line Items] ASSETS Total Assets LIABILITIES AND STOCKHOLDERS' DEFICIT Current Liabilities Account payable and accrued liabilities Due to related party Advances payable Total Liabilities Stockholders' Deficit Preferred Stock, value Common stock, 200,000,000 shares authorized, $0.0001 par value; 895,750 shares issued and outstanding at October 31, 2019 and April 30, 2019 Additional paid-in capital Accumulated deficit Total Stockholders' Deficit Total Liabilities and Stockholders' Deficit Preferred stock, authorized Preferred stock, par value (in dollars per share) Preferred stock, issued Preferred stock, outstanding Common stock, authorized Common stock, par value (in dollars per share) Common stock, issued Common stock, outstanding Income Statement [Abstract] Revenue Expenses General and administrative Net Loss Net Loss Per Common Share - Basic and Diluted (in dollars per share) Weighted Average Number of Common Shares Outstanding (in shares) Increase (Decrease) in Stockholders' Equity [Roll Forward] Balance Balance, shares Net loss for the period Balance Balance, shares Statement of Cash Flows [Abstract] Operating Activities: Net loss Adjustments to reconcile net loss to net cash used in operating activities: Foreign exchange gain on amount due to related party Changes in operating assets and liabilities: Prepaid expenses Accounts payable and accrued liabilities Advances payable Net Cash Used in Operating Activities Financing Activities: Proceeds of loan from related party Net Cash Provided by Financing Activities Change in Cash Cash - Beginning of Period Cash - End of Period Supplemental Disclosures: Interest paid Income taxes paid Organization, Consolidation and Presentation of Financial Statements [Abstract] Business Description Going Concern Accounting Policies [Abstract] Summary of Significant Accounting Policies Payables and Accruals [Abstract] Advances Payable Related Party Transactions [Abstract] Related Party Transactions and Balances Subsequent Events [Abstract] Subsequent Events Basis of Presentation Use of Estimates Recent Accounting Pronouncements Revenues Working capital deficiency Accumulated losses Ownership percentage Common stock, shares issued Common stock, shares outstanding Description of consulting contract Funding into consulting contract with President Payable after the acceptance of LOI Refundable amount Amount deposited to trust for payment of outstanding payables Amount raised for transaction Receivables based on minimum transaction completion Advances payable (recognized as professional fees) Disclosue of advances Payable. Amount raised for transaction. Payable after acceptance of letter of intent. Receivables based on minimum transaction completion. Refundable amount. Related Party [Member] Working capital is a measure of both a company's efficiency and its short-term financial health. Working capital is calculated as: Working Capital = Current Assets - Current Liabilities. Liabilities Stockholders' Equity Attributable to Parent Liabilities and Equity Shares, Outstanding Foreign Currency Transaction Gain (Loss), before Tax Increase (Decrease) in Prepaid Expense Increase (Decrease) in Contract with Customer, Liability Net Cash Provided by (Used in) Operating Activities Net Cash Provided by (Used in) Financing Activities Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Period Increase (Decrease), Excluding Exchange Rate Effect Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Including Disposal Group and Discontinued Operations EX-101.PRE 10 dmci-20191031_pre.xml XBRL TAXONOMY EXTENSION PRESENTATION LINKBASE DOCUMENT. XML 12 R12.htm IDEA: XBRL DOCUMENT v3.19.3
Subsequent Events
6 Months Ended
Oct. 31, 2019
Subsequent Events [Abstract]  
Subsequent Events

6.

Subsequent Events

 

Management has evaluated subsequent events through the date that these financial statements were available to be issued. There have been no events that would require adjustment to or disclosure in the financial statements.

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Related Party Transactions and Balances (Details Narrative) - USD ($)
Oct. 31, 2019
Apr. 30, 2019
Due to related party $ 57,150 $ 43,368
Related Party [Member] | President [Member]    
Due to related party $ 57,150 $ 43,368
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Summary of Significant Accounting Policies
6 Months Ended
Oct. 31, 2019
Accounting Policies [Abstract]  
Summary of Significant Accounting Policies

3.

Summary of Significant Accounting Policies

 

 

a)

Basis of Presentation

 

The accompanying unaudited financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial statements and with Article 8 of Regulation S-X of the United States Securities and Exchange Commission (“SEC”). Accordingly, they do not contain all information and footnotes required by accounting principles generally accepted in the United States of America for annual financial statements. In the opinion of the Company’s management, the accompanying unaudited financial statements contain all the adjustments necessary (consisting only of normal recurring accruals) to present the financial position of the Company at October 31, 2019 and the results of operations and cash flows for the periods presented. The results of operations for the six months ended October 31, 2019 are not necessarily indicative of the operating results for the full fiscal year or any future period. These unaudited financial statements should be read in conjunction with the financial statements and related notes thereto for the years ended April 30, 2019 and 2018. The Company has an April 30 year-end.

 

 

b)

Use of Estimates

 

The preparation of financial statements in accordance with United States generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses in the reporting period. The Company regularly evaluates estimates and assumptions related to deferred income tax asset valuations. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected.

 

 

c)

Recent Accounting Pronouncements

 

The Company has implemented all new pronouncements that are in effect and that may impact its financial statements and does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations.

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Statements of Stockholders' Deficit (unaudited) - USD ($)
Preferred Stock [Member]
Common Stock [Member]
Additional Paid-In Capital [Member]
Accumulated Deficit [Member]
Total
Balance at Apr. 30, 2018 $ 90 $ 454,126 $ (524,201) $ (69,985)
Balance, shares at Apr. 30, 2018 0.48 895,750      
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net loss for the period       (12,077) (12,077)
Balance at Oct. 31, 2018   $ 90 454,126 (536,278) (82,062)
Balance, shares at Oct. 31, 2018 0.48 895,750      
Balance at Apr. 30, 2019 $ 90 454,126 (551,484) (97,268)
Balance, shares at Apr. 30, 2019 0.48 895,750      
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Net loss for the period       (19,878) (19,878)
Balance at Oct. 31, 2019 $ 90 $ 454,126 $ (571,362) $ (117,146)
Balance, shares at Oct. 31, 2019 0.48 895,750      
XML 16 R1.htm IDEA: XBRL DOCUMENT v3.19.3
Document and Entity Information - shares
6 Months Ended
Oct. 31, 2019
Dec. 03, 2019
Document And Entity Information    
Entity Registrant Name DIAMOND CARTEL INC  
Entity Central Index Key 0001347491  
Document Type 10-Q  
Document Period End Date Oct. 31, 2019  
Amendment Flag false  
Current Fiscal Year End Date --04-30  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Non-accelerated Filer  
Entity Incorporation, State or Country Code DE  
Entity File Number 333-215884  
Entity Small Business Flag true  
Entity Emerging Growth Company true  
Entity Ex Transition Period true  
Entity Shell Company true  
Entity Common Stock, Shares Outstanding   895,750
Document Fiscal Period Focus Q2  
Document Fiscal Year Focus 2020  
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Statements of Operations (unaudited) - USD ($)
3 Months Ended 6 Months Ended
Oct. 31, 2019
Oct. 31, 2018
Oct. 31, 2019
Oct. 31, 2018
Income Statement [Abstract]        
Revenue    
Expenses        
General and administrative $ 8,589 $ 5,702 19,878 12,077
Net Loss $ (8,589) $ (5,702) $ (19,878) $ (12,077)
Net Loss Per Common Share - Basic and Diluted (in dollars per share) $ (0.01) $ (0.01) $ (0.02) $ (0.01)
Weighted Average Number of Common Shares Outstanding (in shares) 895,750 895,750 895,750 895,750
XML 20 R8.htm IDEA: XBRL DOCUMENT v3.19.3
Going Concern
6 Months Ended
Oct. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Going Concern

2.

Going Concern

 

These financial statements have been prepared on a going concern basis, which contemplates the Company will continue to realize its assets and discharge its liabilities in the normal course of business. The Company has not generated any revenue since inception. As of October 31, 2019, the Company has a working capital deficiency of $117,146 and has accumulated losses of $571,362 since inception. These factors, among others, raise substantial doubt regarding the Company’s ability to continue as a going concern. The continuation of the Company as a going concern is dependent upon the continued financial support from its stockholders, the ability of the Company to obtain necessary equity financing to continue operations. These financial statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. The Company intends to fund its activities through debt and equity financing arrangements. There is no assurance that the Company will obtain the necessary financing to complete its objectives.

XML 21 R13.htm IDEA: XBRL DOCUMENT v3.19.3
Summary of Significant Accounting Policies (Policies)
6 Months Ended
Oct. 31, 2019
Accounting Policies [Abstract]  
Basis of Presentation

a)

Basis of Presentation

 

The accompanying unaudited financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America for interim financial statements and with Article 8 of Regulation S-X of the United States Securities and Exchange Commission (“SEC”). Accordingly, they do not contain all information and footnotes required by accounting principles generally accepted in the United States of America for annual financial statements. In the opinion of the Company’s management, the accompanying unaudited financial statements contain all the adjustments necessary (consisting only of normal recurring accruals) to present the financial position of the Company at October 31, 2019 and the results of operations and cash flows for the periods presented. The results of operations for the six months ended October 31, 2019 are not necessarily indicative of the operating results for the full fiscal year or any future period. These unaudited financial statements should be read in conjunction with the financial statements and related notes thereto for the years ended April 30, 2019 and 2018. The Company has an April 30 year-end.

Use of Estimates

 

b)

Use of Estimates

 

The preparation of financial statements in accordance with United States generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses in the reporting period. The Company regularly evaluates estimates and assumptions related to deferred income tax asset valuations. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected.

Recent Accounting Pronouncements

 

c)

Recent Accounting Pronouncements

 

The Company has implemented all new pronouncements that are in effect and that may impact its financial statements and does not believe that there are any other new accounting pronouncements that have been issued that might have a material impact on its financial position or results of operations.

XML 22 R6.htm IDEA: XBRL DOCUMENT v3.19.3
Statements of Cash Flows (unaudited) - USD ($)
3 Months Ended 6 Months Ended
Oct. 31, 2019
Oct. 31, 2018
Oct. 31, 2019
Oct. 31, 2018
Operating Activities:        
Net loss $ (8,589) $ (5,702) $ (19,878) $ (12,077)
Adjustments to reconcile net loss to net cash used in operating activities:        
Foreign exchange gain on amount due to related party     311 (140)
Changes in operating assets and liabilities:        
Prepaid expenses       (3,936)
Accounts payable and accrued liabilities     5,895 (24,126)
Advances payable       40,279
Net Cash Used in Operating Activities     (13,672)
Financing Activities:        
Proceeds of loan from related party     13,672
Net Cash Provided by Financing Activities     13,672
Change in Cash    
Cash - Beginning of Period    
Cash - End of Period
Supplemental Disclosures:        
Interest paid    
Income taxes paid    
XML 23 R2.htm IDEA: XBRL DOCUMENT v3.19.3
Balance Sheets (unaudited) - USD ($)
Oct. 31, 2019
Apr. 30, 2019
ASSETS    
Total Assets
Current Liabilities    
Account payable and accrued liabilities 17,620 11,680
Due to related party 57,150 43,368
Advances payable 42,376 42,220
Total Liabilities 117,146 97,268
Stockholders' Deficit    
Preferred Stock, value
Common stock, 200,000,000 shares authorized, $0.0001 par value; 895,750 shares issued and outstanding at October 31, 2019 and April 30, 2019 90 90
Additional paid-in capital 454,126 454,126
Accumulated deficit (571,362) (551,484)
Total Stockholders' Deficit (117,146) (97,268)
Total Liabilities and Stockholders' Deficit
Series A Preferred Stock [Member]    
Stockholders' Deficit    
Preferred Stock, value
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Data and content created by government employees within the scope of their employment are not subject to domestic copyright protection. 17 U.S.C. 105. var Show={};Show.LastAR=null,Show.showAR=function(a,r,w){if(Show.LastAR)Show.hideAR();var e=a;while(e&&e.nodeName!='TABLE')e=e.nextSibling;if(!e||e.nodeName!='TABLE'){var ref=((window)?w.document:document).getElementById(r);if(ref){e=ref.cloneNode(!0); e.removeAttribute('id');a.parentNode.appendChild(e)}} if(e)e.style.display='block';Show.LastAR=e};Show.hideAR=function(){Show.LastAR.style.display='none'};Show.toggleNext=function(a){var e=a;while(e.nodeName!='DIV')e=e.nextSibling;if(!e.style){}else if(!e.style.display){}else{var d,p_;if(e.style.display=='none'){d='block';p='-'}else{d='none';p='+'} e.style.display=d;if(a.textContent){a.textContent=p+a.textContent.substring(1)}else{a.innerText=p+a.innerText.substring(1)}}} XML 26 R11.htm IDEA: XBRL DOCUMENT v3.19.3
Related Party Transactions and Balances
6 Months Ended
Oct. 31, 2019
Related Party Transactions [Abstract]  
Related Party Transactions and Balances

5.

Related Party Transactions and Balances

 

As at October 31, 2019 and April 30, 2019, the Company was indebted to the President of the Company for $57,150 and $43,368, respectively, for expenses incurred on behalf of the Company. These amounts are non-interest bearing, unsecured, and are due on demand.

XML 27 R15.htm IDEA: XBRL DOCUMENT v3.19.3
Advances Payable (Details Narrative) - USD ($)
6 Months Ended
Jul. 14, 2018
Oct. 31, 2019
Oct. 31, 2018
Apr. 30, 2019
Common stock, shares issued   895,750   895,750
Common stock, shares outstanding   895,750   895,750
Funding into consulting contract with President   $ 13,672  
Advances payable (recognized as professional fees)   42,376   $ 42,220
Related Party [Member]        
Ownership percentage 100.00%      
Common stock, shares issued 13,056,626      
Common stock, shares outstanding 13,056,626      
Description of consulting contract The Corporation agreed to provide funding of $500,000 and to enter into a consulting contract with the President of Company. Of the $500,000 funding, $15,000 shall be payable to the President of the Company immediately upon acceptance of the LOI. The $15,000 is refundable in the event the terms of the LOI are not met. Of the $500,000 funding, $135,000 is to be deposited to a trust account with the Company's legal counsel for payment of outstanding payables, closing costs associated with the transaction and costs associated with raising capital for the Corporation. Once the Corporation raised a minimum of $4,500,000 after the completion of transaction, the President of the Company shall receive the remaining $350,000.      
Funding into consulting contract with President $ 500,000      
Amount deposited to trust for payment of outstanding payables 135,000      
Amount raised for transaction 4,500,000      
Advances payable (recognized as professional fees)   $ 42,376    
President [Member] | Related Party [Member]        
Payable after the acceptance of LOI 15,000      
Refundable amount 15,000      
Receivables based on minimum transaction completion $ 350,000      
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Advances Payable
6 Months Ended
Oct. 31, 2019
Payables and Accruals [Abstract]  
Advances Payable
4. Advances Payable

 

On July 14, 2018, the Company executed a Letter of Intent (the “LOI”) with a Corporation registered in the country of Chile (“Corporation”). Pursuant to the LOI, the Corporation agreed to exchange 100% of its total issued and outstanding shares for 13,056,626 shares of common stock of the Company. In addition, the Corporation agreed to provide funding of $500,000 and to enter into a consulting contract with the President of Company. Of the $500,000 funding, $15,000 shall be payable to the President of the Company immediately upon acceptance of the LOI. The $15,000 is refundable in the event the terms of the LOI are not met. Of the $500,000 funding, $135,000 is to be deposited to a trust account with the Company’s legal counsel for payment of outstanding payables, closing costs associated with the transaction and costs associated with raising capital for the Corporation. Once the Corporation raised a minimum of $4,500,000 after the completion of transaction, the President of the Company shall receive the remaining $350,000. As at July 31, 2019, the Corporation provided $42,384 representing professional fees paid on behalf of the Company. The Company has recognized them in advances payable as at July 31, 2019.

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Going Concern (Details Narrative) - USD ($)
6 Months Ended
Oct. 31, 2019
Apr. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]    
Revenues  
Working capital deficiency 117,146  
Accumulated losses $ (571,362) $ (551,484)
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Business Description
6 Months Ended
Oct. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Business Description

1.

The Diamond Cartel Inc. (the “Company”) was incorporated in the State of Delaware on August 17, 2005. The Company is a Blank Check Company which plans to effect a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business with one or more businesses. On July 14, 2018 the Company had entered into a Letter of Intent with an unrelated third party. Except for this Letter of Intent, the Company has not identified any business combination target and has not, nor has anyone on its behalf, initiated any substantive discussions, directly or indirectly, with any business combination target.

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Balance Sheets (Parenthetical) (unaudited) - $ / shares
Oct. 31, 2019
Apr. 30, 2019
Preferred stock, authorized 946,000 946,000
Preferred stock, par value (in dollars per share) $ 0.001 $ 0.001
Preferred stock, issued
Preferred stock, outstanding
Common stock, authorized 200,000,000 200,000,000
Common stock, par value (in dollars per share) $ 0.0001 $ 0.0001
Common stock, issued 895,750 895,750
Common stock, outstanding 895,750 895,750
Series A Preferred Stock [Member]    
Preferred stock, authorized 54,000 54,000
Preferred stock, par value (in dollars per share) $ 0.001 $ 0.001
Preferred stock, issued 0.48 0.48
Preferred stock, outstanding 0.48 0.48