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SUBSEQUENT EVENTS
9 Months Ended
Sep. 30, 2012
SUBSEQUENT EVENTS  
SUBSEQUENT EVENTS

NOTE 11 - SUBSEQUENT EVENTS

 

On October 1, 2012, the Company paid $20,000 principal due on one of the third quarter secured subordinated promissory notes.

 

On October 1, 2012, the Company executed a promissory note in the amount of 75,000 to an unrelated party.  The terms of the debt are as follows:  (i) interest accrues at 9% per annum; (ii) The principal of this Note shall be due and payable as follows: (a) $10,000;  (b) $15,000 each November 30, 2012, December 31, 2012 and January31, 2013; and (c)  $20,000 on February 28, 2013 the maturity date; (iii) the Company will issue to Lender five-year warrant to purchase a total of 225,000 shares of common Stock at a price of $0.15 per share.

 

On October 8, 2012, the Company paid Tonaquint $5,000 to extend the Forbearance Period to November 15, 2012. Additionally, on October 26, 2012, the Company issued Tonaquint 43,382 pursuant to the terms of the Forbearance Agreement (see Note 3 “Significant Transactions”).

 

On October 19, 2012, the Company received an additional $25,000 of funding related to the May 30, 2012 convertible note.

 

In October of 2012, the Company paid a total of $45,000 of principal due on the August 3, 2012 note payable.

 

The Company has evaluated all subsequent events from the balance sheet date through the date of this filing and with the exception of the items mentioned above there are no events to disclose.