XML 24 R13.htm IDEA: XBRL DOCUMENT v3.5.0.2
Subsequent Events
6 Months Ended
Jun. 30, 2016
Subsequent Events [Abstract]  
Subsequent Events

7. Subsequent Events

 

Variable Rate Convertible Debentures

 

In July and August 2016, a holder of Variable Rate Convertible Debentures with principal of $85,800 and accrued interest of $551 converted their debentures into 42,565,754 shares of common stock. The same investor purchased $111,279 of previously issued and outstanding Variable Rate Convertible Debentures for an exchange amount of $174,043.

 

Secured Convertible Debenture

 

In July 2016, the Company issued for cash of $100,000 a Secured Convertible Debenture (the “Debenture”) to an accredited investor. The terms of the Debenture are for three years, a conversion price of $0.01 per share and an annual interest rate of 8%. The secured interest is on all of the assets of the Company and is shared equally with a previous secured party.

 

Subsequent events have been evaluated through the date financial statements are filed with the Securities and Exchange Commission.