Related Party Transactions

9 Months Ended

Sep. 30, 2016

Related Party Transactions [Abstract]

Related Party Transactions

Included in advances – related parties are amounts owed to the Company’s former CFO and former CEO and Chairman of the Board of $50,000 and $70,000 at September 30, 2016 and December 31, 2015, respectively. The Company paid $20,000 during the three and nine months ended September 30, 2016, respectively.    At September 30, 2016 and December 31, 2015, the Company owes the former CFO approximately $1 million and $937,000 of unpaid wages and accrued vacation, respectively, which is included in accounts payable and accrued expenses in the accompanying condensed balance sheets.  Also included in advances – related parties is 20,000 Euros, ($22,444 as of September 30, 2016) and $80,000 related to two short term bridge loans made to the Company by its former CEO and current COO of the Company.  This is an interest-free loan and is to be repaid by the Company before December 31, 2016.

The former CEO and current COO Michaela Ott together with Michael Ott, Chairman of the Board and Chief Executive officer of the Company’s wholly owned subsidiaries Medite Enterprise Inc. and Medite GmbH provided an additional $950,000 in a non-interest bearing short term advance at the end of the first quarter 2015 to the Company. This advance was made pending the share placement and was due on demand and repaid in second quarter of 2015.  Included in accounts payable and accrued expenses at September 30, 2016 and at December 31, 2015, are amounts owed to both the Michaela and Michael Ott totaling approximately $133,000 and $90,000, respectively, of accrued wages and car allowances.