Subsequent Events

6 Months Ended

Apr. 30, 2012

Subsequent Events [Abstract]

Subsequent Events

11. Subsequent Events

Effective on May 1, 2012, Mr. Anthony M. Frank, a major stockholder, agreed to convert a total of $189,000 in notes payable, together with $44,106 in interest accrued thereon, into 66,601,832 shares of common stock at $0.0035 per share.

On May 8, 2012, Board member, Gregg J. Newhuis, entered into a Subscription Agreement to purchase a total of eight hundred million shares of the Company’s common stock at $0.001 per share over a six-month period. The agreement also grants Mr. Newhuis a one-year option to purchase up to 166,666,667 additional shares of common stock at $0.003 per share during the one-year period commencing on the date the final dollars have been invested. As of May 31, 2012, the Company had received $300,000 of the total purchase commitment.

On May 17, 2012, the Company repaid a $30,000 short term loan made by Mr. Newhuis to the Company in February 2012. No interest was accrued or paid on the loan.

On May 17, 2012, the Company entered into settlement agreements with a two consultants to the Company to satisfy a total of $62,855 and $298,748 in accrued fees for services in exchange for payments of $30,000 and $75,000, respectively. The Company made full payment of the settlement amounts on May 30, 2012.

On May 21, 2012, the Company entered into a Subscription Agreement with an unaffiliated stockholder to purchase a total of two hundred million shares of the Company’s common stock at $0.001 per share, for a total of $200,000, over a six-month period. As additional consideration, the purchaser was granted a one-year option to purchase up to an additional 33,333,333 shares of common stock at $0.003 per share commencing on the date the final dollars are invested. As of May 29, 2012, the Company had received $50,000 of the total purchase commitment.

On May 31, 2012, the Company terminated the May 4, 2010 Investment Agreement it had entered into with Dutchess Opportunity Fund, II, LP and withdrew the Registration Statement on Form S-1 that it had filed in April 2012 to register 140 million shares of common stock it had intended to sell to Dutchess under that agreement.