cirtran10qexh1032.htm

BALANCE SHEET PARENTHETICAL (USD $)	Jun. 30, 2011	Dec. 31, 2010
Allowance for doubtful accounts	$ 455,253	$ 445,253
Inventory reserve	$ 2,065,558	$ 2,065,558
Common stock par value	$ 0.001	$ 0.001
Common stock shares authorized	4,500,000,000	4,500,000,000
Common stock shares issued	1,498,972,923	1,498,972,923
Common stock shares outstanding	1,498,972,923	1,498,972,923

CONSOLIDATED STATEMENTS OF OPERATIONS (USD $)	3 Months Ended	6 Months Ended
Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010
Net sales	$ 685,625	$ 2,313,843	$ 2,080,825	$ 4,096,702
Cost of sales	(133,130)	(1,011,742)	(328,417)	(2,159,175)
Royalty Expense	(534,296)	(579,784)	(1,078,361)	(1,105,167)
Gross profit	18,199	722,317	674,047	832,360
Selling, general and administrative expenses	1,175,606	1,260,982	2,247,754	2,432,869
Non-cash compensation expense	5,703		104,462	43,577
Total operating expenses	1,181,309	1,260,982	2,352,216	2,476,446
Loss from operations	(1,163,110)	(538,665)	(1,678,169)	(1,644,086)
Interest expense	(232,722)	(323,052)	(504,512)	(588,624)
Gain on sale/leaseback	20,269	20,269	40,537	(40,537)
Separation expense - related party				(260,000)
Other income	28,500		57,000
Gain on settlement of litigation / debt	45,187	(1,156)	45,187	(1,156)
Gain (loss) on derivative valuation	6,005,885	120,652	(1,865,826)	368,009
Total other income (expense), net	5,867,119	(183,287)	(2,227,614)	(441,234)
Net income (loss)	4,704,009	(721,952)	(3,905,783)	(2,085,320)
Net loss attributable to noncontrolling interest	559,097	603,778	1,134,933	1,135,069
Net income (loss) attributable to CirTran	$ 5,263,106	$ (118,174)	$ (2,770,850)	$ (950,251)
Basic and diluted loss per common share
Basic weighted-average common shares outstanding	1,498,972,923	1,498,972,923	1,498,972,923	1,498,972,923
Diluted weighted-average common shares outstanding	1,498,972,923	1,498,972,923	1,498,972,923	1,498,972,923

Trade accounts receivable, net of allowance for doubtful accounts of $445,253 and $445,253, respectively

994,300

629,830

Prepaid royalty

500,000

Other

380,723

379,929

Investment in securities, at cost

300,000

Property and equipment, net

240,050

335,547

Other assets, net

8,267

Checks written in excess of bank balance

256,819

203,460

Related party payable

546,000

420,000

Accrued liabilities

5,431,810

4,761,611

Deferred revenue

2,580,220

1,882,191

Convertible debenture

3,161,355

Current maturities of long-term debt

886,265

850,620

Common stock, par value $0.001; authorized 4,500,000,000 shares; issued and outstanding shares: 1,498,972,923

1,498,968

Subscription receivable

(17,000)

Document and Entity Information	3 Months Ended
Document and Entity Information	Jun. 30, 2011	Aug. 17, 2011
Document and Entity Information
Entity Registrant Name	CIRTRAN CORP
Document Type	10-Q
Document Period End Date	Jun. 30, 2011
Amendment Flag	false
Entity Central Index Key	0000813716
Current Fiscal Year End Date	--12-31
Entity Common Stock, Shares Outstanding		1,498,972,923
Entity Filer Category	Smaller Reporting Company
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Document Fiscal Year Focus	2011
Document Fiscal Period Focus	Q2

Notes Payable	3 Months Ended
Notes Payable	Jun. 30, 2011
Notes Payable [Abstract] {1}
Long-term Debt [Text Block]	NOTE 7 - NOTES PAYABLE Notes payable consisted of the following at June 30, 2011, and December 31, 2010: June 30, December 31, 2011 2010 -------------------------------------------------------------------------------- Settlement note, ten monthly payments, no interest. 59,350 59,769 Promissory note to a stockholder, 10% stated interest rate, unsecured, interest due quarterly, due on demand to related party. 151,832 159,442 Promissory note to an investor, 10% stated interest rate, face value discounted and to be accreted over the life of the note. Due on demand. 700,000 663,935 Promissory note to a member of AfterBev, 10% stated interest, interest payable quarterly. Due on demand. 75,000 75,000 Promissory notes to 3 investors, 12% stated interest, 5% borrowing fee, due on demand to related party. 51,916 51,916 Promissory note to a member of PlayBev, 10% stated interest, interest payable quarterly, unsecured. Due on demand. 250,000 250,000 -------------------------------------------------------------------------------- 1,288,098 1,260,062 Less current maturities (1,288,098) (1,260,062) -------------------------------------------------------------------------------- Long-term portion of notes payable $ - $ - -------------------------------------------------------------------------------- In February 2008, the Company issued a 10 percent, three-year, $700,000 promissory note to an investor. No interim principal payments are required, but accrued interest is due quarterly. The investor also received five-year warrants to purchase up to 75,000,000 shares of common stock at exercise prices ranging from $0.02 to $0.50 per share. The Company determined that the warrants fell under derivative accounting treatment, and recorded the initial carrying value of a derivative liability equal to the fair value of the warrants at the time of issuance (See note 12). At the same time, a discount equal to the face amount of the note was recorded, to be recognized ratably to interest expense. Interest expense of $36,065 and $115,719 was accreted during the six months ended June 30, 2011 and 2010, respectively. A total of $700,000 has been accreted against the note as of June 30, 2011. As of June 30, 2011, the balance of the note was $700,000. In March 2008, the Company converted $75,000 owed to an unrelated member of AfterBev into a one-year, 10 percent promissory note, with interest payable quarterly. The balance as of June 30, 2011, was $75,000. The note renews monthly. The Company was in default on this note as of June 30, 2011.

Stock Options and Warrants	3 Months Ended
Stock Options and Warrants	Jun. 30, 2011
Equity
Shareholders' Equity and Share-based Payments [Text Block]	NOTE 12 - STOCK OPTIONS AND WARRANTS Stock Option Plans - As of June 30, 2011, options to purchase a total of 59,200,000 shares of common stock had been issued from the 2006 Stock Option Plan, out of which a maximum of 60,000,000 can be issued. As of June 30, 2011, options and share purchase rights to acquire a total of 22,960,000 shares of common stock had been issued from the 2008 Stock Option Plan, also, out of which a maximum of 60,000,000 can be issued. The Company's Board of Directors administers the plans, and has discretion in determining the employees, directors, independent contractors, and advisors who receive awards, the type of awards (stock, incentive stock options, non-qualified stock options, or share purchase rights) granted, and the term, vesting, and exercise prices. Employee Options - During the six months ended June 30, 2011 and 2010, the Company did not grant options to purchase shares of common stock to employees. During the six months ending June 30, 2011, the Company accrued for 22,400,000 employee options relating to the employment contract of the Company president, directors and officers. The fair market value of the options accrued aggregated $46,053, using the following assumptions: 5 year term, estimated volatility of between 167.47 and 174.19 percent and a discount rate of between 1.55 and 2.02 percent. A summary of the stock option activity under the Plans as of June 30, 2011, and changes during the six months then ended is presented below: Weighted- Weighted- Average Average Remaining Aggregate Exercise Contractual Intrinsic Shares Price Life Value -------------------------------------------------------------------------------- Outstanding at December 31, 2010 40,800,000 $ 0.015 1.45 $ - -------------------------------------------------------------------------------- Granted - $ 0.000 Exercised - $ 0.000 Expired (3,000,000) $ 0.013 Outstanding at June 30, 2011 37,800,000 $ 0.013 1.02 $ - -------------------------------------------------------------------------------- Exercisable at June 30, 2011 37,800,000 $ 0.013 1.02 $ - As of June 30, 2011 and December 31, 2010, the company had a total of 83,600,000 and 61,200,000 options not issued but accrued. Warrants - On January 24, 2011, as part of the A&R Forbearance Agreement, a warrant to purchase 25,000,000 shares of common stock was issued to YA Global. The warrant had an exercise price of $0.02 per share and vested immediately. In connection with the private placement with ANAHOP, the Company issued five-year warrants to purchase 30,000,000 shares of common stock at prices ranging from $0.15 to $0.50. All of these warrants were subject to adjustment in the event of a stock split. Accordingly, as a result of the 1:1.20 forward stock split that occurred in 2007, there were warrants outstanding to purchase a total of 36,000,000 shares of common stock in connection with these transactions. The exercise price per share of each of the aforementioned warrants was likewise affected by the stock split, in that each price was reduced by 20 percent. These warrants have expired during the 6 months ended June 30, 2011. As of June 30, 2011, the Company also had outstanding and exercisable warrants issued in prior years to purchase 75,000,000 shares of the Company's common stock related to a debt issuance at prices ranging from $0.02 to $0.50 per share and expire on February 28, 2013. The Company had outstanding and exercisable warrants issued in prior years to purchase 6,000,000 shares of the Company's common stock issued to a shareholder at a price of $0.0125 per share and an expiration date of April 5, 2012. As of June 30, 2011, the Corporation had warrants that were subject to derivative accounting treatment, and are included as part of the company's derivative liability. The value of the derivative liability related to the warrants was $129,842 as of June 30, 2011 (see note 9).

Inventory	3 Months Ended
Inventory	Jun. 30, 2011
Inventory
Inventory Disclosure [Text Block]	NOTE 3 - INVENTORY Inventory consisted of the following: June 30, December 31, 2011 2010 -------------------------------------------------------------------------------- Raw Materials $ 1,704,320 $ 1,730,086 Work in Process 426,250 139,947 Finished Goods 727,381 737,881 Allowance / Reserve (2,065,558) (2,065,558) -------------------------------------------------------------------------------- Totals $ 792,393 $ 542,356 ================================================================================

Financial Instruments	3 Months Ended
Financial Instruments	Jun. 30, 2011
Derivative Instruments and Hedging Activities
Derivatives and Fair Value [Text Block]	NOTE 9 - FINANCIAL INSTRUMENTS The Company has financial instruments that are considered derivatives, or contain embedded features subject to derivative accounting. Embedded derivatives are valued separate from the host instrument and are recognized as derivative liabilities in the Company's balance sheet. The Company measures these instruments at their estimated fair value, and recognizes changes in their estimated fair value in results of operations during the period of change. The Company has estimated the fair value of these embedded derivatives using the Black-Scholes model. The fair value of the derivative instruments are measured each quarter. As of June 30, 2011, and December 31, 2010, the fair market value of the derivatives aggregated $3,336,882 and $1,412,646, respectively, using the following assumptions: term of between 0.50 - 1.67 years, estimated volatility of between 183.28 and 201.31 percent and a discount rate of between 0.10 and 1.76 percent.

Geographic Information	3 Months Ended
Geographic Information	Jun. 30, 2011
Geographic Information
Geographic Information	NOTE 14 - GEOGRAPHIC INFORMATION The Company currently maintains $160,684 of capitalized tooling costs in China. All other revenue-producing assets are located in the United States of America. Revenues are attributed to the geographic areas based on the location of the customers purchasing the products.

Fair Value Measurements	3 Months Ended
Fair Value Measurements	Jun. 30, 2011
Fair Value Measures and Disclosures
Fair Value Disclosures [Text Block]	NOTE 10 - FAIR VALUE MEASUREMENTS For asset and liabilities measured at fair value, the Company uses the following hierarchy of inputs: o Level one -- Quoted market prices in active markets for identical assets or liabilities; o Level two -- Inputs other than level one inputs that are either directly or indirectly observable; and o Level three -- Unobservable inputs developed using estimates and assumptions, which are developed by the reporting entity and reflect those assumptions that a market participant would use. Liabilities measured at fair value on a recurring basis at June 30, 2011, are summarized as follows: Level 1 Level 2 Level 3 Total ---------------- ----------------- ------------- Fair value of derivatives $ - $ 3,336,882 $ - $ 3,336,882 Liabilities measured at fair value on a recurring basis at December 31, 2010, are summarized as follows: Level 1 Level 2 Level 3 Total ---------------- ----------------- ------------- Fair value of derivatives $ - $ 1,412,646 $ - $ 1,412,646 As further described in Note 9, the fair value of the derivative liability was determined using the Black-Scholes option pricing model.

Convertible Debentures	3 Months Ended
Convertible Debentures	Jun. 30, 2011
Debt
Debt Disclosure [Text Block]	NOTE 8 - CONVERTIBLE DEBENTURES Convertible Debentures consisted of the following as of June 30, 2011, and December 31, 2010: June 30, December 31, 2011 2010 -------------------------------------------------------------------------------- Convertible debenture, 12% stated interest rate, secured by all of the Company's assets, Due on December 31, 2011. $ 620,137 $ 620,137 Convertible debenture, 12% stated interest rate, secured by all of the Company's assets, Due on December 31, 2011. 1,500,000 1,500,000 Convertible debenture, 12% stated interest rate, secured by all of the Company's assets, Due on December 31, 2011. 1,041,218 1,041,218 -------------------------------------------------------------------------------- 3,161,355 3,161,355 Less current maturities (3,161,355) (3,161,355) -------------------------------------------------------------------------------- Long-term portion of convertible debentures $ - $ - -------------------------------------------------------------------------------- The convertible debentures and accrued interest are convertible into shares of the Company's common stock at the lowest bid price for the 20 trading days prior to conversion. As of December 31, 2010, the Company was in default on the all three convertible debentures. On January 24, 2011, the Company entered into a forbearance agreement which requires the Company to make payments according to the agreement (see note 6). As of June 30, 2011, and December 31, 2010, the Company had accrued interest owed on the convertible debentures in the amount of $716,580 and $958,458, respectively. The Company recorded interest expense of $188,123 and $187,722 for the six months ended June 30, 2011 and 2010, respectively. The Company determined that certain conversion features of the convertible debentures and accrued interest fell under derivative accounting treatment. As of June 30, 2011, and December 31, 2010, the fair value of the conversion feature was determined to be $3,207,041 and $1,339,192, respectively. During the six months ended June 30, 2011, the Company paid $430,000 towards the required payments under the schedule above. As of the date of this filing it had not made the required payments for the months of May through August, 2011. See Note 6 regarding the actions taken by the holder of the convertible debentures in connection with the Company's non-compliance with the Amended and Restated Forbearance Agreement.

Summary of Significant Accounting Policies	3 Months Ended
Summary of Significant Accounting Policies	Jun. 30, 2011
Accounting Policies
Significant Accounting Policies [Text Block]	NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation - CirTran Corporation and its subsidiaries (collectively, the "Company" or "CirTran") consolidates all of its majority-owned subsidiaries and companies over which the Company exercises control through majority voting rights and companies in which it has a variable interest and the Company is the primary beneficiary. The Company accounts for its investments in common stock of other companies that the Company does not control but over which the Company can exert significant influence using the cost method. Condensed Financial Statements - The accompanying unaudited condensed consolidated financial statements include the accounts of CirTran Corporation and its subsidiaries. These financial statements have been prepared in accordance with Article 10 of Regulation S-X promulgated by the Securities and Exchange Commission ("SEC" or "Commission"). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to such rules and regulations. These statements should be read in conjunction with the Company's annual financial statements included in the Company's Annual Report on Form 10-K for the year ended December 31, 2010. In particular, the Company's significant accounting policies were presented as Note 2 to the consolidated financial statements in that Annual Report. In the opinion of management, all adjustments necessary for a fair presentation have been included in the accompanying condensed consolidated financial statements and consist of only normal recurring adjustments. The results of operations presented in the accompanying condensed consolidated financial statements for the six months ended June 30, 2011, are not necessarily indicative of the results that may be expected for the twelve months ending December 31, 2011. Principles of Consolidation - The consolidated financial statements include the accounts of CirTran Corporation, and its wholly owned subsidiaries Racore Technology Corporation, CirTran - Asia, Inc., CirTran Products Corp., CirTran Media Corp., CirTran Online Corp., and CirTran Beverage Corp. The consolidated financial statements also include the accounts of After Beverage Group LLC, a majority controlled entity, and Play Beverages LLC ("PlayBev"), a consolidated variable interest entity. PlayBev holds a licence agreement with Playboy Enterprises International, Inc. ("Playboy"), to manufacture and distribute energy drinks and water under the Playboy name. Effective January 1, 2010, the Company determined that it was the primary beneficiary of PlayBev and began to consolidate into its financial statements the accounts of PlayBev. Inventories - Inventories are stated at the lower of average cost or market value. Cost on manufactured inventories includes labor, material and overhead. Overhead cost is based on indirect costs allocated to cost of sales, work-in-process inventory, and finished goods inventory. Indirect overhead costs have been charged to cost of sales or capitalized as inventory, based on management's estimate of the benefit of indirect manufacturing costs to the manufacturing process. When there is evidence that the inventory's value is less than original cost, the inventory is reduced to market value. The Company determines market value on current resale amounts and whether technological obsolescence exists. The Company has agreements with most of its manufacturing customers that require the customer to purchase inventory items related to their contracts in the event that the contracts are cancelled. Impairment of Long-Lived Assets - The Company reviews its long-lived assets, including intangibles, for impairment when events or changes in circumstances indicate that the carrying value of an asset may not be recoverable. At each balance sheet date, the Company evaluates whether events and circumstances have occurred that indicate possible impairment. The Company uses an estimate of future undiscounted net cash flows from the related asset or group of assets over their remaining life in measuring whether the assets are recoverable. Long-lived asset costs are amortized over the estimated useful life of the asset, which are typically five to seven years. Amortization expense was $6,636 and $111,113 for the three months ended June 30, 2011 and 2010, respectively, and was $13,271 and $222,227 for the six months ended June 30, 2011 and 2010, respectively. Financial Instruments with Derivative Features - The Company does not hold or issue derivative instruments for trading purposes. However, the Company has financial instruments that are considered derivatives, or contain embedded features subject to derivative accounting. Embedded derivatives are valued separate from the host instrument and are recognized as derivative liabilities in the Company's balance sheet. The Company measures these instruments at their estimated fair value, and recognizes changes in their estimated fair value in results of operations during the period of change. The Company has estimated the fair value of these embedded derivatives using the Black-Scholes model. The fair value of the derivative instruments is re-measured each quarter (see Note 10). Revenue Recognition - Revenue is recognized when products are shipped. Title passes to the customer or independent sales representative at the time of shipment. Returns for defective items are either repaired and sent back to the customer, or returned for credit or replacement product. Historically, expenses associated with returns have not been significant and have been recognized as incurred. Loss Per Share - Basic loss per share is calculated by dividing net loss available to common shareholders by the weighted-average number of common shares outstanding during each period. Diluted loss per share is similarly calculated, except that the weighted-average number of common shares outstanding would include common shares that may be issued subject to existing rights with dilutive potential when applicable. The Company had 2,236,035,552 and 1,269,804,223 in potentially issuable common shares at June 30, 2011 and 2010, respectively. These potentially issuable common shares were excluded from the calculation of diluted loss per share because the effects were anti-dilutive. Use of Estimates - In preparing the Company's financial statements in accordance with accounting principles generally accepted in the United States of America, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reported periods. Actual results could differ from those estimates. Reclassifications - Certain reclassifications have been made to the financial statements to conform to the current year presentation. Consolidation of PlayBev - At December 31, 2010, the Company determined that it was the primary beneficiary of PlayBev, and that the assets, liabilities and operations of PlayBev should be consolidated into its financial statements beginning January 1, 2010. The Company has adjusted the previously reported, June 30, 2010, consolidated statements of operations and cash flows for the effects of the newly consolidated entity. The following table shows the effects of the change. Three months ended Six months ended June 30, June 30, 2010 2010 Changes 2010 2010 Changes -------------------------------------------------------------------------------------------- (As Adjusted) (As Adjusted) Condensed Consolidated Statement of Operations Net Sales $ (5,008,276) $ (2,313,843) $ 2,694,433 $ (7,192,114) $ (4,096,702) $ 3,095,412 Cost of Sales 3,571,453 1,011,742 (2,559,711) 5,100,165 2,159,175 (2,940,990) Royalty Expense 624,676 579,784 (44,892) 1,156,124 1,105,167 (50,957) Selling, General and administrative 622,285 1,260,982 638,697 1,412,893 2,432,869 1,019,976 Interest Expense 286,484 323,052 36,568 535,084 588,624 53,540 Interest Income (151,578) - 151,578 (180,763) - 180,763 Condensed Consolidated Statement of Cash Flows Cash flows from operating activities Net income (loss) $ 196,563 $ (721,952) $ (918,515) $ (727,576) $ (2,085,320) $ (1,357,744) Adjustments to reconcile net loss to net cash used in operating activities: Prepaid expenses and other current assets 113,720 (1,249,159) (1,362,879) Related party receivable (2,159,155) - 2,159,155 Accrued liabilities 782,545 1,344,013 561,468 Taxes - At June 30, 2011, management had recorded a full valuation allowance against the net deferred tax assets related to temporary differences and operating losses in the current period because there is significant uncertainty as to the realizability of the deferred tax assets. Based on a number of factors, the currently available, objective evidence indicates that it is more-likely-than-not that the net deferred tax assets will not be realized. Recent Accounting Pronouncements In January 2009, the Securities and Exchange Commission ("SEC") issued Release No. 33-9002, "Interactive Data to Improve Financial Reporting." The final rule requires companies to provide their financial statements and financial statement schedules to the SEC and on their corporate websites in interactive data format using the eXtensible Business Reporting Language ("XBRL"). The rule was adopted by the SEC to improve the ability of financial statement users to access and analyze financial data. The SEC adopted a phase-in schedule indicating when registrants must furnish interactive data. Under this schedule, the Company is required to submit filings with financial statement information using XBRL commencing with the quarterly period ended June 30, 2011, reported on Form 10-Q. The Company has implemented this new pronouncement effective as of that date. In April 2010, the FASB issued guidance to clarify classification of an employee stock-based payment award when the exercise price is denominated in the currency of a market in which the underlying equity security trades. The guidance is effective for fiscal years and interim periods beginning after December 15, 2010, with early adoption permitted. The Company's adoption of the new standard, on January 1, 2011, did not have a material impact on its consolidated statements.

Intellectual Property	3 Months Ended
Intellectual Property	Jun. 30, 2011
Intangible Assets, Goodwill and Other
Intangible Assets Disclosure [Text Block]	NOTE 4 - INTELLECTUAL PROPERTY Intellectual property and estimated service lives consisted of the following: Estimated June 30, December 31, Service Lives 2011 2010 in Years -------------------------------------------------------------------------------- Infomercial development costs $ 54,946 $ 54,946 7 Patents 38,056 38,256 7 Website Development Costs 150,000 150,000 5 -------------------------------------------------------------------------------- Total intellectual property $ 243,002 $ 243,202 Less accumulated amortization (86,813) (73,543) -------------------------------------------------------------------------------- Intellectual property, net $ 156,189 $ 169,659 -------------------------------------------------------------------------------- The estimated amortization expenses for the next five years are as follows: Year Ending December 31, ---------------------------------------------------------------- 2011 $ 24,583 2012 34,352 2013 32,418 2014 32,418 2015 32,418 ---------------------------------------------------------------- Total $ 156,189 ----------------------------------------------------------------

Related Party Disclosures	3 Months Ended
Related Party Disclosures	Jun. 30, 2011
Related Party Disclosures
Related Party Transactions Disclosure [Text Block]	NOTE 5 - RELATED PARTY TRANSACTIONS Global Marketing Alliance The Company entered into an agreement with Global Marketing Alliance ("GMA"), and hired GMA's owner as the Vice President of CirTran Online ("CTO")', one of the Company's subsidiaries. Under the terms of the agreement, the Company outsources to GMA the online marketing and sales activities associated with the Company's CTO products. In return, the Company provides bookkeeping and management consulting services to GMA, and pays GMA a fee equal to five percent of CTO's online net sales. In addition, GMA assigned to the Company all of its web-hosting and training contracts effective as of January 1, 2007, along with the revenue earned thereon, and the Company also assumed the related contractual performance obligations. The Company recognizes the revenue collected under the GMA contracts, and remits back to GMA a management fee approximating their actual costs. The Company recognized revenues from GMA related products and services in the amount of $0 and $278,477 for the three months ended June 30, 2011 and 2010, respectively, and $0 and $768,522 for the six months ended June 30, 2011 and 2010, respectively. The GMA agreement remained in place as of June 30, 2011, but there was no activity under the agreement for the period ending June 30, 2011. Transactions involving Officers, Directors, and Stockholders In 2007, the Company appointed Fadi Nora to its Board of Directors. In addition to compensation the Company normally pays to non-employee members of the Board, Mr. Nora is entitled to a quarterly bonus equal to 0.5 percent of any gross sales earned by the Company directly through Mr. Nora's efforts. As of June 30, 2011 the Company owed $48,788 under this arrangement. During the six months ended June 30, 2011, Mr. Nora loaned the company $605,200 and received cash payments totaling $100,000. As of June 30, 2011, the Company still owed Mr. Nora $1,302,159 in the form of unsecured advances. These advances and short term bridge loans were approved by the Board of Directors under a 5% borrowing fee. The borrowing fees were waived by Mr. Nora on these loans. In addition, the Company owed Mr. Nora $1,534,506 in accrued liabilities as of June 30, 2011, for selling, general and administrative expenses that were paid for by Mr. Nora on a personal credit card. The Company has agreed to issue 2,400,000 options to Mr. Nora as compensation for services provided as a director of the company. The terms of the director agreement requires the Company to grant to Mr. Nora options to purchase 2,400,000 shares of the Company's stock each year, with the exercise price of the options being the market price of the Company's common stock as of the grant date. During the six months ended June 30, 2011, the Company accrued for 2,400,000 stock options relating to the director agreement with Mr. Nora. The fair market value of the options was $4,747, using the following assumptions: 5 year term, estimated volatility of 167.47 and a discount rate of 2.02 percent (see also Note 12). In addition, on July 14, 2009, the Company entered into a Stock Purchase Agreement with Mr. Nora to sell to Mr. Nora 75,000,000 shares of common stock of the Company at a purchase price of $.003 per share, for a total of $225,000, payable through the conversion of outstanding loans made by the director to the Company. Mr. Nora and the Company acknowledged in the purchase agreement that the Company did not have sufficient shares to satisfy the issuances, and agreed that the shares would be issued once the Company has sufficient shares to do so. As of June 30, 2011, the Company showed the balance of $225,000 as part of his short term advances payable on the balance sheet. In 2007, the Company issued a 10 percent promissory note to a family member of the Company president in exchange for $300,000. The note was due on demand after May 2008. During the six months ended June 30, 2011 and 2010, the Company repaid principal and interest totaling $7,609 and $28,212, respectively. At June 30, 2011, the principal amount owing on the note was $151,833. On March 31, 2008, the Company issued to this same family member, along with four other Company shareholders, promissory notes totaling $315,000. The family member's note was for $105,000. Under the terms of all the notes, the Company received total proceeds of $300,000, and agreed to repay the amount received plus a five percent borrowing fee. The notes were due April 30, 2008, after which they were due on demand, with interest accruing at 12 percent per annum. During the six months ended June 30, 2011, the Company made no payments towards the outstanding notes. The principal balance owing on the promissory notes as of June 30, 2011, totaled $51,916. On April 2, 2009, the Company President and a Director of the Company borrowed from a third party a total of $890,000 in the form of four short-term promissory notes. The Company President and a Director of the Company signed personally for the notes. Because the loans were used to pay obligations of the Company, the Company has assumed full responsibility for the notes. Two of the notes were for a term of 60 days, with a 60 day grace period; a third note was for a term of 90 days, and a fourth note was for 24 days. Loan fees totaling $103,418 were incurred with the issuance of the notes and are payable upon maturity of the notes. At June 30, 2011, the Company showed the balance of $745,162 as part of short term advances payable on the balance sheet. As of June 30, 2011, all four notes were in default and are accruing interest at the default rate of 36 percent per year. As of June 30, 2011, the Company owed the Company president a total of $229,102 in short term advances payable, and $148,695 in accrued options. These advances and short term bridge loans were approved by the Board of Directors under a 5% borrowing fee. The borrowing fees were waived by the Company's president on these loans. On July 14, 2009, the Company entered into a Stock Purchase Agreement with Iehab Hawatmah, the president of the Company, to sell to him 50,000,000 shares of common stock of the Company at a purchase price of $.003 per share, for a total amount of $150,000, payable through the conversion of outstanding loans made by Mr. Hawatmah to the Company. Mr. Hawatmeh and the Company acknowledged in the purchase agreement that the Company did not have sufficient shares to satisfy the issuances, and agreed that the shares would be issued once the Company has sufficient shares to do so. As of June 30, 2011, the Company showed the balance of $150,000 as a part of the short term advances payable on the balance sheet. On March 5, 2010, the Company entered into a Separation Agreement ("Agreement") with Shaher Hawatmeh. As of the date of the Agreement, Shaher Hawatmeh's employment with the Company was terminated and he no longer had any further employment obligations with the Company. In consideration of his execution of the Agreement, the Company agreed to pay Shaher Hawatmeh's "Separation Pay" of $210,000 in twenty-six bi-weekly payments. The company recorded $40,385 and $56,539 of compensation expense for the six months ended June 30, 2011 and 2010, under the terms of the agreement, respectively. On April 2, 2010, the Company made the first payment to Shaher Hawatmeh. Additional terms of the separation agreement included the issuance and delivery to Shaher Hawatmeh of ten million (10,000,000) shares of the Company's common stock within a reasonable time following authorization by the Company's shareholders of sufficient shares to cover such issuance. The grant date fair value of the shares aggregated to $50,000 as of March 5, 2010, based on the $.005 per share value as of the effective date of the separation agreement, and has been included in accrued liabilities as of June 30, 2011. Sublease In an effort to operate more efficiently and focus resources on higher margin areas of the Company's business, on March 5, 2010, the Company and Katana Electronics, LLC, a Utah limited liability company ("Katana") entered into certain agreements (collectively, the "Agreements") to reduce the Company's costs. The Agreements include an Assignment and Assumption Agreement, an Equipment Lease, and a Sublease Agreement relating to the Company's property. Pursuant to the terms of the Sublease, the Company agreed to sublease a certain portion of the Company's Premises to Katana, consisting of the warehouse and office space used as of the close of business on March 4, 2010. The term of the Sublease is for two (2) months with automatic renewal periods of one month each. The base rent under the Sublease is $8,500 per month. The Sublease contains normal and customary use restrictions, indemnification rights and obligations, default provisions and termination rights. Under Agreements signed, the Company continues to have rights to operate as a contract manufacturer in the future in the US and offshore. The income from the sublease to Katana for the six months ended June 30, 2011, was $57,000 and was recognized as other income. As of July 1, 2011, Katana has assumed the full lease payment and the Company has agreed to pay Katana $5,000 per month for the use of office space and utilities.

Segment Information	3 Months Ended
Segment Information	Jun. 30, 2011
Segment Reporting
Segment Reporting Disclosure [Text Block]	NOTE 13 - SEGMENT INFORMATION Segment information has been prepared in accordance with ASC 280-10, Disclosure about Segments of an Enterprise and Related Information. The Company has four reportable segments: Electronics Assembly, Contract Manufacturing, Marketing and Media, and Beverage Distribution. The Electronics Assembly segment manufactures and assembles circuit boards and electronic component cables. The Contract Manufacturing segment manufactures, either directly or through foreign subcontractors, various products under manufacturing and distribution agreements. The Marketing and Media segment provides marketing services to online retailers, along with beverage development and promotional services to PlayBev. The Beverage Distribution segment manufactures, markets, and distributes Playboy-licensed energy drinks domestically and internationally. The Beverage Distribution segment continues to grow, and the distribution channels, across the country and internationally, continues to gain traction. The Company anticipates this segment to become more significant in relation to overall Company operations. The accounting policies of the segments are consistent with those described in the summary of significant accounting policies. The Company evaluates performance of each segment based on earnings or loss from operations. Selected segment information is as follows: Electronics Contract Marketing Beverage Assembly Manufacturing and Media Distribution Total --------------------------------------------------------------------------------------------------------------- Three Months Ended June 30, 2011 -------------------------------- Sales to external customers $ - $ 23,407 $ - $ 662,218 $ 685,625 Segment income (loss) 5,674,748 (24,996) (92,772) (852,971) 4,704,009 Segment assets 1,756,790 836,559 96,518 1,480,919 4,170,786 Depreciation and amortization 6,258 43,448 2,631 - 52,337 Three Months Ended June 30, 2010 -------------------------------- Sales to external customers $ 28,500 $ 26,509 $ 278,085 $ 1,980,749 $ 2,313,843 Segment income (loss) (127,853) (52,734) (35,278) (506,087) (721,952) Segment assets 2,896,647 1,114,310 661,189 3,222,196 7,894,342 Depreciation and amortization 93,410 64,447 5,841 - 163,698 Six Months Ended June 30, 2011 ------------------------------ Sales to external customers $ - $ 77,348 $ - $ 2,003,477 $ 2,080,825 Segment income (loss) (2,557,968) (25,518) (98,560) (1,223,737) (3,905,783) Segment assets 1,756,790 836,559 96,518 1,480,919 4,170,786 Depreciation and amortization 14,993 85,626 8,146 - 108,765 Six Months Ended June 30, 2010 ------------------------------ Sales to external customers $ 198,944 $ 27,554 $ 768,521 $ 3,101,683 $ 4,096,702 Segment income (loss) (546,698) (117,681) (72,413) (1,348,528) (2,085,320) Segment assets 2,896,647 1,114,310 661,189 3,222,196 7,894,342 Depreciation and amortization 187,143 128,894 11,682 - 327,719

Commitment and Contingencies	3 Months Ended
Commitment and Contingencies	Jun. 30, 2011
Commitment and Contingencies [Abstract] {1}
Commitments and Contingencies Disclosure [Text Block]	NOTE 6 - COMMITMENTS AND CONTINGENCIES Litigation and Claims - Various vendors and service providers have notified the Company that they believe they have claims against the Company totaling approximately $2,100,000. The Company has determined the probability of realizing any loss on these claims is remote. The Company has made no accrual for these claims and is currently in the process of negotiating the dismissal of these claims. Petition for Relief under Chapter 11 - On, August 12, 2011, Play Beverages, LLC, ("PlayBev"), a consolidated entity of the Company, filed petitions under Chapter 11 of the federal bankruptcy laws in the United States Bankruptcy Court for the District of Utah. Under Chapter 11, certain claims against PlayBev in existence before the filing of the petitions for relief under the federal bankruptcy laws are stayed while PlayBev continues business operations as Debtor-in-possession. (See also Note 16). These claims are included in the June 30, 2011, balance sheet and are considered liabilities subject to compromise. Additional claims (liabilities subject to compromise) may arise after the filing date resulting from rejection of executory contracts, and from the determination by the court (or agreed to by parties in interest) of allowed claims for contingencies and other disputed amounts. Claims against PlayBev (secured claims) are stayed, although the holders of such claims have the right to move the court for relief from the stay. As of the date of filing, PlayBev was in the process of filing the required court documents and had not made significant progress in the process of proposing and confirming a plan of reorganization. In connection with the prior Chapter 7 case, Playboy Enterprises International, Inc. ("Playboy"), filed a motion to terminate the automatic stay to permit it to terminate the Product License Agreement between Playboy and PlayBev. PlayBev contests the motion, and a hearing on the motion was currently scheduled for August 23, 2011. However, in light of the conversion to Chapter 11, PlayBev filed a motion to continue the hearing on Playboy's motion. At an August 16, 2011, hearing on PlayBev's motion, the Court continued the hearing on Playboy's motion to terminate the automatic stay until September 2, 2011, when such motion will be heard. Registration rights agreements - In connection with the Company's issuance of convertible debentures to YA Global Investments, L.P., formerly known as Cornell Capital Partners, L.P. ("YA Global"), the Company granted to YA Global certain registration rights, pursuant to which the Company agreed to file, a registration statements to register the resale of shares of the Company's common stock issuable upon conversion of the debentures. The Company agreed to keep the registration statement effective until all of the shares issuable upon conversion of the debenture have been sold. The Company has not accrued a liability for potential losses. Previously, YA Global has agreed to extensions of the filing deadlines inherent in the terms of the convertible debentures mentioned above. On January 24, 2011, the Company and YA Global entered into a forbearance agreement related to the convertible debentures issued by the Company to YA or its predecessor entities. Forbearance agreements - In previous periods the Company has defaulted on certain obligations under its convertible debentures and related agreements. The Company has entered into several forbearance agreements with YA Global in an attempt to restructure the agreement. As of December 31, 2010, the Company had defaulted under the terms of the previous forbearance agreement. On January 24, 2011, the Company, and YA Global Investments finalized an amended and restated forbearance agreement and related agreements ("A&R Forbearance Agreement"). The A&R Forbearance Agreement was dated as of January 7, 2011, but the final conditions for closing were met on January 24, 2011. The Company and certain of its subsidiaries, which also guaranteed the Company's obligations (the "Guarantors" and collectively with the Company, the "Obligors"), agreed to waive any claims against YA, and released any such claims the Obligors may have had. The Obligors also ratified their respective obligations under the Financing Documents, and agreed to the satisfaction of certain conditions precedent, including the following: payment of certain funds to YA at the time of execution of the A&R Forbearance Agreement; the entry by Iehab Hawatmeh, President of the Company, into a Guaranty Agreement and a Pledge Agreement (both discussed below); the entry into a Ratification and Joinder Agreement by the Obligors (discussed below); the execution of a confession of judgment in a litigation matter between YA, the Company, and Katana Electronics, LLC ("Katana"); and the delivery of a new warrant (the "Warrant") to YA (discussed below). Additionally, the Obligors agreed to seek to obtain waivers from their respective landlords at their properties in Utah and Arkansas; agreed to seek to obtain deposit account control agreements from the Company's banks and depository institutions; and to repay the Company's obligations under the Debentures on the following schedule: i. $225,000, on or before the date of the A&R Forbearance Agreement to be applied as follows (x) $75,000 in reimbursement of the legal fees and expenses incurred by the Lender, and (y) $150,000 applied first to accrued but unpaid interest and then to the principal balance of the Obligations; ii. $75,000 on February 1, 2011; iii. $75,000 on March 1, 2011; iv. $75,000 on April 1, 2011; v. $200,000 on May 1, 2011; vi. $200,000 on June 1, 2011; vii. $200,000 on July 1, 2011; viii. $200,000 on August 1, 2011; ix. $200,000 on September 1, 2011; x. $200,000 on October 1, 2011; xi. $200,000 on November 1, 2011; xii. $200,000 on December 1, 2011; and xiii. the remaining balance of the Obligations shall be paid in full in good and collected funds by federal funds wire transfer on or before the earlier of (i) the occurrence of a Termination Event (as defined in the A&R Forbearance Agreement), or (ii) 3:00 P.M. (prevailing Eastern time) on December 31, 2011 (the "Termination Date"). During the six months ended June 30, 2011, the Company paid $430,000 towards the required payments under the schedule above. As of the date of this filing it had not made the required payments for the months of May through August, 2011. Pursuant to the A&R Forbearance Agreement, the parties agreed that the Company, subject to the consent of YA, may choose to pay all or any portion of the payments listed above in common stock, with the conversion price to be used to determine the number of shares of common stock being equal to 85% of the lowest closing bid price of the Company's common stock during the ten trading days prior to the payment date. In exchange for the satisfaction of such conditions and agreements from the Obligors, YA agreed to forbear from enforcing its rights and remedies as a result of the existing defaults until the earlier of (i) the occurrence of a Termination Event (as defined in the A&R Forbearance Agreement), or (ii) the Termination Date, which is given as December 31, 2011. Notwithstanding the foregoing, nothing contained in the A&R Forbearance Agreement or the other Forbearance Documents will be deemed to constitute a waiver by YA of any default or event of default, whether now existing or hereafter arising (including, without limitation, the existing defaults listed in the A&R Forbearance Agreement), and/or its right to convert the Debentures into shares of the Company's common stock. In connection with the A&R Forbearance Agreement, Mr. Hawatmeh entered into a Guaranty Agreement and a Pledge Agreement. Pursuant to the Guaranty Agreement, Mr. Hawatmeh agreed to guarantee to YA the full payment and prompt performance of all of the obligations in the A&R Forbearance Agreement. Pursuant to the Pledge Agreement, Mr. Hawatmeh agreed to pledge a first priority security interest in 7,000 class A membership units in Play Beverages, LLC ("PlayBev") to secure the payment of the obligations under the A&R Forbearance Agreement and the Guaranty Agreement. The Company, the Company's Utah-based subsidiary (also name of CirTran Corporation) ("CirTranSub"), and the other Obligors also entered into a Ratification and Joinder to Collateral Agreements, pursuant to which CirTranSub agreed to be bound by the terms and conditions of, and to be a party to, the Global Security Agreement (entered into in connection with a Prior Forbearance Agreement) and the Global Guaranty Agreement (entered into in connection with a Prior Forbearance Agreement). (The terms of the Global Guaranty Agreement and the Global Security Agreement were described in, and attached as exhibits to, the Company's Current Report on Form 8-K, filed with the SEC on August 17, 2009. For a more complete description of these agreements, please see that filing.) In conjunction with the Forbearance Agreement, the Company issued five-year warrants to purchase up to 25,000,000 shares of common stock at an exercise price of $0.02 per share. (See note 12). In light of the Company's default in payments described above, YA indicated that it has elected to exercise its rights as a secured creditor. On July 22, 2011, YA filed a motion in the ABS lawsuit (discussed below under "Legal Proceedings"), seeking an order clarifying its position with respect to ABS and staying enforcement of that court's order that CirTran pay approximately $35,000 in legal fees to ABS. In its motion, YA gave notice that it intended to conduct a secured party's public auction of all of CirTran's assets. Also on July 22, 2011, in a letter written to the Company and filed with YA's motion (the "Instruction Letter"), YA informed the Company that one or more "Events of Termination (as defined in the A&R Forbearance Agreement) had occurred, and that as a result, YA had declared that all of the Company's obligations under the A&R Forbearance Agreement and the Debentures had been accelerated and was due and owing. Further, YA stated that it intended to commence action to collect on the obligations of the Company. YA instructed the Company to assemble the assets. At a hearing held on August 3, 2011, on YA's motion to stay enforcement, YA noted that the date of the proposed secured party's public auction was August 30, 2011. Additionally, on August 3, 2011, YA tendered to the Company Notifications of Disposition of Collateral (the "UCC Notifications"), giving notice of the date of the proposed sale of assets on August 30, 2011. At the hearing, the court denied YA's motion to stay the payment of attorneys' fees by the Company. Subsequently, YA, the Company, and the Company's subsidiaries that were parties to the A&R Forbearance Agreement (the "Subsidiaries") entered into an agreement (the "Letter Agreement") whereby YA agreed to rescind the Instruction Letter and the UCC Notifications. The Company and YA further agreed that YA's agreement to forbear enforcement under the A&R Forbearance Agreement was terminated, and that the rescission of the UCC Notifications and the Instruction Letter did not constitute a waiver of any of YA's rights, and that Company and the Subsidiaries remain responsible for all obligations under the A&R Forbearance Agreement. Employment Agreements - The Company has entered into an employment agreement with Mr. Hawatmeh, our President. The terms of the employment agreement requires the Company to grant to Mr. Hawatmeh options to purchase a minimum of 6,000,000 shares of the Company's stock each year, with the exercise price of the options being the market price of the Company's common stock as of the grant date. The employment agreement also includes additional incentive compensation as follows: a quarterly bonus equal to 5 percent of the Company's earnings before interest, taxes, depreciation and amortization for the applicable quarter; bonus(es) equal to 1.0 percent of the net purchase price of any acquisitions completed by the Company that are directly generated and arranged by Mr. Hawatmeh; and an annual bonus (payable quarterly) equal to 1 percent of the gross sales, net of returns and allowances of all beverage products of the Company and its affiliates for the most recent fiscal year. For the six months ended June 30, 2011 and 2010 the Company incurred $11,868 and $42,581, respectively, of non-cash compensation expense related to accrual for employee stock options to be awarded per the employment contract for compensation related to the bonuses under the Employment Agreements. Pursuant to the employment agreement, Mr. Hawatmeh's employment may be terminated for cause, or upon death or disability, in which event the Company is required to pay Mr. Hawatmeh any unpaid base salary and unpaid earned bonuses. In the event that Mr. Hawatmeh is terminated without cause, the Company is required to pay to Mr. Hawatmeh (i) within thirty (30) days following such termination, any benefit, incentive or equity plan, program or practice (the "Accrued Obligations") paid when the bonus would have been paid Employee if employed; (ii) within thirty (30) days following such termination (or on the earliest later date as may be required by Internal Revenue Code Section 409A to the extent applicable), a lump sum equal to thirty (30) month's annual base salary, (iii) bonus(es) owing under the employment agreement for the two year period after the date of termination (net of an bonus amounts paid as Accrued Obligations) based on actual results for the applicable quarters and fiscal years; and (iv) within twelve (12) months following such termination (or on the earliest later date as may be required by Internal Revenue Code Section 409A to the extent applicable), a lump sum equal to thirty (30) month's Annual Base Salary; provided that if Employee is terminated without cause in contemplation of, or within one (1) year, after a change in control, then two (2) times such annual base salary and bonus payment amounts. On May 1, 2009, PlayBev, a consolidated entity of CirTran, entered into compensation agreements with its managers, Mr. Hawatmeh and Mr. Nora. The agreed compensation consists of a monthly fee of $10,000 for each manager, reimbursement of reasonable expenses on behalf of the Company, a car allowance for Mr. Nora of $1,000 per month to cover the cost of use, fuel and repairs. The Company recorded expenses of $126,000 and $126,000 relating to the compensation agreements for the six months ended June 30, 2011 and 2010, respectively. As of June 30, 2011 and December 31, 2010, the Company had $546,000 and $420,000, respectively, accrued as related party payables for management compensation associated with PlayBev. The company has active employment contracts with several of its employees that require annual payment of non-cash compensation in a fixed number of shares. During the six months ended June 30, 2011, the Company did not grant options to purchase shares of common stock to employees due to the unavailability of issuable stock. The Company accrued an expense of $46,053 and $43,577 for the six months ended June 30, 2011 and 2010, respectively, for employee options relating to the employment contracts of these employees.

Subsequent Events	3 Months Ended
Subsequent Events	Jun. 30, 2011
Subsequent Events
Subsequent Events [Text Block]	NOTE 16 - SUBSEQUENT EVENTS YA Global - On July 22, 2011, YA filed a motion in the ABS lawsuit (discussed below under "Legal Proceedings"), seeking an order clarifying its position with respect to ABS and staying enforcement of that court's order that CirTran pay approximately $35,000 in legal fees to ABS. In its motion, YA gave notice that it intended to conduct a secured party's public auction of all of CirTran's assets. Also on July 22, 2011, in a letter written to the Company and filed with YA's motion (the "Instruction Letter"), YA informed the Company that one or more "Events of Termination (as defined in the A&R Forbearance Agreement) had occurred, and that as a result, YA had declared that all of the Company's obligations under the A&R Forbearance Agreement and the Debentures had been accelerated and was due and owing. Further, YA stated that it intended to commence action to collect on the obligations of the Company. YA instructed the Company to assemble the assets. At a hearing held on August 3, 2011, on YA's motion to stay enforcement, YA noted that the date of the proposed secured party's public auction was August 30, 2011. Additionally, on August 3, 2011, YA tendered to the Company Notifications of Disposition of Collateral (the "UCC Notifications"), giving notice of the date of the proposed sale of assets on August 30, 2011. At the hearing, the court denied YA's motion to stay the payment of attorneys' fees by the Company. Subsequently, YA, the Company, and the Company's subsidiaries that were parties to the A&R Forbearance Agreement (the "Subsidiaries") entered into an agreement (the "Letter Agreement") whereby YA agreed to rescind the Instruction Letter and the UCC Notifications, The Company and YA further agreed that YA's agreement to forbear enforcement under the A&R Forbearance Agreement was terminated, and that the rescission of the UCC Notifications and the Instruction Letter did not constitute a waive of any of YA's rights, and that Company and the Subsidiaries remain responsible for all obligations under the A&R Forbearance Agreement. PlayBev Bankruptcy - The management of Play Beverages, LLC ("PlayBev"), a consolidated entity of the Company, decided that reorganizing PlayBev as a debtor-in-possession under Chapter 11, of Title 11, of the United States Bankruptcy Code, was in the best interests of PlayBev, its creditors and its equity holders. Accordingly, on August 12, 2011, PlayBev consented to the entry of an order for relief in the pending involuntary bankruptcy case that was filed against it, and immediately exercised its right under section 706(a) of the Bankruptcy Code to convert the case to a voluntary Chapter 11 case. That same day, the court entered an Order for Relief under Chapter 11 based on PlayBev's elections. PlayBev is now a debtor-in-possession and intends to propose and confirm a plan of reorganization in the case. In connection with the prior Chapter 7 case, Playboy Enterprises International, Inc. ("Playboy"), filed a motion to terminate the automatic stay to permit it to terminate the Product License Agreement between Playboy and PlayBev. PlayBev contests the motion, and a hearing on the motion was currently scheduled for August 23, 2011. However, in light of the conversion to Chapter 11, PlayBev filed a motion to continue the hearing on Playboy's motion. At an August 16, 2011, hearing on PlayBev's motion, the Court continued the hearing on Playboy's motion to terminate the automatic stay until September 2, 2011, when such motion will be heard.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	6 Months Ended
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $)	Jun. 30, 2011	Jun. 30, 2010
Net loss	$ (3,905,783)	$ (2,085,320)
Depreciation and amortization	108,765	327,719
Accretion expense	35,865	115,719
Recovery of doubtful accounts		(22,877)
Provision for obsolete inventory		(44,407)
Gain on sale - leaseback	(40,537)	40,537
Non cash compensation expense	46,053	43,577
Issuance of warrants for settlement	58,410
Options issued to attorneys for services		6,758
Change in valuation of derivative	1,865,826	(368,010)
Change in trade accounts receivable	(364,470)	(1,151,817)
Change in Inventories	(250,037)	327,494
Change in prepaid expenses and other current assets	527,994	(1,249,159)
Change in accounts payable	(239,482)	1,780,577
Change in related party payable	126,000
Change in accrued liabilities	808,322	1,344,013
Change in deferred revenue	698,029	864,607
Change in customer deposits		34,646
Net cash used in operating activities	(525,045)	(35,943)
Payments on notes payable to related party		(22,951)
Principal payments on long-term debt		(64,437)
Checks written in excess of bank balance	53,359	27,838
Proceeds from short-term advances	916,190	103,900
Payments on short-term advances	(447,364)
Net cash provided by financing activities	522,185	44,350
Net increase (decrease) in cash and cash equivalents	(2,860)	8,407
Cash and cash equivalents at beginning of year	4,767	8,588
Cash and cash equivalents at end of year	1,907	16,995
Cash paid during the period for interest	499,934	55,262
Accounts payable settled on behalf of the Company for issuance of short term advances	119,960	51,220
Net assets assumed in consolidation of PlayBev		$ 8,651,323

Realization of Assets	3 Months Ended
Realization of Assets	Jun. 30, 2011
Deferred Costs, Capitalized, Prepaid, and Other Assets
Other Assets Disclosure [Text Block]	NOTE 2 - REALIZATION OF ASSETS The accompanying condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which contemplate continuation of the Company as a going concern. The Company had a net loss of $3,905,783 and of $2,085,320 for the six months ended June 30, 2011 and 2010, respectively. As of June 30, 2011, the Company had an accumulated deficit of $44,740,760. In addition, the Company used cash in its operations in the amount of $525,045 and $35,943 during the six months ended June 30, 2011 and 2010, respectively. The Company had borrowed funds in the form of short-term advances, notes, and convertible debentures. The Company had a negative working capital balance of $24,937,959 as of June 30, 2011, and $21,140,941 as of December 31, 2010. Additionally, in light of the occurrence of one or more Events of Termination pursuant to the Amended and Restated Forbearance Agreement (See Note 6), YA Global Investments has declared that its agreement to forbear enforcement of its rights under the Convertible Debentures has terminated, and accordingly, YA Global Investments has all rights of a secured creditor. Play Beverages, LLC, ("PlayBev"), a consolidated entity of the Company, filed petitions under Chapter 11 of the federal bankruptcy laws in the United States Bankruptcy Court for the District of Utah. Under Chapter 11, certain claims, including a motion to terminate the Product License Agreement between Playboy and PlayBev, against PlayBev in existence before the filing of the petitions for relief under the federal bankruptcy laws are stayed while PlayBev continues business operations as Debtor-in-possession. (See also Note 16). These conditions raise substantial doubt about our ability to continue as a going concern. In view of the matters described in the preceding paragraph, recoverability of a major portion of the recorded asset amounts shown in the accompanying consolidated balance sheets is dependent upon continued operations of the Company, which in turn is dependent upon the Company's ability to meet its financing requirements on a continuing basis, to maintain or replace present financing, to acquire additional capital from investors, and to succeed in its future operations. The financial statements do not include any adjustments relating 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 feels that its beverage business has the potential to have a substantial impact on its business. The Company plans to focus on the beverage business and the contract manufacturing business. For the beverage business, the Company plans to sell existing products and develop new products under the license agreement with Playboy to a globally expanding market. With regard to contract manufacturing, the Company goal is to provide customers with manufacturing solutions for both new and more mature products, as well as across product generations. The Company currently provides product marketing services to the direct response and retail markets for both proprietary and non-proprietary products. This segment provides campaign management and marketing services for both the Direct-response, Retail and Beverage Distribution markets. The Company intends to continue to provide marketing and media services to support its own product efforts, and offer to customers marketing service in channels involving television, radio, print media, and the internet. With respect to electronics assembly and manufacturing, the Company intends to continue to serve these industries, although it anticipates that its focus will shift more to providing services on a sub-contract basis.

Stockholders' Equity	3 Months Ended
Stockholders' Equity	Jun. 30, 2011
Equity
Stockholders' Equity Note Disclosure [Text Block]	NOTE 11 - STOCKHOLDERS' DEFICIT Cirtran stockholders' deficit increased by $2,770,852 and $950,251, as a result of the net loss attributable to CirTran for the six months ended June 30, 2011 and 2010, respectively. Noncontrolling interest in consolidated subsidiaries increased stockholders' deficit by $1,134,933 and $1,135,069 for the six months ended June 30, 2011 and 2010, respectively, due to the operating losses of the noncontrolling subsidiary. During the six months ended June 30, 2011, the Company did not issue shares of common stock.

Variable Interest Entity	3 Months Ended
Variable Interest Entity	Jun. 30, 2011
Organization, Consolidation and Presentation of Financial Statements
Consolidation, Variable Interest Entity, Policy [Policy Text Block]	NOTE 15 - VARIABLE INTEREST ENTITY Consolidation of PlayBev - During the year ended December 31, 2007, the Company, through AfterBev, a 51% voting and 4% economic interest consolidated subsidiary, purchased a 50% ownership in PlayBev for $750,000. As condition of the purchase, AfterBev was to develop an acceptable operating plan for PlayBev, procure a credit facility with a third party at prevailing market rates sufficient to fund PlayBev's working capital needs, and provide a third party vendor to develop, manufacture, and distribute the energy drink product. Upon satisfactory completion of these events, AfterBev was granted an additional 1% ownership interest in PlayBev, bringing its total investment to 51%. Certain participating rights held by the minority interest holders of PlayBev prevented it being consolidated with the Company under the majority ownership accounting guidance. The Company was selected to develop, manufacture, and distribute the energy drinks as well as provide the credit facility to support the working capital needs of PlayBev. Effective January 1, 2010, the Company adopted the new provisions under Generally Accepted Accounting Principles ("GAAP"), ASC 810-10, "Consolidation of Variable Interest Entities," caused the Company to re-evaluate its involvement with PlayBev. At year end, the Company determined that it was the primary beneficiary of PlayBev, and that the assets, liabilities and operations of PlayBev should be consolidated into its financial statements beginning January 1, 2010. Included in the accompanying financial statements are the following assets and liabilities of PlayBev as of June 30, 2011, and December 31, 2010: June 30, December 31, 2011 2010 ------------- -------------- Other Assets $ 361 $ 361 Prepaid Royalty - 500,000 ------------- -------------- Total Assets $ 361 $ 500,361 ------------- -------------- Accrued Interest $ 344,762 (a) $ 266,129 Royalty Payable 582,278 (a) 552,150 Notes Payable to Shareholders 250,000 (a) 250,000 ------------- -------------- Total Liabilities $ 1,177,040 $ 1,068,279 ------------- -------------- (a) The following liabilities are considered liabilities subject to compromise (See Notes 6 and 16). The assets included above primarily relate to prepayments under the Playboy license agreement that expires in March 2012. The parties have the option to extend the license agreement at the end of the term. These assets can not be used to settle PlayBev's liabilities. The liabilities above include royalties payable under a license agreement with LIB-MP on beverage sales.

CONDENSED CONSOLIDATED BALANCE SHEETS (USD $)	Jun. 30, 2011	Dec. 31, 2010
Cash and cash equivalents	$ 1,907	$ 4,767
Trade accounts receivable, net of allowance for doubtful accounts of $445,253 and $445,253, respectively	994,300	629,830
Inventory, net of reserve of $2,065,558 and $2,065,558, respectively	792,393	542,356
Prepaid royalty		500,000
Prepaid deposits	81,086	109,874
Other	380,723	379,929
Total current assets	2,250,409	2,166,756
Investment in securities, at cost	300,000	300,000
Long-term receivable	1,215,871	1,215,871
Property and equipment, net	240,050	335,547
Intellectual property, net	156,189	169,459
Other assets, net	8,267	8,267
Total assets	4,170,786	4,195,900
Checks written in excess of bank balance	256,819	203,460
Accounts payable	3,091,612	3,331,092
Related party payable	546,000	420,000
Short term advances payable	4,416,543	3,827,538
Accrued liabilities	5,431,810	4,761,611
Accrued interest	1,961,642	1,930,355
Deferred revenue	2,580,220	1,882,191
Derivative liability	3,336,882	1,412,646
Convertible debenture	3,161,355	3,161,355
Refundable customer deposits	1,117,387	1,117,387
Current maturities of long-term debt	886,265	850,620
Note payable to stockholders and members	401,833	409,442
Total current liabilities	27,188,368	23,307,697
Total liabilities	27,188,368	23,307,697
Common stock, par value $0.001; authorized 4,500,000,000 shares; issued and outstanding shares: 1,498,972,923	1,498,968	1,498,968
Additional paid-in capital	29,128,672	29,128,672
Subscription receivable	(17,000)	(17,000)
Accumulated deficit	(44,740,760)	(41,969,908)
Total CirTran Corporation stockholders' deficit	(14,130,120)	(11,359,268)
Noncontrolling interest	(8,887,462)	(7,752,529)
Total stockholders' deficit	(23,017,582)	(19,111,797)
Total liabilities and stockholders' deficit	$ 4,170,786	$ 4,195,900