COMMITMENTS AND LEASES

6 Months Ended

Dec. 31, 2011

Leases [Abstract]

Leases of Lessee Disclosure [Text Block]

NOTE 17 - COMMITMENTS AND LEASES

In July 2007, Jinong signed an office lease with the Group Company at a monthly rent of $1,011 (RMB 6,460) per month. On September 30, 2010, Jinong cancelled this lease agreement with the Group Company without penalty and signed a two year lease effective as of July 1, 2010 directly with Xi’an Kingtone Information Technology Co., Ltd. (“Kingtone Information”), who owns the property. Kingtone Information is a Variable Interest Entity (“VIE”) controlled by Kingtone Wirelessinfo Solution Holoding Ltd. (“Kingtone Wirelessinfo”), whose Chairman and majority shareholder is Mr. Tao Li, the Chairman, President and Chief Executive Officer of the Company. According to the new lease agreement, the monthly rent is $1,690 (RMB 10,800).

In January 2008, Jintai signed a ten year land lease with Xi’an Jinong Hi-tech Agriculture Demonstration Zone for a monthly rent of $814 (RMB 5,200).

In February 2004, Tianjuyuan signed a fifty year lease with the village committee of Dong Gao Village and Zhen Nan Zhang Dai Village in the Beijing Ping Gu District, at a monthly rent of $463 (RMB 2,958).

Accordingly, the Company recorded an aggregate of $72,625 and $8,403 as rent expenses for the six months ended December 31,

2011 and 2010, respectively. Rent expenses for the next five twelve month periods ended December 31 are as follows:

December 31, 2012	$	25,463
December 31, 2013		15,321
December 31, 2014		15,321
December 31, 2015		15,321
December 31, 2016		15,321