SIGNIFICANT TRANSACTIONS WITH RELATED PARTIES

12 Months Ended

Sep. 30, 2011

SIGNIFICANT TRANSACTIONS WITH RELATED PARTIES

9.  SIGNIFICANT TRANSACTIONS WITH RELATED PARTIES

Accounts receivable – related party was $2,522 as of September 30, 2011 (September 30, 2010 - $nil) for rents receivables from a corporation owned by a director. This amount is unsecured, non-interest bearing and has no fixed terms of repayment. The balance was repaid subsequent to year-end.

Accounts payable – related parties was $202,638 as of September 30, 2011 (September 30, 2010 - $86,774) for fees payable to corporations owned by directors. This amount is unsecured, non-interest bearing, and has no fixed terms of repayment.

As of September 30, 2011, officers, directors, their families, and their controlled entities have acquired 52.19% of the Company’s outstanding common capital stock. This percentage does not include unexercised warrants or stock options.

The Company made payments totalling $209,117 to two related parties for professional fees and consulting services during the year ended September 30, 2011 (September 30, 2010 - $246,347).