Quarterly report pursuant to Section 13 or 15(d)

NOTE 4: RELATED PARTY TRANSACTIONS

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NOTE 4: RELATED PARTY TRANSACTIONS
9 Months Ended
Sep. 30, 2013
Related Party Transactions [Abstract]  
Related Party Transactions Disclosure [Text Block]
NOTE 4: RELATED PARTY TRANSACTIONS

At September 30, 2013 and December 31, 2012, unpaid services provided by related parties totaled $715,477 and $579,950, respectively. The payables are unsecured, bear no interest and are due on demand.

During 2013, the company borrowed an aggregate of $476,405 from Officers and Directors and repaid an aggregate of $14,500. The notes are unsecured, bear no interest and are due between on demand and March 1, 2014. In connection with $319,405 of the borrowings, the Company issued an aggregate of 10,235,125 common shares. The relative fair value of the shares of $182,192 was recorded as debt discounts that are being amortized to interest expense over the life of the notes. During the nine months ended September 30, 2013, aggregate amortization expense of $95,654 was recorded against these discounts. As of September 30, 2013, the aggregate unpaid principal under these notes was $375,367, net of the unamortized discounts of $86,538.