NOTE 5: RELATED PARTY TRANSACTIONS |
12 Months Ended |
|---|---|
Dec. 31, 2014 | |
| Related Party Transactions [Abstract] | |
| Related Party Transactions Disclosure [Text Block] |
NOTE 5: RELATED PARTY TRANSACTIONS
Accounts payable to related parties
During September 2014, the previously unpaid services provided by a former Officer and Director of the Company totaling $262,652 was removed as a liability through mutual consent and with no financial settlement required by Clean Coal Technologies Inc. The forgiveness of the accounts payable was recorded as a capital contribution. The outstanding balance of accounts payable to related parties was $0 and $262,652 as of December 31, 2014 and December 31, 2013, respectively.
Accruals for salary and bonuses to officers and directors are included in accrued liabilities in the balance sheet and totaled $1,998,274 and $1,552,142 as of December 31, 2014 and 2013, respectively.
Debt and convertible debt owed to related parties
At December 31, 2013, debt owed to related parties, net of unamortized discounts, totaled $20,198 as follows:
On September 30, 2013, Clean Coal borrowed $40,000 from its CEO, Robin Eves, on an unsecured, one year note maturing September 30, 2014. In connection with the note, Mr. Eves was issued 28,571 common shares with a relative fair value of $19,747 recorded as a discount on the note of which $19,640 was amortized during the year ended December 31, 2013. A total of $30,427 was paid on the note during the period ended December 31, 2013, leaving a balance of $9,573.
On December 31, 2013, Clean Coal borrowed $10,731 from its COO, Ignacio Ponce de Leon, on an unsecured note bearing no interest for 12 months and 10% thereafter. The note is due on demand.
During the year ended December 31, 2014, the company borrowed an aggregate of $29,017 from Officers and Directors and issued 21,429 common shares in connection with the borrowings. The relative fair value of the shares was determined to be $8,319 and was recorded as a discount to the associated note and was fully amortized to interest expense during the year ended December 31, 2014. As of December 31, 2014 and December 31, 2013, the aggregate outstanding balance of note payable to Officers and Directors was $0 and $20,198, respectively, net of unamortized discounts of $0 and $107, respectively. The Company made payments totaling $49,322 on related party debt during the year ended December 31, 2014. The notes are unsecured, bear interest between 0% and 10% per annum and are due on demand. Aggregate amortization of debt discounts on related party debt for the year end December 31, 2014 was $8,426.
Return and cancellation of common stock
During the year ended December 31, 2014, management returned and cancelled a total of 2,270,887 common shares back to the Company.
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