Advances Payable - Related Party
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9 Months Ended |
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Sep. 30, 2012
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Advances Payable - Related Party | |
Note 9. Advances Payable - Related Party |
As of September 30, 2012, the Company had advances payable totaling $951,034, to Richard MacPherson, a director of the Company. These advances bear interest at 9% per annum, have no fixed terms of repayment and are unsecured. Accrued interest on these advances at September 30, 2012 and 2011 was $152,225 and $62,649, respectively and interest expense for the nine months ended September 30, 2012 and 2011 was $65,148 and $27,498, respectively. As previously disclosed, the Company and Mr. MacPherson had agreed to convert $500,000 of this balance to a Convertible Promissory Note Payable with the same terms and conditions of the notes discussed in Note 11. As of the date of this filing , the Company and Mr. MacPherson have agreed not to convert this balance from its current terms. |