Annual report pursuant to Section 13 and 15(d)

Related Party Transactions

v3.7.0.1
Related Party Transactions
12 Months Ended
Jun. 30, 2017
Related Party Transactions [Abstract]  
Related Party Transactions

NOTE 10 – RELATED PARTY TRANSACTIONS

 

Since its inception, the Company has conducted transactions with directors and director-related entities. These transactions have included the following:

 

As of June 30, 2017 and June 30, 2016, the Company owed a current and former director a total of $56,802 and $54,767, respectively, for money loaned to the Company throughout the years. The loan balance owed at June 30, 2017 was not interest bearing (See Note 5).

 

As of June 30, 2017 and June 30, 2016, the Company owed its two current directors a total of $35,204 and $33,943, respectively, related to expenses paid on behalf of the Company related to corporate startup costs and intellectual property (See Note 4).

 

Effective May 5, 2016, we entered into an agreement for the lease of our principal executive offices with North Horizon Pty Ltd., of which Mr. Nathanielsz and his wife are owners and directors. The lease has a five year term and provides for annual rental payments of $39,600 AUD, which includes $3,600 of goods and service tax for total payments of $198,000 AUD during the term of the lease. As of June 30, 2017, total payments of $151,800 AUD remain on the lease.

  

Mr. Nathanielsz’s wife, Sylvia Nathanielsz, is and has been an employee of ours since October 2015. Mrs. Nathanielsz receives an annual salary of $57,570 and is entitled to customary benefits.

 

According to a February 25, 2016 board resolution, James Nathanielsz shall be paid $4,481 AUD, on a monthly basis for the purpose of acquiring and maintaining an automobile. For the year ended June 30, 2017, a total of $40,562 in payments have been made with regards to the board resolution. In connection with the payments to James’ related to the acquisition and maintenance of this automobile, the Company must also pay a fringe benefit tax for the value of the benefit provided. As of June 30, 2017, the Company has recorded $13,787 of additional salary expense related to this tax.

 

As per the unanimous written consent of the Board of Directors, on August 15, 2016, James Nathanielsz was granted a $250,000 bonus for accomplishments obtained while operating as the chief executive officer. As of June 30, 2017, a total of $130,000 in payments have been made and $120,000 is included in accrued expenses.

 

During the year ended June 30, 2017, the Company expensed $1,715 to a vendor that is owned by relatives of Mr. Nathanielsz. There were no expenses to this vendor in the year ended June 30, 2016.