Quarterly report pursuant to Section 13 or 15(d)

DERIVATIVE FINANCIAL INSTRUMENTS and FAIR VALUE MEASUREMENTS (Tables)

v3.4.0.3
DERIVATIVE FINANCIAL INSTRUMENTS and FAIR VALUE MEASUREMENTS (Tables)
9 Months Ended
Mar. 31, 2016
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block]
The following tables summarize the Company’s financial assets and liabilities measured at fair value on a recurring basis as of March 31, 2016:
 
 
 
Balance at
 
Quoted Prices
 
Significant
 
 
 
 
 
 
March
 
in Active
 
Other
 
Significant
 
 
 
31,
 
Markets for
 
Observable
 
Unobservable
 
 
 
2016
 
Identical Assets
 
Inputs
 
Inputs
 
 
 
 
 
 
 
(Level 1)
 
 
(Level 2)
 
 
(Level 3)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Embedded conversion option liabilities
 
$
3,659,506
 
$
 
$
 
$
3,659,506
 
Fair value of liability for warrant derivative instruments
 
$
80,630
 
$
 
$
 
$
80,630
 
Total
 
$
3,740,136
 
$
 
$
 
$
3,740,136
 
Schedule of Derivative Liabilities at Fair Value [Table Text Block]
The following is a roll forward for the nine months ended March 31, 2016 of the fair value liability of price adjustable derivative instruments:
 
 
 
Fair Value of
 
 
 
Liability for
 
 
 
Derivative
 
 
 
Instruments
 
 
 
 
 
 
Balance at June 30, 2015
 
$
1,049,929
 
Effects of foreign currency exchange rate changes
 
 
(10,490)
 
Initial fair value of embedded conversion option derivative liability recorded as debt discount
 
 
2,205,925
 
Initial fair value of embedded conversion option derivative liability recorded as change in fair value of ECO
 
 
2,211,529
 
Change in fair value included in statements of operations
 
 
(1,716,757)
 
Balance at March 31, 2016
 
$
3,740,136
 
Warrant [Member] | Convertible Debt [Member]  
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Table Text Block]
Warrants
 
 
 
March 31, 2016
 
Volatility
 
 
217
%
Expected remaining term
 
 
2.50
 
Risk-free interest rate
 
 
1.31
%
Expected dividend yield
 
 
none
 
 
Convertible Debt
 
 
 
Initial Valuations
(on new
derivative
instruments
entered into during
the three months
ended March
31, 2016)
 
 
March 31,
2016
 
Volatility
 
 
217
%
 
 
217
%
Expected Remaining Term
 
 
0.70
 
 
 
0.58
 
Risk Free Interest Rate
 
 
0.7
%
 
 
0.6
%
Expected dividend yield
 
 
none
 
 
 
none