DERIVATIVE FINANCIAL INSTRUMENTS and FAIR VALUE MEASUREMENTS (Tables)

12 Months Ended

Jun. 30, 2016

The following tables summarize the Company’s financial assets and liabilities measured at fair value on a recurring basis as of June 30, 2016:

	Balance at		Quoted Prices		Significant
	June		in Active		Other		Significant
	30,		Markets for		Observable		Unobservable
	2016		Identical Assets		Inputs		Inputs
			(Level 1)		(Level 2)		(Level 3)

Embedded conversion option liabilities	$	994,343	$	—	$	—	$	994,343
Fair value of liability for warrant derivative instruments	$	55,839	$	—	$	—	$	55,839
Total	$	1,050,182	$	—	$	—	$	1,050,182

The following tables summarize the Company’s financial assets and liabilities measured at fair value on a recurring basis as of June 30, 2015:

	Balance at		Quoted Prices		Significant
	June		in Active		Other		Significant
	30,		Markets for		Observable		Unobservable
	2015		Identical Assets		Inputs		Inputs
			(Level 1)		(Level 2)		(Level 3)

Embedded conversion option liabilities	$	780,281	$	—	$	—	$	780,281
Fair value of liability for warrant derivative instruments	$	269,648	$	—	$	—	$	269,648
Total	$	1,049,929	$	—	$	—	$	1,049,929

The following is a roll forward for the years ended June 30, 2016 and 2015 of the fair value liability of price adjustable derivative instruments:

	Fair Value of
	Liability for
	Derivative
	Instruments

Balance at June 30, 2014	$	158,244
Effects of foreign currency exchange rate changes		(42,796)
Initial fair value of embedded conversion option derivative liability recorded as debt discount		392,500
Initial fair value of embedded conversion option derivative liability recorded as change in fair value of ECO		1,082,567
Change in fair value included in statements of operations		(540,586)
Balance at June 30, 2015		1,049,929
Effects of foreign currency exchange rate changes		(281,068)
Initial fair value of embedded conversion option derivative liability recorded as debt discount		(2,462,355)
Initial fair value of embedded conversion option derivative liability recorded as change in fair value of ECO		3,410,653
Change in fair value included in statements of operations		(666,977)
Balance at June 30, 2016	$	1,050,182

Warrants

Convertible Debt