Quarterly report pursuant to Section 13 or 15(d)

CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (USD $)	9 Months Ended		66 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Mar. 31, 2013
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$ (1,217,990)	$ (8,875,611)	$ (16,498,705)
Adjustments to reconcile net loss to net cash used in operating activities:
Issuance of common stock for services	797,283	112,623	1,451,471
Amortization of prepaid shares issued for services	37,917	8,494,240	11,182,239
Loss on settlement	107,939		107,939
Shares issued for voluntary ratchet			21,218
Officer shares contributed to third party consultant			299,737
Write off of previously capitalized patent costs			26,855
Foreign currency transaction loss (gain)	(4,927)		10,780
Depreciation expense	978	1,409	11,127
Changes in operating assets and liabilities:
Write off Escrow account	653		320
Accounts receivable			(664)
GST receivable		769	(495)
Prepaid expenses and other assets	2,804	(6,968)	5,379
Accounts payable	55,603	48,888	237,026
Employee benefit liability	8,731	5,479	46,415
Accrued expenses	113,457	102,992	292,232
Accrued interest	851	1,858	187,635
NET CASH USED IN OPERATING ACTIVITIES	(96,701)	(114,321)	(2,619,490)
CASH FLOWS FROM INVESTING ACTIVITIES
Patent costs			(25,726)
Purchase of equipment			(14,786)
NET CASH USED IN INVESTING ACTIVITIES			(40,512)
CASH FLOWS FROM FINANCING ACTIVITIES
Bank overdraft liability	101		101
Sale of common stock		10,396	1,479,675
Contributed capital			495,665
Subscriptions receivable - related party			22
Related party expenses paid on behalf of company			57,262
Loan repayments of principal stockholder	(33,379)		(48,213)
Investor advances			79,112
Proceeds from other loans	37,362		37,362
Proceeds from directors, related parties	94,908		94,908
Proceeds from convertible promissory notes		143,312	142,306
Loan proceeds from principal stockholder			369,174
NET CASH PROVIDED BY FINANCING ACTIVITIES	98,992	153,708	2,707,374
Effect of exchange rate changes on cash	(2,470)	(44)	(47,372)
NET INCREASE (DECREASE) IN CASH	(179)	39,343
CASH AT BEGINNING OF PERIOD	179	132
CASH AT END OF PERIOD		39,475
Supplemental Disclosure of cash flow information
Cash Paid during the period: Interest
Cash Paid during the period: Income Tax
Supplemental disclosure of non-cash investing and financing activities:
Conversion of notes payable to common stock			341,208
Conversion of accrued interest to common stock	1,896		195,544
Gain on related party debt conversion			9,252
Prepaid common stock issued for services			10,860,965
Advance from Investor - related party, reclassified to common stock		80,000	80,000
Conversion of accrued expenses to common stock	37,500		73,772
Conversion of convertible notes and accrued interest to common stock	$ 75,000	$ 36,272	$ 150,894