Quarterly report pursuant to Section 13 or 15(d)


9 Months Ended
Mar. 31, 2013
Notes to Financial Statements  


The accompanying unaudited consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which contemplate continuation of the Company as a going concern. For the nine months ended March 31, 2013, the Company was in the development stage, had no revenues and had a net loss of $1,217,990 and net cash used in operations of $96,701. Additionally, as of March 31, 2013, the Company had a negative cash balance, a working capital deficit of $751,551, loans in default and a deficit accumulated during development stage of $16,498,705. These conditions raise substantial doubt about the Company’s ability to continue as a going concern. The unaudited consolidated financial statements do not include any adjustments to reflect the possible future effect on the recoverability and classification of assets or the amounts and classifications of liabilities that may result from the outcome of this uncertainty.


The Company is in the development stage at March 31, 2013 and has been since its October 15, 2007 inception. Successful completion of the Company’s development program and, ultimately, the attainment of profitable operations are dependent upon future events, including obtaining adequate financing to fulfill its development activities, acceptance of the Company's International patent application and achieving a level of sales adequate to support the Company’s cost structure. However, there can be no assurances that the Company will be able to secure additional equity investment or achieve an adequate sales level.