HERE THE TRUTH
NOTE 3 – GOING CONCERN
The Company’s financial statements have been presented on the basis that it is a going concern, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. At March 31, 2013, the Company had a retained deficit of $9,836,723 and current liabilities in excess of current assets by $2,851,215. During the three months ended March 31, 2013, the Company incurred a net loss of $529,624 and during the six months ended March 31, 2013, the Company incurred negative cash flows from operations of $1,136,783. These factors create an uncertainty about the Company’s ability to continue as a going concern. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.
They have loss $529,624
Liquidity and Capital Resources
Operating expenses for the six months ended March 31, 2013 and 2012, were $6,869,467 and $371,319, respectively. The net loss for the six months ended March 31, 2013 and 2012 was $($6,547,229) and $(203,170), respectively.
As of March 31, 2013, the Company did not have and continues to not have sufficient cash on hand to pay present obligations as they become due. In addition, due to current economic conditions and the Company’s related risks and uncertainties, there is no assurance that we will be able to raise additional capital on acceptable terms, if at all, to meet our current obligation over the next 12 months. Because of the foregoing, the Company’s auditors have expressed substantial doubt about our ability to continue as a going concern.
They not can pay there bill's,or we are very close on chapter 11
On April 12, 2013, the Company entered into an agreement with Maxim Group LLC (“Maxim”), whereby Maxim will provide general financial advisory and investment banking services to the Company.
On April 12, 2013, the Company issued 345,904 shares of common stock to Maxim Group LLC as compensation for their consulting services valued at $172,952.00.
Not bad, common stock share's are 10 times more 0,02cent each share, for this great services. Maxim know what is the real shareprice !!!
