How can both of these highlighted statements be true?
3. CONVERTIBLE LOANS The Company entered into seventeen convertible loans with a third party during beginning in December 2014 and during the 2015 and 2016 calendar years. The loans aggregate $399,017.68, have a one year maturity and bear interest at 9% per annum and a default interest rate of 16% per annum. All loans are in default. As of January 31, 2018, $31,993.19 principal amount and no accrued interest of the notes was converted into 50,782,840 shares of common stock. The total principal outstanding at March 31, 2018 was $367,024.48 and accrued interest was 126,875.58. The Company completed an agreement with a former affiliate of the Company subsequent to March 31, 2018 which provided that in exchange for the conversion of a portion of principal and associated accrued interest the balance of the convertible debt would be returned to the Company and subsequently canceled. This conversion took place subsequent to June 30, 2018 the Company issued 2,500,000 common shares in exchange for the payment of convertible debt and the balance was canceled. Accordingly, as of the period ending September 30, there are no longer any convertible loans outstanding.