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Subsequent Events
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3 Months Ended |
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Jun. 30, 2011
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| Subsequent Events [Abstract] | |
| Subsequent Events [Text Block] |
Note 11. Subsequent Events
On July 1, 2011, the Company issued 12,920 shares to Advocos LLC, and issued 30,000 shares to NetGain Financial, Inc. for services. The fair value of the shares, which amounted to $79,000, will be recognized as selling, general and administrative expense in the three months ended September 30, 2011.
On July 25, 2011, the Company received notice of a lawsuit filed in Mexico by Cesar Mangotich Pacheco and Prodinnv, S.A. de C.V. represented by Cesar Mangotich Pacheco. The lawsuit appears to allege conversion of assets, tortious interference and defamation, among other claims. The Company is currently evaluating the lawsuit, conferring with local counsel and translating the documents it has received. The Company’s preliminary assessment is that the lawsuit is completely without merit and intends to vigorously defend its position. The Company has not accrued a loss reserve for this matter.
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