Quarterly report pursuant to Section 13 or 15(d)

RELATED PARTY TRANSACTIONS

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RELATED PARTY TRANSACTIONS
3 Months Ended
Mar. 31, 2013
Related Party Transactions  
Related Party Transactions

NOTE 4 - RELATED PARTY TRANSACTIONS

 

In prior years, Joseph Fiore, CEO of the Company, and Berkshire Capital, which is controlled by Mr. Fiore, paid expenses and made advances to the Company.  All expenses paid on behalf of the company have been recorded in the consolidated statements of operations for the period incurred.  At March 31, 2013 and December 31, 2012, $1,531,521 and $1,513,260 was due on this loan, respectively (including accrued interest at 6%) in advances was due to these related parties.

 

On August 8, 2003, the Board resolved to enter into an agreement with Berkshire Capital Management Co., Inc., a related party, for the purpose of utilizing the Company’s tax loss carry forward to sell Berkshire’s acquired free trading stock in other public companies.  This loan was paid off in 2012.

 

On May 16, 2007, the Company acquired 3,000,000 shares of Sustainable Power Corp. from Berkshire Capital Management in exchange for a demand note in the amount of $210,000, carrying an interest rate of 6% A.P.R. During the year ended December 31, 2010, the Company paid $210,000 towards this loan. During 2012 this loan was paid off.

 

On September 14, 2007, the Company acquired 1,000,000 shares of International Oil & Gas Holdings Corp. from Berkshire Capital Management in exchange for a demand note in the amount of $125,000, carrying an interest rate of 6% A.P.R.  At March 31, 2013 and December 31, 2012, $176,811 and $174,185 was due on this loan, respectively.

 

On July 17, 2007, the Company acquired 3,000,000 shares of International Oil & Gas Holdings Corp. from Berkshire Capital Management in exchange for a demand note in the amount of $465,000, carrying an interest rate of 6% A.P.R.  On January 8, 2008, $375,156 was paid on this note.  At March 31, 2013 and December 31, 2012, $141,280 and $139,182 was due on this loan, respectively.  

 

On August 22, 2007, the Company acquired 2,000,000 shares of International Oil & Gas Holdings Corp. from Berkshire Capital Management in exchange for a demand note in the amount of $160,000, carrying an interest rate of 6% A.P.R.  At March 31, 2013 and December 31, 2012, $223,814 and $220,491 was due on this loan, respectively.

 

  On September 20, 2007, the Company acquired 1,000,000 shares of International Oil & Gas Holdings Corp. from Berkshire Capital Management in exchange for a demand note in the amount of $55,000, carrying an interest rate of 6% A.P.R.  At March 31, 2013 and December 31, 2012, $76,566 and $75,429, respectively, was due on this loan.

 

  On January 11, 2008, the Company acquired 1,000,000 shares of Sustainable Power Corp from Berkshire Capital Management in exchange for a demand note in the amount of $47,000, carrying an interest rate of 6% A.P.R.  At March 31, 2013 and December 31, 2012, $25,308 and $24,932, respectively, was due on this loan.

 

  On February 29, 2008, the Company acquired 2,000,000 shares of Sustainable Power Corp. from Berkshire Capital Management in exchange for a demand note in the amount of $126,000, carrying an interest rate of 6% A.P.R. At March 31, 2013 and December 31, 2012, $170,805 and $168,268, respectively, was due on this loan.

 

On April 24, 2008, the Company acquired 2,000,000 shares of Sustainable Power Corp. from Berkshire Capital Management in exchange for a demand note in the amount of $71,000, carrying an interest rate of 6% A.P.R. At March 31, 2013 and December 31, 2012, $95,386 and $93,969, respectively, was due on this loan.

 

On April 24, 2008, the Company acquired 862,500 shares of EFoodSafety.Com from Berkshire Capital Management in exchange for a demand note in the amount of $163,875, carrying an interest rate of 6% A.P.R.  On January 3, 2013 $20,000 was paid on this note.  At March 31, 2013 and December 31, 2012, $9,177 and $28,843, respectively, was due on this loan.

 

On July 1, 2008, the Company acquired 2,000,000 shares of Sustainable Power Corp. from Berkshire Capital Management in exchange for a demand note in the amount of $63,000, carrying an interest rate of 6% A.P.R.  At At March 31, 2013 and December 31, 2012, $83,710 and $82,467, respectively, was due on this loan.

 

 

A summary of the above related party transactions is presented below.

 

Related Party   Date of loan   March 31, 2013   December 31, 2012
Joseph Fiore     2010 & 2011     $ 1,531,521     $ 1,513,260  
Berkshire Capital Management     September 14, 2007       176,811       174,185  
Berkshire Capital Management     July 17, 2007       141,280       139,182  
Berkshire Capital Management     August 22, 2007       223,814       220,491  
Berkshire Capital Management     September 20, 2007       76,566       75,429  
Berkshire Capital Management     January 11, 2008       25,308       24,932  
Berkshire Capital Management     February 29, 2008       170,806       168,268  
Berkshire Capital Management     April 24, 2008       95,386       93,969  
Berkshire Capital Management     April 24, 2008       9,177       28,843  
Berkshire Capital Management     July 1, 2008       83,710       82,467  
            $ 2,534,379     $ 2,521,026  

 

During the year ended December 31, 2012, the Company issued 10,000,000 shares of common stock to its CEO for services rendered. The shares were valued at $0.006, the closing price on the date of grant, for a total expense of $60,000.

 

During the year ended December 31, 2012, the Company issued 12,500,000 shares of common stock to two of its Board Members for services rendered. The shares were valued at $0.006, the closing price on the date of grant, for a total expense of $75,000.