Related Party Transactions
|12 Months Ended|
Jun. 30, 2017
|Related Party Transactions [Abstract]|
|Related Party Transactions||
Officer and director fees totaled $216,896 and $381,196 for the years ended June 30, 2017 and 2016, respectively. The total compensation of officers and directors was recorded as a component of general and administrative expenses.
In September 2014 the Company granted 5,140,339 common stock options to its officers. The total fair value of the award was estimated to be $9,605,675. Share-based compensation expense is recognized ratably over the vesting periods. For the year ended June 30, 2017 and 2016, the Company recognized share-based compensation expense as a component of general and administrative expenses of $318,516 and $1,766,833.
In March 2017, the Company issued 85,000 Series E shares with 1,000 to 1 voting rights pursuant to the November 2016 private placement of securities for $85 to our chief executive officer Mr. Meadow. The Series E Preferred Stock shall automatically, and without any further action on the part of the holder, convert into one share of common stock, upon a “change in control” of the Company. Mr. Meadow has the ability to exert total influence over the outcome of all matters, including, director appointments, tender offers, mergers, proxy contests and other equity transactions.
As of June 30, 2017 and June 30, 2016, the Company owed its officers and directors $512,302 and $314,198, respectively for compensation which was recorded as accounts payable and accrued liabilities in its consolidated balance sheets.
As of June 30, 2017 and 2016, the Company had advances of $25,500 and $5,000 from an officer. The note is due on demand, and bears no interest.
Effective September 1, 2016, the Board of Directors of 1st Rescue, Inc. approved a consulting agreement with Mr. Meadow for $5,000 per month which is included in accounts payable for $50,000 as of June 30, 2017.
The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.
Reference 1: http://www.xbrl.org/2003/role/presentationRef