NOTE 3: RELATED PARTY TRANSACTIONS
The Company’s affiliates Milverton Capital Corporation and Sanclair Holdings Ltd. provide on an ongoing basis consulting and business advisory services to the Company. For the nine months period ended June 30, 2009, a total of $3,027,458 in consulting fees were billed and accrued in consultant services by these two (2) entities. These entities are owned and controlled by a shareholder and creditor of the Company that SEC classifies as a promoter. During the nine months ended June 30, 2009, Milverton was paid in cash $2,753,367 by the Company for consulting services and Sanclair’s balance of consulting fees amounting to $144,831 remained unpaid as of June 30, 2009. In addition, Milverton was paid cash in the amount of $6,000 and was issued 620,704 shares of common stock valued at $101,164 in satisfaction of its loan repayments. Furthermore, Milverton also advanced the Company cash amounting to $183,154 during the nine months ended June 30, 2009. The Company paid cash to Milverton from the sale of Company stock under Regulation S.
On September 18, 2008, the Company acquired real estate from Dynasty Farms (Alta) Ltd., a related party, for a total consideration of $732,008. The Company agreed to issue 1,250,000 shares of common stock valued at $192,634 and executed a convertible promissory note for $539,374 bearing interest at 10% per annum, and payable over a 12 month period. The Company has not issued 1,250,000 shares of common stock to Dynasty Farms as of June 30, 2009.
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