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Related Party Transactions
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6 Months Ended |
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Jun. 30, 2014
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| Notes to Financial Statements | |
| Note 3. Related Party Transactions |
On June 29, 2011, and on August 29, 2011, Viking Investments, LLC, a company controlled and managed by the Company’s Chairman, Chief Executive Officer and President, Tom Simeo, incorporated under the laws of The Federation of St. Kitts and Nevis, (“Viking Nevis”) sold 100,000 and 466,813 shares respectively of China Wood, Inc., publicly listed in the United States with the ticker “CNWD”, (the “China Wood Shares”) owned by Viking Nevis, in exchange for 1,912,000 and 12,569,420 newly issued restricted shares of common stock of the Company respectively. By August 29, 2011, Viking Nevis completed the sale of the China Wood Shares by having delivered a total of 566,813 shares of common stock in China Wood, Inc. to the Company. The China Wood Shares were registered in a Form S-1 Registration Statement declared effective by the SEC on April 7, 2011. The China Wood Shares were subject to a “Leak-Out Provision” whereby only a certain amount of shares could be sold per month up and until the first anniversary of the effective day of the aforementioned registration statement (April 7, 2012).
These investments were fully impaired as of December 31, 2011, and were repurchased by Viking Nevis on April 15, 2013.
On November 16, 2012, Viking Nevis purchased 3,205,960 restricted shares of common stock of the Company for an aggregate purchase price of $158,921. The purchase price has been paid, and the shares were issued on December 27, 2012.
As at June 30, 2014, the net amount due to the Company’s CEO and Director, Mr. Simeo, is $171,395 (December 31, 2013: $77,715). The balance is non-interest bearing, has no fix term of repayment and is payable on demand.
During the three month ended June 30, 2014, one of the Company’s directors has paid certain expenses on behalf of the Company. As at June 30, 2013, the net amount due to this director is $43,683. The balance is non-interest bearing, has no fix term of repayment and is payable on demand. |