SmartMetric (SMME) 10-Q 20 May 19 2019 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Mar. 31, 2019	May 20, 2019
Document And Entity Information
Entity Registrant Name	SmartMetric, Inc.
Entity Central Index Key	0001301991
Document Type	10-Q
Trading Symbol	SMME
Document Period End Date	Mar. 31, 2019
Amendment Flag	false
Current Fiscal Year End Date	--06-30
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	true
Entity Ex Transition Period	false
Entity Common Stock, Shares Outstanding		256,676,745
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2019

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (unaudited) - USD ($)	Mar. 31, 2019	Jun. 30, 2018
Current assets:
Cash	$ 60,929	$ 4,427
Receivables		10,400
Credit card overpayment	536
Prepaid expenses and other current assets	11,017	8,767
Total current assets	72,482	23,594
Non-current assets:
Receivables	10,400
Total assets	82,882	23,594
Current liabilities:
Accounts payable and accrued expenses	789,208	730,794
Liability for stock to be issued	252,599	103,718
Deferred officer's salary	805,848	663,348
Related party interest payable	79,524	40,055
Shareholder loan	7,739	15,000
Dividends payable	1,458
Total current liabilities	1,936,376	1,552,915
Stockholders' deficit:
Common stock, $.001 par value; 300,000,000 shares authorized, 256,676,745 and 256,676,745 shares issued and outstanding, respectively	256,677	249,148
Additional paid-in capital	24,479,000	24,217,831
Accumulated deficit	(26,642,596)	(25,996,910)
Total stockholders' deficit	(1,906,309)	(1,529,321)
Total liabilities, mezzanine equity and stockholders' deficit	82,882	23,594
Series C mandatory redeemable convertible preferred stock
Current liabilities:
Series C mandatory redeemable convertible preferred stock, net of discount, authorized, 1,000,000 shares, 70,000 and 0 shares issued and oustanding, respectively	52,815
Preferred Stock Class B
Stockholders' deficit:
Series B Preferred stock, $.001 par value; 5,000,000 shares authorized, 610,000 and 610,000 shares issued and outstanding	$ 610	$ 610

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (unaudited) (Parenthetical) - $ / shares	Mar. 31, 2019	Jun. 30, 2018
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, authorized	300,000,000	300,000,000
Common stock, issued	256,676,745	249,147,547
Common stock, outstanding	256,676,745	249,147,547
Preferred Stock Class B
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, authorized	5,000,000	5,000,000
Preferred stock, issued	610,000	610,000
Preferred stock, outstanding	610,000	610,000
Series C mandatory redeemable convertible preferred stock
Preferred stock, authorized	1,000,000	1,000,000
Preferred stock, issued	70,000	70,000
Preferred stock, outstanding	0	0

Condensed Consolidated Statemen

Condensed Consolidated Statements Of Operations (unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Mar. 31, 2019	Mar. 31, 2018
Income Statement [Abstract]
Revenues
Expenses:
Officer's salary	47,500	47,500	142,500	142,500
Other general and administrative	121,200	176,418	369,361	528,974
Research and development	38,949	64,413	90,084	105,845
Total operating expenses	207,649	288,331	601,945	777,319
Loss from operations before income taxes	(207,649)	(288,331)	(601,945)	(777,319)
Interest expense - related party	(13,647)	(7,698)	(39,468)	(27,937)
Income taxes
Net loss	(221,296)	(296,029)	(641,413)	(805,256)
Preferred stock dividends	(4,273)		(4,273)
Net loss available to common stockholders	$ (225,569)	$ (296,029)	$ (645,686)	$ (805,256)
Net loss per share, basic and diluted (in dollars per share)	$ 0	$ 0	$ 0	$ 0
Weighted average number of common shares outstanding, basic and diluted (in shares)	256,676,745	244,132,321	253,891,612	237,906,584

Condensed Consolidated Statem_2

Condensed Consolidated Statement of Stockholders' Deficit (Unaudited) - USD ($)	Preferred Stock	Class A Common Stock	Common Stock	Additional Paid-In Capital	Accumulated Deficit	Total
Balance at Jun. 30, 2017	$ 410		$ 226,173	$ 22,778,252	$ (24,346,047)	$ (1,341,212)
Balance, (in Shares) at Jun. 30, 2017	410,000		226,172,799
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Series B Preferred	$ 200					200
Series B Preferred, (in Shares)	200,000
Shares issued of common stock and warrants for services rendered			$ 363	21,462		21,825
Shares issued of common stock and warrants for services rendered (in shares)			362,864
Shares issued of common stock and warrants for cash			$ 8,260	264,240		272,500
Shares issued of common stock and warrants for cash (in shares)			8,260,000
To adjust for prior year expense					(11,325)	(11,325)
Net loss for the period					(247,063)	(247,063)
Balance at Sep. 30, 2017	$ 610		$ 234,794	23,063,954	(24,604,435)	(1,305,075)
Balance, (in Shares) at Sep. 30, 2017	610,000		234,795,663
Balance at Jun. 30, 2017	$ 410		$ 226,173	22,778,252	(24,346,047)	(1,341,212)
Balance, (in Shares) at Jun. 30, 2017	410,000		226,172,799
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss for the period						(805,256)
Balance at Mar. 31, 2018	$ 610		$ 245,437	23,436,311	(25,161,984)	(1,479,624)
Balance, (in Shares) at Mar. 31, 2018	610,000		245,438,947
Balance at Sep. 30, 2017	$ 610		$ 234,794	23,063,954	(24,604,435)	(1,305,075)
Balance, (in Shares) at Sep. 30, 2017	610,000		234,795,663
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares issued of common stock and warrants for services rendered			$ 212	14,788		15,000
Shares issued of common stock and warrants for services rendered (in shares)			212,164
Shares issued of common stock and warrants for cash			$ 7,238	245,762		253,000
Shares issued of common stock and warrants for cash (in shares)			7,237,500
To adjust for prior year expense					(1,894)	(1,894)
Net loss for the period					(260,270)	(260,270)
Balance at Dec. 31, 2017	$ 610		$ 242,244	23,324,504	(24,864,705)	(1,297,345)
Balance, (in Shares) at Dec. 31, 2017	610,000		242,245,327
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares issued of common stock and warrants for services rendered			$ 508	29,492		30,000
Shares issued of common stock and warrants for services rendered (in shares)			508,620
Shares issued of common stock and warrants for cash			$ 2,685	82,315		85,000
Shares issued of common stock and warrants for cash (in shares)			2,685,000
To adjust for prior year expense					(1,250)	(1,250)
Dividends
Net loss for the period					(296,029)	(296,029)
Balance at Mar. 31, 2018	$ 610		$ 245,437	23,436,311	(25,161,984)	(1,479,624)
Balance, (in Shares) at Mar. 31, 2018	610,000		245,438,947
Balance at Jun. 30, 2018	$ 610		$ 249,148	24,217,831	(25,996,910)	(1,529,321)
Balance, (in Shares) at Jun. 30, 2018	610,000		249,147,547
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares issued of common stock and warrants for cash			$ 5,502	201,196		$ 206,698
Shares issued of common stock and warrants for cash (in shares)			5,502,538			4,624,153
To adjust for prior year expense
Net loss for the period					(213,327)	(213,327)
Balance at Sep. 30, 2018	$ 610		$ 254,650	24,419,027	(26,210,237)	(1,526,479)
Balance, (in Shares) at Sep. 30, 2018	610,000		254,650,085
Balance at Jun. 30, 2018	$ 610		$ 249,148	24,217,831	(25,996,910)	(1,529,321)
Balance, (in Shares) at Jun. 30, 2018	610,000		249,147,547
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net loss for the period						(641,413)
Balance at Mar. 31, 2019	$ 610		$ 256,677	24,479,000	(26,642,596)	(1,906,309)
Balance, (in Shares) at Mar. 31, 2019	610,000		256,676,745
Balance at Sep. 30, 2018	$ 610		$ 254,650	24,419,027	(26,210,237)	(1,526,479)
Balance, (in Shares) at Sep. 30, 2018	610,000		254,650,085
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares issued of common stock and warrants for cash			$ 2,027	59,973		$ 62,000
Shares issued of common stock and warrants for cash (in shares)			2,026,660			5,212,499
Net loss for the period					(206,790)	$ (206,790)
Balance at Dec. 31, 2018	$ 610		$ 256,677	24,479,000	(26,417,027)	$ (1,671,269)
Balance, (in Shares) at Dec. 31, 2018	610,000		256,676,745
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Shares issued of common stock and warrants for cash (in shares)						7,541,663
Dividends					(4,273)	$ (4,273)
Net loss for the period					(221,296)	(221,296)
Balance at Mar. 31, 2019	$ 610		$ 256,677	$ 24,479,000	$ (26,642,596)	$ (1,906,309)
Balance, (in Shares) at Mar. 31, 2019	610,000		256,676,745

Condensed Consolidated Statem_3

Condensed Consolidated Statements Of Cash Flows (unaudited) - USD ($)	9 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
CASH FLOWS FROM OPERATING ACTIVITIES
Net loss	$ (641,413)	$ (805,256)
Adjustments to reconcile net loss to net cash used in operating activities:
Shares issued of common stock and warrant for services		66,824
Changes in assets and liabilities
Decrease in prepaid expenses and other current assets	(2,250)	48,060
(Decrease) increase in accounts payable and accrued expenses	58,414	58,459
Increase in deferred officer's salary	142,500	110,833
Increase (decrease) in credit card debt	(536)
Increase in accrued interest payable	39,469	27,936
Net cash used in operating activities	(403,816)	(493,144)
CASH FLOWS FROM INVESTING ACTIVITIES
CASH FLOWS FROM FINANCING ACTIVITIES
Loans from related parties	(7,261)	5,200
Proceeds from the sale of series C preferred stock	50,000
Proceeds from sale of common stock	417,579	448,218
Net cash provided by financing activities	460,318	453,418
NET INCREASE (DECREASE) IN CASH	56,502	(39,726)
CASH BEGINNING OF PERIOD	4,427	51,695
CASH END OF PERIOD	60,929	11,969
Income taxes
Interest

ORGANIZATION AND BASIS OF PRESE

ORGANIZATION AND BASIS OF PRESENTATION	9 Months Ended
	Mar. 31, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
ORGANIZATION AND BASIS OF PRESENTATION	NOTE 1 ORGANIZATION AND BASIS OF PRESENTATION SmartMetric, Inc. (“SmartMetric” or the “Company”) was incorporated pursuant to the laws of Nevada on December 18, 2002. SmartMetric is a company engaged in the technology industry. SmartMetric’s main products are a fingerprint sensor activated payments card and a security card with a finger sensor and fully functional fingerprint reader embedded inside the card. The SmartMetric biometric cards have a rechargeable battery allowing for portable biometric identification and card activation. This card is referred to as a biometric card or the SmartMetric Biometric Card. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Regulation S-X. Accordingly, they do not include all the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management of the Company, the accompanying unaudited financial statements contain all the adjustments (which are of a normal recurring nature) necessary for a fair presentation. Operating results for the nine months ended March 31, 2019 are not necessarily indicative of the results that may be expected for the year ending June 30, 2019. For further information, refer to the financial statements and the footnotes thereto contained in the Company’s Annual Report on Form 10-K for the year ended June 30, 2018, as filed with the Securities and Exchange Commission on October 12, 2018. The condensed consolidated balance sheet as of June 30, 2018, has been derived from the audited financial statements at that date, but does not include all the information and footnotes required by US GAAP for complete financial statements. Going Concern As shown in the accompanying condensed consolidated financial statements the Company has sustained recurring losses of $641,413 and $805,256 for the nine months ended March 31, 2019 and 2018 respectively, and has an accumulated deficit of $26,642,596 at March 31, 2019. There are no assurances that the Company will be able to achieve the level of revenues adequate to generate sufficient cash flow from operations to support the Company’s working capital requirements. To the extent that funds generated are insufficient, the Company will have to raise additional working capital. No assurance can be given that additional financing will be available, or if available, will be on terms acceptable to the Company. If adequate working capital is not available, the Company may not continue its operations. These conditions raise substantial doubt about the Company’s ability to continue as a going concern. The financial statements do not include any adjustments relating to the recoverability and classification of asset carrying amounts or the amount and classification of liabilities that might be necessary should the Company be unable to continue as a going concern. Management believes that the Company’s capital requirements will depend on many factors. These factors include product marketing and distribution. The management plans include equity sales and borrowing in order to fund the operations.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Mar. 31, 2019
Accounting Policies [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of Consolidation The condensed consolidated financial statements do not include any adjustments relating to the carrying amounts of recorded assets or the carrying amounts and classification of recorded liabilities that may be required should the Company be unable to continue as a going concern. Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying disclosures. Actual results may differ from those estimates. Research and Development Research and development costs are charged to expense as incurred. Our research and development expenses consist primarily of expenditures for electronics design and engineering, software design and engineering, component sourcing, component engineering, manufacturing, product trials, compensation and consulting costs. Recent Accounting Pronouncements The Company does not expect the adoption of recently issued accounting pronouncements to have a significant impact on the Company’s results of operations, financial position or cash flow except as noted below. In February 2016, the FASB issued authoritative guidance, which is included in ASC 842, “Leases.” This guidance requires lessees to recognize most leases on the balance sheet by recording a right-of-use asset and a lease liability. This guidance is effective for the Company as of March 1, 2019. Based on the completed analysis, the Company has determined the adjustment will not have a material impact on the financial statements. In June 2018, the FASB issued ASU 2018-07, Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, which aligns accounting for share-based payments issued to nonemployees to that of employees under the existing guidance of Topic 718, with certain exceptions. This update supersedes previous guidance for equity-based payments to nonemployees under Subtopic 505-50, Equity—Equity-Based Payments to Non-Employees. This guidance is effective for the Company as of March 1, 2019. Based on the completed analysis, the Company has determined the adjustment will not have a material impact on the financial statements. Loss Per Share of Common Stock In accordance with FASB ASC 260, “Earnings Per Share,” the basic loss per share is computed by dividing the loss attributable to common stockholders by the weighted average number of common shares outstanding during the period. Basic net loss per share excludes the dilutive effect of stock options or warrants and convertible notes. Diluted net earnings (loss) per common share is determined using the weighted-average number of common shares outstanding during the period, adjusted for the dilutive effect of common stock equivalents, consisting of shares that might be issued upon exercise of common stock options and warrants. In periods where losses are reported, the weighted-average number of common shares outstanding excludes common stock equivalents, because their inclusion would be anti-dilutive. As of March 31, 2019 and 2018, 26,392,318 and 14,505,499 dilutive shares were excluded from the calculation of diluted loss per common share. Stock-Based Compensation The Company measures expense for issuances of stock-based compensation to employees and others at fair value of the stock and warrants issued, as this is more reliable than the fair value of the services received complete. The fair value of the equity instrument is charged directly to compensation expense and additional paid-in capital. Reclassifications Certain prior year amounts have been reclassified for consistency with the current period presentation. These reclassifications had no effect on the reported results of operations.

PREPAID EXPENSES

PREPAID EXPENSES	9 Months Ended
	Mar. 31, 2019
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
PREPAID EXPENSES	NOTE 3 PREPAID EXPENSES Prepaid expenses represent the unexpired terms of various consulting agreements as well as advance rental payments. The Company does not currently have any prepaid items related to shares issue for services.

COMMITMENTS

COMMITMENTS	9 Months Ended
	Mar. 31, 2019
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS	NOTE 4 - COMMITMENTS Lease Agreement The Company’s main office is located in Las Vegas, Nevada. Rent expense under all leases for the nine months ended March 31, 2019 and 2018 was $10,545 and $25,589 respectively. The Company maintains only one office. This office is located in Las Vegas, NV and is a month-to-month lease. Related Party Transactions The Company’s Chief Executive Officer has made cash advances to the Company with an aggregate amount due of $7,739 and $15,000 at March 31, 2019 and June 30, 2018, respectively. These advances bear interest at the rate of five percent (5%) per annum. The Company has accrued the amounts of $805,848 and $663,348 at March 31, 2019 and June 30, 2018, respectively, as deferred officer’s salary, for the difference between the Chief Executive Officer’s annual salary and the amounts paid. On September 11, 2017, we received a license to certain patents from Chaya Hendrick, our founder and CEO, related to our technologies until the expiration of the patents. As consideration, we issued Chaya Hendrick, or her assigns, (i) 200,000 shares of Series B Convertible Preferred Stock, (ii) a royalty equal to 5% of gross revenues derived from products sold related to the patents, and (iii) certain minimum required payments beginning at $50,000 and doubling each year thereafter. The Series B Preferred Shares may be converted at the election of holder on a basis for 50 common shares for each preferred share at any time or an aggregate of 10,000,000 common shares in exchange for all 200,000 preferred shares.

STOCKHOLDERS' DEFICIT

STOCKHOLDERS' DEFICIT	9 Months Ended
	Mar. 31, 2019
Equity [Abstract]
STOCKHOLDERS' DEFICIT	NOTE 5 STOCKHOLDERS’ DEFICIT Preferred Stock As of March 31, 2019, the Company has 5,000,000 shares of Class B preferred stock, par value $0.001, authorized and 680,000 shares issued and outstanding. On December 11, 2009, the Company filed a Certificate of Designation with the State of Nevada, to designate 500,000 shares of preferred stock as Series B Convertible Preferred Stock (“Series B Convertible Preferred Stock”). Effective November 5, 2014, the number of shares designated as Series C Convertible Preferred Stock was increased to 1,000,000 shares. Each share of Series B Convertible Preferred Stock has a par value of $0.001, and a stated value equal to $5.00 (“Stated Value”). Holders of the Series B Convertible Preferred Stock are entitled to receive dividends or other distributions with the holders of the common stock of the Company on an as converted basis when, as, and if declared by the directors of the Company. Holders of the Series B Convertible Preferred Stock are entitled to convert each share of the Series B Convertible Preferred Stock into fifty (50) shares of common stock. Upon any liquidation, dissolution or winding-up of the Company, whether voluntary or involuntary, holders of the Series B Convertible Preferred Stock are entitled to receive out of the assets, whether capital or surplus, of the Company an amount equal to the Stated Value, pro rata with the holders of the common stock. Class A Common Stock As of March 31, 2019, the Company has 50,000,000 shares of Class A common stock, par value $0.001, authorized and no shares issued and outstanding. In October 2003, the Company issued 50,000,000 shares of Class A common stock at par value ($50,000). These shares were converted into 50,000,000 shares of common stock in 2006. Common Stock The Company was incorporated on December 18, 2002, with 45,000,000 shares of Common Stock, par value $0.001, authorized. The Articles of Incorporation were amended in 2006 to increase the number of authorized shares to 100,000,000 shares, and in 2009 to increase the number of authorized shares to 200,000,000. As a result of a screener’s error, the Company previously disclosed in its Quarterly Report on Form 10-Q for the quarters ended September 30, 2015 and December 31, 2015 that it increased the number of authorized shares of common stock to 300,000,000. On March 31, 2016, our Board of Directors (“The Board”) approved an amendment (the “Amendment”) to the Company’s Articles of Incorporation to increase the total number of shares of authorized capital stock to 305,000,000 shares, par value $0.001 per share, consisting of (i) 300,000,000 shares of Common Stock, up from 200,000,000 shares of Common Stock, and (ii) 5,000,000 shares of Preferred Stock, subject to shareholder approval (the “Proposal”). On March 31, 2016, a majority of the Company’s stockholders approved the Amendment. The Company filed a definitive information statement on Schedule 14C with the Securities and Exchange Commission on May 4, 2016 (the “Information Statement”). The Information Statement was furnished to all of the Company’s shareholders for the purpose of informing them of the action taken by a majority of the Company’s stockholders. As of March 31, 2019, the Company has 256,676,745 shares of common stock issued and outstanding. ● During the three months ended September 30, 2018, the Company sold for cash 4,624,153 shares of common stock for net proceeds of $145,770 and warrants to purchase (i) 3,699,988 shares at $0.25, (ii) 60,000 shares at $0.30, (iii) 30,000 shares at $0.50, (iv) 301,875 shares at $0.70 and (v) 151,970 shares at $1.00. During the quarter ended September 30, 2018, the Company issued a total of 5,502,538 shares of common stock. Of the total number of shares issued, 3,061,659 shares were for proceeds received during the quarter and 2,440,879 shares to reduce the liability for stock to be issued. ● During the three months ended December 31, 2018, the Company sold for cash 5,212,499 shares of common stock and warrants to purchase: (i) 3,712,499 shares at $0.25 per share and (ii) 1,500,000 shares at $0.50 per share, for net proceeds of $106,060. The warrants expire at various times through December 4, 2020. During the quarter ended December 31, 2018, the Company issued a total of 2,026,660 shares of common stock. Of the total number of shares issued, 250,000 shares were for proceeds received during the quarter and 4,962,499 shares to reduce the liability for stock to be issued. ● During the three months ended March 31, 2019, the Company sold for cash 7,541,663 shares of common stock and warrants to purchase: (i) 7,541,663 shares at prices ranging from $0.05 per share to $0.50 per share for net proceeds of $165,749. The warrants expire at various times through March 21, 2021. None of these shares were issued during the quarter ended March 31, 2019. Warrants From time to time the Company granted warrants in connection with private placements of securities, as described herein. As of March 31, 2019, and June 30, 2018, the following is a breakdown of the warrant activity: March 31, 2019: Outstanding - June 30, 2018 14,842,583 Issued 16,998,235 Exercised — Expired (5,448,500 ) Outstanding - March 31, 2019 26,392,318 June 30, 2018: Outstanding - June 30, 2017 20,276,399 Issued 12,341,584 Exercised — Expired (17,775,400 ) Outstanding - June 30, 2018 14,842,583 At March 31, 2019, all of the 26,392,318 warrants are vested and (i) 23,092,318 warrants expire at various times prior to March 21, 2021, (ii) 3,000,000 warrants expire in September 2019, (iii) and 300,000 warrants expire in July 2020.

MANDATORY REDEEMABLE CONVERTIBL

MANDATORY REDEEMABLE CONVERTIBLE PREFERRED STOCK	9 Months Ended
	Mar. 31, 2019
Mandatory Redeemable Convertible Preferred Stock
MANDATORY REDEEMABLE CONVERTIBLE PREFERRED STOCK	NOTE 6 MANDATORY REDEEMABLE CONVERTIBLE PREFERRED STOCK Issuances of Series C Mandatory Redeemable Convertible Preferred Stock On January 10, 2019, the Board of Directors of the Company adopted a resolution pursuant to the Company’s Certificate of Incorporation, as amended, providing for the designations, preferences and relative, participating, optional and other rights, and the qualifications, limitations and restrictions, of the Series C Convertible Preferred Stock. On January 14, 2019, the Company filed a Certificate of Designations for a Series C Convertible Preferred Stock. The authorized number of Series C Convertible Preferred Stock is 1,000,000 shares, par value 0.001. The Series C Preferred Stock will, with respect to dividend rights and rights upon liquidat winding-up or dissolution, rank: (a) senior with respect to dividends and right of liquidation with the Company’s common stock, , (b) junior to dividends and right of quidation with respect to the Company’s Series B Preferred Stock; and (c) junior with respect to dividends and right of liquidation to all ex ting indebtedness of the Company. Series C Preferred Stock will carry an annual ten percent (10%) cumulative dividend, compounded daily, payable solely upon redemption liquidation or conversion. The Company will have a right, at any time in the period of 180 days from the date of the issuance, at the Company’s option, to redeem all or any portion of the Series C Preferred Stock at prices ranging from 105% to 130%, based on the passage of time. The Holder shall have the right at any time during the period beginning on the date which i On the date which is eighteen (18) months following the Issuance Date or upon the occurrence of an Event of Default (the “Mandatory Redemption Date”), the Company shall redeem all of the shares of Series C Preferred Stock of the Holder (which have not been previously redeemed or converted). With five (5) days of the Mandatory Redemption Date, the Company shall make payment to each Holder of an amount in cash equal to the total number of shares of Series C Preferred Stock held by such Holder multiplied by the then current Stated Value. All shares of mandatorily redeemable convertible preferred stock have been presented outside of permanent equity in accordance with ASC 480, Classification and Measurement of Redeemable Securities The estimated fair value of the Series C mandatory redeemable convertible preferred stock at March 31, 2019 and 2018 was $52,815 and $0, respectively.

INCOME TAXES

INCOME TAXES	9 Months Ended
	Mar. 31, 2019
Income Tax Disclosure [Abstract]
INCOME TAXES	NOTE 7 INCOME TAXES The Company provides for income taxes at the end of each interim period based on the estimated effective tax rate for the full fiscal year. Cumulative adjustments to the Company’s estimate are recorded in the interim period in which a change in the estimated annual effective rate is determined. The Company has estimated its effective tax rate to be 0%, based primarily on losses incurred and the uncertainty of realization of the tax benefit of such losses.

LITIGATION

LITIGATION	9 Months Ended
	Mar. 31, 2019
Commitments and Contingencies Disclosure [Abstract]
LITIGATION	NOTE 8 LITIGATION From time to time we may be a defendant or plaintiff in various legal proceedings arising in the normal course of our business. As of the date of this Quarterly Report, there are no material pending legal or governmental proceedings relating to us or properties to which we are a party, and, to our knowledge, there are no material proceedings to which any of our directors, executive officers or affiliates are a party adverse to us or which have a material interest adverse to us.

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	9 Months Ended
	Mar. 31, 2019
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	NOTE 9 SUBSEQUENT EVENTS In accordance with ASC 855-10, the Company has analyzed its operations subsequent to March 31, 2019 to the date these financial statements were issued, and there were no material subsequent events to disclose in these financial statements.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Mar. 31, 2019
Accounting Policies [Abstract]
Principles of Consolidation	Principles of Consolidation The condensed consolidated financial statements do not include any adjustments relating to the carrying amounts of recorded assets or the carrying amounts and classification of recorded liabilities that may be required should the Company be unable to continue as a going concern.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying disclosures. Actual results may differ from those estimates.
Research and Development	Research and Development Research and development costs are charged to expense as incurred. Our research and development expenses consist primarily of expenditures for electronics design and engineering, software design and engineering, component sourcing, component engineering, manufacturing, product trials, compensation and consulting costs.
Recent Accounting Pronouncements	Recent Accounting Pronouncements The Company does not expect the adoption of recently issued accounting pronouncements to have a significant impact on the Company’s results of operations, financial position or cash flow except as noted below. In February 2016, the FASB issued authoritative guidance, which is included in ASC 842, “Leases.” This guidance requires lessees to recognize most leases on the balance sheet by recording a right-of-use asset and a lease liability. This guidance is effective for the Company as of March 1, 2019. Based on the completed analysis, the Company has determined the adjustment will not have a material impact on the financial statements. In June 2018, the FASB issued ASU 2018-07, Compensation—Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting, which aligns accounting for share-based payments issued to nonemployees to that of employees under the existing guidance of Topic 718, with certain exceptions. This update supersedes previous guidance for equity-based payments to nonemployees under Subtopic 505-50, Equity—Equity-Based Payments to Non-Employees. This guidance is effective for the Company as of March 1, 2019. Based on the completed analysis, the Company has determined the adjustment will not have a material impact on the financial statements.
Loss Per Share of Common Stock	Loss Per Share of Common Stock In accordance with FASB ASC 260, “Earnings Per Share,” the basic loss per share is computed by dividing the loss attributable to common stockholders by the weighted average number of common shares outstanding during the period. Basic net loss per share excludes the dilutive effect of stock options or warrants and convertible notes. Diluted net earnings (loss) per common share is determined using the weighted-average number of common shares outstanding during the period, adjusted for the dilutive effect of common stock equivalents, consisting of shares that might be issued upon exercise of common stock options and warrants. In periods where losses are reported, the weighted-average number of common shares outstanding excludes common stock equivalents, because their inclusion would be anti-dilutive. As of March 31, 2019 and 2018, 26,392,318 and 14,505,499 dilutive shares were excluded from the calculation of diluted loss per common share.
Stock-Based Compensation	Stock-Based Compensation The Company measures expense for issuances of stock-based compensation to employees and others at fair value of the stock and warrants issued, as this is more reliable than the fair value of the services received complete. The fair value of the equity instrument is charged directly to compensation expense and additional paid-in capital.
Reclassifications	Reclassifications Certain prior year amounts have been reclassified for consistency with the current period presentation. These reclassifications had no effect on the reported results of operations.

STOCKHOLDERS' (DEFICIT) (Tables

STOCKHOLDERS' (DEFICIT) (Tables)	9 Months Ended
	Mar. 31, 2019
Stockholders' Equity Note [Abstract]
Schedule of share based compensation warrant activity	As of March 31, 2019, and June 30, 2018, the following is a breakdown of the warrant activity: March 31, 2019: Outstanding - June 30, 2018 14,842,583 Issued 16,998,235 Exercised — Expired (5,448,500 ) Outstanding - March 31, 2019 26,392,318 June 30, 2018: Outstanding - June 30, 2017 20,276,399 Issued 12,341,584 Exercised — Expired (17,775,400 ) Outstanding - June 30, 2018 14,842,583

ORGANIZATION AND BASIS OF PRE_2

ORGANIZATION AND BASIS OF PRESENTATION (Details Narrative) - USD ($)	3 Months Ended						9 Months Ended
	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Mar. 31, 2019	Mar. 31, 2018	Jun. 30, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Net loss	$ (221,296)	$ (206,790)	$ (213,327)	$ (296,029)	$ (260,270)	$ (247,063)	$ (641,413)	$ (805,256)
Accumulated deficit	$ (26,642,596)						$ (26,642,596)		$ (25,996,910)

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - shares	6 Months Ended	9 Months Ended
	Dec. 31, 2018	Mar. 31, 2019
Accounting Policies [Abstract]
Dilutive shares excluded from calculation of diluted loss per common share	14,505,499	26,392,318

COMMITMENTS (Details Narrative)

COMMITMENTS (Details Narrative) - USD ($)	Sep. 11, 2017	Mar. 31, 2019	Mar. 31, 2018	Jun. 30, 2018
Rent expense		$ 10,545	$ 25,589
Deferred compensation liability		805,848		$ 663,348
Chaya Hendrick [Member]
Cash advances from related party		$ 7,739		$ 15,000
Interest rate			5.00%
Series B Convertible Preferred Stock [Member] | Chaya Hendrick [Member]
Description of Preferred Stock	On September 11, 2017, we received a license to certain patents from Chaya Hendrick, our founder and CEO, related to our technologies until the expiration of the patents. As consideration, we issued Chaya Hendrick, or her assigns, (i) 200,000 shares of Series B Convertible Preferred Stock, (ii) a royalty equal to 5% of gross revenues derived from products sold related to the patents, and (iii) certain minimum required payments beginning at $50,000 and doubling each year thereafter. The Series B Preferred Shares may be converted at the election of holder on a basis for 50 common shares for each preferred share at any time or an aggregate of 10,000,000 common shares in exchange for all 200,000 preferred shares.

STOCKHOLDERS' (DEFICIT) (Detail

STOCKHOLDERS' (DEFICIT) (Details) - Warrant [Member] - shares	9 Months Ended	12 Months Ended
	Mar. 31, 2019	Jun. 30, 2018
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]
Outstanding - beginning of year	14,842,583	20,276,399
Issued	16,998,235	12,341,584
Exercised
Expired	(5,448,500)	(17,775,400)
Outstanding - end of year	26,392,318	14,842,583

STOCKHOLDERS' (DEFICIT) (Deta_2

STOCKHOLDERS' (DEFICIT) (Details Narrative) - USD ($)	Nov. 05, 2014	Oct. 31, 2003	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Mar. 31, 2019	Mar. 31, 2018	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2009	Dec. 11, 2009	Jun. 30, 2006	Dec. 18, 2002
Number of shares issued			7,541,663	5,212,499	4,624,153
Common stock, shares authorized			300,000,000			300,000,000		300,000,000
Common stock, par value (in dollars per share)			$ 0.001			$ 0.001		$ 0.001
Common stock, shares issued			256,676,745			256,676,745		249,147,547
Common stock, shares outstanding			256,676,745			256,676,745		249,147,547
Proceeds from sale of common stock			$ 165,749	$ 106,060	$ 145,770	$ 417,579	$ 448,218
Warrant expiration date			Mar. 21, 2021	Dec. 4, 2020
Common stock issued				2,026,660	5,502,538
Number of common stock issued for cash				250,000	3,061,659
Number of common stock issued for to reduce the liability				4,962,499	2,440,879
Warrant [Member]
Number of warrant vested			26,392,318			26,392,318		14,842,583	20,276,399
Warrant Expired On March 21, 2021 [Member]
Number of warrants expired						23,092,318
Warrant Expired Through September 2019 [Member]
Number of warrants expired						3,000,000
Warrant Expired On July 2020 [Member]
Number of warrants expired						300,000
Warrant One [Member]
Number of securities			7,541,663	3,712,499	3,699,988	7,541,663
Exercise price of warrants				$ 0.25	$ 0.25
Warrant One [Member] | Minimum [Member]
Exercise price of warrants			$ 0.05			$ 0.05
Warrant One [Member] | Maximum [Member]
Exercise price of warrants			$ 0.50			$ 0.50
Warrant Two [Member]
Number of securities				1,500,000	60,000
Exercise price of warrants				$ 0.50	$ 0.30
Warrant Three [Member]
Number of securities					30,000
Exercise price of warrants					$ 0.50
Warrant Four [Member]
Number of securities					301,875
Exercise price of warrants					$ 0.70
Warrant Five [Member]
Number of securities					151,970
Exercise price of warrants					$ 1
Series B Convertible Preferred Stock [Member]
Preferred Stock, Authorized	1,000,000												500,000
Preferred stock, par value (in dollars per share)	$ 0.001												$ 0.001
Preferred stock, Stated Value Per Share	$ 5												$ 5
Description of conversion of stock	Holders of the Series B Convertible Preferred Stock are entitled to convert each share of the Series B Convertible Preferred Stock into fifty (50) shares of common stock.
Common Stock [Member]
Common stock, shares authorized										305,000,000	300,000,000	200,000,000		100,000,000	45,000,000
Common stock, par value (in dollars per share)										$ 0.001					$ 0.001
Common Class [Member]
Description of conversion of stock		These shares were converted into 50,000,000 shares of common stock in 2006.
Common stock, shares authorized					50,000,000
Common stock, par value (in dollars per share)		$ 50,000			$ 0.001
Common stock, shares issued		50,000,000

MANDATORY REDEEMABLE CONVERTI_2

MANDATORY REDEEMABLE CONVERTIBLE PREFERRED STOCK (Details Narrative) - Series C mandatory redeemable convertible preferred stock - USD ($)	Jan. 14, 2019	Mar. 31, 2019	Jun. 30, 2018
Fair value of convertible preferred stock		$ 52,815	$ 0
Preferred stock, authorized	1,000,000	1,000,000	1,000,000
Preferred stock, par value (in dollars per share)	$ 0.001
Dividend percent	10.00%

INCOME TAXES (Details Narrative

INCOME TAXES (Details Narrative)	9 Months Ended
	Mar. 31, 2019
Income Tax Disclosure [Abstract]
Effective tax rate	0.00%