Innovation Pharmaceuticals (IPIX) 10-Q 15 May 23 2023 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Mar. 31, 2023	May 10, 2023
Document Information Line Items
Entity Registrant Name	INNOVATION PHARMACEUTICALS INC.
Entity Central Index Key	0001355250
Document Type	10-Q
Amendment Flag	false
Current Fiscal Year End Date	--06-30
Entity Small Business	true
Entity Shell Company	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Document Period End Date	Mar. 31, 2023
Entity Filer Category	Non-accelerated Filer
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2023
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	001-37357
Entity Incorporation State Country Code	NV
Entity Tax Identification Number	30-0565645
Entity Interactive Data Current	Yes
Entity Address Address Line 1	301 Edgewater Place
Entity Address Address Line 2	Suite 100
Entity Address City Or Town	Wakefield
Entity Address Postal Zip Code	01880
City Area Code	978
Local Phone Number	921-4125
Entity Address State Or Province	MA
Common Class A [Member]
Document Information Line Items
Entity Common Stock Shares Outstanding		514,013,755
Common Class B [Member]
Document Information Line Items
Entity Common Stock Shares Outstanding		4,333,936

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Mar. 31, 2023	Jun. 30, 2022
Current Assets:
Cash	$ 1,940,000	$ 3,807,000
Prepaid expenses and other current assets	0	145,000
Total Current Assets	1,940,000	3,952,000
Equity investment	3,895,000	3,978,000
Other Assets:
Patents - net	2,080,000	2,312,000
Deferred offering costs - net	0	59,000
Security deposits	78,000	78,000
Total Other Assets	2,158,000	2,449,000
Total Assets	7,993,000	10,379,000
Current Liabilities:
Accounts payable - (including related party payables of approx. $1,511,000 and $1,511,000, respectively)	2,699,000	2,567,000
Accrued expenses - (including related party accruals of approx. $18,000 and $12,000, respectively)	74,000	92,000
Accrued salaries and payroll taxes - (including related party accrued salaries of approx. $1,601,000 and $1,563,000, respectively)	1,685,000	1,640,000
Operating lease - current liability	108,000	197,000
Convertible note payable - related party	238,000	250,000
Accrued dividend - Series B 5% convertible preferred stock	16,000	62,000
Total Current Liabilities	4,820,000	4,808,000
Other Liabilities:
Series B 5% convertible preferred stock liability at $1,080 stated value; 360 shares issued and outstanding at March 31, 2023 and 620 shares issued and outstanding at June 30, 2022	457,000	786,000
Operating lease - long term liability	0	55,000
Total Liabilities	5,277,000	5,649,000
Stockholders' Equity
Preferred stock, $0.001 par value, 10,000,000 designated shares, no shares issued and outstanding	0	0
Additional paid-in capital	129,562,000	129,090,000
Accumulated deficit	(124,644,000)	(122,157,000)
Treasury Stock, at cost (10,874,593 shares as of March 31, 2023 and June 30, 2022)	(2,254,000)	(2,254,000)
Total Stockholders' Equity	2,716,000	4,730,000
Total Liabilities and Stockholders' Equity	7,993,000	10,379,000
Common Stock Class B [Member]
Stockholders' Equity
Common Stock, value	1,000	2,000
Common Stock Class A [Member]
Stockholders' Equity
Common Stock, value	$ 51,000	$ 49,000

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)	Mar. 31, 2023	Jun. 30, 2022
Related party payables	$ 1,511,000	$ 1,511,000
Related party accruals	18,000	12,000
Related party accrued salaries	$ 1,601,000	$ 1,563,000
Series B 5% Preferred Stock, Shares Outstanding	360	620
Series B 5% Preferred Stock, Shares issued	360	620
Series B 5% convertible preferred stock liability	$ 1,080	$ 1,080
Preferred Stock, Par Value	$ 0.001	$ 0.001
Preferred Stock, Shares Designated	10,000,000	10,000,000
Preferred Stock, Shares Issued	0	0
Preferred Stock, Shares Outstanding	0	0
Treasury Stock Shares	10,874,593	10,874,593
Common Class B [Member]
Treasury Stock Shares	2,358,537
Common Stock, Par Value	$ 0.0001	$ 0.0001
Common Stock, Shares Authorized	100,000,000	100,000,000
Common Stock, Shares Issued	6,692,473	18,000,000
Common Stock, Shares Outstanding	4,333,936	15,641,463
Common Class A [Member]
Treasury Stock Shares	8,516,056
Common Stock, Par Value	$ 0.0001	$ 0.0001
Common Stock, Shares Authorized	600,000,000	600,000,000
Common Stock, Shares Issued	522,529,811	496,741,729
Common Stock, Shares Outstanding	514,013,755	488,225,673

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Mar. 31, 2023	Mar. 31, 2022
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
Revenues	$ 0	$ 0	$ 0	$ 0
Operating expenses:
Research and development expenses	323,000	931,000	1,159,000	4,115,000
General and administrative expenses	144,000	320,000	626,000	771,000
Officers' payroll and payroll tax expenses	126,000	126,000	362,000	308,000
Professional fees	48,000	81,000	209,000	301,000
Total operating expenses	641,000	1,458,000	2,356,000	5,495,000
Other operating income (expense)
Equity in loss from an investment	(38,000)	0	(83,000)	0
Total other operating income (expense)	(38,000)	0	(83,000)	0
Loss from operations	(679,000)	(1,458,000)	(2,439,000)	(5,495,000)
Other income (expense)
Other income	0	0	0	172,000
Interest expense - debt	(12,000)	(11,000)	(24,000)	(61,000)
Interest expense - preferred stock liability	(7,000)	(17,000)	(24,000)	(31,000)
Other income (expense), net	(19,000)	(28,000)	(48,000)	80,000
Loss before provision for income taxes	(698,000)	(1,486,000)	(2,487,000)	(5,415,000)
Provision for income taxes	0	0	0	0
Net loss	$ (698,000)	$ (1,486,000)	$ (2,487,000)	$ (5,415,000)
attributable to common stockholders	$ 0	$ 0	$ 0	$ (0.01)
Weighted average number of common shares	496,938,725	468,040,150	501,589,539	457,195,112

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS EQUITY (Unaudited) - USD ($)	Total	Common Stock A Member	Common stock B Member	Treasury Stock	Additional Paid-In Capital	Retained Earnings (Accumulated Deficit)
Balance, shares at Jun. 30, 2021		418,157,142	15,641,463	10,874,593
Balance, amount at Jun. 30, 2021	$ 7,509,000	$ 42,000	$ 2,000	$ (2,254,000)	$ 124,835,000	$ (115,116,000)
Offering cost	(179,000)	0	0	0	(179,000)	0
Restricted stock awards of common stock issued to employee for services	3,000	0	0	0	3,000	0
Stock options issued to employee for services	8,000	0	0	0	8,000	0
Stock options issued to consultants for services	29,000	$ 0	0	0	29,000	0
Conversion of 3,036 shares of preferred stock into 18,939,080 shares of common stock, shares		18,939,080
Conversion of 3,036 shares of preferred stock into 18,939,080 shares of common stock, amount	2,983,000	$ 2,000	0	0	2,981,000	0
Net loss for the three months ended September 30, 2021	(2,056,000)	$ 0	$ 0	$ 0	0	(2,056,000)
Balance, shares at Sep. 30, 2021		437,096,222	15,641,463	10,874,593
Balance, amount at Sep. 30, 2021	8,297,000	$ 44,000	$ 2,000	$ (2,254,000)	127,677,000	(117,172,000)
Balance, shares at Jun. 30, 2021		418,157,142	15,641,463	10,874,593
Balance, amount at Jun. 30, 2021	7,509,000	$ 42,000	$ 2,000	$ (2,254,000)	124,835,000	(115,116,000)
Net loss for the three months ended September 30, 2021	(5,415,000)
Balance, shares at Mar. 31, 2022		456,580,514	15,641,463	10,874,593
Balance, amount at Mar. 31, 2022	5,815,000	$ 46,000	$ 2,000	$ (2,254,000)	128,552,000	(120,531,000)
Balance, shares at Sep. 30, 2021		437,096,222	15,641,463	10,874,593
Balance, amount at Sep. 30, 2021	8,297,000	$ 44,000	$ 2,000	$ (2,254,000)	127,677,000	(117,172,000)
Offering cost	(180,000)				(180,000)
Restricted stock awards of common stock issued to employee for services	2,000	0	0	0	2,000	0
Stock options issued to employee for services	27,000	0	0	0	27,000	0
Stock options issued to consultants for services	12,000	0	0	0	12,000	0
Net loss for the three months ended September 30, 2021	(1,873,000)	0	0	0	0	(1,873,000)
Stock options issued to director for services	111,000	$ 0	0	0	111,000	0
Conversion of 536 shares of preferred stock into 7,854,545 shares of common stock, shares		7,854,545
Conversion of 536 shares of preferred stock into 7,854,545 shares of common stock, amount	526,000	$ 1,000	0	0	525,000	0
Shares of common stock issued for exercise of options, shares		166,666
Shares of common stock issued for exercise of options, amount	23,000	$ 0	$ 0	$ 0	23,000	0
Balance, shares at Dec. 31, 2021		445,117,433	15,641,463	10,874,593
Balance, amount at Dec. 31, 2021	6,945,000	$ 45,000	$ 2,000	$ (2,254,000)	128,197,000	(119,045,000)
Offering cost	(179,000)				(179,000)
Restricted stock awards of common stock issued to employee for services	2,000	0	0	0	2,000	0
Stock options issued to employee for services	28,000	0	0	0	28,000	0
Stock options issued to consultants for services	10,000	0	0	0	10,000	0
Net loss for the three months ended September 30, 2021	(1,486,000)	0	0	0	0	(1,486,000)
Stock options issued to director for services	166,000	$ 0	0	0	166,000	0
Conversion of 335 shares of preferred stock into 11,463,081 shares of common stock, shares		11,463,081
Conversion of 335 shares of preferred stock into 11,463,081 shares of common stock, amount	329,000	$ 1,000	$ 0	$ 0	328,000	0
Balance, shares at Mar. 31, 2022		456,580,514	15,641,463	10,874,593
Balance, amount at Mar. 31, 2022	5,815,000	$ 46,000	$ 2,000	$ (2,254,000)	128,552,000	(120,531,000)
Balance, shares at Jun. 30, 2022		488,225,673	15,641,463	10,874,593
Balance, amount at Jun. 30, 2022	4,730,000	$ 49,000	$ 2,000	$ (2,254,000)	129,090,000	(122,157,000)
Stock options issued to employee for services	28,000	0	0	0	28,000	0
Stock options issued to consultants for services	2,000	0	0	0	2,000	0
Net loss for the three months ended September 30, 2021	(1,428,000)	0	0	0	0	(1,428,000)
Stock options issued to director for services	147,000	0	0	0	147,000	0
Offering cost	(59,000)	$ 0	0	0	(59,000)	0
Restricted common stock award issued to employee for services, shares		97,323
Restricted common stock award issued to employee for services, amount	1,000	$ 0	$ 0	$ 0	1,000	0
Balance, shares at Sep. 30, 2022		488,322,996	15,641,463	10,874,593
Balance, amount at Sep. 30, 2022	3,421,000	$ 49,000	$ 2,000	$ (2,254,000)	129,209,000	(123,585,000)
Balance, shares at Jun. 30, 2022		488,225,673	15,641,463	10,874,593
Balance, amount at Jun. 30, 2022	4,730,000	$ 49,000	$ 2,000	$ (2,254,000)	129,090,000	(122,157,000)
Net loss for the three months ended September 30, 2021	(2,487,000)
Balance, shares at Mar. 31, 2023		514,013,755	4,333,936	10,874,593
Balance, amount at Mar. 31, 2023	2,716,000	$ 51,000	$ 1,000	$ (2,254,000)	129,562,000	(124,644,000)
Balance, shares at Sep. 30, 2022		488,322,996	15,641,463	10,874,593
Balance, amount at Sep. 30, 2022	3,421,000	$ 49,000	$ 2,000	$ (2,254,000)	129,209,000	(123,585,000)
Stock options issued to employee for services	5,000	0	0	0	5,000	0
Stock options issued to consultants for services	1,000	0	0	0	1,000	0
Net loss for the three months ended September 30, 2021	(361,000)	0	0	0	0	(361,000)
Stock options issued to director for services	14,000	0	$ 0	0	14,000	0
Surrender of Shares by a Stockholder, shares			(11,307,527)
Surrender of Shares by a Stockholder, amount	0	0	$ (1,000)	0	1,000	0
Restricted common stock award issued to employee for services	1,000	$ 0	$ 0	$ 0	1,000	0
Balance, shares at Dec. 31, 2022		488,322,996	4,333,936	10,874,593
Balance, amount at Dec. 31, 2022	3,081,000	$ 49,000	$ 1,000	$ (2,254,000)	129,231,000	(123,946,000)
Stock options issued to employee for services	3,000	0	0	0	3,000	0
Net loss for the three months ended September 30, 2021	(698,000)	0	0	0	0	(698,000)
Restricted common stock award issued to employee for services	1,000	$ 0	0	0	1,000	0
Conversion of 260 shares of preferred stock into 25,690,759 shares of common stock, shares		25,690,759
Conversion of 260 shares of preferred stock into 25,690,759 shares of common stock, amount	329,000	$ 2,000	$ 0	$ 0	327,000	0
Balance, shares at Mar. 31, 2023		514,013,755	4,333,936	10,874,593
Balance, amount at Mar. 31, 2023	$ 2,716,000	$ 51,000	$ 1,000	$ (2,254,000)	$ 129,562,000	$ (124,644,000)

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)	9 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (2,487,000)	$ (5,415,000)
net cash used in operating activities:
Stock based compensation	203,000	398,000
Amortization of patent costs	280,000	286,000
Gain on forgiveness of loans payable	0	(172,000)
Equity in loss from an investment	83,000	0
Changes in operating assets and liabilities:
Prepaid expenses and other current assets	145,000	468,000
Accounts payable	132,000	(163,000)
Accrued expenses	(18,000)	(277,000)
Accrued salaries and payroll taxes	45,000	(357,000)
Accrued dividend	24,000	31,000
Operating lease liability	(144,000)	(121,000)
Net cash used in operating activities	(1,737,000)	(5,322,000)
CASH FLOWS FROM INVESTING ACTIVITIES:
Patent costs	(48,000)	(50,000)
Net cash used in investing activities	(48,000)	(50,000)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from exercise of warrants to purchase Series B-2 5% convertible preferred stock	0	4,983,000
Proceeds from exercise of options	0	23,000
Repayment of note payable to officer	(12,000)	(1,033,000)
Dividend paid to Preferred stockholders	(70,000)	0
Net cash provided by (used in) financing activities	(82,000)	3,973,000
NET DECREASE IN CASH	(1,867,000)	(1,399,000)
CASH, BEGINNING OF PERIOD	3,807,000	10,194,000
CASH, END OF PERIOD	1,940,000	8,795,000
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
Cash paid for interest	12,000	44,000
Cash paid for tax	0	0
NON-CASH INVESTING AND FINANCING ACTIVITY
Surrender of Common Stock Class B by a Stockholder	1,000	0
Conversion of preferred stock to common stock	330,000	3,838,000
Deferred offering costs	$ 59,000	$ 538,000

Basis of Presentation and Natur

Basis of Presentation and Nature of Operations	9 Months Ended
	Mar. 31, 2023
Basis of Presentation and Nature of Operations
Basis of Presentation and Nature of Operations	1. Basis of Presentation and Nature of Operations Unaudited Interim Financial Information The accompanying unaudited condensed consolidated financial statements of Innovation Pharmaceuticals Inc. have been prepared in accordance with the rules and regulations of the Securities and Exchange Commission, or the SEC, including the instructions to Form 10-Q and Regulation S-X. Certain information and note disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) have been condensed or omitted from these statements pursuant to such rules and regulations and, accordingly, they do not include all the information and notes necessary for comprehensive consolidated financial statements and should be read in conjunction with our audited financial statements for the year ended June 30, 2022, included in our Annual Report on Form 10-K for the year ended June 30, 2022. In the opinion of the management of Innovation Pharmaceuticals Inc., all adjustments, which are of a normal recurring nature, necessary for a fair statement of the results for the three-month and nine-month periods have been made. Results for the interim periods presented are not necessarily indicative of the results that might be expected for the entire fiscal year. When used in these notes, the terms “Company,” “Innovation,” “we,” “us” or “our” mean Innovation Pharmaceuticals Inc. Basis of Presentation Innovation Pharmaceuticals Inc. was incorporated on August 1, 2005 in the State of Nevada. Effective June 5, 2017, the Company amended its Articles of Incorporation and changed its name from Cellceutix Corporation to Innovation Pharmaceuticals Inc. On February 15, 2019, the Company formed IPIX Pharma Limited (“IPIX Pharma”), a wholly-owned subsidiary incorporated under the Companies Act 2014 of Ireland. IPIX Pharma is a Private Company Limited by Shares. The subsidiary is intended to serve as a key hub for strategic collaboration with European companies and medical communities in addition to providing cost-saving efficiencies and flexibility with respect to developing Brilacidin under European Medicines Agency standards. The Company is a clinical stage biopharmaceutical company. The Company’s common stock is quoted on the OTCQB, symbol “IPIX.” Basis of Consolidation These condensed consolidated financial statements include the accounts of Innovation Pharmaceuticals Inc., a Nevada corporation, and our wholly-owned subsidiary, IPIX Pharma, an Ireland limited company. All significant intercompany transactions and balances have been eliminated in consolidation. There was no translation gain and loss for the nine months ended March 31, 2023 and 2022. Nature of Operations - Overview We are in the business of developing or licensing innovative small molecule therapies to treat diseases with significant medical need, particularly in the areas of inflammatory diseases, cancer, dermatology and anti-infectives. Our strategy is to maximize the value of our drug compound Brilacidin by advancing indications along the regulatory pathway as well as seeking additional health care-related investment opportunities with the aim of diversifying the Company’s assets. Ongoing activities include Brilacidin drug manufacturing, scientific report writing, and supportive research activities. The Company also acquired a non-controlling interest in BT BeaMedical Technologies Ltd. (“BTL”), formerly known as Squalus Medical Ltd., a private company developing a novel image guided surgical laser platform. Management is focused on other avenues of business development, including, but not limited to, joint ventures, mergers and acquisitions, strategic investments, and licensing agreements, for the purpose of diversifying corporate assets. While no assurances are expressed or implied that any agreement will be consummated in the future, the Company is committed toward executing on opportunities at hand. We currently own all development and marketing rights to our products, other than the license rights granted to Alfasigma S.p.A. in July 2019 for the development, manufacturing and commercialization of locally-administered Brilacidin for ulcerative proctitis/ulcerative proctosigmoiditis (“UP/UPS”). In order to successfully develop and market our products, we may have to partner with additional companies. Prospective partners may require that we grant them significant development and/or commercialization rights in return for agreeing to share the risk of development and/or commercialization.

Liquidity Going Concern and Man

Liquidity Going Concern and Managements Plan	9 Months Ended
	Mar. 31, 2023
Basis of Presentation and Nature of Operations
Liquidity, Going Concern and Management's Plan	2. Liquidity, Going Concern and Management’s Plan Our financial statements were prepared assuming we will continue as a going concern which contemplates the realization of assets and satisfaction of liabilities in the normal course of business. For the nine months ended March 31, 2023, the Company had a net loss of $2.5 million and negative cash flow from operations of $1.7 million. As of March 31, 2023, the Company has negative working capital of $2.9 million. As of March 31, 2023, the Company’s cash amounted to $1.9 million and current liabilities amounted to $4.8 million. The Company has expended substantial funds on its clinical trials and expects to continue our spending on research and development expenditures. We expect to incur further losses in the development of our business and have been dependent on funding operations from inception. These conditions raise substantial doubt about our ability to continue as a going concern. Management’s plans include continuing to finance operations through the private or public placement of debt and/or equity securities and the reduction of expenditures. However, no assurance can be given at this time as to whether we will be able to achieve these objectives. The financial statements do not include any adjustment relating to the recoverability and classification of recorded asset amounts or the amounts and classification of liabilities that might be necessary should we be unable to continue as a going concern. These factors raise a substantial doubt about the Company’s ability to continue as a going concern. The accompanying financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classifications of liabilities that may result from the possible inability of the Company to continue as a going concern.

Significant Accounting Policies

Significant Accounting Policies and Recent Accounting Pronouncements	9 Months Ended
	Mar. 31, 2023
Significant Accounting Policies and Recent Accounting Pronouncements
Significant Accounting Policies and Recent Accounting Pronouncements	3. Significant Accounting Policies and Recent Accounting Pronouncements Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect certain reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Significant items subject to such estimates and assumptions include contract research accruals, recoverability of long-lived assets, valuation of equity grants and income tax valuation. The Company bases its estimates on historical experience and various other assumptions that management believes to be reasonable under the circumstances. Changes in estimates are recorded in the period in which they become known. Actual results could differ from those estimates. Basic and Diluted Loss per Share Basic and diluted loss per share are computed based on the weighted-average common shares and common share equivalents outstanding during the period. Except with respect to certain voting, conversion and transfer rights and as otherwise expressly provided in the Company’s Articles of Incorporation or required by applicable law, shares of the Company’s Class A common stock and Class B common stock have the same rights and privileges and rank equally, share ratably and are identical in all respects as to all matters. Accordingly, basic and diluted net income (loss) per share are the same for both classes. Common share equivalents consist of stock options, restricted stock, warrants, convertible related party notes payable, and convertible preferred stock. Common share equivalents were excluded from the computation of diluted earnings per share for the nine months ended March 31, 2023 and 2022, because their effect was anti-dilutive. Weighted average shares of common stock outstanding used in the calculation of basic and diluted earnings per share were as follows: March 31, 2023 2022 Net loss per share, basic and diluted $ (0.00 ) $ (0.01 ) Weighted average shares outstanding: Class A common stock 489,703,495 441,553,649 Class B common stock 11,886,043 15,641,463 Total weighted average shares outstanding 501,589,539 457,195,112 Antidilutive securities not included: Stock options 7,778,269 10,298,269 Stock options arising from convertible note payable and accrued interest 496,153 525,260 Restricted stock grants 19,463 58,392 Convertible preferred stock 35,571,821 38,477,064 Total 43,865,706 49,358,985 Treasury Stock The Company accounts for treasury stock using the cost method. The 10,874,593 treasury shares include 8,516,056 shares of Class A common stock and 2,358,537 shares of Class B common stock held in treasury, and they were purchased at a total cumulative cost of approximately $2.3 million as of as of March 31, 2023 and June 30, 2022 (see Note 15. Equity Transactions). Treasury stock, representing shares of the Company’s common stock that have been acquired for payroll tax withholding on vested stock grants and to satisfy the exercise price on vested stock options, is recorded at its acquisition cost and these shares are not considered outstanding. Revenue Recognition The Company follows the guidance of accounting standard ASC 606, Revenue from Contracts with Customers, and all the related amendments. The Company has acquired and further developed license rights to Functional Intellectual Property (“functional IP”) that it licenses to customers for defined license periods. A functional IP license is a license to intellectual property that has significant standalone functionality that does not include supporting or maintaining the intellectual property during the license period. The Company’s patented drug formulas have significant standalone functionality in their abilities to treat a disease or condition. Further, there is no expectation that the Company will undertake any activities to change the functionality of the drug formulas during the license periods (see Note 8. Exclusive License Agreement and Patent Assignment Agreement). Revenue is recognized when a customer obtains control of promised goods or services, in an amount that reflects the consideration which the entity expects to receive in exchange for those goods or services. Pursuant to ASC 606, a customer is a party that has contracted with an entity to obtain goods or services that are an output of the entity’s ordinary activities in exchange for consideration. To determine revenue recognition for arrangements that an entity determines are within the scope of ASC 606, the Company performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract, including whether they are distinct in the context of the contract; (iii) determine the transaction price, including the constraint on variable consideration; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the Company satisfies each performance obligation. The Company only applies the five-step model to contracts when it is probable that the entity will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. At contract inception, once the contract is determined to be within the scope of ASC 606, the Company assesses the goods or services promised within each contract and determines those that are performance obligations, and assesses whether each promised good or service is distinct. If a promised good or service is not distinct, it is combined with other performance obligations. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied. The terms of the Company’s licensing agreement include the following: (i) up-front fees; (ii) milestone payments related to the achievement of development, regulatory, or commercial goals; and (iii) royalties on net sales of licensed products. License of Intellectual Property: If the license to the Company’s intellectual property is determined to be distinct from the other performance obligations identified in the arrangement, the Company recognizes revenues from non-refundable, up-front fees allocated to the license when the license is transferred to the customer and the customer is able to use and benefit from the license. If not distinct, the license is combined with other performance obligations in the contract. For licenses that are combined with other performance obligations, the Company assesses the nature of the combined performance obligation to determine whether the combined performance obligation is satisfied over time or at a point in time and, if over time, the appropriate method of measuring progress for purposes of recognizing revenue. The Company evaluates the measure of progress each reporting period and, if necessary, adjusts the measure of performance and related revenue recognition. Milestone Payments: At the inception of each arrangement that includes developmental and regulatory milestone payments, the Company evaluates whether the achievement of each milestone specifically relates to the Company’s efforts to satisfy a performance obligation or transfer a distinct good or service within a performance obligation. If the achievement of a milestone is considered a direct result of the Company’s efforts to satisfy a performance obligation or transfer a distinct good or service and the receipt of the payment is based upon the achievement of the milestone, the associated milestone value is allocated to that distinct good or service. If the milestone payment is not specifically related to the Company’s effort to satisfy a performance obligation or transfer a distinct good or service, the amount is allocated to all performance obligations using the relative standalone selling price method. The Company also evaluates the milestone to determine whether they are considered probable of being reached and estimates the amount to be included in the transaction price using the most likely amount method. If it is probable that a significant revenue reversal would not occur, the associated milestone value is included in the transaction price to be allocated, otherwise, such amounts are constrained and excluded from the transaction price. At the end of each subsequent reporting period, the Company re-evaluates the probability of achievement of such development milestones and any related constraint, and if necessary, adjusts its estimate of the transaction price. Any such adjustments to the transaction price are allocated to the performance obligations on the same basis as at contract inception. Amounts allocated to a satisfied performance obligation shall be recognized as revenue, or as a reduction of revenue, in the period in which the transaction price changes. Royalties: For arrangements that include sales-based royalties, including milestone payments based on the level of sales, and the license is deemed to be the predominant item to which the royalties relate, the Company will recognize revenue at the later of (i) when the related sales occur, or (ii) when the performance obligation to which some or all of the royalty has been allocated has been satisfied (or partially satisfied) in accordance with the royalty recognition constraint. Accounting for Stock Based Compensation The stock-based compensation expense incurred by the Company for employees, non-employees and directors in connection with its equity incentive plan is based on ASC 718, and the fair market value of the equity awards is measured at the grant date. Awards with service-based vesting conditions only: Expense is recognized on a straight-line basis over the requisite service period of the award. Awards with performance-based vesting conditions: Expense is not recognized until it is determined that it is probable the performance-based conditions will be met. When achievement of a performance-based condition is probable, a catch-up of expense will be recorded as if the award had been vesting on a straight-line basis from the award date. The award will continue to be expensed on a straight-line basis over the requisite service period basis until a higher performance-based condition is met, if applicable. Awards with market-based vesting conditions: Expense recognized on a straight-line basis over the requisite service period, which is the lesser of the derived service period or the explicit service period if one is present. However, if the market condition is satisfied prior to the end of the requisite service period, the Company will accelerate all remaining expense to be recognized. Awards with both performance-based and market-based vesting conditions: If an award vesting or exercisability is conditional upon the achievement of either a market condition or performance or service conditions, the requisite service period is generally the shortest of the explicit, implicit, and derived service period. We have elected to use the Black-Scholes-Merton pricing model to determine the fair value of stock options on the dates of grant. Restricted stock units are measured based on the fair market values of the underlying stock on the dates of grant. The grant date is also the valuation date for the non-employee awards. We recognize stock-based compensation using the straight-line method. Investments For those investments in common stock or in-substance common stock in which the Company has the ability to exercise significant influence over the operating and financial policies of the investee, the investment is accounted for under the equity method. For those investments in which the Company does not have such significant influence, the Company applies the accounting guidance for certain investments in debt and equity securities.

Equity Investment

Equity Investment	9 Months Ended
	Mar. 31, 2023
Equity Investment
Equity Investment	4. Equity Investment BT BeaMedical Technologies Ltd. (formerly known as Squalus Medical Ltd.) On June 9, 2022, the Company entered into a Series A Preferred Share Purchase Agreement (the “Purchase Agreement”) with BT BeaMedical Technologies Ltd. (formerly known as Squalus Medical Ltd.), a company established under the laws of the State of Israel (“BTL”), pursuant to which the Company purchased 55,556 shares of BTL’s Series A Redeemable Preferred Shares (the “Series A Shares”) and a warrant to purchase 27,778 Series A Shares for aggregate consideration of $4,000,000, or approximately $72.00 per Series A Share. Following the closing under the Purchase Agreement, the Company owns approximately 35.7% of BTL’s issued and outstanding equity securities and approximately 41.6% of BTL’s equity securities on a fully diluted basis. The Company also entered into customary investor rights and indemnification agreements with BTL. The Company therefore recorded an equity investment on our March 31, 2023 condensed consolidated balance sheet. The Company’s equity in losses in excess of its investment are accounted for under the equity method and consisted of the following as of March 31, 2023 and June 30, 2022 (rounded in nearest thousand): March 31, June 30, 2023 2022 BT BeaMedical Technologies Ltd. Ownership Interest 35.7 % 35.7 % Carrying Amount Total contributions 4,000,000 4,000,000 Less: Share of the loss in investment in BTL (105,000 ) (22,000 ) Equity losses in excess of investment $ 3,895,000 $ 3,978,000 The Company invested approximately $4,000,000 in BTL in June, 2022. The cash balance in BTL at March 31, 2023 was approximately $0.7 million and the short-term time deposits in BTL at March 31, 2023 was approximately $2.7 million. During the nine months ended March 31, 2023, BTL incurred a loss of approximately $231,000, and accordingly, the Company recorded its share of the loss in investment in BTL, in accordance with the provisions in the purchase agreement, of approximately $83,000 in the accompanying condensed consolidated statement of operations. Summarized balance sheet information for the Company’s equity method investee BTL as of March 31, 2023 and June 30, 2022 is presented in the following table (rounded to nearest thousand): March 31, June 30, BT BeaMedical Technologies Ltd. 2023 2022 Assets Cash $ 744,000 $ 3,850,000 Short term investment 2,663,000 — Other current assets 122,000 1,000 Total current assets $ 3,529,000 $ 3,851,000 Long-term assets 159,000 — Total assets $ 3,688,000 $ 3,851,000 Liabilities and equity Current liabilities $ 124,000 $ 195,000 Long-term liabilities 102,000 — Total liabilities $ 226,000 $ 195,000 Equity Equity $ 3,772,000 $ 3,735,000 Accumulated deficits (310,000 ) (79,000 ) Total equity 3,462,000 3,656,000 Total liabilities and equity $ 3,688,000 $ 3,851,000 Summarized income statement information for the Company’s equity method investee BTL is presented in the following table for the period from June 9, 2022 (date of acquisition) to June 30, 2022 and for the nine months ended March 31, 2023 (rounded to nearest thousand): For the nine months ended March 31, For the period from June 9, 2022 (date of acquisition) to June 30, 2023 2022 Net sales and revenue $ 19,000 $ — Research and development costs $ 266,000 $ 7,000 Administrative expenses 75,000 55,000 Total operating expense $ 341,000 $ 62,000 Loss from operations $ (322,000 ) $ (62,000 ) Other income (expense) 91,000 1,000 Net loss $ (231,000 ) $ (61,000 )

Patents net

Patents net	9 Months Ended
	Mar. 31, 2023
Patents net
Patents, Net	5. Patents, net Patents, net consisted of the following (rounded to nearest thousand): Useful life March 31, June 30, (years) 2023 2022 Purchased Patent Rights- Brilacidin and related compounds 14 $ 4,082,000 $ 4,082,000 Purchased Patent Rights-Anti-microbial- surfactants and related compounds 12 144,000 144,000 Patents - Brilacidin and other compounds 17 1,194,000 1,146,000 Total patents cost 5,420,000 5,372,000 Less: Accumulated amortization (3,340,000 ) (3,060,000 ) Patents, net $ 2,080,000 2,312,000 The patents are amortized on a straight-line basis over the useful lives of the assets, determined to be 12-17 years from the date of acquisition. Amortization expense for the three months ended March 31, 2023 and 2022 was approximately $94,000 and $95,000, respectively and was approximately $280,000 and $286,000 for the nine months ended March 31, 2023 and 2022, respectively. The Company wrote off the patent costs relating to Kevetrin of approximately $141,000 during the fourth quarter of 2022 due to discontinuation of its Kevetrin program. At March 31, 2023, the future amortization period for all patents was approximately 2.43 years to 16.75 years. Future estimated amortization expenses are approximately $93,000 for the year ending June 30, 2023, $372,000 for each year from 2024 to 2025, $362,000 for the year ending June 30, 2026, $360,000 for the year ending June 30, 2027 and a total of $521,000 for the year ending June 30, 2028 and thereafter.

Accrued Expenses Related Partie

Accrued Expenses Related Parties and Other	9 Months Ended
	Mar. 31, 2023
Accrued Expenses Related Parties and Other
Accrued Expenses - Related Parties and Other	6. Accrued Expenses - Related Parties and Other Accrued expenses consisted of the following (rounded to nearest thousand): March 31, June 30, 2023 2022 Accrued research and development consulting fees $ 56,000 $ 80,000 Accrued rent - related parties (Note 11. Related Party Transactions) 8,000 8,000 Accrued interest - related parties (Note 12. Convertible Note Payable - Related Party) 10,000 4,000 Total $ 74,000 92,000

Accrued Salaries and Payroll Ta

Accrued Salaries and Payroll Taxes Related Parties and Other	9 Months Ended
	Mar. 31, 2023
Accrued Salaries and Payroll Taxes Related Parties and Other
Accrued Salaries and Payroll Taxes - Related Parties and Other	7. Accrued Salaries and Payroll Taxes - Related Parties and Other Accrued salaries and payroll taxes consisted of the following (rounded to nearest thousand): March 31, June 30, 2023 2022 Accrued salaries - related parties $ 1,530,000 $ 1,492,000 Accrued payroll taxes - related parties 71,000 71,000 Withholding tax - payroll 84,000 77,000 Total $ 1,685,000 1,640,000

Exclusive License Agreement and

Exclusive License Agreement and Patent Assignment Agreement	9 Months Ended
	Mar. 31, 2023
Exclusive License Agreement and Patent Assignment Agreement
Exclusive License Agreement and Patent Assignment Agreement	8. Exclusive License Agreement and Patent Assignment Agreement On July 18, 2019, the Company entered into an Exclusive License Agreement (the “License Agreement”) with Alfasigma S.p.A., a global pharmaceutical company (“Alfasigma”), granting Alfasigma the worldwide right to develop, manufacture and commercialize locally-administered Brilacidin for the treatment of UP/UPS. Under the terms of the License Agreement, Alfasigma made an initial upfront non-refundable payment of $0.4 million to the Company in July, 2019 and will make additional payments of up to $24.0 million to the Company based upon the achievement of certain milestones, including a $1.0 million payment due following commencement of the first Phase 3 clinical trial of Brilacidin for UP/UPS and an additional $1.0 million payment upon the filing of a marketing approval application with the U.S. Food and Drug Administration or the European Medicines Agency. At this time, Alfasigma has completed Phase 1 clinical research with Brilacidin. In addition to the milestones, Alfasigma will pay a royalty to the Company equal to six percent of net sales of Brilacidin for UP/UPS, subject to adjustment as provided in the License Agreement. The Company received an initial upfront non-refundable payment of $0.4 million and reported as revenue in July, 2019 and the Company did not receive any further milestone payment during the nine months ended March 31, 2023 and 2022. On April 13, 2022, the Company entered a Patent Assignment Agreement with Fox Chase Chemical Diversity Center, Inc. (“FCCDC”), pursuant to which the Company assigned the title, rights and interest in and to the applications of certain patents in accordance with an earlier collaborative research agreement related to antifungal drug discovery work to which the Company had rights. On May 3, 2022, the Company received payment of $18,000 from FCCDC based on FCCDC’s third-party license of broad-spectrum anti-fungals and a separate agreement between the Company and FCCDC. Some of the preliminary data used in the FCCDC research program had been obtained as part of an earlier collaboration with the Company supported by funding from the National Institutes of Health. On January 18, 2023, the Company was notified by FCCDC that its third-party license with Basilea Pharmaceutica for development of broad-spectrum antifungals was terminated by the licensee.

Operating Leases

Operating Leases	9 Months Ended
	Mar. 31, 2023
Operating Leases
Operating Leases	9. Operating Leases Operating lease right-of-use (“ROU”) assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Generally, the implicit rate of interest in arrangements is not readily determinable and the Company utilizes its incremental borrowing rate in determining the present value of lease payments. The Company’s incremental borrowing rate is a hypothetical rate based on its understanding of what its credit rating would be. The operating lease ROU asset includes any lease payments made and excludes lease incentives. Our variable lease payments primarily consist of maintenance and other operating expenses from our real estate leases. Variable lease payments are excluded from the ROU assets and lease liabilities and are recognized in the period in which the obligation for those payments is incurred. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. We have lease agreements with lease and non-lease components. We have elected to account for these lease and non-lease components as a single lease component. We are also electing not to apply the recognition requirements to short-term leases of twelve months or less and instead will recognize lease payments as expense on a straight-line basis over the lease term. The Company determined that the operating lease right-of-use asset was fully impaired on December 31, 2019. As such, the Company recognized an impairment loss of approximately $643,000, after recording amortization of the right-of-use asset for July, August, and September 2019 totaling approximately $27,000, resulting in a carrying value of $0 since December 31, 2019. The Company vacated the leased office space in December 2019, and in January 2020 the Company initiated a lawsuit against the lessor relating to an automatic extension of the lease for the office space and related matters (See Note 10. Commitments and Contingencies). The components of lease expense and supplemental cash flow information related to leases for the period are as follows: During the Nine Months Ended March 31, 2023 Lease Cost Operating lease cost (included in general and administrative in the Company’s condensed consolidated statement of operations) $ 23,000 Variable lease cost 9,000 $ 32,000 Other Information Cash paid for amounts included in the measurement of lease liabilities for the nine months ended March 31, 2023 $ 145,000 Weighted average remaining lease term – operating leases (in years) 0.50 Average discount rate – operating leases 18 % The supplemental balance sheet information related to leases for the period is as follows: At March 31, 2023 Operating leases Short-term operating lease liabilities $ 108,000 Long-term operating lease liabilities — Total operating lease liabilities $ 108,000 The following table provides maturities of the Company’s lease liabilities at March 31, 2023 as follows: Operating Leases Fiscal Year Ending June 30, 2023 $ 56,000 2024 (remaining 3 months) 56,000 Total lease payments 112,000 Less: Imputed interest/present value discount (4,000 ) Present value of lease liabilities $ 108,000 Operating lease cost for the three months and the nine months ended March 31, 2023 was approximately $9,000 and $32,000, respectively. Operating lease cost for the three months and the nine months ended March 31, 2022 was approximately $17,000 and $56,000, respectively.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Mar. 31, 2023
Commitments and contingencies (Note 10)
Commitments and Contingencies	10. Commitments and Contingencies Litigation On January 22, 2020, the Company filed a complaint against Cummings Properties, LLC in the Superior Court of the Commonwealth of Massachusetts (C.A. No. 20-77CV00101), seeking, among other things, declaratory relief that the lease terminated in September 2018, as the Company’s prior principal executive offices did not automatically extend for an additional five years, return of the Company’s security deposit, and damages. The total lease amount is approximately $0.6 million. The Company is currently unable to determine the probability of the outcome or reasonably estimate the loss or gain, if any. Contractual Commitments The Company has total non-cancellable contractual minimum commitments of approximately $0.7 million to contract research organizations as of March 31, 2023. Expenses are recognized when services are performed by the contract research organizations. Contingent Liability - Disputed Invoices The Company accrued payroll to Dr. Krishna Menon, ex-President of Research of approximately $1,443,000 for his past services with the Company, and this amount was included in accrued salaries and payroll taxes (see Note 7. Accrued Salaries and Payroll Taxes). As described in Note 11. Related Party Transactions, the Company has a payable to Kard Scientific, Inc. (“KARD”) of approximately $1,486,000 for its research and development expenses and this amount was included in accounts payable. KARD is a company owned by Dr. Menon. Dr. Menon’s employment was terminated with the Company on September 18, 2018, and Dr. Menon resigned from the Company’s Board of Directors on December 11, 2018. Dr. Menon, on behalf of himself and KARD, demanded payment of these amounts in October 2019; however, the Company disputes the underlying basis for these amounts and notified Dr. Menon in November 2019 of the Company’s intent not to pay them. As of March 31, 2023 and June 30, 2022, all of the above disputed invoices were reflected as current liabilities.

Related Party Transactions

Related Party Transactions	9 Months Ended
	Mar. 31, 2023
Related Party Transactions
Related Party Transactions	11. Related Party Transactions Pre-clinical Studies The Company previously engaged KARD to conduct specified pre-clinical studies. The Company did not have an exclusive arrangement with KARD. All work performed by KARD needed prior approval by the executive officers of the Company, and the Company retained all intellectual property resulting from the services by KARD. The Company no longer uses KARD to conduct research study. At March 31, 2023 and June 30, 2022, the accrued research and development expenses payable to KARD was approximately $1,486,000 and this amount was included in accounts payable. Dr. Menon, the Company’s ex-principal shareholder and Director, on behalf of himself and KARD, demanded payment of these amounts in October 2019; however, the Company disputes the underlying basis for these amounts and notified Dr. Menon in November 2019 of the Company’s intent not to pay them. Since September 1, 2013, the Company no longer leases space from KARD. As of March 31, 2023 and June 30, 2022, rent payables to KARD of approximately $8,000, were included in accrued expenses.

Convertible Note Payable Relate

Convertible Note Payable Related Party	9 Months Ended
	Mar. 31, 2023
Convertible Note Payable Related Party
Convertible Note Payable - Related Party	12. Convertible Note Payable - Related Party The Ehrlich Promissory Note C is an unsecured demand note with Mr. Ehrlich, the Company’s Chairman and CEO, that originated in 2010, bears 9% simple interest per annum and is convertible into the Company’s Class A common stock at $0.50 per share. On December 29, 2010, the Company issued 18,000,000 Equity Incentive Options to purchase Class B common stock to Mr. Ehrlich, which are exercisable at $0.11 per share. On May 8, 2012, the Company did not have the ability to repay the Ehrlich Promissory Note C loan of approximately $2,022,000 and agreed to change the interest rate from 9% simple interest to 10% simple interest, and the Company issued 2,000,000 Equity Incentive Options exercisable at $0.51 per share equal to 110% of the closing bid price of $0.46 per share on May 7, 2012. All these options were valid for ten years from the date of issuance and expired in May, 2022. During the nine months ended March 31, 2023 and for year ended June 30, 2022, the Company repaid the principal of $12,000 and $1,033,000, respectively to Mr. Ehrlich. As of March 31, 2023 and June 30, 2022, the principal balance of this convertible note payable to Mr. Ehrlich was approximately $238,000 and $250,000, respectively. As of March 31, 2023 and June 30, 2022, the balance of accrued interest payable was $10,000 and $4,000, respectively (see Note 6. Accrued Expenses - Related Parties and Other). As of March 31, 2023 and June 30, 2022, the total outstanding balances of principal and interest were approximately $248,000 and $254,000, respectively.

Loan Payable

Loan Payable	9 Months Ended
	Mar. 31, 2023
Loan Payable
Loan Payable	13. Loan payable On May 10, 2020 and April 19, 2021, the Company received loan proceeds in the amount of approximately $93,000 and $79,000, respectively, under the Paycheck Protection Program (“PPP”) and it was recorded under loan payable. The PPP, established as part of the Coronavirus Aid, Relief and Economic Security Act (“CARES Act”), provides for loans to qualifying businesses for amounts up to 2.5 times of the average monthly payroll expenses of the qualifying business. The loans and accrued interest are forgivable after eight weeks as long as the borrower uses the loan proceeds for eligible purposes, including payroll, benefits, rent and utilities, and maintains its payroll levels. The amount of loan forgiveness will be reduced if the borrower terminates employees or reduces salaries during the eight-week period. In December, 2021, the Company obtained the approval of the forgiveness of the above mentioned two loans, and the Company recorded the total loan forgiveness of $172,000 under other income.

Equity Incentive Plans StockBas

Equity Incentive Plans StockBased Compensation Exercise of Options and Warrants Outstanding	9 Months Ended
	Mar. 31, 2023
Equity Incentive Plans StockBased Compensation Exercise of Options and Warrants Outstanding
Equity Incentive Plans, Stock-Based Compensation, Exercise of Options and Warrants Outstanding	14. Equity Incentive Plans, Stock-Based Compensation, Exercise of Options and Warrants Outstanding Stock-based Compensation - Stock Options 2016 Equity Incentive Plan (the “2016 Plan”) On June 30, 2016, the Board of Directors adopted the Company’s 2016 Plan. The 2016 Plan became effective upon adoption by the Board of Directors on June 30, 2016. On February 23, 2020, the Board of Directors approved an amendment to Section 4.1 of the 2016 Plan to increase the annual limit on the number of awards under such Plan to outside directors from 250,000 to 1,500,000. On October 10, 2021, the Board of Directors approved amendments to the 2016 Plan to increase the number of shares of common stock available for issuance thereunder to 225,000,000 shares and to increase the annual limit on the number of awards under such Plan to outside directors from 1,500,000 to 5,000,000, among other changes. Up to 225,000,000 shares of the Company’s Class A common stock may be issued under the 2016 Plan (subject to adjustment as described in the 2016 Plan). Stock Options The fair value of options granted during the nine months ended March 31, 2022 was estimated on the date of grant using the Black-Scholes-Merton Model that uses assumptions noted in the following table. There was no option grant during the nine months ended March 31, 2023. Nine months ended March 31, 2022 Expected term (in years) 5-10 Expected stock price volatility 80.84 to 112.37 % Risk-free interest rate 0.69% to 1.61 % Expected dividend yield 0 The components of stock-based compensation expense included in the Company’s Statements of Operations for the three months and nine months ended March 31, 2023 and 2022 are as follows (rounded to nearest thousand): Three months ended March 31 Nine months ended March 31 2023 2022 2023 2022 General and administrative expenses $ — $ 166,000 $ 161,000 $ 277,000 Research and development expenses 4,000 40,000 42,000 121,000 Total stock-based compensation expense $ 4,000 $ 206,000 $ 203,000 $ 398,000 During the nine months ended March 31, 2023 and 2022 Directors and Employee On October 10, 2021, the Compensation Committee approved the issuance of 1 million stock options to purchase shares of the Company’s common stock each to 2 independent directors of the Company, and 1 million stock options to purchase shares of Company’s common stock to Mr. Ehrlich, the CEO, which are exercisable for 10 years at $0.24 per share of common stock. These 3 million stock options with 1 year vesting period were valued at approximately $585,000. During the nine months ended March 31, 2023 and 2022, the Company recorded approximately $161,000 and $277,000 of stock-based compensation costs, respectively. The assumptions used in the Black-Scholes-Merton option-pricing model are disclosed above. On October 10, 2021, the Company also issued to Ms. Jane Harness, the Senior Vice President, Clinical Sciences and Portfolio Management of the Company, 500,000 options to purchase common stock, which are exercisable for 10 years at $0.24 per share of common stock. These stock options with 1 year vesting period were valued at approximately $98,000. During the nine months ended March 31, 2023 and 2022, the Company recorded approximately $27,000 and $46,000 of related stock-based compensation cost, respectively. The assumptions used in the Black-Scholes-Merton option-pricing model are disclosed above. On September 11, 2020, the Company issued to Ms. Harness 58,394 shares of the Company’s common stock. The Company also issued 172,987 options to purchase common stock. These stock options with 3 years vesting period were valued at approximately $33,000 and these 58,394 shares of the Company’s common stock were valued at approximately $13,000, based on the closing bid price as quoted on the OTC on September 11, 2020 at $0.22 per share. During the nine months ended March 31, 2023, the Company recorded approximately $12,000 of stock-based compensation expense in connection with the foregoing equity awards, including approximately $8,000 of stock option expense and $4,000 of stock awards. During the nine months ended March 31, 2022, the Company recorded approximately $11,000 of stock-based compensation expense in connection with the foregoing equity awards, including approximately $8,000 of stock option expense and $3,000 of stock awards. On September 1, 2019, the Company issued to Ms. Harness 58,394 shares of the Company’s common stock. The Company also issued 172,987 options to purchase common stock. These stock options with 3 years vesting period were valued at approximately $20,000, based on the closing bid price as quoted on the OTC on August 30, 2019 at $0.132 per share. During the nine months ended March 31, 2023, the Company recorded approximately $1,000 of stock-based compensation expense in connection with the foregoing equity awards, including approximately $1,000 of stock option expense. During the nine months ended March 31, 2022, the Company recorded approximately $7,000 of stock-based compensation expense in connection with the foregoing equity awards, including approximately $5,000 of stock option expense and $2,000 of stock awards. On September 1, 2018, the Company issued to Ms. Harness 58,394 shares of the Company’s common stock. The Company also issued 172,987 options to purchase common stock. These stock options are valued at approximately $63,000, based on the closing bid price as quoted on the OTCQB on August 31, 2018 at $0.40 per share. During the nine months ended March 31, 2023, the Company recorded no stock-based compensation expense in connection with the foregoing equity awards. During the nine months ended March 31, 2022, the Company recorded approximately $5,000 of stock-based compensation expense in connection with the foregoing equity awards, including approximately $4,000 of stock option expense and $1,000 of stock awards. Consultants On January 1, 2022, the Company agreed to issue stock options to purchase 75,000 shares of the Company’s common stock to one consultant for his one-year contract. These options were issued with an exercise price of $0.044 per share and vest 33 1/3% on January 1, 2022, 33 1/3% on July 1, 2022 and 33 1/3% on January 1, 2023. The value of these options was approximately $3,000. During the nine months ended March 31, 2023 and 2022, the Company recorded approximately $1,000 and $1,000 of related stock-based compensation. The assumptions used in the Black-Scholes-Merton option-pricing model are disclosed above. On July 30, 2021, the Company agreed to issue stock options to purchase 100,000 shares of the Company’s common stock to one consultant for his one-year contract. These options were issued with an exercise price of $0.27 per share and vest 33 1/3% on July 30, 2021, 33 1/3% on January 30, 2022, and 33 1/3% on July 30, 2022. The value of these options was approximately $19,000. During the nine months ended March 31, 2023 and 2022, the Company recorded approximately $1,000 and $15,000 of related stock-based compensation, respectively. The assumptions used in the Black-Scholes-Merton option-pricing model are disclosed above. On July 1, 2021, the Company agreed to issue stock options to purchase 225,000 shares of the Company’s common stock to one consultant for his one-year contract. These options were issued with an exercise price of $0.21 per share and vest 33 1/3% on July 1, 2021, 33 1/3% on January 1, 2022, and 33 1/3% on July 1, 2022. The value of these options was approximately $33,000. During the nine months ended March 31, 2023 and 2022, the Company recorded $0 and approximately $27,000 of related stock-based compensation, respectively. The assumptions used in the Black-Scholes-Merton option-pricing model are disclosed above. On February 10, 2021, the Company agreed to issue stock options to purchase 75,000 shares of the Company’s common stock to one consultant for his one-year contract. These options were issued with an exercise price of $0.38 per share and vest 33 1/3% on February 10, 2021, 33 1/3% on July 1, 2021, and 33 1/3% on January 1, 2022. The value of these options was approximately $20,000. During the nine months ended March 31, 2023 and 2022, the Company recorded $0 and approximately $7,000 of related stock-based compensation, respectively. The assumptions used in the Black-Scholes-Merton option-pricing model are disclosed above. On July 23, 2020, the Company agreed to issue stock options to purchase 100,000 shares of the Company’s common stock to one consultant for his one-year contract. These options were issued with an exercise price of $0.32 per share and vest 33 1/3% on July 23, 2020, 33 1/3% on January 23, 2021, and 33 1/3% on July 23, 2021. The value of these options was approximately $28,000. During the nine months ended March 31, 2023 and 2022, the Company recorded $0 and approximately $1,000 of related stock-based compensation, respectively. The assumptions used in the Black-Scholes-Merton option-pricing model are disclosed above. Exercise of options There was no exercise of options to purchase Class B common stock during the nine months ended March 31, 2023 and March 31, 2022. During the nine months ended March 31, 2022, the Company received approximately $23,000 of net proceeds from the exercise of 166,666 stock options to purchase Class A common stock at $0.14 per share. Forfeiture of options There was forfeiture of 490,000 options to purchase Class A common stock during the nine months ended March 31, 2023, relating to the expiry of options of an officer and consultants. There was forfeiture of 2,245,000 options to purchase Class A common stock during the year ended June 30, 2022. Stock Options Issued and Outstanding The following table summarizes all stock option activity under the Company’s equity incentive plans: Number of Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Aggregate Intrinsic Value Outstanding at June 30, 2021 6,779,935 $ 0.35 4.45 $ 345,923 Granted 3,900,000 $ 0.24 8.75 — Exercised (166,666 ) $ 0.14 — — Forfeited/expired (2,245,000 ) $ 0.54 — — Outstanding at June 30, 2022 8,268,269 $ 0.25 6.91 $ — Granted — $ — — — Exercised — $ — — — Forfeited/expired (490,000 ) $ 0.50 — — Outstanding at March 31, 2023 7,778,269 $ 0.23 6.56 $ — Exercisable at March 31, 2023 7,720,607 $ 0.23 6.55 $ — Unvested stock options at March 31, 2023 57,662 $ 0.22 7.45 $ — Restricted Stock Awards Outstanding The following summarizes our restricted stock activity: Weighted Average Number of Grant Date Shares Fair Value Total unvested shares outstanding at June 30, 2021 116,786 $ 0.22 Total shares granted — $ — Total shares vested (58,394 ) $ 0.25 Total shares forfeited — $ — Total unvested shares outstanding at June 30, 2022 58,392 $ 0.19 Total shares granted — $ — Total shares vested (38,929 ) $ 0.18 Total shares forfeited — $ — Total unvested shares outstanding at March 31, 2023 19,463 $ 0.22 Scheduled vesting for outstanding restricted stock awards at March 31, 2023 is as follows: Year Ending June 30, 2023 2024 Total Scheduled vesting — 19,463 19,463 As of March 31, 2023, there was approximately $2,000 of net unrecognized compensation cost related to unvested restricted stock-based compensation arrangements. This compensation is recognized on a straight-line basis resulting in approximately $2,000 of compensation expected to be expensed over the next twelve months, and the total unrecognized stock-based compensation expense having a weighted average recognition period of 0.45 years.

Equity Transactions

Equity Transactions	9 Months Ended
	Mar. 31, 2023
Equity Transactions
Equity Transactions	15. Equity Transactions $30 million Class A Common Stock Purchase Agreement with Aspire Capital On July 31, 2020, the Company entered into the 2020 Stock Purchase Agreement (the “2020 Purchase Agreement”) with Aspire Capital Fund, LLC (“Aspire Capital”) which provides that, upon the terms and subject to the conditions and limitations set forth therein, Aspire Capital is committed to purchase up to an aggregate of $30.0 million of the Company’s common stock over the 24-month term of the Agreement. In consideration for entering into the 2020 Purchase Agreement, the Company issued to Aspire Capital 6,250,000 shares of its Class A Common Stock as a commitment fee. The commitment fee of approximately $1.4 million was recorded as deferred financing costs and additional paid-in capital and this asset will be amortized over the life of the 2020 Purchase Agreement. All deferred offering costs were fully amortized on July 31, 2022 (date of expiration of the agreement). During the period from July 1, 2022 to July 31, 2022 (date of expiration of the agreement), the Company did not sell any shares to Aspire Capital. During the period from July 31, 2020 to June 30, 2022, the Company generated proceeds of approximately $4.6 million under the 2020 Purchase Agreement with Aspire Capital from the sale of approximately 22.5 million shares of its common stock. Series B-2 5% convertible preferred stock (“2020 Series B-2 5% convertible preferred stock”) On December 4, 2020, the Company entered into a securities purchase agreement (the “Series B-2 Securities Purchase Agreement”) with KIPS Bay Select LP for the sale of an aggregate of 5,089 shares of the Company’s Series B-2 5% convertible preferred stock (the “Series B-2 preferred stock”), for aggregate gross proceeds of approximately $5.0 million. An initial closing for the sale of 3,053 shares of the Series B-2 preferred stock closed on December 9, 2020 for aggregate gross proceeds of approximately $3.0 million, and a second closing for the sale of 2,036 shares of the Series B-2 preferred stock closed on February 8, 2021 for aggregate gross proceeds of approximately $2.0 million. Under the Series B-2 Securities Purchase Agreement, the Company also issued to the investors warrants to purchase up to an additional 10,178 shares of preferred stock. The Series B-2 preferred stock is mandatorily redeemable under certain circumstances and, as such, is presented as a liability on the condensed consolidated balance sheets. The Company has elected to measure the value of its preferred stock using the fair value method with offsetting discounts associated with the fair value allocated to the warrants and for the intrinsic value attributed to the beneficial conversion feature (“BCF”). The fair value of the Series B-2 preferred stock (without the warrants) will be assessed at each subsequent reporting date with changes in fair value recorded in the profit and loss as a separate line item below the “loss from operations” section (See ASC 480-10-35-5). The warrants issued in connection with the Series B-2 preferred stock are deemed to be free standing equity instruments and are recorded in permanent equity under additional paid in capital, based on a relative fair value allocation of proceeds, that is the warrants’ relative fair value to the Series B-2 preferred stock fair value (without the warrants), with an offsetting discount to the Series B-2 preferred stock. Given that the Series B-2 preferred stock is convertible at any time under these features, the underlying warrant discounts were accreted upon issuance and recorded as interest, resulting in no remaining discount to the Series B-2 preferred stock liability after the issuance. The Company recorded the December 9, 2020 issuance of 3,053 shares Series B-2 Preferred Stock at approximately $2.1 million and the underlying Series 1 and Series 2 warrants at approximately $0.9 million in total by allocating the gross proceeds to Series B-2 preferred stock (without the warrants) and warrants based on their relative fair values or direct valuation as appropriate. The Company recorded BCF of approximately $1.8 million associated with the issuance of the 3,053 shares of Series B-2 preferred stock to additional paid-in capital. The Company then recorded interest of approximately $2.7 million for the BCF and warrant discounts as a first day interest given that the Series B-2 preferred shares can be converted at any time to common stock and given no set term. The issuance costs associated with the Series B-2 preferred stock transaction were attributed to the Series B-2 preferred stock (without the warrants) and to the Series 1 and Series 2 warrants based on their relative fair values. The issuance costs attributed to the warrants of approximately $10,000 were reflected as a reduction to additional paid-in capital. The issuances costs associated with the Series B-2 preferred stock liability of $25,000 was recorded immediately as an element of interest cost, which are reflected in interest expense - preferred stock on December 11, 2020. The Company recorded the February 8, 2021 issuance of 2,036 shares Series B-2 Preferred Stock at approximately $1.5 million and the underlying Series 1 and Series 2 warrants at approximately $0.5 million in total by allocating the gross proceeds to Series B-2 preferred stock (without the warrants) and warrants based on their relative fair values or direct valuation as appropriate. The Company recorded BCF of approximately $1.5 million associated with the issuance of the 2,036 shares of Series B-2 preferred stock to additional paid-in capital. The Company then recorded interest of approximately $2.0 million for the BCF and warrant discounts as a first day interest given that the Series B-2 preferred shares can be converted at any time to common stock and given no set term. Underlying Series B-2 preferred stock dividends, paid quarterly, was accrued as interest (given the liability classification of the Series B-2 preferred stock) on a daily basis given fixed dividend terms under the Series B-2 preferred stock. The Company recorded 5% dividend accretion on total outstanding Series B-2 preferred stock and the total dividends accrued of approximately $7,000 and $17,000 were treated as interest during the quarter ended March 31, 2023 and 2022, respectively, in the Condensed Consolidated Statements of Operations. The total dividends accrued of approximately $24,000 and $31,000 were treated as interest during the nine months ended March 31, 2023 and 2022, respectively, in the Condensed Consolidated Statements of Operations. The change in fair value of the total Series B-2 preferred stock were $0 during the quarter ended March 31, 2023 and 2022 in the Condensed Consolidated Statements of Operations. Terms of the 2020 Series B-2 5% convertible preferred stock The rights and preferences of the preferred stock are set forth in a Certificate of Designation of Preferences, Rights and Limitations of Series B-2 5% Convertible Preferred Stock filed with the Nevada Secretary of State on December 4, 2020 (the “Certificate of Designation”). Each share of preferred stock has an initial stated value of $1,080 and may be converted at any time at the holder’s option into shares of the Company’s common stock at a conversion price equal of the lower of (i) $0.35 until August 15, 2021 and $0.50 thereafter, and (ii) 85% of the lowest volume weighted average price of the Company’s common stock on a trading day during the ten trading days prior to and ending on, and including, the conversion date. The conversion price may be adjusted following certain triggering events and subsequent equity sales and is subject to appropriate adjustment in the event of stock splits, stock dividends, recapitalization or similar events affecting the Company’s common stock. The holders of the preferred stock are limited in the amount of stated value of the preferred stock they can convert on any trading day. The conversion cap limits conversions by the holders to the greater of $75,000 and an amount equal to 30% of the aggregate dollar trading volume of the Company’s common stock for the five trading days immediately preceding, and including, the conversion date. However, the conversion cap will be increased if the trading volume in the first 30 minutes of any trading session exceeds certain trailing average daily volume amounts. In addition, the holders of the preferred stock may not convert shares of preferred stock if, after giving effect to the conversion, a holder together with its affiliates would beneficially own in excess of 9.99% of the outstanding shares of the Company’s common stock. Redemption Rights Following 90 days after the scheduled date for the second closing date, the Company may elect to redeem the preferred stock for 120% of the aggregate stated value then outstanding, plus all accrued but unpaid dividends and all liquidated damages and other amounts due in respect of the preferred stock. The Company’s right to redeem the preferred stock is contingent upon it having complied with a number of conditions, including compliance with its obligations under the Certificate of Designation. Shares of preferred stock generally have no voting rights, except as required by law and except that the Company shall not take certain actions without the consent of the holders of the preferred stock. 2020 Series B-2 5% convertible preferred stock warrants Each share of preferred stock was sold together with two warrants: (i) a Series 1 warrant, which entitles the holder thereof to purchase one share of preferred stock at $982.50 per share, or 5,089 shares of preferred stock in the aggregate for approximately $5.0 million in aggregate exercise price, for a period of up to 18 months following issuance, and (ii) a Series 2 warrant, which entitles the holder thereof to purchase one share of preferred stock at $982.50 per share, or 5,089 shares of preferred stock in the aggregate for approximately $5.0 million in aggregate exercise price, for a period of up to 24 months following issuance. Subject to the satisfaction of certain circumstances, the Company may call for cancellation any or all of the warrants following 90 days after their issuance, for a payment in cash equal to 8% of the aggregate exercise price of the warrants being called. The warrants subject to any such call notice will be cancelled 10 days following the Company’s payment of the call fee, provided that the warrant holders have not exercised the warrants prior to cancellation. Exercise of 2020 Series B-2 5% convertible preferred stock warrants During the nine months ended March 31, 2023, there was no exercise of warrants because all warrants were exercised since November 4, 2021. During the nine months ended March 31, 2022, the Company issued 5,072 shares of its Series B-2 5% convertible preferred stock, for aggregate gross proceeds of approximately $5.0 million, upon exercise of 3,036 Series 1 warrants and exercise of 2,036 Series 2 warrants issued by the Company. With regard to the exercise of these 5,072 warrants, the Company recorded gross proceeds of approximately $5.0 million to the preferred stock liability. Conversion of 2020 Series B-2 5% convertible preferred stock to common stock During the nine months ended March 31, 2023, the 2020 Series B-2 5% convertible preferred stockholder converted a total of 260 shares of Series B-2 preferred stock into a total of approximately 25,690,759 shares of common stock. With regard to conversions, the Company reversed Series B-2 5% convertible preferred stock liability relating to the conversion and recorded $0.3 million as additional paid-in capital at par value. The Company reversed the amount of approximately $0.3 million based on the proportion of Series B-2 5% convertible preferred stock converted relative to the original total issued. During the nine months ended March 31, 2022, the 2020 Series B-2 5% convertible preferred stockholder converted a total of 3,907 shares of Series B-2 preferred stock into a total of approximately 38,256,706 shares of common stock. With regard to conversions, the Company reversed Series B-2 5% convertible preferred stock liability relating to the conversion and recorded $3.8 million as Additional paid-in capital at par value. The Company reversed the amount of approximately $3.8 million based on the proportion of Series B-2 5% convertible preferred stock converted relative to the original total issued. As of March 31, 2023 and June 30, 2022, Series B-2 5% convertible preferred stock liability was approximately $0.5 million and $0.8 million, respectively. The fair value of the Series B convertible preferred stock is measured in accordance with ASC 820 “Fair Value Measurement,” using option pricing methodologies, incorporating the following inputs: June 30, 2022 Expected dividend yield 5 % Expected stock-price volatility 60 % Risk-free interest rate 2.92 % Stock price $ 0.03 Exercise price $ 982.5 Treasury Stock All treasury stock, representing shares of the Company’s common stock that have been acquired for payroll tax withholding on vested stock grants and to satisfy the exercise price on vested stock options, is recorded at its acquisition cost and these shares are not considered outstanding. As of March 31, 2023 and June 30, 2022, the Company had the total of 10,874,593 treasury shares, representing 8,516,056 shares of Class A common stock and 2,358,537 shares of Class B common stock held in treasury, and they were purchased at a total cumulative cost of approximately $2.3 million as of as of March 31, 2023 and June 30, 2022. Surrender of Shares On December 29, 2022, Mr. Ehrlich entered into a Share Surrender Agreement with the Company pursuant to which Mr. Ehrlich permanently surrendered all legal right, title, and interest in 11,307,527 shares of Class B common stock to the Company and relinquished all rights in such shares, free and clear of any liens, mortgages, adverse claims, charges, security interests, encumbrances, any interest of any third party, or other restrictions or limitations whatsoever of any kind. Mr. Ehrlich received no consideration from the Company or any other party in connection with the surrender. Mr. Ehrlich effected the Surrender solely for his individual tax planning purposes. These 11,307,527 shares of Class B common stock were retired and returned to Class B common stock on the same day.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Mar. 31, 2023
Fair Value Measurements
Fair Value Measurements	16. Fair Value Measurements We disclose and recognize the fair value of our assets and liabilities using a hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the measurement date. The guidance establishes three levels of the fair value hierarchy as follows: Level 1 Level 2 Level 3 Our financial instruments consist of cash and cash equivalents, short-term and long-term investments, accounts payable, accrued liabilities and preferred stock liability. At March 31, 2023 and 2022, the carrying values of cash and cash equivalents, accounts payable, and accrued liabilities approximated fair value due to their short-term maturities. The Company has elected to measure its preferred stock using the fair value method. The fair value of the preferred stock is the estimated amount that would be paid to redeem the liability in an orderly transaction between market participants at the measurement date. The Company calculates the fair value of the Series B-2 Preferred stock using a lattice model that takes into consideration the future redemption value on the instrument, which is tied to the Company’s stock price. These valuations are considered to be Level 3 fair value measurements as the significant inputs are unobservable and require significant management judgment or estimation. Considerable judgment is required in interpreting market data to develop the estimates of fair value. Accordingly, the Company’s estimates are not necessarily indicative of the amounts that the Company, or holders of the instruments, could realize in a current market exchange. Significant assumptions used in the fair value models include: the estimates of the redemption dates; credit spreads; dividend payments; and the market price of the Company’s common stock. The use of different assumptions and/or estimation methodologies could have a material effect on the estimated fair values. The table below sets forth a reconciliation of the Company’s beginning and ending Level 3 Series B-2 preferred stock liability balance for the quarter ended March 31, 2023 and for the year ended June 30, 2022: FY 2022 Balance, June 30, 2021 $ — Exercise of Series 1 and 2 warrants 4,983,000 Conversion of Series B-2 preferred stock to common stock (4,374,000 ) Change in fair value of Series B-2 preferred stock (1) 177,000 Balance, June 30, 2022 $ 786,000 Conversion of Series B-2 preferred stock to common stock (329,000 ) Change in fair value of Series B-2 preferred stock (1) — Balance, March 31, 2023 $ 457,000 (1) Change in fair value of preferred stock is reported in interest expense-preferred stock. (2) The 5% accrued dividend is reported in interest expense-preferred stock in the condensed consolidated statements of operation. The Company accrued 5% accrued dividend of $24,000 and $31,000 during the nine months ended March 31, 2023 and 2022, respectively. The remaining accrued dividends of $16,000 and $62,000 was included under current liability as of March 31, 2023 and June 30, 2022, respectively.

Subsequent Events

Subsequent Events	9 Months Ended
	Mar. 31, 2023
Subsequent Events
Subsequent Events	17. Subsequent Events The Company has evaluated events subsequent to March 31, 2023 through the issuance of these unaudited condensed consolidated financial statements and determined that there were no additional events requiring disclosure.

Significant Accounting Polici_2

Significant Accounting Policies and Recent Accounting Pronouncements (Policies)	9 Months Ended
	Mar. 31, 2023
Significant Accounting Policies and Recent Accounting Pronouncements
Use of Estimates	The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect certain reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Significant items subject to such estimates and assumptions include contract research accruals, recoverability of long-lived assets, valuation of equity grants and income tax valuation. The Company bases its estimates on historical experience and various other assumptions that management believes to be reasonable under the circumstances. Changes in estimates are recorded in the period in which they become known. Actual results could differ from those estimates.
Basic and Diluted Loss per Share	Basic and diluted loss per share are computed based on the weighted-average common shares and common share equivalents outstanding during the period. Except with respect to certain voting, conversion and transfer rights and as otherwise expressly provided in the Company’s Articles of Incorporation or required by applicable law, shares of the Company’s Class A common stock and Class B common stock have the same rights and privileges and rank equally, share ratably and are identical in all respects as to all matters. Accordingly, basic and diluted net income (loss) per share are the same for both classes. Common share equivalents consist of stock options, restricted stock, warrants, convertible related party notes payable, and convertible preferred stock. Common share equivalents were excluded from the computation of diluted earnings per share for the nine months ended March 31, 2023 and 2022, because their effect was anti-dilutive. Weighted average shares of common stock outstanding used in the calculation of basic and diluted earnings per share were as follows: March 31, 2023 2022 Net loss per share, basic and diluted $ (0.00 ) $ (0.01 ) Weighted average shares outstanding: Class A common stock 489,703,495 441,553,649 Class B common stock 11,886,043 15,641,463 Total weighted average shares outstanding 501,589,539 457,195,112 Antidilutive securities not included: Stock options 7,778,269 10,298,269 Stock options arising from convertible note payable and accrued interest 496,153 525,260 Restricted stock grants 19,463 58,392 Convertible preferred stock 35,571,821 38,477,064 Total 43,865,706 49,358,985
Treasury Stock	The Company accounts for treasury stock using the cost method. The 10,874,593 treasury shares include 8,516,056 shares of Class A common stock and 2,358,537 shares of Class B common stock held in treasury, and they were purchased at a total cumulative cost of approximately $2.3 million as of as of March 31, 2023 and June 30, 2022 (see Note 15. Equity Transactions). Treasury stock, representing shares of the Company’s common stock that have been acquired for payroll tax withholding on vested stock grants and to satisfy the exercise price on vested stock options, is recorded at its acquisition cost and these shares are not considered outstanding.
Revenue Recognition	The Company follows the guidance of accounting standard ASC 606, Revenue from Contracts with Customers, and all the related amendments. The Company has acquired and further developed license rights to Functional Intellectual Property (“functional IP”) that it licenses to customers for defined license periods. A functional IP license is a license to intellectual property that has significant standalone functionality that does not include supporting or maintaining the intellectual property during the license period. The Company’s patented drug formulas have significant standalone functionality in their abilities to treat a disease or condition. Further, there is no expectation that the Company will undertake any activities to change the functionality of the drug formulas during the license periods (see Note 8. Exclusive License Agreement and Patent Assignment Agreement). Revenue is recognized when a customer obtains control of promised goods or services, in an amount that reflects the consideration which the entity expects to receive in exchange for those goods or services. Pursuant to ASC 606, a customer is a party that has contracted with an entity to obtain goods or services that are an output of the entity’s ordinary activities in exchange for consideration. To determine revenue recognition for arrangements that an entity determines are within the scope of ASC 606, the Company performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract, including whether they are distinct in the context of the contract; (iii) determine the transaction price, including the constraint on variable consideration; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the Company satisfies each performance obligation. The Company only applies the five-step model to contracts when it is probable that the entity will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. At contract inception, once the contract is determined to be within the scope of ASC 606, the Company assesses the goods or services promised within each contract and determines those that are performance obligations, and assesses whether each promised good or service is distinct. If a promised good or service is not distinct, it is combined with other performance obligations. The Company then recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) the performance obligation is satisfied. The terms of the Company’s licensing agreement include the following: (i) up-front fees; (ii) milestone payments related to the achievement of development, regulatory, or commercial goals; and (iii) royalties on net sales of licensed products. License of Intellectual Property: If the license to the Company’s intellectual property is determined to be distinct from the other performance obligations identified in the arrangement, the Company recognizes revenues from non-refundable, up-front fees allocated to the license when the license is transferred to the customer and the customer is able to use and benefit from the license. If not distinct, the license is combined with other performance obligations in the contract. For licenses that are combined with other performance obligations, the Company assesses the nature of the combined performance obligation to determine whether the combined performance obligation is satisfied over time or at a point in time and, if over time, the appropriate method of measuring progress for purposes of recognizing revenue. The Company evaluates the measure of progress each reporting period and, if necessary, adjusts the measure of performance and related revenue recognition. Milestone Payments: At the inception of each arrangement that includes developmental and regulatory milestone payments, the Company evaluates whether the achievement of each milestone specifically relates to the Company’s efforts to satisfy a performance obligation or transfer a distinct good or service within a performance obligation. If the achievement of a milestone is considered a direct result of the Company’s efforts to satisfy a performance obligation or transfer a distinct good or service and the receipt of the payment is based upon the achievement of the milestone, the associated milestone value is allocated to that distinct good or service. If the milestone payment is not specifically related to the Company’s effort to satisfy a performance obligation or transfer a distinct good or service, the amount is allocated to all performance obligations using the relative standalone selling price method. The Company also evaluates the milestone to determine whether they are considered probable of being reached and estimates the amount to be included in the transaction price using the most likely amount method. If it is probable that a significant revenue reversal would not occur, the associated milestone value is included in the transaction price to be allocated, otherwise, such amounts are constrained and excluded from the transaction price. At the end of each subsequent reporting period, the Company re-evaluates the probability of achievement of such development milestones and any related constraint, and if necessary, adjusts its estimate of the transaction price. Any such adjustments to the transaction price are allocated to the performance obligations on the same basis as at contract inception. Amounts allocated to a satisfied performance obligation shall be recognized as revenue, or as a reduction of revenue, in the period in which the transaction price changes. Royalties: For arrangements that include sales-based royalties, including milestone payments based on the level of sales, and the license is deemed to be the predominant item to which the royalties relate, the Company will recognize revenue at the later of (i) when the related sales occur, or (ii) when the performance obligation to which some or all of the royalty has been allocated has been satisfied (or partially satisfied) in accordance with the royalty recognition constraint.
Accounting for Stock Based Compensation	The stock-based compensation expense incurred by the Company for employees, non-employees and directors in connection with its equity incentive plan is based on ASC 718, and the fair market value of the equity awards is measured at the grant date. Awards with service-based vesting conditions only: Expense is recognized on a straight-line basis over the requisite service period of the award. Awards with performance-based vesting conditions: Expense is not recognized until it is determined that it is probable the performance-based conditions will be met. When achievement of a performance-based condition is probable, a catch-up of expense will be recorded as if the award had been vesting on a straight-line basis from the award date. The award will continue to be expensed on a straight-line basis over the requisite service period basis until a higher performance-based condition is met, if applicable. Awards with market-based vesting conditions: Expense recognized on a straight-line basis over the requisite service period, which is the lesser of the derived service period or the explicit service period if one is present. However, if the market condition is satisfied prior to the end of the requisite service period, the Company will accelerate all remaining expense to be recognized. Awards with both performance-based and market-based vesting conditions: If an award vesting or exercisability is conditional upon the achievement of either a market condition or performance or service conditions, the requisite service period is generally the shortest of the explicit, implicit, and derived service period. We have elected to use the Black-Scholes-Merton pricing model to determine the fair value of stock options on the dates of grant. Restricted stock units are measured based on the fair market values of the underlying stock on the dates of grant. The grant date is also the valuation date for the non-employee awards. We recognize stock-based compensation using the straight-line method.
Investments	For those investments in common stock or in-substance common stock in which the Company has the ability to exercise significant influence over the operating and financial policies of the investee, the investment is accounted for under the equity method. For those investments in which the Company does not have such significant influence, the Company applies the accounting guidance for certain investments in debt and equity securities.

Significant Accounting Polici_3

Significant Accounting Policies and Recent Accounting Pronouncements (Tables)	9 Months Ended
	Mar. 31, 2023
Significant Accounting Policies and Recent Accounting Pronouncements
Schedule of Basic and Diluted Earning Per Share	March 31, 2023 2022 Net loss per share, basic and diluted $ (0.00 ) $ (0.01 ) Weighted average shares outstanding: Class A common stock 489,703,495 441,553,649 Class B common stock 11,886,043 15,641,463 Total weighted average shares outstanding 501,589,539 457,195,112 Antidilutive securities not included: Stock options 7,778,269 10,298,269 Stock options arising from convertible note payable and accrued interest 496,153 525,260 Restricted stock grants 19,463 58,392 Convertible preferred stock 35,571,821 38,477,064 Total 43,865,706 49,358,985

Equity Investment (Tables)

Equity Investment (Tables)	9 Months Ended
	Mar. 31, 2023
Equity Investment
Schedule of Equity Investments	March 31, June 30, 2023 2022 BT BeaMedical Technologies Ltd. Ownership Interest 35.7 % 35.7 % Carrying Amount Total contributions 4,000,000 4,000,000 Less: Share of the loss in investment in BTL (105,000 ) (22,000 ) Equity losses in excess of investment $ 3,895,000 $ 3,978,000
Summary of Balance Sheet For the Company's Equity Method Investee	March 31, June 30, BT BeaMedical Technologies Ltd. 2023 2022 Assets Cash $ 744,000 $ 3,850,000 Short term investment 2,663,000 — Other current assets 122,000 1,000 Total current assets $ 3,529,000 $ 3,851,000 Long-term assets 159,000 — Total assets $ 3,688,000 $ 3,851,000 Liabilities and equity Current liabilities $ 124,000 $ 195,000 Long-term liabilities 102,000 — Total liabilities $ 226,000 $ 195,000 Equity Equity $ 3,772,000 $ 3,735,000 Accumulated deficits (310,000 ) (79,000 ) Total equity 3,462,000 3,656,000 Total liabilities and equity $ 3,688,000 $ 3,851,000
Summary of Income Statement Information for Equity Method Investee	For the nine months ended March 31, For the period from June 9, 2022 (date of acquisition) to June 30, 2023 2022 Net sales and revenue $ 19,000 $ — Research and development costs $ 266,000 $ 7,000 Administrative expenses 75,000 55,000 Total operating expense $ 341,000 $ 62,000 Loss from operations $ (322,000 ) $ (62,000 ) Other income (expense) 91,000 1,000 Net loss $ (231,000 ) $ (61,000 )

Patents, net (Tables)

Patents, net (Tables)	9 Months Ended
	Mar. 31, 2023
Patents net
Schedule of Patents	Useful life March 31, June 30, (years) 2023 2022 Purchased Patent Rights- Brilacidin and related compounds 14 $ 4,082,000 $ 4,082,000 Purchased Patent Rights-Anti-microbial- surfactants and related compounds 12 144,000 144,000 Patents - Brilacidin and other compounds 17 1,194,000 1,146,000 Total patents cost 5,420,000 5,372,000 Less: Accumulated amortization (3,340,000 ) (3,060,000 ) Patents, net $ 2,080,000 2,312,000

Accrued Expenses - Related Part

Accrued Expenses - Related Parties and Other (Tables)	9 Months Ended
	Mar. 31, 2023
Accrued Expenses Related Parties and Other
Schedule of Accrued Expenses	March 31, June 30, 2023 2022 Accrued research and development consulting fees $ 56,000 $ 80,000 Accrued rent - related parties (Note 11. Related Party Transactions) 8,000 8,000 Accrued interest - related parties (Note 12. Convertible Note Payable - Related Party) 10,000 4,000 Total $ 74,000 92,000

Accrued Salaries and Payroll _2

Accrued Salaries and Payroll Taxes Related Parties and Other (Tables)	9 Months Ended
	Mar. 31, 2023
Accrued Salaries and Payroll Taxes Related Parties and Other
Schedule of Accrued Salaries and Payroll Taxes	March 31, June 30, 2023 2022 Accrued salaries - related parties $ 1,530,000 $ 1,492,000 Accrued payroll taxes - related parties 71,000 71,000 Withholding tax - payroll 84,000 77,000 Total $ 1,685,000 1,640,000

Operating Leases (Tables)

Operating Leases (Tables)	9 Months Ended
	Mar. 31, 2023
Operating Leases
Schedule of Components of Lease Expense	During the Nine Months Ended March 31, 2023 Lease Cost Operating lease cost (included in general and administrative in the Company’s condensed consolidated statement of operations) $ 23,000 Variable lease cost 9,000 $ 32,000 Other Information Cash paid for amounts included in the measurement of lease liabilities for the nine months ended March 31, 2023 $ 145,000 Weighted average remaining lease term – operating leases (in years) 0.50 Average discount rate – operating leases 18 %
Schedule of Operating Lease Liabilities	At March 31, 2023 Operating leases Short-term operating lease liabilities $ 108,000 Long-term operating lease liabilities — Total operating lease liabilities $ 108,000
Schedule of Maturities of the Lease Liabilities	Operating Leases Fiscal Year Ending June 30, 2023 $ 56,000 2024 (remaining 3 months) 56,000 Total lease payments 112,000 Less: Imputed interest/present value discount (4,000 ) Present value of lease liabilities $ 108,000

Equity Transactions (Tables)

Equity Transactions (Tables)	9 Months Ended
	Mar. 31, 2023
Equity Transactions
Schedule of Fair Value of Convertible Preferred Stock	June 30, 2022 Expected dividend yield 5 % Expected stock-price volatility 60 % Risk-free interest rate 2.92 % Stock price $ 0.03 Exercise price $ 982.5

Equity Incentive Plans, Stock-B

Equity Incentive Plans, Stock-Based Compensation, Exercise of Options and Warrants Outstanding (Tables)	9 Months Ended
	Mar. 31, 2023
Equity Incentive Plans StockBased Compensation Exercise of Options and Warrants Outstanding
Schedule of Fair Value of the Warrants Assumptions	Nine months ended March 31, 2022 Expected term (in years) 5-10 Expected stock price volatility 80.84 to 112.37 % Risk-free interest rate 0.69% to 1.61 % Expected dividend yield 0
Components of Stock-Based Compensation Expense	Three months ended March 31 Nine months ended March 31 2023 2022 2023 2022 General and administrative expenses $ — $ 166,000 $ 161,000 $ 277,000 Research and development expenses 4,000 40,000 42,000 121,000 Total stock-based compensation expense $ 4,000 $ 206,000 $ 203,000 $ 398,000
Schedule of Stock Option Activity	Number of Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Aggregate Intrinsic Value Outstanding at June 30, 2021 6,779,935 $ 0.35 4.45 $ 345,923 Granted 3,900,000 $ 0.24 8.75 — Exercised (166,666 ) $ 0.14 — — Forfeited/expired (2,245,000 ) $ 0.54 — — Outstanding at June 30, 2022 8,268,269 $ 0.25 6.91 $ — Granted — $ — — — Exercised — $ — — — Forfeited/expired (490,000 ) $ 0.50 — — Outstanding at March 31, 2023 7,778,269 $ 0.23 6.56 $ — Exercisable at March 31, 2023 7,720,607 $ 0.23 6.55 $ — Unvested stock options at March 31, 2023 57,662 $ 0.22 7.45 $ —
Schedule of Restricted Stock Award Activity	Weighted Average Number of Grant Date Shares Fair Value Total unvested shares outstanding at June 30, 2021 116,786 $ 0.22 Total shares granted — $ — Total shares vested (58,394 ) $ 0.25 Total shares forfeited — $ — Total unvested shares outstanding at June 30, 2022 58,392 $ 0.19 Total shares granted — $ — Total shares vested (38,929 ) $ 0.18 Total shares forfeited — $ — Total unvested shares outstanding at March 31, 2023 19,463 $ 0.22
Schedule of Vesting Outstanding Restricted Stock	Year Ending June 30, 2023 2024 Total Scheduled vesting — 19,463 19,463

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Mar. 31, 2023
Fair Value Measurements
Schedule of reconciliation of the Company's	FY 2022 Balance, June 30, 2021 $ — Exercise of Series 1 and 2 warrants 4,983,000 Conversion of Series B-2 preferred stock to common stock (4,374,000 ) Change in fair value of Series B-2 preferred stock (1) 177,000 Balance, June 30, 2022 $ 786,000 Conversion of Series B-2 preferred stock to common stock (329,000 ) Change in fair value of Series B-2 preferred stock (1) — Balance, March 31, 2023 $ 457,000

Liquidity Going Concern and M_2

Liquidity Going Concern and Managements Plan (Details Narrative) $ in Millions	9 Months Ended
	Mar. 31, 2023 USD ($)
Basis of Presentation and Nature of Operations
Cash	$ 1.9
Current Liabilities	4.8
Net Loss	(2.5)
Working Capital	(2.9)
Cash flow from operations	$ (1.7)

Significant Accounting Polici_4

Significant Accounting Policies and Recent Accounting Pronouncements (Details) - $ / shares	9 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Net loss per share, basic and diluted	$ 0	$ (0.01)
Total weighted average shares outstanding	501,589,539	457,195,112
Stock options	7,778,269	10,298,269
Stock options arising from convertible note payable and accrued interest	496,153	525,260
Restricted stock grants	19,463	58,392
Total	43,865,706	49,358,985
Convertible preferred stock	35,571,821	38,477,064
Common Class B [Member]
Total weighted average shares outstanding	11,886,043	15,641,463
Common Class A [Member]
Total weighted average shares outstanding	489,703,495	441,553,649

Significant Accounting Polici_5

Significant Accounting Policies and Recent Accounting Pronouncements (Details Narrative) - shares	Mar. 31, 2023	Jun. 30, 2022
Treasury stock	10,874,593	10,874,593
Treasury Stocks [Member]
Purchase values of shares	2,300,000	2,300,000
Common Class B [Member]
Treasury stock	2,358,537
Common Class A [Member]
Treasury stock	8,516,056

Equity Investment (Details)

Equity Investment (Details) - BT BeaMedical Technologies Limited ("BTL") [Member] - USD ($)	Mar. 31, 2023	Jun. 30, 2022
Ownership interest	35.70%	35.70%
Total contributions	$ 4,000,000	$ 4,000,000
Less: Share of the loss in investment in BTL	(105,000)	(22,000)
Equity losses in excess of investment	$ 3,895,000	$ 3,978,000

Equity Investment (Details 1)

Equity Investment (Details 1) - USD ($)	1 Months Ended	3 Months Ended						9 Months Ended
	Jun. 30, 2022	Mar. 31, 2023	Dec. 31, 2022	Sep. 30, 2022	Mar. 31, 2022	Dec. 31, 2021	Sep. 30, 2021	Mar. 31, 2023	Mar. 31, 2022	Jun. 30, 2021
Cash		$ 1,900,000						$ 1,900,000
Total current assets	$ 3,952,000	1,940,000						1,940,000
Total assets	10,379,000	7,993,000						7,993,000
Current liabilities	4,808,000	4,820,000						4,820,000
Total liabilities	5,649,000	5,277,000						5,277,000
Accumulated deficits	(122,157,000)	(124,644,000)						(124,644,000)
Total equity	4,730,000	2,716,000	$ 3,081,000	$ 3,421,000	$ 5,815,000	$ 6,945,000	$ 8,297,000	2,716,000	$ 5,815,000	$ 7,509,000
Total liabilities and equity	10,379,000	7,993,000						7,993,000
Research and development costs		323,000			931,000			1,159,000	4,115,000
Total operating expenses		641,000			1,458,000			2,356,000	5,495,000
Loss from operations		(679,000)			(1,458,000)			(2,439,000)	(5,495,000)
Net loss		(698,000)	$ (361,000)	$ (1,428,000)	$ (1,486,000)	$ (1,873,000)	$ (2,056,000)	(2,487,000)	$ (5,415,000)
BT BeaMedical Technologies Limited ("BTL") [Member]
Cash	3,850,000	744,000						744,000
Other current assets	1,000	122,000						122,000
Short term investment	0	2,663,000						2,663,000
Total current assets	3,851,000	3,529,000						3,529,000
Long-term assets	0	159,000						159,000
Total assets	3,851,000	3,688,000						3,688,000
Current liabilities	195,000	124,000						124,000
Long-term liabilities	0	102,000						102,000
Total liabilities	195,000	226,000						226,000
Equity	3,735,000	3,772,000						3,772,000
Accumulated deficits	(79,000)	(310,000)						(310,000)
Total equity	3,656,000	3,462,000						3,462,000
Total liabilities and equity	3,851,000	$ 3,688,000						3,688,000
Net sales and revenue	0							19,000
Research and development costs	7,000							260,000
Administrative expenses	55,000							75,000
Total operating expenses	62,000							341,000
Loss from operations	(62,000)							(322,000)
Other expense	1,000							91,000
Net loss	$ (61,000)							$ (231,000)

Equity Investment (Details Narr

Equity Investment (Details Narrative) - BT BeaMedical Technologies Limited ("BTL") [Member] - Purchase Agreement [Member] - USD ($)	9 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Equity Investment contribution	$ 4,000,000
Short-term time deposits		$ 2,700,000
Cash balance		$ 700,000
Equity in loss from equity investment	83,000
Incurred a loss of BTL	$ 231,000
Description of Equity Investment	A Shares for aggregate consideration of $4,000,000, or approximately $72.00 per Series A Share. Following the closing under the Purchase Agreement, the Company owns approximately 35.7% of BTL’s issued and outstanding equity securities and approximately 41.6% of BTL’s equity securities on a fully diluted basis.

Patents net (Details)

Patents net (Details) - USD ($)	9 Months Ended
	Mar. 31, 2023	Jun. 30, 2022
Total patents cost	$ 5,420,000	$ 5,372,000
Less : Accumulated amortization	(3,340,000)	(3,060,000)
Total Patents, net	2,080,000	2,312,000
Patents One [Member]
Total Patents, gross	$ 4,082,000	4,082,000
Useful life	14 years
Patents Two [Member]
Total Patents, gross	$ 144,000	144,000
Useful life	12 years
Patents Three [Member]
Total Patents, gross	$ 1,194,000	$ 1,146,000
Useful life	17 years

Patents net (Details Narrative)

Patents net (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Mar. 31, 2023	Mar. 31, 2022
Amortization expense	$ 94,000	$ 95,000	$ 280,000	$ 286,000
General and administrative expenses	144,000	$ 320,000	626,000	$ 771,000
Patents [Member]
June 30, 2023	93,000		93,000
June 30, 2024	372,000		372,000
June 30, 2026	362,000		362,000
June 30, 2027	360,000		360,000
June 30, 2028 and Thereafter	$ 521,000		$ 521,000
Patents [Member] | Minimum [Member] | IntangibleAssets [Member]
Future Amortization Period	2 years 5 months 4 days
Estimated remaining useful lives of the assets	12 years
Patents [Member] | Maximum [Member] | IntangibleAssets [Member]
Future Amortization Period	16 years 9 months
Estimated remaining useful lives of the assets	17 years

Accrued Expenses Related Part_2

Accrued Expenses Related Parties and Other (Details) - USD ($)	Mar. 31, 2023	Jun. 30, 2022
Accrued Expenses Related Parties and Other
Accrued research and development consulting fees	$ 56,000	$ 80,000
Accrued rent - related parties (Note 11. Related Party Transactions)	8,000	8,000
Accrued interest - related parties (Note 12. Convertible Note Payable - Related Party)	10,000	4,000
Total	$ 74,000	$ 92,000

Accrued Salaries and Payroll _3

Accrued Salaries and Payroll Taxes Related Parties And Other (Details) - USD ($)	Mar. 31, 2023	Jun. 30, 2022
Accrued Salaries and Payroll Taxes Related Parties and Other
Accrued Salaries - Related Parties	$ 1,530,000	$ 1,492,000
Accrued Payroll Taxes - Related Parties	71,000	71,000
Withholding Tax - Payroll	84,000	77,000
Total	$ 1,685,000	$ 1,640,000

Exclusive License Agreement a_2

Exclusive License Agreement and Patent Assignment Agreement (Details Narrative) - License Agreement [Member] - USD ($)	May 03, 2022	Jul. 18, 2019
Non-refundable Payment		$ 400,000
Additional Payments Payable Upon Achievement Of Certain Milestones Under Agreement By Related Party		24,000,000
Payment Due Following Commencement Of First Phase Iii Clinical Trial Of Brilacidin		1,000,000
Payment Due Upon Filing Of A Marketing Approval Application		$ 1,000,000
FCCDC's third-party license of broad-spectrum anti-fungals	$ 18,000

Operating Leases (Details)

Operating Leases (Details)	9 Months Ended
	Mar. 31, 2023 USD ($)
Lease Cost
Operating lease cost (included in general and administrative in the Company's consolidated statements of operations)	$ 23,000
Variable lease cost	9,000
Total operating cost	32,000
Cash paid for amounts included in the measurement of lease liabilities for the three months ended September 30, 2022	$ 145,000
Weighted average remaining lease term - operating leases (in years)	5 months 30 days
Average discount rate - operating leases	18%

Operating Leases (Details 1)

Operating Leases (Details 1) - USD ($)	Mar. 31, 2023	Jun. 30, 2022
Operating Leases
Short-term operating lease liabilities	$ 108,000	$ 197,000
Long-term operating lease liabilities	0	$ 55,000
Total operating lease liabilities	$ 108,000

Operating Leases (Details 2)

Operating Leases (Details 2)	Mar. 31, 2023 USD ($)
Fiscal Year Ending June 30,
2023	$ 56,000
2024 (remaining 3 months)	56,000
Total lease payments	112,000
Less: Imputed interest/present value discount	(4,000)
Present value of lease liabilities	$ 108,000

Operating Leases (Details Narra

Operating Leases (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2019
Operating Leases
Amortization of the right-of-use asset			$ 27,000
Operating lease cost	$ 9,000	$ 17,000	32,000	$ 56,000
Impairment loss			$ 643,000
Operating lease carrying value					$ 0

Commitments and Contingencies (

Commitments and Contingencies (Details Narrative)	Mar. 31, 2023 USD ($)
Contractual commitments	$ 70,000
Total lease amount	60,000
Ex-President of Research [Member]
Accrued salaries and payroll taxes	1,443,000
Accounts payable	$ 1,486,000

Related Party Transactions (Det

Related Party Transactions (Details Narrative) - USD ($)	Mar. 31, 2023	Jun. 30, 2022
Accrued Expenses	$ 8,000	$ 8,000
Accounts Payable	2,699,000	2,567,000
Clinical Studies [Member]
Accrued Expenses	8,000	8,000
Accounts Payable	$ 1,486,000	$ 1,486,000

Convertible Note Payable Rela_2

Convertible Note Payable Related Party (Details Narrative) - USD ($)	1 Months Ended	9 Months Ended	12 Months Ended
	May 07, 2012	Mar. 31, 2023	Jun. 30, 2022	May 08, 2012
Total outstanding balance of principal and interest		$ 248,000	$ 254,000
Accrued interest - related parties		10,000	4,000
Mr. Ehrlich [Member]
Repayment of note payable to officer		12,000	1,033,000
Principal balance of demand notes		$ 238,000	$ 250,000
Mr. Ehrlich [Member] | December 29, 2010 [Member]
Exercise price		$ 0.11
Option issued		18,000,000
Ehrlich Promissory Note C [Member]
Exercise price	$ 0.51
Principal balance of demand notes				$ 2,022,000
Equity incentive shares	2,000,000
Closing bid price per share	$ 0.46
Percentage of closing bid price	110%
Ehrlich Promissory Note C [Member] | Maximum [Member]
Interest rate				10%
Ehrlich Promissory Note C [Member] | Minimum [Member]
Interest rate				9%
Ehrlich Promissory Note C [Member] | Originated In 2010 [Member]
Interest rate		9%
Common stock price per share		$ 0.50

Loan payable (Details Narrative

Loan payable (Details Narrative) - Paycheck Protection Program [Member] - USD ($)		1 Months Ended	6 Months Ended
	May 10, 2020	Apr. 19, 2021	Dec. 31, 2021
Loan Forgivness			$ 172,000
Loan Proceeds	$ 93,000	$ 79,000

Equity Incentive Plans StockB_2

Equity Incentive Plans StockBased Compensation Exercise of Options and Warrants Outstanding (Details) - Stock Option [Member]	9 Months Ended
	Mar. 31, 2023
Expected Dividend Yield	0%
Minimum [Member]
Expected Term (in Years)	5 years
Expected Stock Price Volatility	80.84%
Risk-free Interest Rate	0.69%
Maximum [Member]
Expected Term (in Years)	10 years
Expected Stock Price Volatility	112.37%
Risk-free Interest Rate	1.61%

Equity Incentive Plans StockB_3

Equity Incentive Plans StockBased Compensation Exercise of Options and Warrants Outstanding (Details 1) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Mar. 31, 2023	Mar. 31, 2022
Total Stock-based Compensation Expense	$ 4,000	$ 206,000	$ 203,000	$ 398,000
General and Administrative Expense [Member]
Total Stock-based Compensation Expense	0	166,000	161,000	277,000
Research and Development Expense [Member]
Total Stock-based Compensation Expense	$ 4,000	$ 40,000	$ 42,000	$ 121,000

Equity Incentive Plans StockB_4

Equity Incentive Plans StockBased Compensation Exercise of Options and Warrants Outstanding (Details 2) - Stock Option [Member] - USD ($)	9 Months Ended	12 Months Ended
	Mar. 31, 2023	Jun. 30, 2022
Beginning Balance, Outstanding	8,268,269	6,779,935
Granted	0	3,900,000
Exercised	0	(166,666)
Forfeited/expired	(490,000)	(2,245,000)
Ending Balance, Outstanding	7,778,269	8,268,269
Exercisable	7,720,607
Unvested Stock Options	57,662
Weighted Average Exercise Price, Beginning Balance	$ 0.25	$ 0.35
Weighted Average Exercise Price, Granted	0	0.24
Weighted Average Exercise Price, Exercised	0	0.14
Weighted Average Exercise Price, Forfeited/expired	0.50	0.54
Weighted Average Exercise Price, Ending Balance	0.23	$ 0.25
Weighted Average Exercise Price, Exercisable	0.23
Weighted Average Exercise Price, Unvested Stock Options	$ 0.22
Weighted Average Remaining Contractual Life, Beginning Balance		4 years 5 months 12 days
Weighted Average Remaining Contractual Life, Granted		8 years 9 months
Weighted Average Remaining Contractual Life, Ending Balance	6 years 6 months 21 days	6 years 10 months 28 days
Weighted Average Remaining Contractual Life, Exercisable	6 years 6 months 18 days
Weighted Average Remaining Contractual Life, Unvested Stock Options	7 years 5 months 12 days
Aggregate Intrinsic Value Beginning	$ 0	$ 345,923
Aggregate Intrinsic Value Ending	0	0
Aggregate Intrinsic Value Granted	0	0
Aggregate Intrinsic Value Exercised	0	0
Aggregate Intrinsic Value Forfeited expired	0	0
Aggregate Intrinsic Value, exercisable	0	0
Aggregate Intrinsic Value Unvested Stock Options	$ 0	$ 0

Equity Incentive Plans StockB_5

Equity Incentive Plans StockBased Compensation Exercise of Options and Warrants Outstanding (Details 3) - Restricted Stock [Member] - $ / shares	9 Months Ended	12 Months Ended
	Mar. 31, 2023	Jun. 30, 2022
Beginning Balance, Outstanding	58,392	116,786
Total Shares Granted	0	0
Total Shares Vested	(38,929)	(58,394)
Total Shares Forfeited	0	0
Ending Balance, Outstanding	19,463	58,392
Weighted Average, Beginning Balance	$ 0.19	$ 0.22
Weighted Average, Total Shares Granted	0	0
Weighted Average, Total Shares Vested	0.18	0.25
Weighted Average, Total Shares Forfeited	0	0
Weighted Average, Ending Balance	$ 0.22	$ 0.19

Equity Incentive Plans StockB_6

Equity Incentive Plans StockBased Compensation Exercise of Options and Warrants Outstanding (Details 4)	9 Months Ended
	Mar. 31, 2023 shares
Total Scheduled Vesting	19,463
Year Ending June 30, 2023 [Member]
Total Scheduled Vesting	0
Year Ending June 30, 2024 [Member]
Total Scheduled Vesting	19,463

Equity Incentive Plans StockB_7

Equity Incentive Plans StockBased Compensation Exercise of Options and Warrants Outstanding (Details Narrative) - USD ($)	9 Months Ended		12 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Jun. 30, 2022	Dec. 31, 2022
Unrecognized Compensation	$ 2,000
Proceeds from exercise of options	0	$ 23,000
Stock Option		166,666
Total unrecognized stock-based compensation expense	$ 2,000
Weighted average recognition period	5 months 12 days
Stock-based compensation cost	$ 203,000	$ 398,000
Stock Option Exercise Price			$ 0.14
February 23, 2020 [Member] | 2016 Equity Incentive Plan [Member]
Annual Limit Description	the Board of Directors approved an amendment to Section 4.1 of the 2016 Plan to increase the annual limit on the number of awards under such Plan to outside directors from 250,000 to 1,500,000
October 10, 2021 [Member] | 2016 Equity Incentive Plan [Member]
Annual Limit Description	the Board of Directors approved amendments to the 2016 Plan to increase the number of shares of common stock available for issuance thereunder to 225,000,000 shares and to increase the annual limit on the number of awards under such Plan to outside directors from 1,500,000 to 5,000,000, among other changes
June 30, 2016 [Member] | 2016 Equity Incentive Plan [Member]
Stock Option Vested Or To Be Vested, Description	Up to 225,000,000 shares of the Company’s Class A common stock may be issued under the 2016 Plan (subject to adjustment as described in the 2016 Plan).
On October Ten Two Thousand Twenty [Member]
Stock Options To Purchase Shares	1,000,000
Stock-based compensation cost	$ 161,000	277,000
Stock Option Exercise Price				$ 0.24
Exercisable Period	10 years
Stock Issue, Value	$ 585,000
Amortization Period Of Restricted Stock	1 year
Mr. Ehrlich [Member] | On October Ten Two Thousand Twenty One [Member]
Stock Options To Purchase Shares	500,000
Stock-based compensation cost	$ 27,000	46,000
Stock Option Exercise Price				0.24
Exercisable Period	1 year
Stock Issue, Value	$ 98,000
Amortization Period Of Restricted Stock	3 years
Mr. Ehrlich [Member] | On September 1, 2018 [Member]
Stock Options To Purchase Shares	172,987
Stock-based compensation cost		5,000
Stock Option Exercise Price				0.40
Stock Issue, Value	$ 63,000
Stock Issued, Shares	58,394
Stock Awards		1,000
Stock Option Expenses		4,000
Ms Jane Harness [Member] | On September 11, 2020 [Member]
Stock Options To Purchase Shares	172,987
Stock Option Exercise Price				$ 0.22
Stock Based Compensation Expenses	$ 12,000	11,000
Stock Issue, Value	$ 33,000
Stock Issued, Shares	58,394
Stock Awards	$ 4,000	8,000
Stock Option Expenses	$ 8,000	3,000
Vested Shares	58,394
Common Stock Value				$ 13,000
Amortization Period Of Restricted Stock	3 years
Ms Jane Harness [Member] | On September 1, 2019 [Member]
Stock Options To Purchase Shares	172,987
Stock Option Exercise Price				$ 0.132
Exercisable Period	3 years
Stock Based Compensation Expenses	$ 1,000	7,000
Stock Issued, Shares	58,394
Stock Awards		5,000
Stock Option Expenses	$ 1,000	2,000
Closing Bid Price	$ 20,000
one Consultant [Member] | January 1, 2022 [Member]
Stock Options To Purchase Shares	75,000
Stock-based compensation cost	$ 1,000	1,000
Stock Issue, Value	$ 3,000
Stock Options, Vested Percentage Description	vest 33 1/3% on January 1, 2022, 33 1/3% on July 1, 2022 and 33 1/3% on January 1, 2023
Stock Option Exercise Price				0.044
Two Consultant [Member] | July 30, 2021 [Member]
Stock Options To Purchase Shares	100,000
Stock-based compensation cost	$ 1,000	15,000
Stock Option Exercise Price				0.27
Stock Issue, Value	$ 19,000
Stock Options, Vested Percentage Description	vest 33 1/3% on July 30, 2021, 33 1/3% on January 30, 2022, and 33 1/3% on July 30, 2022
Three Consultant [Member] | July 1, 2021 [Member]
Stock Options To Purchase Shares	225,000
Stock-based compensation cost	$ 0	27,000
Stock Option Exercise Price				0.21
Stock Issue, Value	$ 33,000
Stock Options, Vested Percentage Description	vest 33 1/3% on July 1, 2021, 33 1/3% on January 1, 2022, and 33 1/3% on July 1, 2022
Four Consultant [Member] | February 10, 2021 [Member]
Stock Options To Purchase Shares	75,000
Stock-based compensation cost	$ 0	7,000
Stock Option Exercise Price				0.38
Stock Issue, Value	$ 20,000
Stock Options, Vested Percentage Description	vest 33 1/3% on February 10, 2021, 33 1/3% on July 1, 2021, and 33 1/3% on January 1, 2022
Five Consultant [Member] | July 23, 2020 [Member]
Stock Options To Purchase Shares	100,000
Stock-based compensation cost	$ 0	$ 1,000
Stock Option Exercise Price				$ 0.32
Stock Issue, Value	$ 28,000
Stock Options, Vested Percentage Description	vest 33 1/3% on July 23, 2020, 33 1/3% on January 23, 2021, and 33 1/3% on July 23, 2021
Common Class A [Member]
Stock Options To Purchase Shares			2,245,000
Common Stock Value				$ 49,000

Equity Transactions (Details)

Equity Transactions (Details)	9 Months Ended
	Mar. 31, 2023 $ / shares
Equity Transactions
Expected dividend yield	5%
Expected stock-price volatility	60%
Risk-free interest rate	2.92%
Stock price	$ 0.03
Exercise price	$ 982.5

Equity Transaction (Details Nar

Equity Transaction (Details Narrative) - USD ($)				1 Months Ended	6 Months Ended		7 Months Ended	9 Months Ended
	Feb. 08, 2021	Dec. 09, 2020	Dec. 04, 2020	Jul. 31, 2022	Dec. 31, 2022	Dec. 31, 2021	Jun. 30, 2021	Mar. 31, 2023	Mar. 31, 2022	Dec. 29, 2022	Jul. 30, 2022	Jun. 30, 2022
Redeem preferred stock								120%
Accrued Dividends Under Current Liability								$ 16,000				$ 62,000
Common Class B [Member]
Treasury Stock Shares								2,358,537				2,358,537
Gross Proceeds	$ 500,000
Common Stock, Shares Issued										11,307,527
Cumulative Cost								$ 2,300,000
Common Class B [Member] | October 2, 2020 [Member] | Mr. Ehrlich [Member]
Sale Of Aggregate Shares	2,036
Common Class B [Member] | Mr. Ehrlich [Member]
Treasury Stock Shares								10,874,593				10,874,593
Common Stock Held Satisfy Exercise Price										$ 11,307,527
Common Class A [Member]
Treasury Stock Shares								8,516,056				8,516,056
Class A Common Stock [Member] | Tewnty thousand twenty Agreement [Member] | Aspire Capital [Member]
Common Stock, Shares Issued											6,250,000
Aggregate Purchase				$ 4,600,000				$ 30,000,000
Aggregate Purchase, commmon shares				2,250,000
Commitment fee					$ 1,400,000
Amortized expenses					600,000	$ 200,000
Exercise of 2020 Series B 5% Convertible Preferred Stock Warrants 1 [Member] | Series B Convertible Preferred Stock warrants [Member]
Gross Proceeds			$ 2,000,000
Convertible Preferred Stock, Shares			3,053
Convertible Preferred Stock, Exercise							3,053
Convertible Preferred Stock Liabilities								$ 500,000				$ 800,000
Exercise of 2020 Series B 2.5% Convertible Preferred Stock Warrant [Member] | Series B Convertible Preferred Stock warrants [Member]
Convertible Preferred Stock, Shares									5,072
Proceeds for convertible preferred stock									$ 5,000,000
Proceeds for preferred stock liability									$ 5,000,000
Convertible Preferred Stock, Exercise									5,072
Warrant Shares									3,036
Convertible Preferred Stock, Outstanding									2,036
Conversion of 2020 Series B-2 5% convertible preferred stock to common stock [Member] | Series B Convertible Preferred Stock warrants [Member]
Convertible preferred stockholder								260	3,907
Gross Proceeds								$ 25,690,759	$ 38,256,706
Convertible Preferred Stock Into Common Stock								300,000	3,800,000
Reversed Amount								$ 300,000	$ 3,800,000
2020 Series B 5% Convertible Preferred Stock Warrant [Member] | Series B Convertible Preferred Stock warrants [Member]
Per Share								$ 982.50
Preferred Stock Shares								5,089
Preferred Stock Amount								$ 5,000,000
2020 Series B 5% Convertible Preferred Stock Warrant 1 [Member] | Series B Convertible Preferred Stock warrants [Member]
Per Share								$ 982.50
Preferred Stock Shares								5,089
Preferred Stock Amount								$ 5,000,000
Cash Payment Percentage								8%
2020 Series B 5% Convertible Preferred Stock 1 [Member] | Series B Convertible Preferred Stock [Member]
Accrued Dividends Under Current Liability								$ 7,000	17,000
Accrued dividend								$ 24,000	$ 31,000
Warrants Amount	$ 1,500,000	$ 2,100,000
Gross Proceeds		$ 900,000
Preferred Stock Liability					$ 25,000
Sale Of Aggregate Shares	2,036	3,053	5,089
Warrant Discounts	$ 2,000,000	$ 2,700,000
Reduction In Warrant Additional Paid-in Capital	$ 10,000
Conversion Amount Limits			$ 75,000
Initial Stated Value,preferred Stock			$ 1,080
Conversion Percentage			30%
Beneficially Own In Excess Coversion			9.99%
2020 Series B 5% Convertible Preferred Stock [Member] | Series B Convertible Preferred Stock [Member]
Gross Proceeds		$ 300,000	$ 5,000,000
Sale Of Aggregate Shares		3,053
Additional Warrant Purchase	10,178

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($)	9 Months Ended	12 Months Ended
	Mar. 31, 2023	Jun. 30, 2022
Fair Value Measurements
Beginning Balance	$ 786,000	$ 0
Exercise of Series 1 and 2 warrants		4,983,000
Conversion of Series B-2 preferred stock to common stock	(329,000)	(4,374,000)
Change in fair value of Series B-2 preferred stock	0	177,000
Ending Balance	$ 457,000	$ 786,000

Fair Value Measurements (Deta_2

Fair Value Measurements (Details Narrative) - USD ($)	9 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Jun. 30, 2022
Fair Value Measurements
Accrued Dividends Under Current Liability	$ 16,000		$ 62,000
Accrued dividend percentage rate	5%
Accrued dividend	$ 24,000	$ 31,000