Notes Payable and Note payable-other | Note 7 – Notes Payable and Note payable-other Notes payable consists of notes payable from our subsidiary, notes payable-other, convertible notes payable, notes payable for stock purchases under Reg A, short term notes payable, and notes payable-BOAPIN portal, as follows: Schedule of notes payable September 30, 2021 June 30, 2021 Notes from subsidiary $ 219,775 $ 238,244 Short term bridge loan 200,000 500,000 Note payable- Reg A deposits 135,000 115,000 Total Notes Payable $ 554,775 $ 853,244 Notes Payable - subsidiary The Company has various loans and credit lines outstanding. The credit line carries an interest rate of 6.24%. The bank loans carry interest rates varying between 9.24% – 10.90%. Schedule of loans outstanding September 30, 2021 June 30, 2021 Wells Fargo Loan $ 11,482 $ 12,454 On Deck Loan 139,569 139,569 Susquehanna Salt Loan 42,000 52,500 Prosper Loans 13,303 17,771 MARCUS Loan 13,421 15,949 TOTAL LOANS $ 219,775 $ 238,244 Debt settlement – On Deck, Susquehanna, MCA Cure In 2019, our subsidiary engaged MCA CURE to negotiate settlements with On Deck and Susquehanna Salt. The Company ceased paying the loan payments and paid MCA Cure $ 43,875 47,000 33,705 18,705 The Company impaired the MCA Cure amounts paid, and of September 30, 2021 and June 30, 2021, the Company recorded $ 139,569 42,000 52,500 Short term bridge loan - COHEN On July 31, 2020, the Company secured a $ 500,000 12 12 At September 30, 2020, the Company recorded short-term note payable of $ 500,000 10,027 At June 30, 2021, the Company recorded short term note payable of $ 500,000 55,047 On August 19, 2021, the Company repaid $ 300,000 200,000 12 200,000 10,981 Note payable – stock purchases under Reg A In March 2021 and June 2021, the Company accepted loans of $ 115,000 20,000 5 At September 30, 2021 and June 30, 2021, the Company recorded $ 135,000 115,000 2,615 1,594 As of September 30, 2021 and June 30, 2021, the Company has outstanding $ 554,776 853,244 Note Payable – Other In November, 2016, the Company secured a $ 50,000 4 1,000,000 4 As of September 30, 2021 and June 30, 2021, the Company expensed $ 500 2,000 9,783 9,283 Convertible note payable – BENZA, D2CF On March 1, 2016 and March 3, 2016, the Company closed a private placement and received an aggregate of $ 612,500 660,000 13,750 61,250 76,250 673,750 As of September 30, 2021 and June 30, 2021, the Company reported $ 673,750 673,750 On July 22, 2021, the Company filed suit for damages resulting from the related party. On November 4, 2021, Benza Pharma LLC filed a countersuit. To date, there has been no resolution or settlement. The loans are recognized on the financials with no discount. Convertible Note: Leonite Capital, LLC On November 19, 2019, the Company, together with Hypersoft Ventures (collectively, the “Borrower”), received $ 135,000 150,000 15,000 250,000 77,778 0.02 2,700,000 260,000 The Company has determined that the conversion feature embedded in the Leonite Convertible Note constitutes a derivative and has been bifurcated from the Leonite Convertible Note and recorded as a derivative liability, with a corresponding discount recorded to the associated debt, on the accompanying balance sheet, and revalued to fair market value at each reporting period. The initial issuance yielded a derivative liability of $ 94,225 150,000 Significant assumptions used in calculating fair value of conversion feature of Leonite Convertible Note at issuance date are as follows. Schedule of fair value of conversion feature Expected Expected Risk-free Expected Exercise Common stock 0.00 809.71 0.0154 0.75 $ 0.02 $ 0.01300 At June 30, 2020, the Company recorded $ 270,842 150,000 145,833 4,167 On June 4, 2021, the Company and Leonite renegotiated the convertible note for two years, face value of $ 260,000 524,561 11,003 260,000 2,285 On July 29, 2021, Leonite converted $ 42,750 2,250 15,000,000 44,475 2,250 10,269,253 15,832 Schedule of extinguishment of debt Balance at June 30, 2021 $ 260,000 Accrued interest 7,225 Leonite Convertible Note converted (87,225 ) Total 180,000 Less: debt discount – Balance at September 30, 2021 $ 180,000 The resulting derivative valuation is calculated as follows: Schedule of derivative liabilities at fair value Derivative as of June 30, 2021 $ 281,845 Change in fair value 238,155 520,000 Write off due to conversions (176,800 ) Derivative value as of September 30, 2021 $ 343,200 Significant assumptions used in calculating fair value of conversion feature of Leonite Convertible Note as of September 30, 2021 are as follows. Schedule of fair value of conversion features Expected Expected Risk-free Expected term Exercise Common stock 0.00 269.75 0.0007 1.9288 $ 0.00550 $ 0.01 In October 2021, Leonite converted the balance of the loan, conversion fees, and accrued interest, and extinguished the debt. Credit line – MediPendant New York Inc. On September 30, 2014, our subsidiary entered into a line of credit with Medi Pendant New York, Inc. (“MNY”), which is partially owned by a principal of its subsidiary. Under the line of credit agreement, the Company will be able to borrow up to $ 500,000 6.5 September 30, 2017 500,000 200,000 28,000 As of September 30, 2021 and June 30, 2021, the Company has recorded $ 397,500 397,500 |