Cerebain Biotech (CBBT) 10-Q 20 May 19 2019 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Mar. 31, 2019	May 17, 2019
Document And Entity Information
Entity Registrant Name	CEREBAIN BIOTECH CORP.
Entity Central Index Key	0001453099
Document Type	10-Q
Document Period End Date	Mar. 31, 2019
Amendment Flag	false
Current Fiscal Year End Date	--06-30
Is Entity's Reporting Status Current?	Yes
Is Entity Emerging Growth Company?	false
Elected Not To Use the Extended Transition Period	false
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Common Stock, Shares Outstanding		140,223,096
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2019

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Mar. 31, 2019	Jun. 30, 2018
Current assets:
Cash and cash equivalents	$ 19,022	$ 64,583
Prepaid expenses	2,540	27,018
Total current assets	21,562	91,601
Total assets	21,562	91,601
Current liabilities:
Accounts payable and other accrued expenses	1,035,767	1,142,636
Related party payables	426,295	350,000
Accrued payroll	331,732	215,973
Payroll taxes payable	138,512	94,124
Convertible notes to stockholders, current portion and net of debt discount of approximately $42,000 and $0, respectively	3,270,743	360,000
Short term notes payable to stockholders	591,500	464,000
Short term convertible notes payable, net of debt discount of approximately $83,000 and $177,000, respectively	220,924	107,906
Derivative liabilities	514,963	285,000
Warrant liabilities	147,878	85,058
Stock payable	7,500
Total current liabilities	6,685,814	3,104,697
Long term liabilities:
Convertible notes to stockholders, net of current portion and net of debt discount of approximately $0 and $5,000, respectively		2,570,731
Total long-term liabilities		2,570,731
Total liabilities	6,685,814	5,675,428
Commitments and contingencies (Note 4)
Stockholders deficit
Preferred stock ($0.001 par value: 1,000,000 shares authorized; 51 and 0 issued and outstanding at March 31, 2019 and June 30, 2018, respectively)	1
Common stock ($0.001 par value: 249,000,000 shares authorized; 80,073,096 and 9,039,347 shares issued and outstanding at March 31, 2019 and June 30, 2018, respectively)	80,073	9,039
Additional paid in capital	27,003,833	26,856,647
Accumulated deficit	(33,748,159)	(32,449,513)
Total stockholders deficit	(6,664,252)	(5,583,827)
Total liabilities and stockholders deficit	$ 21,562	$ 91,601

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)	Mar. 31, 2019	Jun. 30, 2018
Current liabilities:
Convertible notes payable, net of debt discount	$ 42,000	$ 0
Short term convertible notes payable, net of debt discount	82,789	177,094
Long term liabilities:
Convertible notes payable net of debt discount non current	$ 0	$ 5,000
Stockholders' deficit
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, authorized shares	1,000,000	1,000,000
Preferred stock, issued shares	51	0
Preferred stock, outstanding shares	51	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, Authorized shares	249,000,000	249,000,000
Common stock, Issued shares	80,073,096	9,039,347
Common stock, outstanding shares	80,073,096	9,039,347

UNAUDITED CONDENSED CONSOLIDATE

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Mar. 31, 2019	Mar. 31, 2018
Operating expenses:
Selling, general and administrative expenses	$ 213,263	$ 313,716	$ 615,970	$ 790,175
Research and development costs		80,402	32,000	205,030
Patent royalty expense	25,000	25,000	75,000	75,000
Marketing expenses	55	2,440	889	8,642
Total operating expenses	238,318	421,558	723,859	1,078,847
Other (income) expense
Amortization of debt discount	45,816	25,418	219,316	28,754
Loss from extinguishment of debt	15,000		15,000	3,102,134
Interest expense	164,166	217,012	267,796	298,716
Financing fee	14,750		28,750
Change in fair value of derivative liabilities	(32,755)	(10,000)	37,579	(10,000)
Change in fair value of warrant liabilities	(924)	614	6,346	614
Default expense	(54,162)
Total other expense, net	151,891	233,044	574,787	3,420,218
Net loss	$ (390,209)	$ (654,602)	$ (1,298,646)	$ (4,499,065)
Loss per share:
Basic and diluted loss per share	$ (0.03)	$ (0.07)	$ (0.04)	$ (0.54)
Basic and diluted weighted average shares outstanding	51,280,025	8,755,125	34,161,037	8,365,059

UNAUDITED CONSOLIDATED STATEMEN

UNAUDITED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS DEFICIT (Unaudited) - USD ($)	Preferred Stock	Common Stock	Additional Paid in Capital	Accumulated Deficit	Total
Beginning Balance, Shares at Jun. 30, 2017		7,880,347
Beginning Balance, Amount at Jun. 30, 2017		$ 7,880	$ 23,269,861	$ (27,530,721)	$ (4,252,980)
Proceeds from issuance of common stock and warrants, Shares		64,000
Proceeds from issuance of common stock and warrants, Amount		$ 64	79,936		80,000
Shares issued for services, Shares		175,000
Shares issued for services, Amount		$ 175	34,825		35,000
Shares issued for financing, Shares		200,000
Shares issued for financing, Amount		$ 200	29,800		30,000
Stock-based compensation, Amount			15,925		15,925
Net loss				(431,483)	(431,483)
Ending Balance, Shares at Sep. 30, 2017		8,319,347
Ending Balance, Amount at Sep. 30, 2017		$ 8,319	23,430,347	(27,962,204)	(4,523,538)
Beginning Balance, Shares at Jun. 30, 2017		7,880,347
Beginning Balance, Amount at Jun. 30, 2017		$ 7,880	23,269,861	(27,530,721)	(4,252,980)
Net loss					(4,499,065)
Ending Balance, Shares at Mar. 31, 2018		9,039,347
Ending Balance, Amount at Mar. 31, 2018		$ 9,039	26,826,015	(32,029,786)	(5,194,732)
Beginning Balance, Shares at Sep. 30, 2017		8,319,347
Beginning Balance, Amount at Sep. 30, 2017		$ 8,319	23,430,347	(27,962,204)	(4,523,538)
Proceeds from issuance of common stock and warrants, Shares		80,000
Proceeds from issuance of common stock and warrants, Amount		$ 80	99,920		100,000
Stock-based compensation, Amount			15,925		15,925
Loss from extinguishment associated with debt discounts and finance costs			3,072,134		3,072,134
Net loss				(3,412,980)	(3,412,980)
Ending Balance, Shares at Dec. 31, 2017		8,399,347
Ending Balance, Amount at Dec. 31, 2017		$ 8,399	26,618,326	(31,375,184)	(4,748,459)
Proceeds from issuance of common stock and warrants, Shares		220,000
Proceeds from issuance of common stock and warrants, Amount		$ 220	109,780		110,000
Shares issued for services, Shares		100,000
Shares issued for services, Amount		$ 100	14,900		15,000
Shares issued for financing, Amount					0
Stock-based compensation, Shares		320,000
Stock-based compensation, Amount		$ 320	83,009		83,329
Loss from extinguishment associated with debt discounts and finance costs					0
Net loss				(654,602)	(654,602)
Ending Balance, Shares at Mar. 31, 2018		9,039,347
Ending Balance, Amount at Mar. 31, 2018		$ 9,039	26,826,015	(32,029,786)	(5,194,732)
Beginning Balance, Shares at Jun. 30, 2018		9,039,347
Beginning Balance, Amount at Jun. 30, 2018		$ 9,039	26,856,647	(32,449,513)	(5,583,827)
Stock-based compensation, Amount			29,199		29,199
Conversion of short term convertible notes payable (principal), Shares		799,318
Conversion of short term convertible notes payable (principal), Amount		$ 799	15,290		16,089
Conversion of short term convertible notes payable (Interest), Shares		58,446
Conversion of short term convertible notes payable (Interest), Amount		$ 59	2,660		2,719
Conversion of financing fees related to conversion of short term convertible notes payable, Shares		212,236
Conversion of financing fees related to conversion of short term convertible notes payable, Amount		$ 212	3,271		3,483
Net loss				(537,299)	(537,299)
Ending Balance, Shares at Sep. 30, 2018		10,109,347
Ending Balance, Amount at Sep. 30, 2018		$ 10,109	26,907,067	(32,986,812)	(6,069,636)
Beginning Balance, Shares at Jun. 30, 2018		9,039,347
Beginning Balance, Amount at Jun. 30, 2018		$ 9,039	26,856,647	(32,449,513)	(5,583,827)
Net loss					(1,298,646)
Ending Balance, Shares at Mar. 31, 2019	51	80,073,096
Ending Balance, Amount at Mar. 31, 2019	$ 1	$ 80,073	27,003,833	(33,748,159)	(6,664,252)
Beginning Balance, Shares at Sep. 30, 2018		10,109,347
Beginning Balance, Amount at Sep. 30, 2018		$ 10,109	26,907,067	(32,986,812)	(6,069,636)
Stock-based compensation, Amount			22,494		22,494
Conversion of short term convertible notes payable (principal), Shares		6,085,795
Conversion of short term convertible notes payable (principal), Amount		$ 6,084	15,738		21,822
Conversion of short term convertible notes payable (Interest), Shares		1,749,212
Conversion of short term convertible notes payable (Interest), Amount		$ 1,749	4,756		6,505
Conversion of financing fees related to conversion of short term convertible notes payable, Shares		3,896,442
Conversion of financing fees related to conversion of short term convertible notes payable, Amount		$ 3,897	6,598		10,495
Recognize cost associated with beneficial conversion feature			87,000		87,000
Net loss				(371,138)	(371,138)
Ending Balance, Shares at Dec. 31, 2018		21,840,796
Ending Balance, Amount at Dec. 31, 2018		$ 21,839	27,043,653	(33,357,950)	(6,292,458)
Stock-based compensation, Amount			22,494		22,494
Conversion of short term convertible notes payable (principal), Shares		38,483,531
Conversion of short term convertible notes payable (principal), Amount		$ 38,487	7,389		45,876
Conversion of short term convertible notes payable (Interest), Shares		5,854,094
Conversion of short term convertible notes payable (Interest), Amount		$ 5,855	1,802		7,657
Conversion of financing fees related to conversion of short term convertible notes payable, Shares		13,894,675
Conversion of financing fees related to conversion of short term convertible notes payable, Amount		$ 13,892	880		14,772
Preferred issued to executive employees, Shares	51
Preferred issued to executive employees, Amount	$ 1		14,999		14,999
Reclass insufficient authorized shares to derivative liability			(87,384)		(87,384)
Net loss				(390,209)	(390,209)
Ending Balance, Shares at Mar. 31, 2019	51	80,073,096
Ending Balance, Amount at Mar. 31, 2019	$ 1	$ 80,073	$ 27,003,833	$ (33,748,159)	$ (6,664,252)

UNAUDITED CONDENSED CONSOLIDA_2

UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	9 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Cash flows from operating activities:
Net loss	$ (1,298,646)	$ (4,499,065)
Adjustments to reconcile net loss to net cash used in operating activities:
Amortization of debt discount	219,316	28,754
Initial fair value of derivative liabilities included as interest expense	86,474	173,039
Change in derivative liabilities	37,579	(10,000)
Change in warrant liabilities	6,346	614
Loss from extinguishment of debt	15,000	3,102,134
Stock based compensation	89,187	115,179
Amortization of stock-based prepaid consulting compensation	9,375	186,447
Stock compensation for legal services		15,000
Changes in operating assets and liabilities:
Prepaid expenses	22,603	(21,326)
Accounts payable and other accrued expenses	240,763	104,106
Related party payables	76,295	64,392
Accrued payroll and taxes	160,147	56,195
Net cash used in operating activities	(335,561)	(684,531)
Cash flows from financing activities:
Proceeds from issuance of common stock and warrants		290,000
Proceeds from short term convertible notes to stockholders	75,000
Proceeds from short term convertible notes payable	87,500	253,250
Proceeds from short term notes payable to stockholders	127,500	175,000
Repayment of convertible notes		(15,000)
Net cash flows provided by financing activities:	290,000	703,250
Net change in cash and cash equivalents	(45,561)	18,719
Cash and cash equivalents- beginning of period	64,583	11,345
Cash and cash equivalents- end of period	19,022	30,064
Supplemental disclosure of non-cash activities:
Cash paid during the period for: Interest
Cash paid during the period for: Income tax
Supplemental disclosure of non-cash investing and financing activities:
Debt discount associated with convertible notes to stockholders beneficial conversion feature	87,000
Stock issued for prepaid services		35,000
Stock payable for prepaid services	7,500
Reclassification of accrued interest to notes payable	302,001
Conversion of short-term convertible notes payable	83,787
Conversion of short-term convertible notes payable interest	16,881
Conversion of short-term convertible notes payable fees	28,750
Embedded derivative recorded as debt discount	18,526	156,961
Derivative warrant liability recorded as debt discount	56,474	96,289
Debt issuance cost recorded as debt discount		18,650
Initial fair value of derivative liabilities due to insufficient authorized shares	$ 87,384

ORGANIZATION AND PRINCIPAL ACTI

ORGANIZATION AND PRINCIPAL ACTIVITIES	9 Months Ended
	Mar. 31, 2019
Notes to Financial Statements
NOTE 1 - ORGANIZATION AND PRINCIPAL ACTIVITIES	Description of Business Cerebain Biotech Corp. (“Cerebain Biotech”), was incorporated on December 18, 2007 under the laws of the State of Nevada. Cerebain Biotech is a “smaller reporting” biomedical company and through its wholly owned subsidiary, Cerebain Operating, Inc. (“Cerebain Operating” and together with Cerebain Biotech, the “Company”), the Company’s business revolves around the discovery of products for the treatment of Alzheimer’s disease utilizing Omentum. Cerebain Biotech plans to produce products that will include both a medical device solution as well as a synthetic drug solution. In December 2018, the Company announced that it had initiated a repositioning and review of its overall business and corporate strategic plan to maximize shareholder value. The corporate strategic initiatives to be developed and implemented include, but are not limited to, a potential sale or divesture of certain Company assets, rebranding and repositioning of the Company’s overall business plan and a comprehensive growth strategy focused on revenue generation through a comprehensive roll-up acquisition strategy of target qualified candidates in select industries. As part of the overall plan, the Company shall continue to pursue value-enhancing initiatives as a standalone company and a capital structure optimization policy that may involve potential financings or partnerships. To assist and advise on the development and implementation of the Company’s overall plan, it engaged NMS Consulting, Inc., (“NMS Consulting”) an independent, global focused management consulting, corporate strategy and strategic communications firm. In addition to a review of Cerebain’s business and corporate strategic initiatives, NMS Consulting will also advise Cerebain on a corporate restructuring and cost savings plan, under which it will identify opportunities to optimize operations, drive efficiency and reduce costs. Cerebain Operating, Inc. was incorporated on February 22, 2010, in the State of Nevada. On March 29, 2019, the Company filed a Certificate of Designation with the Secretary of State of the State of Nevada, which, among other things, established the designation, powers, rights, privileges, preferences and restrictions of the Series A Preferred Stock, $0.001 par value per share. Among other provisions, each one (1) share of the Series A Preferred Stock shall have voting rights equal to (x) 0.019607 multiplied by the total issued and outstanding shares of common stock of the Company eligible to vote at the time of the respective vote (the “Numerator”), divided by (y) 0.49, minus (z) the Numerator. For purposes of illustration only, if the total issued and outstanding shares of common stock of the Company eligible to vote at the time of the respective vote is 5,000,000, the voting rights of one share of the Series A Preferred Stock shall be equal to 102,036 (0.019607 x 5,000,000) / 0.49) – (0.019607 x 5,000,000) = 102,036) shares of common stock. Fifty-one (51) shares of Series A Preferred Stock were authorized and 26 shares of Series A Preferred Stock were issued to Eric Clemons, the Chief Executive Officer of the Company, and 25 shares of Series A Preferred Stock were issued to Wes Tate, the Chief Financial Officer of the Company. The Company evaluated the Series A Preferred Stock and concluded the fair value of the 51 Preferred A Stock was $15,000. The Company recognized selling, general and administrative expense of approximately $15,000 for the three and nine-month periods ended March 31, 2019. The Series A Preferred Stock has no dividend rights, no liquidation rights and no redemption rights, and was created primarily to be able to obtain a quorum and conduct business at shareholder meetings. All shares of the Series A Preferred Stock shall rank (i) senior to the Company’s common stock and any other class or series of capital stock of the Company hereafter created, (ii) pari passu with any class or series of capital stock of the Company hereafter created and specifically ranking, by its terms, on par with the Series A Preferred Stock and (iii) junior to any class or series of capital stock of the Company hereafter created specifically ranking, by its terms, senior to the Series A Preferred Stock, in each case as to distribution of assets upon liquidation, dissolution or winding up of the Company, whether voluntary or involuntary. The Majority Stockholders, on April 4, 2019, authorized the increase of the Company’s shares of authorized Common Stock from 249,000,000 to 1,250,000,000. This action was performed in part due to the Company’s insufficient authorized shares. On March 15, 2019 the Company performed an analysis on the excess shares using the Black-Scholes with the following inputs: exercise price $1.10; fair market value $0.0063; expected term eight months; Volatility 325.00%; and interest rate 2.52%. The excess shares were recorded as a derivative liability on the consolidated Balance Sheet at their fair value of approximately $87,000 on March 15, 2019. At each subsequent reporting date, the fair value of the excess shares derivative liability will be remeasured and changes in the fair value will be recorded in the consolidated Statements of Operations. At March 31, 2019, the excess shares derivative liability was re-measured at fair value that was determined to be approximately $45,000. During the nine months ended March 31, 2019, the Company recorded an approximate excess shares derivative liability re-valuation gain of approximately $42,000. The accompanying (a) condensed balance sheet at June 30, 2018 has been derived from audited statements and (b) unaudited interim condensed financial statements as of March 31, 2019 and for the three-month and nine month periods ended March 31, 2019 and 2018 have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information on the same basis as the annual financial statements and in the opinion of management, reflect all adjustments, which include only normal recurring adjustments, necessary to present fairly the Company's financial position, results of operations and cash flows for the periods shown. The results of operations for such periods are not necessarily indicative of the results expected for a full year or for any future period. They do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. Therefore, these financial statements should be read in conjunction with the Company's audited consolidated financial statements and notes thereto for the year ended June 30, 2018 included on Form 10-K filed with the Securities and Exchange Commission on September 26, 2018.

BASIS OF PRESENTATION

BASIS OF PRESENTATION	9 Months Ended
	Mar. 31, 2019
Notes to Financial Statements
NOTE 2 - BASIS OF PRESENTATION	The Company operates in one segment in accordance with accounting guidance Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 280, Segment Reporting Going Concern The accompanying unaudited condensed consolidated financial statements have been prepared assuming the Company will continue as a going concern, which contemplates, among other things, the realization of assets and satisfaction of liabilities in the normal course of business. The Company had an accumulated deficit of approximately $33,800,000 and $32,450,000 at March 31, 2019 and June 30, 2018, respectively, and had a net loss of approximately $1,300,000 and $4,500,000 for the nine-month periods ended March 31, 2019 and 2018, respectively, and net cash used in operating activities of approximately $336,000 and $685,000 for the nine-month periods ended March 31, 2019 and 2018, respectively, with no revenue earned since inception, limited cash of approximately $19,000 and $65,000 at March 31, 2019 and June 30, 2018, respectively, and a lack of operational history. These matters raise substantial doubt about the Company’s ability to continue as a going concern. While the Company is attempting to commence operations and generate revenues, the Company’s cash position may not be significant enough to support the Company’s daily operations. Management intends to raise additional funds by way of a public or private offering. Management believes that the actions presently being taken to further implement its business plan and generate revenues provide the opportunity for the Company to continue as a going concern. While the Company believes in the viability of its strategy to generate revenues and in its ability to raise additional funds, there can be no assurances to that effect. The ability of the Company to continue as a going concern is dependent upon the Company’s ability to further implement its business plan and generate revenues. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Mar. 31, 2019
Notes to Financial Statements
NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	This summary of significant accounting policies of the Company is presented to assist in understanding the Company’s condensed consolidated financial statements. The condensed consolidated financial statements and notes are representations of the Company’s management, which is responsible for their integrity and objectivity. These accounting policies conform to accounting principles generally accepted in the United States and have been consistently applied in the preparation of the condensed consolidated financial statements. Use of Estimates The preparation of these condensed consolidated financial statements in accordance with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the dates of the condensed consolidated financial statements and the reported amounts of net sales and expenses during the reported periods. Actual results may differ from those estimates and such differences may be material to the condensed consolidated financial statements. The more significant estimates and assumptions by management include among others: useful lives and residual values of long-lived assets, the valuation of equity instruments, the valuation of warrants and options, the valuation of derivative liabilities, and the valuation of warrant liabilities. Principles of Consolidation The accompanying condensed consolidated financial statements include the accounts of Cerebain Biotech and its wholly-owned subsidiary, Cerebain Operating. There are no material intercompany transactions. Advertising Costs Advertising costs are recorded as general and administrative expenses when they are incurred. Advertising costs charged to operations were approximately $900 and $8,600 for the nine-month periods ended March 31, 2019 and 2018, respectively. Research and Development The Company expenses the cost of research and development as incurred. Research and development costs charged to operations were approximately $32,000 and $205,000 for the nine-month periods ended March 31, 2019 and 2018, respectively, and are included in research and development costs in the accompanying condensed consolidated statements of operations (See Note 4). Debt The Company issues debt that may have separate warrants, conversion features, or no equity-linked attributes. Debt with Warrants In accordance with ASC Topic 470-20-25, when the Company issues debt with warrants, the Company treats the warrants as a debt discount, recorded as a contra-liability against the debt, and amortizes the balance over the life of the underlying debt as amortization of debt discount expense in the consolidated statements of operations. The offset to the contra-liability is recorded as additional paid in capital in the Company’s consolidated balance sheets if the warrants are not treated as a derivative. The Company determines the value of the warrants using the Black-Scholes Option Pricing Model (“Black-Scholes”) using the stock price on the date of issuance, the risk-free interest rate associated with the life of the debt, and the volatility of the stock. If the debt is retired early, the associated debt discount is then recognized immediately as amortization of debt discount expense in the consolidated statements of operations. The debt is treated as conventional debt. Convertible Debt – Derivative Treatment When the Company issues debt with a conversion feature, we must first assess whether the conversion feature meets the requirements to be treated as a derivative, as follows: a) one or more underlyings, typically the price of our common stock; b) one or more notional amounts or payment provisions or both, generally the number of shares upon conversion; c) no initial net investment, which typically excludes the amount borrowed; and d) net settlement provisions, which in the case of convertible debt generally means the stock received upon conversion can be readily sold for cash. An embedded equity-linked component that meets the definition of a derivative does not have to be separated from the host instrument if the component qualifies for the scope exception for certain contracts involving an issuer’s own equity. The scope exception applies if the contract is both a) indexed to its own stock; and b) classified in shareholders’ equity in its statement of financial position. If the conversion feature within convertible debt meets the requirements to be treated as a derivative, we estimate the fair value of the convertible debt derivative using the Monte Carlo Method upon the date of issuance. If the fair value of the convertible debt derivative is higher than the face value of the convertible debt, the excess is immediately recognized as interest expense. Otherwise, the fair value of the convertible debt derivative is recorded as a liability with an offsetting amount recorded as a debt discount, which offsets the carrying amount of the debt. The convertible debt derivative is revalued at the end of each reporting period and any change in fair value is recorded as a gain or loss in the statement of operations. The debt discount is amortized through interest expense over the life of the debt. Convertible Debt – Beneficial Conversion Feature If the conversion feature is not treated as a derivative, the Company assesses whether it is a beneficial conversion feature (“BCF”). A BCF exists if the conversion price of the convertible debt instrument is less than the stock price on the commitment date. This typically occurs when the conversion price is less than the fair value of the stock on the date the instrument was issued. The value of a BCF is equal to the intrinsic value of the feature, the difference between the conversion price and the common stock into which it is convertible and is recorded as additional paid in capital and as a debt discount in the consolidated balance sheets. The Company amortizes the balance over the life of the underlying debt as amortization of debt discount expense in the consolidated statements of operations. If the debt is retired early, the associated debt discount is then recognized immediately as amortization of debt discount expense in the consolidated statements of operations. If the conversion feature does not qualify for either the derivative treatment or as a BCF, the convertible debt is treated as traditional debt. Debt Modifications and Extinguishments When the Company modifies or extinguishes debt, it does so in accordance with ASC Topic 470-50-40, which requires modification to debt instruments to be evaluated to assess whether the modifications are considered “substantial modifications”. A substantial modification of terms shall be accounted for like an extinguishment. Based on the guidance relied upon and the analysis performed, if the Company believes the embedded conversion feature has no fair value on the date of issuance (measurement date) and the embedded conversion feature has no beneficial conversion feature, the embedded conversion feature does not meet the criteria in ASC 470-50-40-10 or 470-20-25 and the issuance of the convertible note payable is considered a modification, and not an extinguishment that would require the recognition of a gain or loss. If the Company determines the change in terms meet the criteria for substantial modification under ASC 470 it will treat the modification as extinguishment and recognize a loss from debt extinguishment. Fair Value of Financial Instruments The Company applies the provisions of accounting guidance, FASB Topic ASC 825 that requires all entities to disclose the fair value of financial instruments, both assets and liabilities recognized and not recognized on the balance sheet, for which it is practicable to estimate fair value, and defines fair value of a financial instrument as the amount at which the instrument could be exchanged in a current transaction between willing parties. As of March 31, 2019, and June 30, 2018, the fair value of cash, accounts payable, related party payables, and notes payable to stockholders approximated carrying value due to the short maturity of the instruments, quoted market prices or interest rates which fluctuate with market rates. Fair Value Measurements FASB ASC Topic 825 “Financial Instruments,” requires disclosure about fair value of financial instruments. The FASB ASC Topic 820, Fair Value Measurement The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in these securities. These inputs are summarized in the three broad levels listed below. • Level 1 – observable market inputs that are unadjusted quoted prices for identical assets or liabilities in active markets. • Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, credit risk, etc.). • Level 3 – significant unobservable inputs (including the Company’s own assumptions in determining the fair value of investments). The carrying value of financial assets and liabilities recorded at fair value is measured on a recurring or nonrecurring basis. Financial assets and liabilities measured on a non-recurring basis are those that are adjusted to fair value when a significant event occurs. The Company had no financial assets or liabilities carried and measured on a nonrecurring basis during the reporting periods. Financial assets and liabilities measured on a recurring basis are those that are adjusted to fair value each time a financial statement is prepared. The warrant and derivative liabilities are recognized at fair value on a recurring basis at March 31, 2019 and are Level 3 measurements. There have been no transfers between levels. Concentrations, Risks, and Uncertainties The Company is a startup company subject to the substantial business risks and uncertainties inherent to such an entity, including the potential risk of business failure. Basic and Diluted Earnings Per Share Basic earnings (loss) per common share is computed by dividing net earnings applicable to common stockholders by the weighted-average number of common shares outstanding during the period. Diluted earnings (loss) per common share is determined using the weighted-average number of common shares outstanding during the period, adjusted for the dilutive effect of common stock equivalents, using the treasury stock method, consisting of shares that might be issued upon exercise of common stock warrants and conversion of convertible notes. In periods where losses are reported, the weighted-average number of common stock outstanding excludes common shares equivalents, because their inclusion would be anti-dilutive. Basic earnings per share are based on the weighted-average number of shares of common stock outstanding. Diluted earnings per share is based on the weighted-average number of shares of common stock outstanding adjusted for the effects of common stock that may be issued as a result of the following types of potentially dilutive instruments: • Warrants, • Convertible notes, • Employee stock options, and • Other equity awards, which include long-term incentive awards. The FASB ASC Topic 260, “ Earnings Per Share” Diluted earnings per share are based on the assumption that all dilutive options were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method, options, warrants, and convertible notes are assumed to be exercised at the time of issuance, and as if funds obtained thereby were used to purchase common stock at the average market price during the period. Basic and diluted earnings (loss) per share are the same since the Company had net losses for all periods presented and including the additional potential common shares would have an anti-dilutive effect. Recent Accounting Pronouncements FASB ASU 2018-07 “Compensation – Stock Compensation (Topic 718) - In June 2018, the FASB issued ASU 2018-07. This update is intended to reduce cost and complexity and to improve financial reporting for share-based payments issued to non-employees (for example, service providers, external legal counsel, suppliers, etc.). The ASU expands the scope of Topic 718, Compensation—Stock Compensation, which currently only includes share-based payments issued to employees, to also include share-based payments issued to non-employees for goods and services. Consequently, the accounting for share-based payments to non-employees and employees will be substantially aligned. This standard will be effective for financial statements issued by public companies for the annual and interim periods beginning after December 15, 2018. Early adoption of the standard is permitted. The standard will be applied in a retrospective approach for each period presented. The Company currently does not plan to early adopt this guidance and is evaluating the potential impact of this guidance on the consolidated financial statements as well as transition methods.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Mar. 31, 2019
Notes to Financial Statements
NOTE 4 - COMMITMENTS AND CONTINGENCIES	Commitments In September 2012, the Company entered into an agreement with Sonos Models, Inc. (“Sonos”) to build up to three medical device prototypes to be used for testing. In April 2014, the Company entered into an addendum to the agreement with Sonos, which included a commitment by the Company to pay Sonos up to One Million Dollars ($1,000,000) cash, excluding stock-based compensation, for research and development costs. These costs will be recognized in research and development expense as costs are incurred. To date, Sonos has been issued 325,000 restricted shares of the Company’s common stock and the Company has paid approximately $320,000, of which $165,000 has been incurred towards the Company’s monetary commitment. To date, the results of the research suggest we have three options for implantable devices with a bias towards having them as non-invasive as possible. The options are comprised of two electro-stim types that have a multitude of variable test parameters that can be changed and modified externally as the testing facility conducts clinical trials on each patient. It is theorized that if a patient’s response to the Omentum stimulation is successful, the clinical facility should be able to perform various tests for the purpose of setting “markers” for the patient and then perform the standardized cognitive testing for Alzheimer’s patient with the intent of developing a testing matrix. It is our objective to test various methods and modalities with the aim of developing an enormous matrix of input to direct us to the best solution. Consulting Agreements Between December 2016 and March 2019, the Company entered into service and consulting agreements with various vendors to provide assistance to the Company in several areas including the marketing of its biomedical products upon the availability of the device, capital markets and marketing strategies, research and development, advertising services and assistance in the introduction of the Company to medical device testing organization and to facilitate access to doctors in numerous countries, including Poland, Uzbekistan and China. They were compensated an approximate aggregate 2,435,000 shares of the Company’s fully vested and non-forfeitable common stock. These contracts are for twelve to thirty-six months and may be renewed or extended for any period as may be agreed by the parties. As of March 31, 2019, the Company has extended some of the contracts for additional periods. Any of the parties may terminate their respective agreement by providing thirty (30) days written notice of such termination. The Company has recognized $30,000 in accounts payable which is in arrears with one contractual obligation and is in discussions with the consultant to renegotiate the terms of the contract. As these contracts are for a period of up to twelve months to thirty-six months, the Company recorded the original approximate $2,677,000 as the value of the shares issued to prepaid expense and is amortizing the expense associated with these issuances over a twelve to thirty-six-month period. For the nine-month periods ended March 31, 2019 and 2018, the Company amortized from prepaid expenses to selling, general and administrative expenses approximately $9,400 and $123,000, respectively, and for the three-month periods ended March 31, 2019 and 2018 approximately $4,400 and $20,000, respectively. The unamortized prepaid expenses of these contracts are approximately $2,500 and included in prepaid expenses on the consolidated balance sheets at March 31, 2019. In January 2016, the Company entered into a consulting agreement with an individual to provide business consulting services for a period of thirty-six months. Compensation for these business consulting services was 75,000 shares (included in the preceding paragraph) of the Company’s restricted common stock and fully vested and non-forfeitable options to acquire up to 300,000 shares of the Company’s common stock, at an exercise price of $0.33 per share. Fair Market Value of these options totaled approximately $83,500 and is being recognized ratably over the service period in selling, general and administrative expense. The options were valued using the Black-Scholes value option pricing model with the following inputs: volatility of 210%; risk-free interest rate of 1.07%; expected term of 3 years; and 0% dividend yield. For the nine-month periods ended March 31, 2019 and 2018, the Company amortized from prepaid expenses to selling, general and administrative expenses approximately $21,000, respectively, and for the three-month periods ended March 31, 2019 and 2018, approximately $7,000, respectively. The prepaid expense of this contract has been fully amortized as of March 31, 2019. In October 2016, the Company entered into a consulting agreement with an individual to provide business consulting services for a period of twelve months. Compensation for these business consulting services was 300,000 shares of the Company’s common stock and fully vested and non-forfeitable warrants to acquire up to 300,000 shares of our common stock, at an exercise price of $0.40 per share. Fair Market Value of these warrants totaled approximately $171,000 and is to be recognized ratably over the service period in selling, general and administrative expense. The warrants were valued using the Black-Scholes value option pricing model with the following inputs: volatility of 205%; risk-free interest rate of 0.63%; expected term of 1 year(s); and 0% dividend yield. For the three-month and nine-month periods ended March 31, 2019 and 2018, the Company amortized from prepaid expenses to selling, general and administrative expenses approximately $0 and $43,000, respectively. The prepaid expense of this contract has been fully amortized as of March 31, 2019. As of March 31, 2019, future maturities of prepaid expenses on value of shares and options issued for consulting are as follows: Fiscal year ended June 30, 2019 $ 2,500 Legal The Company is not involved in any legal matters arising in the normal course of business. While incapable of estimation, in the opinion of the management, the individual regulatory and legal matters in which it might involve in the future are not expected to have a material adverse effect on the Company’s financial position, results of operations, or cash flows.

PATENT RIGHTS

PATENT RIGHTS	9 Months Ended
	Mar. 31, 2019
Notes to Financial Statements
NOTE 5 - PATENT RIGHTS	On June 10, 2010, the Company entered into a Patent License Agreement under which the Company acquired the exclusive rights to certain intellectual property (patent pending) related to using Omentum for treating dementia conditions. Under the agreement, the Company has paid rights fees of $50,000 to Dr. Saini, and the Company issued Dr. Saini 825,000 shares of our common stock, valued at $6,600 (based on the fair market value on the date of grant) restricted in accordance with Rule 144. In addition, Dr. Saini will have the option to participate in the sale of equity by the Company in the future, up to ten percent (10%) of the money raised, in exchange for the shares issued under the pertinent section of the agreement. To date, Dr. Saini has not participated in any sales of equity. The Patent License agreement provides for a royalty payment of six (6) percent of the value of the net sales, as defined in the Patent License Agreement, generated from the sale of licensed products. The agreement also provides for yearly minimum royalty payments of $50,000 for the fourth (June 2014), fifth (June 2015), and sixth (June 2016) anniversary of the date of the agreement, and a yearly minimum royalty payment of $100,000 for each year thereafter during the term of the agreement. The Company has accrued the minimum patent royalty expense associated with the patent rights in accounts payable and is currently in arrears and in discussions to renegotiate the terms of the agreement. The term of the agreement shall continue until the patent in the intellectual property expires, unless terminated sooner under the provisions of the agreement, as defined. Legal fees pertaining to the patent are recorded as general and administrative expenses when they are incurred. Legal fees charged to operations were approximately $6,300 and $4,000 for the nine-month periods ended March 31, 2019 and 2018, respectively, and approximately $2,500 and $2,400 for the three-month periods ended March 31, 2019 and 2018, respectively. The Company recognized a patent royalty expense of approximately $75,000 for the nine-month period ended March 31, 2019 compared to $75,000 for the nine-month period ended March 31, 2018 and approximately $25,000 for the three-month period ended March 31, 2019 compared to $25,000 for the three-month period ended March 31, 2018. The accrued payable of $425,000 pertaining to the patent royalty expense at March 31, 2019 is included in related party payables.

NOTES PAYABLE

NOTES PAYABLE	9 Months Ended
	Mar. 31, 2019
Notes to Financial Statements
NOTE 6 - NOTES PAYABLE	Short Term Notes Payable to Stockholders Short Term Notes Payable to Stockholders March 31, 2019 June 30, 2018 Short term notes payable (A) $ 114,000 $ 114,000 Short term notes payable (B) 250,000 250,000 Short term notes payable (C) 100,000 100,000 Short term notes payable (D) 20,000 - Short term notes payable (E) 55,000 - Short term notes payable (F) 25,000 - Short term notes payable (G) 27,500 - Net total $ 591,500 $ 464,000 Short Term Notes Payable to Stockholders (A) In 2012, the Company issued a short term note payable to a non-affiliate stockholder. This note was scheduled to mature on December 31, 2013 and accrued interest at seven and one-half (7.5) percent per annum. In February 2016, the noteholder provided the Company with an additional $1,000. As of September 30, 2018, the outstanding balance of this note was $114,000. The Company is currently in default and is in discussions with the noteholder to restructure the terms of the note. (B) In 2017, the Company issued short term notes payable to a non-affiliate stockholder. These notes were scheduled to mature on June 30, 2017 and accrued no interest. In addition, the Company issued to the noteholder 50,000 shares of the Company’s common stock. In connection with the issuance of the 50,000 shares of common stock, the Company recorded the approximate $26,000 value of the shares issued as debt discount cost. The expense has been fully amortized at June 30, 2017. The Company used a recent sale of common stock to an independent third party for cash to determine the fair market value of the transaction. As of June 30, 2017, the outstanding principal balance was $175,000. On August 29, 2017, the Company issued a $250,000 amended and consolidated note payable. The amended and consolidated note payable is a consolidation of the $175,000 notes payable and an additional $75,000. The amended and consolidated promissory note was scheduled to mature on December 31, 2017 and accrues no interest. In addition, the Company issued to the noteholder 200,000 shares of the Company’s common stock. In connection with the issuance of the 200,000 shares of common stock, the Company recorded the approximate $30,000 value of the shares issued as loss on extinguishment of debt. The Company is currently in default and is in discussions with the noteholder to restructure the terms of the note. (C) In June 2018, the Company issued a short term note payable to a non-affiliate stockholder. The note matured on August 14, 2018 and accrues no interest. On August 14, 2018, the Company issued an addendum to the short term note payable. The addendum extended the maturity date of the note to December 31, 2018. The Company is currently in default and is in discussions with the noteholder to restructure the terms of the note. (D) In November 2018, the Company received $20,000 from a non-affiliate stockholder. The terms of this loan have not yet been negotiated. (E) On December 10, 2018 the Company entered into a Securities Purchase Agreement with an accredited investor pursuant to which the Company sold $55,000.00 in the principal amount of a Convertible Promissory for a purchase price of $50,000. On December 18, 2018, the Company received $50,000.00 in net proceeds from the sale of this note. This note and the shares of common stock of the Company issuable upon conversion of this note are collectively referred to herein as the “Securities.” This note will mature on March 10, 2019, less any amounts redeemed prior to the Maturity Date. This note bears interest at a rate of 10% per annum, subject to increase to the lesser of 18% per annum or the maximum rate permitted under applicable law upon the occurrence of an Event of Default. This note is convertible following 180 days from the Issuance Date, in whole or in part, at the option of the Purchaser into shares of common stock of the Company at a conversion price equal to $0.01. Upon an Event of Default, this note is convertible at 60% of the lowest traded price of the Company’s common stock during the twenty (20) trading days immediately prior to the Conversion Date, which is subject to adjustment for stock dividends, stock splits, combinations or similar events. The Company may prepay in cash any portion of the principal amount of this note and any accrued and unpaid interest in an amount equal to a range between 125% to 135% of the sum of the then outstanding principal amount of this note and interest. On April 14, 2019, the Company received notice from the accredited investor that pursuant to the terms of the Note, the Maturity Date of the Note was extended to June 10, 2019. (F) In January 2019, the Company received $25,000 from a non-affiliate stockholder. The terms of this loan have not yet been negotiated. (G) On February 8, 2019 the Company entered into a Securities Purchase Agreement with an accredited investor pursuant to which the Company sold $27,500.00 in the principal amount of a Convertible Promissory for a purchase price of $25,000. On March 8, 2018, the Company received $25,000.00 in net proceeds from the sale of this note. This note and the shares of common stock of the Company issuable upon conversion of this note are collectively referred to herein as the “Securities.” This note will mature on May 8, 2019, less any amounts redeemed prior to the Maturity Date. This note bears interest at a rate of 10% per annum, subject to increase to the lesser of 18% per annum or the maximum rate permitted under applicable law upon the occurrence of an Event of Default. This note is convertible following 180 days from the Issuance Date, in whole or in part, at the option of the Purchaser into shares of common stock of the Company at a conversion price equal to $0.01. Upon an Event of Default, this note is convertible at 60% of the lowest traded price of the Company’s common stock during the twenty (20) trading days immediately prior to the Conversion Date, which is subject to adjustment for stock dividends, stock splits, combinations or similar events. The Company may prepay in cash any portion of the principal amount of this note and any accrued and unpaid interest in an amount equal to a range between 125% to 135% of the sum of the then outstanding principal amount of this note and interest. The Company is currently in default and is in discussions with the noteholder to restructure the terms of the note. Short Term Convertible Notes Payable Short Term Convertible Notes Payable March 31, 2019 June 30, 2018 Crown Bridge Partners $ 61,832 $ 65,000 Auctus Fund #1 119,867 110,000 Auctus Fund #2 55,000 - EMA Financial 67,014 110,000 Subtotal 303,713 285,000 Debt discount (82,789 ) (177,094 ) Net total $ 220,924 $ 107,906 Crown Bridge Partners On March 2, 2018, the Company held an initial closing under a Securities Purchase Agreement (the Crown SPA ) and corresponding Convertible Promissory Note (the Crown Note ) with Crown Bridge Partners, LLC ( Crown ), dated February 14, 2018. Under the Crown SPA and the Crown Note, Crown agreed to loan the Company up to One Hundred Thirty Thousand Dollars ($130,000) in tranches. The Crown Note has an original issuance discount of $13,000, meaning the maximum amount the Company can borrow under the Crown Note is $117,000. The initial tranche on March 2, 2018 was $65,000, with the Company receiving $58,500 and the remaining $6,500 being retained by Crown as the portion of the prorated original issuance discount. The Crown Note bears interest at Ten Percent (10%) per annum and matures twelve (12) months from the date of each tranche, with the initial tranche of $65,000 maturing on March 2, 2019. Under the terms of the Crown Note, Crown has the right, at any time to convert all or part of the amounts due to it under the Crown Note into shares of the Company s common stock. The conversion price is 55% of the lesser of (a) the lowest traded price or (b) the lowest closing bid price, of the Company s common stock on the twenty-five trading days prior to the conversion date. However, Crown may not convert the amounts due under the Note into shares of the Company s common stock if such conversion would cause it to own more than 4.99% of the Company s then-outstanding common stock, which limitation may be waived by Crown upon 61 days-notice. In the event the Company defaults under the terms of the Crown Note, the Company owes 150% of the principal amount then due under the Note, plus any unpaid interest, immediately. The Company may prepay the amounts loaned to the Company under the Crown Note as follows: (i) during the initial 60-day period after each tranche, at 125% multiplied by the amount the Company is prepaying, (ii) during the 61st through 120 days after each tranche, at 135% multiplied by the amount the Company is prepaying, and (iii) during the 121st through 180th day after each tranche, at 150% multiplied by the amount the Company is prepaying. Any prepayments are subject to Crown s written acceptance of such prepayment. After 180 days from each tranche the Company cannot prepay that tranche in cash. The Company entered into Amendment #1 to the Convertible Promissory Note Issued on February 14, 2018 with Crown, whereby the maturity date of the February 2018 Crown Note was extended to September 2, 2019. On March, 1, 2019, pursuant to the Securities Purchase Agreement dated March 2, 2018 by and between the Company and Crown, as previously disclosed in the Current Report on Form 8-K filed with the SEC on March 13, 2018, Crown (i) purchased a second tranche in the principal amount of $32,500.00 under the Crown Note and (ii) was issued a common stock purchase warrant to purchase 650,000 shares of the Company’s Common Stock. The maturity date of the Crown Note is twelve (12) months from the Crown Issuance Date. The Crown Note bears interest at 10% interest per annum. If the Company prepays the Crown Note from the Crown Issuance Date through the 180th day following the Crown Issuance Date, the Company must pay all of the principal and interest with a prepayment penalty ranging from 125% to 150%. After the 180th day following the Crown Issuance Date the Company shall have no further right of prepayment. Crown may, at any time following the Crown Issuance Date, convert all or any part of the outstanding principal of the Crown Note into shares of Common Stock of the Company at a price per share equal to 55% of the lowest trading price of the Common Stock (as defined in the Crown Note) during the 25 trading day period ending on the last complete trading day prior to the date of conversion. Crown may not convert the Crown Note to the extent that such conversion would result in beneficial ownership by Crown and its affiliates of more than 4.99% of the issued and outstanding Common Stock. The Crown Warrant may be exercised at any time on or after the Crown Issuance Date and on or prior to the close of business on the five (5) year anniversary of the Crown Issuance Date. The exercise price per share of Common Stock under the Crown Warrant shall be $0.05 per share, subject to adjustment. While the Crown Note is outstanding, if the Company enters into a Section 3(a)(9) transaction, as defined by the Securities Act, (including but not limited to the issuance of new promissory notes or of a replacement promissory note), or Section 3(a)(10) transaction, as defined by the Securities Act, in which any third party has the right to convert monies owed to that third party (or receive shares pursuant to a settlement or otherwise) at a discount to market greater than the Variable Conversion Price in effect at that time (prior to all other applicable adjustments in the Crown Note), then the Variable Conversion Price shall be automatically adjusted to such greater discount percentage (prior to all applicable adjustments in this Crown Note) until this Crown Note is no longer outstanding. Each time, while this Crown Note is outstanding, the Company enters into a Section 3(a)(9) transaction, as defined by the Securities Act, (including but not limited to the issuance of new promissory notes or of a replacement promissory note), or Section 3(a)(10) transaction, as defined by the Securities Act, in which any third party has a look back period greater than the look back period in effect under the Crown Note at that time, then the Holder’s look back period shall automatically be adjusted to such greater number of days until this Crown Note is no longer outstanding. In addition to issuing the Crown Note, the Company agreed to issue Crown a warrant with each funding tranche. Each warrant will be for the purchase of shares of the Company’s common stock equal to 75% of the face value of the tranche divided by $0.50. For example, the first tranche of funding is for $65,000, the Company issued a warrant to purchase 97,500 shares of the Company’s common stock at an exercise price of $0.50 per share. The warrant contains a cashless exercise provision. Each warrant expires five years after the date of issuance. In connection with the warrants, if the Company, at any time from and after the Issuance Date, shall sell or grant any option to purchase, or sell or grant any right to reprice, or otherwise dispose of, sell or issue (or announce any offer, sale, grant or any option to purchase or other disposition of) any Common Stock or Common Stock Equivalents entitling any person, firm, association or entity to acquire shares of Common Stock at an effective price per share less than the then-current Exercise Price (including but not limited to under the Note), as adjusted hereunder (any such issuance being referred to as a “Dilutive Issuance,” subject, however, to the provision contained in the further definition of the term “Dilutive Issuance” contained in the agreement, then (a) the Exercise Price shall be adjusted to match the lowest price per share at which such Common Stock was issued or may be acquired pursuant to such Common Stock Equivalents in the Dilutive Issuance, and (b) the number of Warrant Shares issuable upon the exercise of this Warrant shall be increased to an amount equal to the number of Warrant Shares Holder could purchase hereunder for the aggregate Exercise Price, as reduced pursuant to the agreement, equal to the aggregate Exercise Price payable immediately prior to such reduction in Exercise Price. Additionally, following the occurrence of a Dilutive Issuance, all references in this Warrant to “Warrant Shares” shall be a reference to the Warrant Shares as increased pursuant to the agreement, and all references in this Warrant to “Exercise Price” shall be a reference to the Exercise Price as reduced pursuant to the agreement, as the same may occur from time to time hereunder. Subject to the anti-dilution provision, the Company adjusted Crown’s warrant to purchase 243,750 shares of our common stock at an exercise price of $0.20 per share as a result of the warrant issued to Auctus Fund on March 8, 2018. Subject to the anti-dilution provision, the Company adjusted Crown’s warrant to purchase 975,000 shares of our common stock at an exercise price of $0.05 per share as a result of the warrant issued to Crown on March 1, 2019. During the nine months ended March 31, 2019, Crown elected to convert approximately $46,000, consisting of approximately $36,000 of principal and approximately $10,000 of fees, into approximately 32,520,000 shares of the Company’s common stock. Auctus Fund #1 On March 8, 2018, the Company closed a Securities Purchase Agreement (the “Auctus SPA”) and corresponding Convertible Promissory Note (the “Auctus Note”) with Auctus Fund, LLC (“Auctus”), dated February 15, 2018. Under the Auctus SPA and the Auctus Note, Auctus agreed to loan the Company One Hundred Ten Thousand Dollars ($110,000). The Auctus Note bears interest at Ten Percent (10%) per annum and matured on November 15, 2018. Under the terms of the Auctus Note, Auctus has the right, at any time to convert all or part of the amounts due to it under the Auctus Note into shares of the Company’s common stock. The conversion price is 55% multiplied by the lowest Trading Price during the twenty-five trading days prior to the conversion date. However, Auctus may not convert the amounts due under the Auctus Note into shares of the Company’s common stock if such conversion would cause it to own more than 4.99% of the Company’s then-outstanding common stock, which limitation may be waived by Auctus upon 61 days-notice. In the event the Company defaults under the terms of the Auctus Note, the Company owes 150% of the principal amount then due under the Auctus Note, plus any unpaid interest, immediately. The Company may prepay the amounts loaned to the Company under the Auctus Note as follows: (i) during the initial 90-day period after the issue date, at 135% multiplied by the amount the Company is prepaying, and (ii) from the 91st through the 180th day after the issue date, at 150% multiplied by the amount the Company is prepaying. Any prepayments are subject to Auctus’ written acceptance of such prepayment. In the event the Company defaults under the terms of the Crown Note, the Company owes 150% of the principal amount then due under the Note, plus any unpaid interest, immediately. After 180 days from the issue date the Company cannot prepay the Auctus Note. On March 26, 2019, the Company entered into Amendment #1 to the Convertible Promissory Note Issued on February 15, 2018 with Auctus, whereby the maturity date of the February 2018 Auctus Note was extended to September 26, 2019. While this Auctus Note is outstanding, if the Company enters into a Section 3(a)(9) transaction, as defined by the Securities Act, (including but not limited to the issuance of new promissory notes or of a replacement promissory note), or Section 3(a)(10) transaction, as defined by the Securities Act, in which any third party has the right to convert monies owed to that third party (or receive shares pursuant to a settlement or otherwise) at a discount to market greater than the Variable Conversion Price in effect at that time (prior to all other applicable adjustments in the Note), then the Variable Conversion Price shall be automatically adjusted to such greater discount percentage (prior to all applicable adjustments in this Auctus Note) until this Auctus Note is no longer outstanding. Each time, while this Auctus Note is outstanding, the Company enters into a Section 3(a)(9) transaction, as defined by the Securities Act, (including but not limited to the issuance of new promissory notes or of a replacement promissory note), or Section 3(a)(10) transaction, as defined by the Securities Act, in which any third party has a look back period greater than the look back period in effect under the Auctus Note at that time, then the Holder’s look back period shall automatically be adjusted to such greater number of days until this Note is no longer outstanding. In addition to issuing the Auctus Note, the Company agreed to issue Auctus a warrant to acquire 275,000 shares of the Company’s common stock at an exercise price of $0.20 per share. The warrant contains a cashless exercise provision and expires on the fifth anniversary of the warrant. In connection with the warrants, if the Company, at any time from and after the Issuance Date, shall sell or grant any option to purchase, or sell or grant any right to reprice, or otherwise dispose of, sell or issue (or announce any offer, sale, grant or any option to purchase or other disposition of) any Common Stock or Common Stock Equivalents entitling any person, firm, association or entity to acquire shares of Common Stock at an effective price per share less than the then-current Exercise Price (including but not limited to under the Note), as adjusted hereunder (any such issuance being referred to as a “Dilutive Issuance,” subject, however, to the proviso contained in the further definition of the term “Dilutive Issuance” contained in the agreement, then (a) the Exercise Price shall be adjusted to match the lowest price per share at which such Common Stock was issued or may be acquired pursuant to such Common Stock Equivalents in the Dilutive Issuance, and (b) the number of Warrant Shares issuable upon the exercise of this Warrant shall be increased to an amount equal to the number of Warrant Shares Holder could purchase hereunder for the aggregate Exercise Price, as reduced pursuant to the agreement, equal to the aggregate Exercise Price payable immediately prior to such reduction in Exercise Price. Additionally, following the occurrence of a Dilutive Issuance, all references in this Warrant to “Warrant Shares” shall be a reference to the Warrant Shares as increased pursuant to the agreement, and all references in this Warrant to “Exercise Price” shall be a reference to the Exercise Price as reduced pursuant to the agreement, as the same may occur from time to time hereunder. Subject to the anti-dilution provision, the Company adjusted Auctus’ warrant to purchase 1,100,000 shares of our common stock at an exercise price of $0.05 per share as a result of the warrant issued to Crown on March 1, 2019. During the nine months ended March 31, 2019, Auctus elected to convert approximately $28,000, consisting of approximately $5,100 of principal, approximately $16,900 of interest, and approximately $6,000 of fees, into approximately 13,480,000 shares of the Company’s common stock. Auctus Fund #2 On March 15, 2019, Cerebain Biotech Corp., a Nevada corporation (the “Company”), entered into a Securities Purchase Agreement with Auctus, whereby Auctus purchased from the Company (i) a Convertible Promissory Note of the Company, in the original principal amount of $110,000.00 (“Auctus Note 2”), purchased in accordance with the Tranche Payments (as defined below); and (ii) a common stock purchase warrant for the purchase of 1,100,000 shares of the Company’s common stock, par value $0.001 per share. The Auctus Note 2 was issued on March 15, 2019 and the purchase price is to be paid to the Company in, whereby the first tranche purchase price is $55,000.00. The maturity date for each tranche funded is nine months from the effective date of the purchase. Auctus Note 2 bears interest at 12% per annum. In the event the Company prepays Auctus Note 1 from the Auctus Note 2 Issuance Date through the 180th day following the Auctus Note Issuance Date, the Company must pay all of the principal and interest with a prepayment penalty ranging from 135% to 150%. After the 180th day following the Auctus Note 2 Issuance Date the Company has no further right of prepayment. Auctus may, at any time following the Auctus Note 2 Issuance Date, convert all or any part of the outstanding principal of the Auctus Note 2 into shares of Common Stock of the Company at a price per share equal to 55% of the lowest trading price of the Common Stock during the 25 trading day period ending on the last complete trading day prior to the date of conversion. Auctus may not convert Auctus Note 2 to the extent that such conversion would result in beneficial ownership by Auctus and its affiliates of more than 4.99% of the issued and outstanding Common Stock. Auctus Note 2 contains certain representations, warranties, covenants and events of default including if the Common Stock is suspended or delisted for trading, or if the Company is delinquent in its periodic report filings with the Securities and Exchange Commission. In the event of a default, at the option of Auctus, it may consider Auctus Note 2 immediately due and payable. The Auctus Warrant was issued on March 15, 2019. The Auctus Warrant may be exercised at any time on or after the Auctus Warrant Issuance Date and on or prior to the close of business on the five (5) year anniversary of the Auctus Warrant Issuance Date. The exercise price per share of Common Stock under the Auctus Warrant shall be $0.05 per share, subject to adjustment. EMA Financial On March 8, 2018, the Company closed a Securities Purchase Agreement (the “EMA SPA”) and corresponding Convertible Promissory Note (the “EMA Note”) with EMA Financial, LLC (“EMA”), dated February 12, 2018. Under the EMA SPA and the EMA Note, EMA agreed to loan the Company One Hundred Ten Thousand Dollars ($110,000). The EMA Note has an original issuance discount of $6,600, meaning the amount the Company received at funding was $103,400. The EMA Note bears interest at Ten Percent (10%) per annum and matured on February 12, 2019. On January 15, 2019, the Company received notice from EMA that pursuant to the terms of the Note, the Maturity Date of the Note was extended to February 12, 2020. Under the terms of the EMA Note, EMA has the right, at any time to convert all or part of the amounts due to it under the EMA Note into shares of the Company’s common stock. The conversion price is 55% multiplied by the lowest Trading Price during the twenty trading days prior to the conversion date. However, EMA may not convert the amounts due under the Note into shares of the Company’s common stock if such conversion would cause it to own more than 4.99% of the Company’s then-outstanding common stock, which limitation may be waived by EMA upon 61 days-notice. In the event the Company defaults under the terms of the EMA Note, the Company owes 150% of the principal amount then due under the Note, plus any unpaid interest, immediately. The Company may prepay the amounts loaned to the Company under the EMA Note as follows: (i) during the initial 90-day period after the issue date, at 135% multiplied by the amount the Company is prepaying, and (ii) from the 91st through the 180th day after the issue date, at 150% multiplied by the amount the Company is prepaying. Any prepayments are subject to EMA’s written acceptance of such prepayment. After 180 days from the issue date the Company cannot prepay the EMA Note. While this EMA Note is outstanding, if the Company enters into a Section 3(a)(9) transaction, as defined by the Securities Act, (including but not limited to the issuance of new promissory notes or of a replacement promissory note), or Section 3(a)(10) transaction, as defined by the Securities Act, in which any third party has the right to convert monies owed to that third party (or receive shares pursuant to a settlement or otherwise) at a discount to market greater than the Variable Conversion Price in effect at that time (prior to all other applicable adjustments in the Note), then the Variable Conversion Price shall be automatically adjusted to such greater discount percentage (prior to all applicable adjustments in this Note) until this EMA Note is no longer outstanding. Each time, while this Note is outstanding, the Company enters into a Section 3(a)(9) transaction, as defined by the Securities Act, (including but not limited to the issuance of new promissory notes or of a replacement promissory note), or Section 3(a)(10) transaction, as defined by the Securities Act, in which any 3rd party has a look back period greater than the look back period in effect under the EMA Note at that time, then the Holder’s look back period shall automatically be adjusted to such greater number of days until this EMA Note is no longer outstanding. In addition to issuing the EMA Note, the Company agreed to issue EMA a warrant to acquire 137,500 shares of the Company’s common stock at an exercise price of $0.40 per share. The warrant contains a cashless exercise provision and expires on the fifth anniversary of the warrant. In connection with the warrants, if the Company, at any time from and after the Issuance Date, shall sell or grant any option to purchase, or sell or grant any right to reprice, or otherwise dispose of, sell or issue (or announce any offer, sale, grant or any option to purchase or other disposition of) any Common Stock or Common Stock Equivalents entitling any person, firm, association or entity to acquire shares of Common Stock at an effective price per share less than the then-current Exercise Price (including but not limited to under the Note), as adjusted hereunder (any such issuance being referred to as a “Dilutive Issuance,” subject, however, to the proviso contained in the further definition of the term “Dilutive Issuance” contained in the agreement, then (a) the Exercise Price shall be adjusted to match the lowest price per share at which such Common Stock was issued or may be acquired pursuant to such Common Stock Equivalents in the Dilutive Issuance, and (b) the number of Warrant Shares issuable upon the exercise of this Warrant shall be increased to an amount equal to the number of Warrant Shares Holder could purchase hereunder for the aggregate Exercise Price, as reduced pursuant to the agreement, equal to the aggregate Exercise Price payable immediately prior to such reduction in Exercise Price. Additionally, following the occurrence of a Dilutive Issuance, all references in this Warrant to “Warrant Shares” shall be a reference to the Warrant Shares as increased pursuant to the agreement, and all references in this Warrant to “Exercise Price” shall be a reference to the Exercise Price as reduced pursuant to the agreement, as the same may occur from time to time hereunder. Subject to the anti-dilution provision and as a result of the warrant issued to Auctus detailed above, the Company issued EMA an amended and restated warrant to purchase 275,000 shares of our common stock at an exercise price of $0.20 per share, which replaced the original warrant issued to EMA. Subject to the anti-dilution provision, the Company adjusted EMA’s warrant to purchase 1,100,000 shares of our common stock at an exercise price of $0.05 per share as a result of the warrant issued to Crown on March 1, 2019. During the nine months ended March 31, 2019, EMA elected to convert approximately $55,700, consisting of approximately $43,000 of principal and approximately $12,700 of fees, into approximately 25,000,000 shares of the Company’s common stock. Short Term Convertible Notes Conversion The Company evaluated the notes under the requirements of ASC 480 “Distinguishing Liabilities From Equity” (ASC 480) and concluded that the notes do not fall within the scope of ASC 480. The Company next evaluated the notes under the requirements of ASC 815 “Derivatives and Hedging”. Due to the existence of the anti-dilution provisions which reduces the purchaser’s conversion price in the event of subsequent dilutive issuances by the Company below the purchaser’s conversion price as described above, the conversion features do not meet the definition of “indexed to” the Company’s stock, and the scope exception to ASC 815’s derivative accounting provisions does not apply. The Company also evaluated the embedded derivative criteria in ASC 815, and concluded that the conversion features meet all the embedded derivative criteria in ASC 815, and therefore, the conversion features meet the definition of an embedded derivative that should be separated from the notes and accounted for as a derivative liability. The embedded derivatives were recorded as a derivative liability on the consolidated Balance Sheet at their fair value of approximately $435,000 at the date of issuance. At each subsequent reporting date, the fair value of the embedded derivative liabilities will be remeasured and changes in the fair value will be recorded in the consolidated Statements of Operations. At March 31, 2018, the embedded derivatives were re-measured at fair value that was determined to be approximately $470,000. During the nine months ended March 31, 2019 and 2018, the Company recorded an approximate embedded derivative re-valuation loss of $80,000 and a gain of $10,000, respectively. The fair value of the embedded derivative liabilities is measured in accordance with ASC 820 “Fair Value Measurement”, using the “Monte Carlo Method” modeling incorporating the following inputs: Crown Bridge Partners (Original Note) March 31, 2019 June 30, 2018 Expected dividend yield 0.00 % 0.00 % Expected stock-price volatility 300.0 % 260.0 % Risk-free interest rate 2.44 % 2.22 % Stock price $ 0.0037 $ 0.14 Conversion price $ 0.0014 $ 0.07 Crown Bridge Partners (Tranche #2) March 31, 2019 Expected dividend yield 0.00 % Expected stock-price volatility 345.0 % Risk-free interest rate 2.44 % Stock price $ 0.0037 Conversion price $ 0.0012 Auctus Fund #1 March 31, 2019 June 30, 2018 Expected dividend yield 0.00 % 0.00 % Expected stock-price volatility 295.0 % 100.0 % Risk-free interest rate 2.44 % 2.02 % Stock price $ 0.0037 $ 0.14 Conversion price $ 0.0012 $ 0.07 Auctus Fund #2 March 31, 2019 March 15, 2019 Expected dividend yield 0.00 % 0.00 % Expected stock-price volatility 330.0 % 325.0 % Risk-free in

STOCK TRANSACTIONS

STOCK TRANSACTIONS	9 Months Ended
	Mar. 31, 2019
Notes to Financial Statements
NOTE 7 - STOCK TRANSACTIONS	During the nine months ended March 31, 2019, Crown elected to convert approximately $46,000, consisting of approximately $36,000 of principal and approximately $10,000 of fees, into approximately 32,520,000 shares of the Company’s common stock. During the nine months ended March 31, 2019, Auctus elected to convert approximately $28,000, consisting of approximately $5,100 of principal, approximately $16,900 of interest, and approximately $6,000 of fees, into approximately 13,480,000 shares of the Company’s common stock. During the nine months ended March 31, 2019, EMA elected to convert approximately $55,700, consisting of approximately $43,000 of principal and approximately $12,700 of fees, into approximately 25,000,000 shares of the Company’s common stock.

OPTIONS AND WARRANTS

OPTIONS AND WARRANTS	9 Months Ended
	Mar. 31, 2019
Notes to Financial Statements
NOTE 8 - OPTIONS AND WARRANTS	Options For the nine-month period ended March 31, 2019, the Company had 910,000 options outstanding at a weighted average exercise price of $1.45 and a weighted average contractual life of 6.26 years, with 826,000 options exercisable at a weighted average exercise price of $1.52 and a weighted average contractual life of 5.88 years and an intrinsic value of $0. For the nine-month period ended March 31, 2019 and 2018, the Company recognized an expense of approximately $74,000 and $48,000, respectively, and for the three-month period ended March 31, 2019 and 2018, the Company recognized an expense of approximately $22,500 and $16,000, respectively, which was recorded as compensation expense. The compensation expected to be recognized in selling, general and administrative expense in future years is approximately $47,000. Warrants For the nine-month period ended March 31, 2019, the Company had approximately 7,400,000 warrants outstanding at an average exercise price of $0.37. For the nine-month period ended March 31, 2019 and 2018, the Company recognized an amortization of debt discount related to warrants expense of approximately $2,400 and $3,900, respectively, and for the three-month period ended March 31, 2019 and 2018, the Company recognized an amortization of debt discount related to warrants expense of approximately $600 and $1,300, respectively. The approximate expense expected to be recognized in future years is $2,200.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	9 Months Ended
	Mar. 31, 2019
Notes to Financial Statements
NOTE 9 - RELATED PARTY TRANSACTIONS	Employment Agreements Eric Clemons On October 1, 2014, the Company entered into an addendum to the employment agreement. The addendum had no accounting impact on the prior agreement. Terms of the addendum include included the following: • Extension of employment until December 31, 2017. The Company has entered into a new employment agreement with Mr. Clemons. • Annual salary of One Hundred Ninety-Five Thousand Dollars ($195,000). • Option to acquire up to 100,000 shares of the Company’s common stock under the Company’s 2014 Omnibus Stock Grant and Option Plan at an exercise price of $1.20 per share subject to a vesting schedule. Fair Market Value of these options totaled approximately $112,000 and is recognized ratably over the vesting period in selling, general and administrative expense. The options were valued using the Black-Scholes value option pricing model with the following inputs: volatility of 262%; risk-free interest rate of 1.69%; expected term of 5 years; and 0% dividend yield. As of March 31, 2019, 100,000 options to purchase the Company’s common stock have vested. The Company recognized selling, general and administrative expense of approximately $4,500 and $16,500 for the nine-month periods ended March 31, 2019 and 2018, respectively, and approximately $0 and $4,500 for the three-month periods ended March 31, 2019 and 2018, respectively. The selling, general and administrative expense has been fully amortized. On March 1, 2015, the Company entered into an addendum to the employment agreement. The addendum had no accounting impact on the prior agreements. Terms of the addendum included a cash placement bonus equal to an amount up to 10% of the aggregate purchase price paid by each purchaser of the Company’s Securities and Convertible Debt, where the purchaser of said Securities and Convertible Debt has been directly introduced to the Company by Mr. Clemons. For the six-month and three-month periods ended December 31, 2018 and 2017, no cash placement bonus was earned, respectively. On September 29, 2016, the Company issued Mr. Clemons an option to acquire up to 105,000 shares of the Company’s common stock under the Company’s 2014 Omnibus Stock Grant and Option Plan at an exercise price of $0.75 per share subject to a vesting schedule. Fair Market Value of these options totaled approximately $78,000 and is recognized ratably over the vesting period in selling, general and administrative expense. The options were valued using the Black-Scholes value option pricing model with the following inputs: volatility of 206%; risk-free interest rate of 1.13%; expected term of 6 years; and 0% dividend yield. As of March 31, 2019, 63,000 options to purchase the Company’s common stock have vested. The Company recognized selling, general and administrative expense of approximately $12,000 for the nine-month periods ended March 31, 2019 and 2018, respectively, and approximately $4,000 for the three-month periods ended March 31, 2019 and 2018, respectively. The compensation expected to be recognized in selling, general and administrative expense in future years is approximately $19,500. On February 1, 2018, the Company entered into a new employment agreement with Eric Clemons, an officer of the company. The new contract had no accounting impact on the prior agreements. Terms of the agreement include the following: • Term of contract thirty-six months. • Annual salary of Two Hundred Fourteen Thousand Five Hundred Dollars ($214,500). • Stock grant of 800,000 of the Company’s common restricted shares for services provided to the Company. Stock grant is subject to a vesting schedule, of which 160,000 shares of stock were issued on February 1, 2018. The aggregate fair market value of these shares was approximately $144,000 as the fair market value of the stock was $0.18 per share. The Company used recent sales of stock to determine the fair market value of this transaction. As of March 31, 2019, 160,000 shares have been issued. The Company recognized selling, general and administrative expense of approximately $22,000 and $34,000 for the nine-month periods ended March 31, 2019 and 2018, respectively, and selling, general and administrative expense of approximately $7,300 and $34,000 for the three-month periods ended March 31, 2019 and 2018, respectively. The compensation expected to be recognized in selling, general and administrative expense in future years is approximately $81,000. To date, employee and employer payroll taxes have been accrued but have not been remitted to taxing authorities by the Company for cash compensation paid. As a result, the Company is liable such payroll taxes and any related penalties and interest. Wesley Tate On October 1, 2014, the Company entered into an addendum to the employment agreement. The addendum had no accounting impact on the prior agreements. Terms of the agreement included the following: • Extension of employment until June 15, 2017. The Company has entered into a new employment agreement with Mr. Tate. • Annual salary of One Hundred Fifty-Six Thousand Dollars ($156,000). • Option to acquire up to 50,000 shares of the Company’s common stock under the Company’s 2014 Omnibus Stock Grant and Option Plan at an exercise price of $1.20 per share subject to a vesting schedule. Fair Market Value of these options totaled approximately $56,000 and is recognized ratably over the vesting period in selling, general and administrative expense. The options were valued using the Black-Scholes value option pricing model with the following inputs: volatility of 262%; risk-free interest rate of 1.69%; expected term of 5 years; and 0% dividend yield. As of March 31, 2019, 50,000 options to purchase the Company’s common stock have vested. The Company recognized selling, general and administrative expense of approximately $2,200 and $8,000 for the nine-month periods ended March 31, 2019 and 2018, respectively, and approximately $0 and $2700 for the three-month periods ended March 31, 2019 and 2018, respectively. The selling, general and administrative expense has been fully amortized. On September 29, 2016, the Company issued Mr. Tate an option to acquire up to 105,000 shares of the Company’s common stock under the Company’s 2014 Omnibus Stock Grant and Option Plan at an exercise price of $0.75 per share subject to a vesting schedule. Fair Market Value of these options totaled approximately $78,000 and is recognized ratably over the vesting period in selling, general and administrative expense. The options were valued using the Black-Scholes value option pricing model with the following inputs: volatility of 206%; risk-free interest rate of 1.13%; expected term of 6 years; and 0% dividend yield. As of March 31, 2019, 63,000 options to purchase the Company’s common stock have vested. The Company recognized selling, general and administrative expense of approximately $12,000 for the nine-month periods ended March 31, 2019 and 2018, respectively, and approximately $4,000 for the three-month periods ended March 31, 2019 and 2018, respectively. The compensation expected to be recognized in selling, general and administrative expense in future years is approximately $19,500. On February 1, 2018, the Company entered into a new employment agreement with Wesley Tate, an officer of the company. The new contract had no accounting impact on the prior agreements. Terms of the agreement include the following: • Term of contract thirty-six months. • Annual salary of One Hundred Eighty-Seven Thousand Two Hundred Dollars ($187,200). • Stock grant of 800,000 of the Company’s common restricted shares for services provided to the Company. Stock grant is subject to a vesting schedule of which 160,000 shares of stock were issued on February 1, 2018. The aggregate fair market value of these shares was approximately $144,000 as the fair market value of the stock was $0.18 per share. The Company used recent sales of stock to determine the fair market value of this transaction. As of March 31, 2019, 160,000 shares have been issued. The Company recognized selling, general and administrative expense of approximately $22,000 and $34,000 for the nine-month periods ended March 31, 2019 and 2018, respectively, and selling, general and administrative expense of approximately $7,300 and $34,000 for the three-month periods ended March 31, 2019 and 2018, respectively. The compensation expected to be recognized in selling, general and administrative expense in future years is approximately $81,000. To date, employee and employer payroll taxes have been accrued but have not been remitted to taxing authorities by the Company for cash compensation paid. As a result, the Company is liable such payroll taxes and any related penalties and interest.

EARNINGS PER SHARE

EARNINGS PER SHARE	9 Months Ended
	Mar. 31, 2019
Notes to Financial Statements
NOTE 10 - EARNINGS PER SHARE	FASB ASC Topic 260, Earnings Per Share Basic earnings (loss) per share are computed by dividing income available to common shareholders by the weighted-average number of common shares outstanding during the period. Diluted earnings (loss) per share is computed similar to basic earnings per share except that the denominator is increased to include the number of additional common shares that would have been outstanding if the potential common shares had been issued and if the additional common shares were dilutive. The total number of potential additional dilutive options and warrants outstanding was approximately 7.4 million and 4.0 million for the nine-month periods ended March 31, 2019 and 2018, respectively. In addition, the convertible notes convert at an exercise price of between $0.10 and $5.00 per share of common stock representing approximately 30 million shares. The options, warrants and shares underlying the convertible note were considered for the dilutive calculation but in periods where losses are reported, the weighted-average number of common stock outstanding excludes common stock equivalents, because their inclusion would be anti-dilutive. The following table sets forth the computation of basic and diluted net income per share: For the Nine Months ended March 31, For the Three Months ended March 31, 2019 2018 2019 2018 Net loss attributable to the common stockholders $ (1,298,646 ) (4,499,065 ) $ (390,209 ) $ (654,602 ) Basic weighted average outstanding shares of common stock 34,161,037 8,365,059 51,280,025 8,755,125 Dilutive effect of options and warrants - - - - Diluted weighted average common stock and common stock equivalents 34,161,037 8,365,059 51,280,025 8,755,125 Earnings (loss) per share: Basic and diluted $ (0.04 ) (0.54 ) $ (0.03 ) $ (0.07 )

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	9 Months Ended
	Mar. 31, 2019
Notes to Financial Statements
NOTE 11 - SUBSEQUENT EVENTS	On April 2, 2019, Crown elected to convert $4,863, consisting of $4,363 of principal and $500 of fees, into 3,970,000 shares of the Company’s Common Stock at an exercise price of $0.001225 pursuant to the Crown Note. On April 23, 2019, Crown elected to convert $5,775, consisting of $5,275 of principal and $500 of fees, into 5,000,000 shares of the Company’s Common Stock at an exercise price of $0.001155 pursuant to the Crown Note. On April 30, 2019, Crown elected to convert $5,058, consisting of $4,558 of principal and $500 of fees, into 5,780,000 shares of the Company’s Common Stock at an exercise price of $0.00875 pursuant to the Crown Note. On April 2, 2019, Crown elected to convert $3,927, consisting of $3,427 of principal and $500 of fees, into 6,600,000 shares of the Company’s Common Stock at an exercise price of $0.000595 pursuant to the Crown Note. On April 2, 2019, EMA elected to convert $11,060, consisting of $10,310 of principal and $750 of fees, into 7,900,000 shares of the Company’s Common Stock at an exercise price of $0.0014 pursuant to the EMA Note. On April 10, 2019, EMA elected to convert $12,600, consisting of $11,850 of principal and $750 of fees, into 9,000,000 shares of the Company’s Common Stock at an exercise price of $0.0014 pursuant to the EMA Note. On April 25, 2019, EMA elected to convert $11,880, consisting of $11,130 of principal and $750 of fees, into 9,900,000 shares of the Company’s Common Stock at an exercise price of $0.0012 pursuant to the EMA Note. On May 10, 2019, EMA elected to convert $12,000, consisting of $7,410 of principal, $3,840 of additional principal, and $750 of fees, into 12,000,000 shares of the Company’s Common Stock at an exercise price of $0.001 pursuant to the EMA Note. On April 17, 2019 the Company entered into a Securities Purchase Agreement with an accredited investor pursuant to which the Company sold $27,500.00 in the principal amount of a Convertible Promissory for a purchase price of $25,000. On April 23, 2018, the Company received $25,000.00 in net proceeds from the sale of this note. This note and the shares of common stock of the Company issuable upon conversion of this note are collectively referred to herein as the “Securities.” This note will mature on April 17, 2020, less any amounts redeemed prior to the Maturity Date. This note bears interest at a rate of 10% per annum, subject to increase to the lesser of 18% per annum or the maximum rate permitted under applicable law upon the occurrence of an Event of Default. This note is convertible following 180 days from the Issuance Date, in whole or in part, at the option of the Purchaser into shares of common stock of the Company at a conversion price equal to $0.01. Upon an Event of Default, this note is convertible at 60% of the lowest traded price of the Company’s common stock during the twenty (20) trading days immediately prior to the Conversion Date, which is subject to adjustment for stock dividends, stock splits, combinations or similar events. The Company may prepay in cash any portion of the principal amount of this note and any accrued and unpaid interest in an amount equal to a range between 125% to 135% of the sum of the then outstanding principal amount of this note and interest. The Majority Stockholders, on April 4, 2019, authorized the increase of the Company’s shares of authorized Common Stock from 249,000,000 to 1,250,000,000.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Mar. 31, 2019
Summary Of Significant Accounting Policies
Use of Estimates	The preparation of these condensed consolidated financial statements in accordance with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the dates of the condensed consolidated financial statements and the reported amounts of net sales and expenses during the reported periods. Actual results may differ from those estimates and such differences may be material to the condensed consolidated financial statements. The more significant estimates and assumptions by management include among others: useful lives and residual values of long-lived assets, the valuation of equity instruments, the valuation of warrants and options, the valuation of derivative liabilities, and the valuation of warrant liabilities.
Principles of Consolidation	The accompanying condensed consolidated financial statements include the accounts of Cerebain Biotech and its wholly-owned subsidiary, Cerebain Operating. There are no material intercompany transactions.
Advertising Costs	Advertising costs are recorded as general and administrative expenses when they are incurred. Advertising costs charged to operations were approximately $900 and $8,600 for the nine-month periods ended March 31, 2019 and 2018, respectively.
Research and Development	The Company expenses the cost of research and development as incurred. Research and development costs charged to operations were approximately $32,000 and $205,000 for the nine-month periods ended March 31, 2019 and 2018, respectively, and are included in research and development costs in the accompanying condensed consolidated statements of operations (See Note 4).
Debt	The Company issues debt that may have separate warrants, conversion features, or no equity-linked attributes.
Debt with Warrants	In accordance with ASC Topic 470-20-25, when the Company issues debt with warrants, the Company treats the warrants as a debt discount, recorded as a contra-liability against the debt, and amortizes the balance over the life of the underlying debt as amortization of debt discount expense in the consolidated statements of operations. The offset to the contra-liability is recorded as additional paid in capital in the Company’s consolidated balance sheets if the warrants are not treated as a derivative. The Company determines the value of the warrants using the Black-Scholes Option Pricing Model (“Black-Scholes”) using the stock price on the date of issuance, the risk-free interest rate associated with the life of the debt, and the volatility of the stock. If the debt is retired early, the associated debt discount is then recognized immediately as amortization of debt discount expense in the consolidated statements of operations. The debt is treated as conventional debt.
Convertible Debt – Derivative Treatment	When the Company issues debt with a conversion feature, we must first assess whether the conversion feature meets the requirements to be treated as a derivative, as follows: a) one or more underlyings, typically the price of our common stock; b) one or more notional amounts or payment provisions or both, generally the number of shares upon conversion; c) no initial net investment, which typically excludes the amount borrowed; and d) net settlement provisions, which in the case of convertible debt generally means the stock received upon conversion can be readily sold for cash. An embedded equity-linked component that meets the definition of a derivative does not have to be separated from the host instrument if the component qualifies for the scope exception for certain contracts involving an issuer’s own equity. The scope exception applies if the contract is both a) indexed to its own stock; and b) classified in shareholders’ equity in its statement of financial position. If the conversion feature within convertible debt meets the requirements to be treated as a derivative, we estimate the fair value of the convertible debt derivative using the Monte Carlo Method upon the date of issuance. If the fair value of the convertible debt derivative is higher than the face value of the convertible debt, the excess is immediately recognized as interest expense. Otherwise, the fair value of the convertible debt derivative is recorded as a liability with an offsetting amount recorded as a debt discount, which offsets the carrying amount of the debt. The convertible debt derivative is revalued at the end of each reporting period and any change in fair value is recorded as a gain or loss in the statement of operations. The debt discount is amortized through interest expense over the life of the debt.
Convertible Debt – Beneficial Conversion Feature	If the conversion feature is not treated as a derivative, the Company assesses whether it is a beneficial conversion feature (“BCF”). A BCF exists if the conversion price of the convertible debt instrument is less than the stock price on the commitment date. This typically occurs when the conversion price is less than the fair value of the stock on the date the instrument was issued. The value of a BCF is equal to the intrinsic value of the feature, the difference between the conversion price and the common stock into which it is convertible and is recorded as additional paid in capital and as a debt discount in the consolidated balance sheets. The Company amortizes the balance over the life of the underlying debt as amortization of debt discount expense in the consolidated statements of operations. If the debt is retired early, the associated debt discount is then recognized immediately as amortization of debt discount expense in the consolidated statements of operations. If the conversion feature does not qualify for either the derivative treatment or as a BCF, the convertible debt is treated as traditional debt.
Debt Modifications and Extinguishments	When the Company modifies or extinguishes debt, it does so in accordance with ASC Topic 470-50-40, which requires modification to debt instruments to be evaluated to assess whether the modifications are considered “substantial modifications”. A substantial modification of terms shall be accounted for like an extinguishment. Based on the guidance relied upon and the analysis performed, if the Company believes the embedded conversion feature has no fair value on the date of issuance (measurement date) and the embedded conversion feature has no beneficial conversion feature, the embedded conversion feature does not meet the criteria in ASC 470-50-40-10 or 470-20-25 and the issuance of the convertible note payable is considered a modification, and not an extinguishment that would require the recognition of a gain or loss. If the Company determines the change in terms meet the criteria for substantial modification under ASC 470 it will treat the modification as extinguishment and recognize a loss from debt extinguishment.
Fair Value of Financial Instruments	The Company applies the provisions of accounting guidance, FASB Topic ASC 825 that requires all entities to disclose the fair value of financial instruments, both assets and liabilities recognized and not recognized on the balance sheet, for which it is practicable to estimate fair value, and defines fair value of a financial instrument as the amount at which the instrument could be exchanged in a current transaction between willing parties. As of March 31, 2019, and June 30, 2018, the fair value of cash, accounts payable, related party payables, and notes payable to stockholders approximated carrying value due to the short maturity of the instruments, quoted market prices or interest rates which fluctuate with market rates.
Fair Value Measurements	FASB ASC Topic 825 “Financial Instruments,” requires disclosure about fair value of financial instruments. The FASB ASC Topic 820, Fair Value Measurement The inputs or methodologies used for valuing securities are not necessarily an indication of the risk associated with investing in these securities. These inputs are summarized in the three broad levels listed below. • Level 1 – observable market inputs that are unadjusted quoted prices for identical assets or liabilities in active markets. • Level 2 – other significant observable inputs (including quoted prices for similar securities, interest rates, credit risk, etc.). • Level 3 – significant unobservable inputs (including the Company’s own assumptions in determining the fair value of investments). The carrying value of financial assets and liabilities recorded at fair value is measured on a recurring or nonrecurring basis. Financial assets and liabilities measured on a non-recurring basis are those that are adjusted to fair value when a significant event occurs. The Company had no financial assets or liabilities carried and measured on a nonrecurring basis during the reporting periods. Financial assets and liabilities measured on a recurring basis are those that are adjusted to fair value each time a financial statement is prepared. The warrant and derivative liabilities are recognized at fair value on a recurring basis at March 31, 2019 and are Level 3 measurements. There have been no transfers between levels.
Concentrations, Risks, and Uncertainties	The Company is a startup company subject to the substantial business risks and uncertainties inherent to such an entity, including the potential risk of business failure.
Basic and Diluted Earnings Per Share	Basic earnings (loss) per common share is computed by dividing net earnings applicable to common stockholders by the weighted-average number of common shares outstanding during the period. Diluted earnings (loss) per common share is determined using the weighted-average number of common shares outstanding during the period, adjusted for the dilutive effect of common stock equivalents, using the treasury stock method, consisting of shares that might be issued upon exercise of common stock warrants and conversion of convertible notes. In periods where losses are reported, the weighted-average number of common stock outstanding excludes common shares equivalents, because their inclusion would be anti-dilutive. Basic earnings per share are based on the weighted-average number of shares of common stock outstanding. Diluted earnings per share is based on the weighted-average number of shares of common stock outstanding adjusted for the effects of common stock that may be issued as a result of the following types of potentially dilutive instruments: • Warrants, • Convertible notes, • Employee stock options, and • Other equity awards, which include long-term incentive awards. The FASB ASC Topic 260, “ Earnings Per Share” Diluted earnings per share are based on the assumption that all dilutive options were converted or exercised. Dilution is computed by applying the treasury stock method. Under this method, options, warrants, and convertible notes are assumed to be exercised at the time of issuance, and as if funds obtained thereby were used to purchase common stock at the average market price during the period. Basic and diluted earnings (loss) per share are the same since the Company had net losses for all periods presented and including the additional potential common shares would have an anti-dilutive effect.
Recent Accounting Pronouncements	FASB ASU 2018-07 “Compensation – Stock Compensation (Topic 718) - In June 2018, the FASB issued ASU 2018-07. This update is intended to reduce cost and complexity and to improve financial reporting for share-based payments issued to non-employees (for example, service providers, external legal counsel, suppliers, etc.). The ASU expands the scope of Topic 718, Compensation—Stock Compensation, which currently only includes share-based payments issued to employees, to also include share-based payments issued to non-employees for goods and services. Consequently, the accounting for share-based payments to non-employees and employees will be substantially aligned. This standard will be effective for financial statements issued by public companies for the annual and interim periods beginning after December 15, 2018. Early adoption of the standard is permitted. The standard will be applied in a retrospective approach for each period presented. The Company currently does not plan to early adopt this guidance and is evaluating the potential impact of this guidance on the consolidated financial statements as well as transition methods.

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	9 Months Ended
	Mar. 31, 2019
Commitments And Contingencies
Schedule of Future Maturity of Prepaid Expense	Fiscal year ended June 30, 2019 $ 2,500

NOTES PAYABLE (Tables)

NOTES PAYABLE (Tables)	9 Months Ended
	Mar. 31, 2019
Future maturities of convertible notes payable	2019 1,255,213 2020 2,953,113 Total outstanding notes 4,208,326 Debt Discount (125,159 ) Net Notes Payable $ 4,083,167
Schedule changes in derivative and warrant liabilities	Derivative liabilities: June 30, 2018 $ 285,000 March 1 - 15, 2019 105,000 Increase (decrease) in fair value (net of extinguishments) 80,000 March 31, 2019 $ 470,000 Warrant liabilities: June 30, 2018 $ 85,058 March 1 - 15, 2019 56,474 Increase (decrease) in fair value 6,346 March 31, 2019 $ 147,878
Short Term Convertible Warrants Conversion [Member]
Schedule of fair value of embedded derivative liabilities	Crown Bridge Partners (Original Note) March 31, 2019 June 30, 2018 Expected dividend yield 0.00 % 0.00 % Expected stock-price volatility 265.0 % 215.0 % Risk-free interest rate 2.22 % 2.74 % Stock price $ 0.0037 $ 0.14 Exercise price $ 0.05 $ 0.20 Crown Bridge Partners (Tranche #2) March 31, 2019 Expected dividend yield 0.00 % Expected stock-price volatility 260.0 % Risk-free interest rate 2.22 % Stock price $ 0.0037 Exercise price $ 0.05 Auctus Fund #1 March 31, 2019 June 30, 2018 Expected dividend yield 0.00 % 0.00 % Expected stock-price volatility 265.0 % 215.0 % Risk-free interest rate 2.22 % 2.74 % Stock price $ 0.0037 $ 0.14 Exercise price $ 0.05 $ 0.20 Auctus Fund #2 March 31, 2019 March 15, 2019 Expected dividend yield 0.00 % 0.00 % Expected stock-price volatility 255.0 % 255.0 % Risk-free interest rate 2.23 % 2.40 % Stock price $ 0.0037 $ 0.0063 Exercise price $ 0.05 $ 0.05 EMA Financial March 31, 2019 June 30, 2018 Expected dividend yield 0.00 % 0.00 % Expected stock-price volatility 265.0 % 215.0 % Risk-free interest rate 2.22 % 2.73 % Stock price $ 0.0037 $ 0.14 Exercise price $ 0.05 $ 0.20
Short Term Convertible Notes Conversion [Member]
Schedule of fair value of embedded derivative liabilities	Crown Bridge Partners (Original Note) March 31, 2019 June 30, 2018 Expected dividend yield 0.00 % 0.00 % Expected stock-price volatility 300.0 % 260.0 % Risk-free interest rate 2.44 % 2.22 % Stock price $ 0.0037 $ 0.14 Conversion price $ 0.0014 $ 0.07 Crown Bridge Partners (Tranche #2) March 31, 2019 Expected dividend yield 0.00 % Expected stock-price volatility 345.0 % Risk-free interest rate 2.44 % Stock price $ 0.0037 Conversion price $ 0.0012 Auctus Fund #1 March 31, 2019 June 30, 2018 Expected dividend yield 0.00 % 0.00 % Expected stock-price volatility 295.0 % 100.0 % Risk-free interest rate 2.44 % 2.02 % Stock price $ 0.0037 $ 0.14 Conversion price $ 0.0012 $ 0.07 Auctus Fund #2 March 31, 2019 March 15, 2019 Expected dividend yield 0.00 % 0.00 % Expected stock-price volatility 330.0 % 325.0 % Risk-free interest rate 2.44 % 2.52 % Stock price $ 0.0037 $ 0.0063 Exercise price $ 0.0013 $ 0.0022 EMA Financial March 31, 2019 June 30, 2018 Expected dividend yield 0.00 % 0.00 % Expected stock-price volatility 350.0 % 210.0 % Risk-free interest rate 2.40 % 2.22 % Stock price $ 0.0037 $ 0.14 Exercise price $ 0.0011 $ 0.07
Short Term Convertible Notes Payable [Member]
Summary of note payable	Short Term Convertible Notes Payable March 31, 2019 June 30, 2018 Crown Bridge Partners $ 61,832 $ 65,000 Auctus Fund #1 119,867 110,000 Auctus Fund #2 55,000 - EMA Financial 67,014 110,000 Subtotal 303,713 285,000 Debt discount (82,789 ) (177,094 ) Net total $ 220,924 $ 107,906
Short Term Notes Payable [Member]
Summary of note payable	Short Term Notes Payable to Stockholders March 31, 2019 June 30, 2018 Short term notes payable (A) $ 114,000 $ 114,000 Short term notes payable (B) 250,000 250,000 Short term notes payable (C) 100,000 100,000 Short term notes payable (D) 20,000 - Short term notes payable (E) 55,000 - Short term notes payable (F) 25,000 - Short term notes payable (G) 27,500 - Net total $ 591,500 $ 464,000
Convertible Notes Payable [Member]
Summary of note payable	Convertible Notes Payable March 31, 2019 June 30, 2018 Convertible notes payable (A) $ 116,000 $ 116,000 Convertible note payable (B) 260,000 260,000 Convertible notes payable (C) 2,937,113 2,560,112 Subtotal 3,313,113 2,936,112 Debt discount (42,370 ) (5,381 ) Net total $ 3,270,743 $ 2,930,731

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	9 Months Ended
	Mar. 31, 2019
Earnings Per Share
Computation of basic and diluted net income per share	For the Nine Months ended March 31, For the Three Months ended March 31, 2019 2018 2019 2018 Net loss attributable to the common stockholders $ (1,298,646 ) (4,499,065 ) $ (390,209 ) $ (654,602 ) Basic weighted average outstanding shares of common stock 34,161,037 8,365,059 51,280,025 8,755,125 Dilutive effect of options and warrants - - - - Diluted weighted average common stock and common stock equivalents 34,161,037 8,365,059 51,280,025 8,755,125 Earnings (loss) per share: Basic and diluted $ (0.04 ) (0.54 ) $ (0.03 ) $ (0.07 )

ORGANIZATION AND PRINCIPAL AC_2

ORGANIZATION AND PRINCIPAL ACTIVITIES (Details Narrative) - USD ($)	Mar. 15, 2019	Mar. 31, 2019	Mar. 31, 2018	Mar. 31, 2019	Mar. 31, 2018	Apr. 04, 2019	Jun. 30, 2018
State of incorporation				Nevada
Date of incorporation				Dec. 18, 2007
Preferred stock, par value		$ 0.001		$ 0.001			$ 0.001
Preferred stock, shares authorized		1,000,000		1,000,000			1,000,000
Preferred stock, shares issued		51		51			0
Selling, general and administrative expense		$ 213,263	$ 313,716	$ 615,970	$ 790,175
Common stock, Authorized shares		249,000,000		249,000,000			249,000,000
Exercise price	$ 1.10
Fair market value	$ 0.0063
Expected term	8 months
Volatility rate	325.00%
Interest rate	2.52%
Fair value of derivative liability	$ 87,000	$ 45,000		$ 45,000
Gain on re-valuation of derivative liability				$ 42,000
Subsequent Event [Member]
Common stock, Authorized shares						1,250,000,000
Series A Preferred Stock [Member]
Preferred stock, par value		$ 0.001		$ 0.001
Description for the voting rights calculation				Among other provisions, each one (1) share of the Series A Preferred Stock shall have voting rights equal to (x) 0.019607 multiplied by the total issued and outstanding shares of common stock of the Company eligible to vote at the time of the respective vote (the “Numerator”), divided by (y) 0.49, minus (z) the Numerator. For purposes of illustration only, if the total issued and outstanding shares of common stock of the Company eligible to vote at the time of the respective vote is 5,000,000, the voting rights of one share of the Series A Preferred Stock shall be equal to 102,036 (0.019607 x 5,000,000) / 0.49) – (0.019607 x 5,000,000) = 102,036) shares of common stock.
Preferred stock, shares authorized		51		51
Proceeds from issuance or sale of equity				$ 15,000
Selling, general and administrative expense		$ 15,000		15,000
Fair value of preferred stock shares authorized		$ 15,000		$ 15,000
Series A Preferred Stock [Member] | Chief Executive Officer [Member]
Preferred stock, shares issued		26		26
Series A Preferred Stock [Member] | Chief Financial Officer [Member]
Preferred stock, shares issued		25		25

BASIS OF PRESENTATION (Details

BASIS OF PRESENTATION (Details Narrative) - USD ($)	3 Months Ended						9 Months Ended
	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Mar. 31, 2019	Mar. 31, 2018	Jun. 30, 2018	Jun. 30, 2017
Basis Of Presentation
Accumulated deficit	$ (33,748,159)						$ (33,748,159)		$ (32,449,513)
Net loss	(390,209)	$ (371,138)	$ (537,299)	$ (654,602)	$ (3,412,980)	$ (431,483)	(1,298,646)	$ (4,499,065)
Net cash used in operating activities							(335,561)	(684,531)
Cash and cash equivalents	$ 19,022			$ 30,064			$ 19,022	$ 30,064	$ 64,583	$ 11,345

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Mar. 31, 2019	Mar. 31, 2018
Summary Of Significant Accounting Policies Details Narrative Abstract
Advertising costs			$ 900	$ 8,600
Research and development costs		$ 80,402	$ 32,000	$ 205,030

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES (Details)	Mar. 31, 2019USD ($)
Commitments And Contingencies Details Abstract
2019	$ 2,500

COMMITMENTS AND CONTINGENCIES_3

COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($)	Mar. 15, 2019	Mar. 31, 2019	Mar. 31, 2018	Mar. 31, 2019	Mar. 31, 2018	Jun. 30, 2018
Fair Value Risk-free interest rate	2.52%
Fair Value Expected term	8 months
Selling, general and administrative expense		$ 213,263	$ 313,716	$ 615,970	$ 790,175
Research and development costs			80,402	32,000	205,030
Accounts payable		1,035,767		1,035,767		$ 1,142,636
Prepaid expense		2,540		$ 2,540		$ 27,018
October 2016 [Member] | Consulting Agreements [Member]
Restricted common stock shares issued				300,000
Exercise price				$ 0.40
Fair market value option				$ 171,000
Fair Value Volatility rate				205.00%
Fair Value Risk-free interest rate				0.63%
Fair Value Expected term				1 year
Fair Value Dividend yield				0.00%
Selling, general and administrative expense		0	43,000	$ 0	43,000
Consulting Agreements [Member] | December 2016 and December 2018 [Member]
Restricted common stock shares issued				2,435,000
Selling, general and administrative expense		4,400	20,000	$ 9,400	123,000
Unamortized prepaid expense		2,500		2,500
Accounts payable		30,000		30,000
Prepaid expense		2,677,000		$ 2,677,000
Consulting Agreements [Member] | December 2016 and December 2018 [Member] | Minimum [Member]
Fair Value Expected term				12 months
Consulting Agreements [Member] | December 2016 and December 2018 [Member] | Maximum [Member]
Fair Value Expected term				36 months
Consulting Agreements [Member] | January 2016 [Member]
Restricted common stock shares issued				300,000
Exercise price				$ 0.33
Fair market value option				$ 83,500
Fair Value Volatility rate				210.00%
Fair Value Risk-free interest rate				1.07%
Fair Value Expected term				3 years
Fair Value Dividend yield				0.00%
Selling, general and administrative expense		$ 7,000	$ 7,000	$ 21,000	$ 21,000
Consulting services shares		75,000		75,000
Consulting Agreements [Member] | October 2016 [Member]
Consulting services shares		300,000		300,000
Commitments [Member] | September 2012 [Member]
Restricted common stock shares issued				325,000
Research and development costs				$ 1,000,000
Company paid approximately amount				320,000
Incurred balance				$ 165,000

PATENT RIGHTS (Details Narrativ

PATENT RIGHTS (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Mar. 31, 2019	Mar. 31, 2018	Jun. 10, 2010
Legal fees	$ 2,500	$ 2,400	$ 6,300	$ 4,000
Patent royalty expense	25,000	$ 25,000	75,000	$ 75,000
Accrued payable	425,000		425,000
June 2014	50,000		50,000
June 2015	50,000		50,000
June 2016	50,000		50,000
Thereafter	$ 100,000		$ 100,000
Royalty payment percentage	6.00%		6.00%
Dr. Saini [Member]
Patent license agreement fees					$ 50,000
Stock issued					825,000
Shares issued, value					$ 6,600
Equity participation percentage					10.00%

NOTES PAYABLE (Details)

NOTES PAYABLE (Details) - USD ($)	Mar. 31, 2019	Jun. 30, 2018
Short term notes payable to stockholders	$ 591,500	$ 464,000
Short term notes payable (A) [Member]
Short term notes payable to stockholders	114,000	114,000
Short term notes payable (B) [Member]
Short term notes payable to stockholders	250,000	250,000
Short term notes payable (C) [Member]
Short term notes payable to stockholders	100,000	100,000
Short term notes payable (D) [Member]
Short term notes payable to stockholders	20,000
Short term notes payable (E) [Member]
Short term notes payable to stockholders	55,000
Short term notes payable (F) [Member]
Short term notes payable to stockholders	25,000
Short term notes payable (G) [Member]
Short term notes payable to stockholders	$ 27,500

NOTES PAYABLE (Details 1)

NOTES PAYABLE (Details 1) - USD ($)	Mar. 31, 2019	Jun. 30, 2018
Subtotal	$ 303,713	$ 285,000
Debt discount	(82,789)	(177,094)
Net total	220,924	107,906
Short Term Convertible Notes Payable [Member] | Crown Bridge Partners [Member]
Subtotal	61,832	65,000
Short Term Convertible Notes Payable [Member] | Auctus Fund #1 [Member]
Subtotal	119,867	110,000
Short Term Convertible Notes Payable [Member] | Auctus Fund #2 [Member]
Subtotal	55,000
Short Term Convertible Notes Payable [Member] | EMA Financial [Member]
Subtotal	$ 67,014	$ 110,000

NOTES PAYABLE (Details 2)

NOTES PAYABLE (Details 2) - $ / shares	8 Months Ended	9 Months Ended	12 Months Ended
	Mar. 15, 2019	Mar. 31, 2019	Jun. 30, 2018
Stock price	$ 0.0063
Derivative Liabilities [Member] | EMA Financial [Member]
Expected dividend yield		0.00%	0.00%
Expected stock-price volatility		350.00%	210.00%
Risk-free interest rate		2.40%	2.22%
Stock price		$ 0.0037	$ 0.14
Conversion price		$ 0.0011	$ 0.07
Derivative Liabilities [Member] | Auctus Fund #2 [Member]
Expected dividend yield	0.00%	0.00%
Expected stock-price volatility	325.00%	330.00%
Risk-free interest rate	2.52%	2.44%
Stock price	$ 0.0063	$ 0.0037
Conversion price	$ 0.0022	$ 0.0013
Derivative Liabilities [Member] | Auctus Fund [Member]
Expected dividend yield		0.00%	0.00%
Expected stock-price volatility		295.00%	100.00%
Risk-free interest rate		2.44%	2.02%
Stock price		$ 0.0037	$ 0.14
Conversion price		$ 0.0012	$ 0.07
Derivative Liabilities [Member] | Crown Bridge Partners (Tranche #2) [Member]
Expected dividend yield		0.00%
Expected stock-price volatility		345.00%
Risk-free interest rate		2.44%
Stock price		$ 0.0037
Conversion price		$ 0.0012
Derivative Liabilities [Member] | Crown Bridge Partners [Member]
Expected dividend yield		0.00%	0.00%
Expected stock-price volatility		300.00%	260.00%
Risk-free interest rate		2.44%	2.22%
Stock price		$ 0.0037	$ 0.14
Conversion price		$ 0.0014	$ 0.07

NOTES PAYABLE (Details 3)

NOTES PAYABLE (Details 3) - $ / shares	8 Months Ended	9 Months Ended	12 Months Ended
	Mar. 15, 2019	Mar. 31, 2019	Jun. 30, 2018
Stock price	$ 0.0063
Warrants [Member] | Crown Bridge Partners [Member]
Expected dividend yield		0.00%	0.00%
Expected stock-price volatility		265.00%	215.00%
Risk-free interest rate		2.22%	2.74%
Stock price		$ 0.0037	$ 0.14
Conversion price		$ 0.05	$ 0.20
Warrants [Member] | Crown Bridge Partners (Tranche #2) [Member]
Expected dividend yield		0.00%
Expected stock-price volatility		260.00%
Risk-free interest rate		2.22%
Stock price		$ 0.0037
Conversion price		$ 0.05
Warrants [Member] | Auctus Fund #1 [Member]
Expected dividend yield		0.00%	0.00%
Expected stock-price volatility		265.00%	215.00%
Risk-free interest rate		2.22%	2.74%
Stock price		$ 0.0037	$ 0.14
Conversion price		$ 0.05	$ 0.20
Warrants [Member] | Auctus Fund #2 [Member]
Expected dividend yield	0.00%	0.00%
Expected stock-price volatility	255.00%	255.00%
Risk-free interest rate	2.40%	2.23%
Stock price	$ 0.0063	$ 0.0037
Conversion price	$ 0.05	$ 0.05
Warrants [Member] | EMA Financial [Member]
Expected dividend yield		0.00%	0.00%
Expected stock-price volatility		265.00%	215.00%
Risk-free interest rate		2.22%	2.73%
Stock price		$ 0.0037	$ 0.14
Conversion price		$ 0.05	$ 0.20

NOTES PAYABLE (Details 4)

NOTES PAYABLE (Details 4) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Mar. 31, 2019	Mar. 31, 2018
Derivative liabilities:
Derivative liabilities, Beginning balance			$ 285,000
Increase (decrease) in fair value (net of extinguishments)	$ 32,755	$ 10,000	(37,579)	$ 10,000
Derivative liabilities, Outstanding balance	514,963		514,963
Warrant liabilities:
Warrant liabilities, Beginning balance			85,058
Increase (decrease) in fair value	(924)	$ 614	6,346	$ 614
Warrant liabilities, Outstanding balance	147,878		147,878
Warrants [Member]
Warrant liabilities:
Warrant liabilities, Beginning balance			85,058
March 1 - 15, 2019			56,474
Increase (decrease) in fair value			6,346
Warrant liabilities, Outstanding balance	147,878		147,878
Derivative Liabilities [Member]
Derivative liabilities:
Derivative liabilities, Beginning balance			285,000
March 1 - 15, 2019			105,000
Increase (decrease) in fair value (net of extinguishments)			80,000
Derivative liabilities, Outstanding balance	$ 470,000		$ 470,000

NOTES PAYABLE (Details 5)

NOTES PAYABLE (Details 5) - USD ($)	Mar. 31, 2019	Jun. 30, 2018
Convertible Notes Payable	$ 3,313,113	$ 2,936,112
Debt discount	(42,370)	(5,381)
Convertible Notes to Stockholders	3,270,743	2,930,731
Convertible Notes Payable (A) [Member]
Convertible Notes Payable	116,000	116,000
Convertible Notes Payable (B) [Member]
Convertible Notes Payable	260,000	260,000
Convertible Note Payable (C) [Member]
Convertible Notes Payable	$ 2,937,113	$ 2,560,112

NOTES PAYABLE (Details 6)

NOTES PAYABLE (Details 6)	Mar. 31, 2019USD ($)
Notes Payable
2019	$ 1,255,213
2020	2,953,113
Total outstanding notes	4,208,326
Debt Discount	(125,159)
Net Notes Payable	$ 4,083,167

NOTES PAYABLE (Details Narrativ

NOTES PAYABLE (Details Narrative) - USD ($)	Mar. 15, 2019	Feb. 08, 2019	Jan. 15, 2019	Dec. 10, 2018	Mar. 08, 2018	Mar. 02, 2018	Aug. 29, 2017	Mar. 31, 2019	Mar. 31, 2018	Mar. 15, 2019	Mar. 31, 2019	Mar. 31, 2018	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017	Sep. 30, 2018	Feb. 28, 2016
Derivative liabilities								$ 514,963			$ 514,963		$ 285,000
Change in fair value of derivative liabilities								32,755	$ 10,000		(37,579)	$ 10,000
Warrant liabilities								147,878			147,878		85,058
Debt discount								125,159			125,159
Amortization of debt discount								45,816	25,418		219,316	28,754
Convertible Notes Payable								$ 3,313,113			$ 3,313,113		$ 2,936,112
Common stock, par value								$ 0.001			$ 0.001		$ 0.001
Exercise price	$ 0.0063									$ 0.0063
Beneficial conversion amount											$ 87,000
Volatility rate	325.00%
Expected term	8 months
Loss from extinguishment of debt								$ (15,000)			(15,000)	(3,102,134)
Interest expense on notes payable								164,166	217,012		267,796	298,716
Accounts payable								1,035,767			1,035,767		$ 1,142,636
Revaluation of Liabilities [Member]
Loss on re-valuation of warrant liability											148,000
Revaluation of Liabilities [Member]
Derivative liabilities								435,000			435,000
Change in fair value of derivative liabilities											80,000	10,000
Derivatives re-measured fair value											470,000	470,000
Warrant liabilities								153,000			153,000
Loss on re-valuation of warrant liability											6,000	600
EMA [Member]
Debt conversion amount converted or elected to be converted								55,700			55,700
Debt conversion amount converted or elected to be converted, principal								$ 43,000			$ 43,000
Common stock shares issued upon conversion of debt								25,000,000			25,000,000
Debt conversion amount converted or elected to be converted, fees											$ 12,700
Auctus Fund, LLC [Member]
Debt conversion amount converted or elected to be converted								$ 28,000			28,000
Debt conversion amount converted or elected to be converted, principal								$ 5,100			$ 5,100
Common stock shares issued upon conversion of debt								13,480,000			13,480,000
Debt conversion amount converted or elected to be converted, fees											$ 6,000
Auctus Fund, LLC [Member] | On February 1, 2019 [Member]
Maturity date											Feb. 15, 2018
Exercise price								$ 0.00124			$ 0.00124
Debt conversion amount converted or elected to be converted								$ 2,387			$ 2,387
Debt conversion amount converted or elected to be converted, accrued and unpaid interest											$ 1,887
Common stock shares issued upon conversion of debt								1,925,100			1,925,100
Debt conversion amount converted or elected to be converted, fees											$ 500
Crown Bridge Partners [Member] | Securities Purchase Agreement [Member]
Description of warrants issuable under agreement						the Company agreed to issue Crown a warrant with each funding tranche. Each warrant will be for the purchase of shares of the Company’s common stock equal to 75% of the face value of the tranche divided by $0.50. For example, the first tranche of funding is for $65,000, the Company issued a warrant to purchase 97,500 shares of the Company’s common stock at an exercise price of $0.50 per share. The warrant contains a cashless exercise provision. Each warrant expires five years after the date of issuance
Short Term Notes Payable to Stockholders [Member]
Notes payable additional amount																	$ 1,000
Related party short term notes payable																$ 114,000
Short Term Notes Payable to Stockholders [Member] | Securities Purchase Agreement [Member] | Accredited Investor [Member]
Related party short term notes payable		$ 27,500
Convertible Notes Payable		$ 25,000
Maturity date		May 8, 2019
Convertible promissory purchase price		$ 25,000
Debt conversion price		$ 0.01
Trading price description		This note is convertible following 180 days from the Issuance Date, in whole or in part, at the option of the Purchaser into shares of common stock of the Company at a conversion price equal to $0.01. Upon an Event of Default, this note is convertible at 60% of the lowest traded price of the Company’s common stock during the twenty (20) trading days immediately prior to the Conversion Date, which is subject to adjustment for stock dividends, stock splits, combinations or similar events.
Short Term Notes Payable to Stockholders [Member] | Securities Purchase Agreement [Member] | Investor [Member]
Related party short term notes payable				$ 55,000
Convertible Notes Payable				$ 50,000
Maturity date				Mar. 10, 2019
Convertible promissory purchase price				$ 50,000
Debt conversion price				$ 0.01
Trading price description				This note is convertible at 60% of the lowest traded price of the Company’s common stock during the twenty (20) trading days immediately prior to the Conversion Date
Short Term Notes Payable to Stockholders One [Member]
Notes payable additional amount							$ 75,000
Related party short term notes payable							$ 250,000
Common stock, issued shares							200,000
Maturity date							Dec. 31, 2017
Common stock issued to Convertible notes							200,000
Notes payable included in consolidation							$ 175,000
Loss from extinguishment of debt							$ 30,000
Maximum [Member] | Convertible Notes Payable [Member]
Interest rate															8.00%
Unsecured promissory note															$ 30,000
Common stock rate, per share															$ 5
Exercise price															$ 1.25
Maximum [Member] | Short Term Notes Payable to Stockholders [Member] | In 2012 [Member]
Interest rate								7.50%			7.50%
Maximum [Member] | Short Term Notes Payable to Stockholders [Member] | Securities Purchase Agreement [Member] | Accredited Investor [Member]
Interest rate		18.00%
Accrued and unpaid interest		135.00%
Maximum [Member] | Short Term Notes Payable to Stockholders [Member] | Securities Purchase Agreement [Member] | Investor [Member]
Interest rate				10.00%
Accrued and unpaid interest				125.00%
Minimum [Member] | Convertible Notes Payable [Member]
Interest rate															7.50%
Unsecured promissory note															$ 7,500
Common stock rate, per share															$ 0.20
Exercise price															$ 0.50
Minimum [Member] | Short Term Notes Payable to Stockholders [Member] | In 2012 [Member]
Interest rate								7.00%			7.00%
Minimum [Member] | Short Term Notes Payable to Stockholders [Member] | Securities Purchase Agreement [Member] | Accredited Investor [Member]
Interest rate		10.00%
Accrued and unpaid interest		125.00%
Minimum [Member] | Short Term Notes Payable to Stockholders [Member] | Securities Purchase Agreement [Member] | Investor [Member]
Interest rate				18.00%
Accrued and unpaid interest				135.00%
September 2018 Convertible Note [Member]
Accretion of debt discount								$ 40,000
Accrued interest percentage																5.00%
Unsecured promissory note																$ 2,937,113
Convertible Notes Payable																$ 2,560,112
Common stock rate, per share																$ 0.10
Note holder acquire percentage																9.90%
Cash received from notes payable																$ 75,000
Accounts payable related to accrued interest																302,000
Beneficial conversion feature								40,000			$ 40,000					$ 87,000
Interest expense on notes payable								144,000	217,000		248,000	299,000
Accounts payable								272,500			272,500				$ 382,000
Debt discount expense								$ 38,000	0		$ 47,000	0
October 2017 Convertible Note [Member]
Accrued interest percentage								5.00%			5.00%
Unsecured promissory note								$ 2,560,000			$ 2,560,000
Convertible Notes Payable								$ 2,460,112			$ 2,460,112
Maturity date											Oct. 31, 2019
Common stock rate, per share								$ 0.10			$ 0.10
Note holder acquire percentage								9.90%			9.90%
Cash received from notes payable								$ 100,000			$ 100,000
Loss from extinguishment of debt													3,100,000
Convertible Notes Payable (A) [Member]
Accretion of debt discount								800	1,700		3,100	5,000
Convertible Notes Payable															157,000
Converted amount															26,000
Repayment of debt															15,000
Balance amount															$ 116,000
Note holder acquire percentage															9.90%
Common stock granted in cashless option															1
Common stock, par value															$ 0.001
Beneficial conversion amount											38,000
Accretion of debt discount expense in future											2,200
Debt default								$ 100,000			$ 100,000
Convertible Notes Payable (A) [Member] | Maximum [Member]
Maturity date															Jul. 31, 2019
Fully vested options expire period															3 years
Convertible Notes Payable (A) [Member] | Minimum [Member]
Maturity date															Jun. 30, 2015
Fully vested options expire period															1 year
January 2017 Convertible Note [Member]
Accrued interest percentage								5.00%			5.00%
Unsecured promissory note								$ 2,460,000			$ 2,460,000
Convertible Notes Payable								$ 2,410,112			$ 2,410,112
Maturity date											Jan. 31, 2019
Common stock rate, per share								$ 0.15			$ 0.15
Note holder acquire percentage								9.90%			9.90%
Cash received from notes payable								$ 50,000			$ 50,000
December 2015 Convertible Note [Member]
Accrued interest percentage								7.50%			7.50%
Related party short term notes payable								$ 10,000			$ 10,000
Unsecured promissory note								260,000			260,000
Convertible Notes Payable								$ 200,000			$ 200,000
Maturity date											Oct. 31, 2019
Common stock rate, per share								$ 0.20			$ 0.20
Note holder acquire percentage								9.90%			9.90%
Common stock granted in cashless option								1			1
Common stock, par value								$ 0.001			$ 0.001
Exercise price								$ 0.50			$ 0.50
Cash received from notes payable								$ 50,000			$ 50,000
Estimated relative fair value discount								128,000			$ 128,000
Volatility rate											240.00%
Risk-free interest rate											1.05%
Expected term											3 years
Dividend yield											0.00%
Convertible Promissory Notes [Member]
Original issue discount								32,000			$ 32,000
Debt discount								285,000			285,000
Amortization of debt discount											173,000
Accretion of debt discount								64,000	$ 24,000		219,000	24,000
Accretion of debt discount to be recognized in future								$ 52,000			$ 52,000
Convertible Promissory Note [Member] | EMA Financial, LLC [Member] | Securities Purchase Agreement [Member]
Credit facility maximum borrowing capacity					$ 110,000
Original issue discount					6,600
Credit facility maximum borrowing capacity net of debt discount					$ 103,400
Interest rate					10.00%
Maturity date description					The EMA Note bears interest at Ten Percent (10%) per annum and matures on February 12, 2019
Terms of conversion feature					The conversion price is 55% multiplied by the lowest Trading Price during the twenty trading days prior to the conversion date. However, EMA may not convert the amounts due under the Note into shares of the Company’s common stock if such conversion would cause it to own more than 4.99% of the Company’s then-outstanding common stock, which limitation may be waived by EMA upon 61 days-notice
Description for event of default					In the event the Company defaults under the terms of the EMA Note, the Company owes 150% of the principal amount then due under the Note, plus any unpaid interest, immediately
Description of prepayment of debt					The Company may prepay the amounts loaned to the Company under the EMA Note as follows: (i) during the initial 90-day period after the issue date, at 135% multiplied by the amount the Company is prepaying, and (ii) from the 91st through the 180th day after the issue date, at 150% multiplied by the amount the Company is prepaying. Any prepayments are subject to EMA’s written acceptance of such prepayment. After 180 days from the issue date the Company cannot prepay the EMA Note
Maturity date			Feb. 12, 2020		Feb. 12, 2019
Convertible Promissory Note [Member] | Auctus Fund, LLC [Member] | Securities Purchase Agreement [Member]
Credit facility maximum borrowing capacity					$ 110,000
Interest rate	12.00%				10.00%					12.00%
Maturity date description					The Auctus Note bears interest at Ten Percent (10%) per annum and matures on November 15, 2018
Terms of conversion feature	The Company at a price per share equal to 55% of the lowest trading price of the Common Stock during the 25 trading day period ending on the last complete trading day prior to the date of conversion. Auctus may not convert the Auctus Note to the extent that such conversion would result in beneficial ownership by Auctus and its affiliates of more than 4.99% of the issued and outstanding Common Stock.				The conversion price is 55% multiplied by the lowest Trading Price during the twenty-five trading days prior to the conversion date. However, Auctus may not convert the amounts due under the Note into shares of the Company’s common stock if such conversion would cause it to own more than 4.99% of the Company’s then-outstanding common stock, which limitation may be waived by Auctus upon 61 days-notice
Description for event of default					In the event the Company defaults under the terms of the Auctus Note, the Company owes 150% of the principal amount then due under the Note, plus any unpaid interest, immediately
Description of prepayment of debt					The Company may prepay the amounts loaned to the Company under the Auctus Note as follows: (i) during the initial 90-day period after the issue date, at 135% multiplied by the amount the Company is prepaying, and (ii) from the 91st through the 180th day after the issue date, at 150% multiplied by the amount the Company is prepaying. Any prepayments are subject to Auctus’ written acceptance of such prepayment. After 180 days from the issue date the Company cannot prepay the Auctus Note
Common stock shares issuable upon exercise of warrants or rights	1,100,000									1,100,000
Exercise price	$ 0.001									$ 0.001
Exercise price	$ 0.05									$ 0.05
Debt conversion amount converted or elected to be converted, principal	$ 110,000									$ 110,000
Convertible Promissory Note [Member] | Auctus Fund, LLC [Member] | Securities Purchase Agreement [Member] | First Tranche [Member]
Convertible promissory purchase price	$ 55,000									$ 55,000
Convertible Promissory Note [Member] | Crown Bridge Partners [Member] | Securities Purchase Agreement [Member]
Credit facility maximum borrowing capacity						$ 130,000
Original issue discount						13,000
Credit facility maximum borrowing capacity net of debt discount						$ 117,000
Interest rate						10.00%
Maturity date description						The Crown Note bears interest at Ten Percent (10%) per annum and matures twelve (12) months from the date of each tranche, with the initial tranche of $65,000 maturing on March 2, 2019
Terms of conversion feature						Under the terms of the Crown Note, Crown has the right, at any time to convert all or part of the amounts due to it under the Crown Note into shares of the Company’s common stock. The conversion price is 55% of the lesser of (a) the lowest traded price or (b) the lowest closing bid price, of the Company’s common stock on the twenty-five trading days prior to the conversion date. However, Crown may not convert the amounts due under the Note into shares of the Company’s common stock if such conversion would cause it to own more than 4.99% of the Company’s then-outstanding common stock, which limitation may be waived by Crown upon 61 days-notice
Description for event of default						In the event the Company defaults under the terms of the Crown Note, the Company owes 150% of the principal amount then due under the Note, plus any unpaid interest, immediately
Description of prepayment of debt						The Company may prepay the amounts loaned to the Company under the Crown Note as follows: (i) during the initial 60-day period after each tranche, at 125% multiplied by the amount the Company is prepaying, (ii) during the 61st through 120 days after each tranche, at 135% multiplied by the amount the Company is prepaying, and (iii) during the 121st through 180th day after each tranche, at 150% multiplied by the amount the Company is prepaying. Any prepayments are subject to Crown’s written acceptance of such prepayment. After 180 days from each tranche the Company cannot prepay that tranche in cash
Convertible Promissory Note [Member] | Crown Bridge Partners [Member] | Securities Purchase Agreement [Member] | On March, 1, 2019 [Member]
Interest rate								10.00%			10.00%
Terms of conversion feature											The Crown Note into shares of Common Stock of the Company at a price per share equal to 55% of the lowest trading price of the Common Stock (as defined in the Crown Note) during the 25 trading day period ending on the last complete trading day prior to the date of conversion. Crown may not convert the Crown Note to the extent that such conversion would result in beneficial ownership by Crown and its affiliates of more than 4.99% of the issued and outstanding Common Stock.
Description of prepayment of debt											The Company must pay all of the principal and interest with a prepayment penalty ranging from 125% to 150%. After the 180th day following the Crown Issuance Date the Company shall have no further right of prepayment.
Description of warrants issuable under agreement											Crown (i) purchased a second tranche in the principal amount of $32,500.00 under the Convertible Promissory Note of the Company dated February 14, 2018 and (ii) was issued a common stock purchase warrant to purchase 650,000 shares of the Company’s Common Stock.
Exercise price								$ 0.05			$ 0.05
Convertible Promissory Note [Member] | Crown Bridge Partners [Member] | Securities Purchase Agreement [Member] | Tranche 1 [Member]
Original issue discount						$ 6,500
Proceeds from related party debt including portion attributable to debt discount						65,000
Proceeds from related party debt						$ 58,500
Convertible Promissory Note [Member] | Maximum [Member] | Auctus Fund, LLC [Member] | Securities Purchase Agreement [Member]
Accrued and unpaid interest	150.00%									150.00%
Convertible Promissory Note [Member] | Maximum [Member] | Crown Bridge Partners [Member] | Securities Purchase Agreement [Member] | On March, 1, 2019 [Member]
Accrued and unpaid interest								150.00%			150.00%
Convertible Promissory Note [Member] | Minimum [Member] | Auctus Fund, LLC [Member] | Securities Purchase Agreement [Member]
Accrued and unpaid interest	135.00%									135.00%
Convertible Promissory Note [Member] | Minimum [Member] | Crown Bridge Partners [Member] | Securities Purchase Agreement [Member] | On March, 1, 2019 [Member]
Accrued and unpaid interest								125.00%			125.00%
In January 2019 [Member] | non-affiliate stockholders [Member]
Related party short term notes payable								$ 25,000			$ 25,000
In November 2018 [Member] | Short Term Notes Payable to Stockholders Two [Member]
Related party short term notes payable								20,000			$ 20,000
In 2017 [Member] | Short Term Notes Payable to Stockholders One [Member]
Related party short term notes payable														$ 175,000
Common stock, issued shares														50,000
Maturity date														Jun. 30, 2017
Debt discount cost														$ 26,000
Short Term Notes Payable to Stockholders [Member] | In 2012 [Member]
Maturity date											Dec. 31, 2013
Derivative [Member] | Convertible Promissory Notes [Member]
Original issue discount								330,000			$ 330,000
Warrants [Member]
Warrant liabilities								$ 147,878			$ 147,878		$ 85,058
Warrant [Member] | EMA Financial, LLC [Member] | Securities Purchase Agreement [Member]
Common stock shares issuable upon exercise of warrants or rights					137,500											275,000
Exercise price					$ 0.40											$ 0.20
Warrant [Member] | EMA Financial, LLC [Member] | Securities Purchase Agreement [Member] | On March, 1, 2019 [Member]
Common stock shares issuable upon exercise of warrants or rights								1,100,000			1,100,000
Exercise price								$ 0.05			$ 0.05
Warrant [Member] | Auctus Fund, LLC [Member] | Securities Purchase Agreement [Member]
Common stock shares issuable upon exercise of warrants or rights					275,000
Exercise price					$ 0.20
Warrant [Member] | Auctus Fund, LLC [Member] | Securities Purchase Agreement [Member] | On March, 1, 2019 [Member]
Common stock shares issuable upon exercise of warrants or rights								1,100,000			1,100,000
Exercise price								$ 0.05			$ 0.05
Warrant [Member] | Crown Bridge Partners [Member] | Securities Purchase Agreement [Member]
Common stock shares issuable upon exercise of warrants or rights					243,750
Exercise price					$ 0.20
Warrant [Member] | Crown Bridge Partners [Member] | Securities Purchase Agreement [Member] | On March, 1, 2019 [Member]
Common stock shares issuable upon exercise of warrants or rights								975,000			975,000
Exercise price								$ 0.05			$ 0.05
Warrant [Member] | Convertible Promissory Notes [Member]
Original issue discount								$ 96,000			$ 96,000
Crown Bridge Partners (Tranche #2) [Member]
Original issue discount								4,750			4,750
Amortization of debt discount											33,000
Accretion of debt discount											2,000	0
Accretion of debt discount to be recognized in future								17,730,000			17,730,000
Crown Bridge Partners (Tranche #2) [Member] | Derivative [Member]
Original issue discount								40,000			40,000
Crown Bridge Partners (Tranche #2) [Member] | Warrants [Member]
Original issue discount								21,000			21,000
Debt discount								32,500			32,500
Auctus Fund #2 [Member]
Amortization of debt discount											53,400
Accretion of debt discount											2,500	$ 0
Auctus Fund #2 [Member] | Derivative [Member]
Original issue discount								$ 65,000			$ 65,000
Auctus Fund #2 [Member] | Warrants [Member]
Exercise price	$ 0.0063							$ 0.0037		$ 0.0063	$ 0.0037
Risk-free interest rate										2.40%	2.23%
Debt conversion price	$ 0.05							$ 0.05		$ 0.05	$ 0.05
Auctus Fund [Member] | Warrants [Member]
Original issue discount								$ 36,000			$ 36,000
Debt discount								55,000			55,000
Auctus Fund #2 [Member]
Original issue discount								7,750			7,750
Accretion of debt discount to be recognized in future								52,000			52,000
Crown [Member]
Debt conversion amount converted or elected to be converted								46,000			46,000
Debt conversion amount converted or elected to be converted, principal								$ 36,000			$ 36,000
Common stock shares issued upon conversion of debt								32,520,000			32,520,000
Debt conversion amount converted or elected to be converted, fees											$ 10,000

STOCK TRANSACTIONS (Details Nar

STOCK TRANSACTIONS (Details Narrative)	9 Months Ended
	Mar. 31, 2019USD ($)shares
Crown [Member]
Debt conversion amount converted or elected to be converted	$ 46,000
Debt conversion amount converted or elected to be converted, principal	36,000
Debt conversion amount converted or elected to be converted, fees	$ 10,000
Common stock shares issued upon conversion of debt | shares	32,520,000
Auctus [Member]
Debt conversion amount converted or elected to be converted	$ 28,000
Debt conversion amount converted or elected to be converted, principal	5,100
Debt conversion amount converted or elected to be converted, fees	$ 6,000
Common stock shares issued upon conversion of debt | shares	13,480,000
Debt conversion amount converted or elected to be converted, accrued and unpaid interest	$ 16,900
EMA [Member]
Debt conversion amount converted or elected to be converted	55,700
Debt conversion amount converted or elected to be converted, principal	43,000
Debt conversion amount converted or elected to be converted, fees	$ 12,700
Common stock shares issued upon conversion of debt | shares	25,000,000

OPTIONS AND WARRANTS (Details N

OPTIONS AND WARRANTS (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2019	Mar. 31, 2018	Mar. 31, 2019	Mar. 31, 2018
Accretion of debt discount	$ 45,816	$ 25,418	$ 219,316	$ 28,754
Warrant [Member]
Number of securities to be issued upon exercise of outstanding options, warrants and rights	7,400,000		7,400,000
Weighted-average exercise price of options, warrants and rights	$ 0.37		$ 0.37
Compensation expected to be recognized	$ 2,200		$ 2,200
Accretion of debt discount	$ 600	1,300	$ 2,400	3,900
Option [Member]
Number of securities to be issued upon exercise of outstanding options, warrants and rights	910,000		910,000
Numbers of options outstanding			6 years 3 months 4 days
Numbers of options exercisable			5 years 10 months 17 days
Number of securities remaining available for future issuance under equity compensation plan (excluding securities reflected in column (a))	826,000		826,000
Expense recognized	$ 22,500	$ 16,000	$ 74,000	$ 48,000
Compensation expected to be recognized	$ 47,000		47,000
Weighted-average exercise intrinsic value			$ 0
Option [Member] | Options exercisable [Member]
Weighted-average exercise price of options, warrants and rights	$ 1.52		$ 1.52
Option [Member] | Options outstanding [Member]
Weighted-average exercise price of options, warrants and rights	$ 1.45		$ 1.45

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details Narrative) - USD ($)	Mar. 15, 2019	Mar. 31, 2019	Mar. 31, 2018	Mar. 31, 2019	Mar. 31, 2018
Fair Value Volatility rate	325.00%
Fair Value Risk-free interest rate	2.52%
Fair Value Expected term	8 months
Selling, general and administrative expense		$ 213,263	$ 313,716	$ 615,970	$ 790,175
Employee Agreement with Wesley Tate [Member] | On February 1, 2018 [Member]
Annual salary				$ 187,200
Common stock shares option				800,000
Stock options to purchase vested		160,000		160,000
Exercise price		$ 0.18		$ 0.18
Fair market value option				$ 144,000
Selling, general and administrative expense		$ 7,300	34,000	22,000	34,000
Compensation expected to be recognized in future cost		$ 81,000		$ 81,000
Terms of contract				36 months
Shares issued		160,000		160,000
Employee Agreement with Wesley Tate [Member] | On September 29, 2016 [Member]
Common stock shares option				105,000
Stock options to purchase vested		63,000		63,000
Exercise price		$ 0.75		$ 0.75
Fair market value option				$ 78,000
Fair Value Volatility rate				206.00%
Fair Value Risk-free interest rate				1.13%
Fair Value Expected term				6 years
Fair Value Dividend yield				0.00%
Selling, general and administrative expense		$ 4,000	4,000	$ 12,000	12,000
Compensation expected to be recognized in future cost		$ 19,500		19,500
Employee Agreement with Wesley Tate [Member] | On October 1, 2014 [Member]
Annual salary				$ 156,000
Common stock shares option				50,000
Stock options to purchase vested		50,000		50,000
Exercise price		$ 1.20		$ 1.20
Fair market value option				$ 56,000
Fair Value Volatility rate				262.00%
Fair Value Risk-free interest rate				1.69%
Fair Value Expected term				5 years
Fair Value Dividend yield				0.00%
Selling, general and administrative expense		$ 0	2,700	$ 2,200	8,000
Employee Agreement with Eric Clemons [Member] | On February 1, 2018 [Member]
Annual salary				$ 214,500
Common stock shares option				800,000
Stock options to purchase vested		160,000		160,000
Exercise price		$ 0.18		$ 0.18
Fair market value option				$ 144,000
Selling, general and administrative expense		$ 7,300	34,000	22,000	34,000
Compensation expected to be recognized in future cost		$ 81,000		$ 81,000
Terms of contract				36 months
Shares issued		160,000		160,000
Employee Agreement with Eric Clemons [Member] | On September 29, 2016 [Member]
Common stock shares option				105,000
Stock options to purchase vested		63,000		63,000
Exercise price		$ 0.75		$ 0.75
Fair market value option				$ 78,000
Fair Value Volatility rate				206.00%
Fair Value Risk-free interest rate				1.13%
Fair Value Expected term				6 years
Fair Value Dividend yield				0.00%
Selling, general and administrative expense		$ 4,000	4,000	$ 12,000	12,000
Compensation expected to be recognized in future cost		$ 19,500		19,500
Employee Agreement with Eric Clemons [Member] | On March 1, 2015 [Member]
Cash placement bonus				$ 0
Aggregate purchase price				10.00%
Employee Agreement with Eric Clemons [Member] | Omnibus Stock Grant and Option Plan [Member]
Annual salary				$ 195,000
Common stock shares option				100,000
Stock options to purchase vested		100,000		100,000
Fair market value option				$ 112,000
Fair Value Volatility rate				262.00%
Fair Value Risk-free interest rate				1.69%
Fair Value Expected term				5 years
Fair Value Dividend yield				0.00%
Selling, general and administrative expense		$ 0	$ 4,500	$ 4,500	$ 16,500

EARNINGS PER SHARE (Details)

EARNINGS PER SHARE (Details) - USD ($)	3 Months Ended						9 Months Ended
	Mar. 31, 2019	Dec. 31, 2018	Sep. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Sep. 30, 2017	Mar. 31, 2019	Mar. 31, 2018
Earnings Per Share Details Abstract
Net loss attributable to the common stockholders	$ (390,209)	$ (371,138)	$ (537,299)	$ (654,602)	$ (3,412,980)	$ (431,483)	$ (1,298,646)	$ (4,499,065)
Basic weighted average outstanding shares of common stock	51,280,025			8,755,125			34,161,037	8,365,059
Dilutive effect of options and warrants
Diluted weighted average common stock and common stock equivalents	51,280,025			8,755,125			34,161,037	8,365,059
Earnings (loss) per share:
Basic and diluted	$ (0.03)			$ (0.07)			$ (0.04)	$ (0.54)

EARNINGS PER SHARE (Details Nar

EARNINGS PER SHARE (Details Narrative) - $ / shares	9 Months Ended
	Mar. 31, 2019	Mar. 31, 2018
Potentially dilutive options and warrants	7,400,000	4,000,000
Common stock shares issuable upon conversion of convertible notes	30,000,000
Minimum [Member]
Exercise price of convertible notes	$ 0.10
Maximum [Member]
Exercise price of convertible notes	$ 5

SUBSEQUENT EVENTS (Details Narr

SUBSEQUENT EVENTS (Details Narrative) - USD ($)	1 Months Ended
	Apr. 23, 2019	Apr. 17, 2019	May 10, 2019	Apr. 30, 2019	Apr. 25, 2019	Apr. 10, 2019	Apr. 04, 2019	Apr. 02, 2019	Mar. 31, 2019	Jun. 30, 2018
Common stock, shares authorized									249,000,000	249,000,000
Subsequent Event [Member]
Common stock, shares authorized							1,250,000,000
Subsequent Event [Member] | Investor [Member] | Securities Purchase Agreement [Member]
Sale of convertible promissory note		$ 27,500
Purchase price		$ 25,000
Proceeds from sale of convertible promissory note	$ 25,000
Maturity date		Apr. 17, 2020
Interest rate		10.00%
Conversion price		$ 0.01
Subsequent Event [Member] | Investor [Member] | Securities Purchase Agreement [Member] | Maximum [Member]
Interest rate		18.00%
Subsequent events description		This note is convertible following 180 days from the Issuance Date, in whole or in part, at the option of the Purchaser into shares of common stock of the Company at a conversion price equal to $0.01. Upon an Event of Default, this note is convertible at 60% of the lowest traded price of the Company’s common stock during the twenty (20) trading days immediately prior to the Conversion Date, which is subject to adjustment for stock dividends, stock splits, combinations or similar events. The Company may prepay in cash any portion of the principal amount of this note and any accrued and unpaid interest in an amount equal to a range between 125% to 135% of the sum of the then outstanding principal amount of this note and interest.
Subsequent Event [Member] | EMA [Member]
Debt conversion amount elected to convert, total debt			$ 12,000		$ 11,800	$ 12,600		$ 11,060
Debt conversion amount elected to convert, principal			7,410		11,130	11,850		10,310
Debt conversion amount elected to convert, additional principal			3,840
Debt conversion amount elected to convert, fees			$ 750		$ 750	$ 750		$ 750
Common stock shares issuable upon conversion of debt			12,000,000		9,900,000	9,000,000		7,900,000
Exercise price			$ 0.001		$ 0.0012	$ 0.0014		$ 0.0014
Subsequent Event [Member] | EMA Financial, LLC [Member] | February 12, 2018, Convertible Note [Member]
Debt conversion amount elected to convert, total debt						$ 12,600		$ 11,060
Debt conversion amount elected to convert, principal						11,850		10,310
Debt conversion amount elected to convert, fees						$ 750		$ 750
Common stock shares issuable upon conversion of debt						9,000,000		7,900,000
Exercise price						$ 0.0014		$ 0.0014
Subsequent Event [Member] | Crown [Member]
Debt conversion amount elected to convert, total debt				$ 5,058				$ 4,863
Debt conversion amount elected to convert, principal				4,558				4,363
Debt conversion amount elected to convert, fees				$ 500				$ 500
Common stock shares issuable upon conversion of debt				5,780,000				3,970,000
Exercise price				$ 0.00875				$ 0.001225
Subsequent Event [Member] | Crown [Member]
Debt conversion amount elected to convert, total debt	5,775							$ 3,927
Debt conversion amount elected to convert, principal	5,275							3,427
Debt conversion amount elected to convert, fees	$ 500							$ 500
Common stock shares issuable upon conversion of debt	5,000,000							6,600,000
Exercise price	$ 0.001155							$ 0.000595