Nascent Biotech (NBIO) 10-Q 9 Aug 16 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Jun. 30, 2016	Aug. 09, 2016
Document And Entity Information
Entity Registrant Name	Nascent Biotech Inc.
Entity Central Index Key	1,622,057
Document Type	10-Q
Document Period End Date	Jun. 30, 2016
Amendment Flag	false
Current Fiscal Year End Date	--03-31
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		21,784,065
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2,017

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($)	Jun. 30, 2016	Mar. 31, 2016
Current assets
Cash and cash equivalents	$ 65,222	$ 573,350
Total current assets	65,222	573,350
Materials held for research and development with alternative future use	827,964	827,964
Total assets	893,186	1,401,314
Current liabilities
Accounts payable and accrued liabilities	1,635,650	2,339,244
Accounts payable to related parties	3,180
License agreement liability	23,000	27,000
Derivative Liability	6,574	3,849
Deferred revenue		600,000
Total current liabilities	1,668,404	2,970,093
Total liabilities	1,668,404	2,970,093
Stockholder's deficit
Preferred stock, $0.001 par value, 10,000,000 authorized, none issued and outstanding
Common stock, $0.001 par value, 100,000,000 authorized, 21,784,065 and 21,617,565 issued and outstanding, respectively	21,784	21,617
Additional paid-in-capital	8,910,253	8,789,831
Accumulated deficit	(9,707,255)	(10,380,227)
Total stockholder's deficit	(775,218)	(1,568,779)
Total liabilities and stockholders' deficit	$ 893,186	$ 1,401,314

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Jun. 30, 2016	Mar. 31, 2016
Stockholders' deficit
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, authorized shares	10,000,000	10,000,000
Preferred stock, issued shares	0	0
Preferred stock, outstanding shares	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, authorized shares	100,000,000	100,000,000
Common stock, issued shares	21,784,065	21,617,565
Common stock, outstanding shares	21,784,065	21,617,565

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($)	3 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Consolidated Statements Of Operations
Revenue	$ 600,000
Gross profit	600,000
Operating expenses:
General and administrative expense	205,222	160,230
Gain on settlement of accounts payable	(335,000)
Research and development		600,051
Income (loss) from operations	729,778	(760,281)
Other income (expense)
Interest income	48
Loss on change in fair value of derivative liability	(2,725)	(12,389)
Interest expense	(54,129)	(23,823)
Total other income (expense)	(56,806)	(36,212)
Net income (loss)	$ 672,972	$ (796,493)
Net income (loss) per share, basic and diluted	$ 0.03	$ (0.04)
Weighted average number of shares outstanding, basic and diluted	21,646,840	17,786,303

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)	3 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Cash flows from operating activities:
Net income (loss)	$ 672,972	$ (796,493)
Adjustments to reconcile net loss to net cash used in operating activities:
Change in fair value of derivative liability	2,725	12,389
Gain on settlement of accounts payable	(335,000)
Stock based compensation	8,250
Option expense	37,339	55,504
Changes in operating assets and liabilities:
Accounts payable and accrued expenses	(293,594)	234,215
Accounts payable to related parties	3,180
License agreement liability	(4,000)	(3,000)
Prepaid expenses		(3,060)
Deferred revenue	(600,000)
Net cash used in operating activities	(508,128)	(500,445)
Cash flows from financing activities:
Proceeds from sale of common stock		500,000
Net cash provided by financing activities		500,000
Net decrease in cash	(508,128)	(445)
Cash - beginning of year	573,350	107,571
Cash - end of year	65,222	107,126
SUPPLEMENT DISCLOSURES:
Interest paid
Income taxes paid
NON-CASH TRANSACTIONS
Common stock issued for settlement of accounts payable	$ 75,000

ORGANIZATION AND NATURE OF OPER

ORGANIZATION AND NATURE OF OPERATIONS	3 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
NOTE 1 - ORGANIZATION AND NATURE OF OPERATIONS	Nascent Biotech, Inc ("Nascent" or the "Company"") was incorporated on March 3, 2014 under the laws of the State of Nevada. The Company is actively developing its primary asset Pritumumab for the treatment of brain cancer and pancreatic cancer. Nascent is also actively researching other cancers that have a high probability of benefiting from the therapeutic effects of Pritumumab because they share a common target. Pritumumab has shown to be very effective at low doses in previous clinical studies in Japan Nascent is a clinical stage biopharmaceutical company that develops monoclonal antibodies for the treatment of various forms of cancer. The Company focuses on biologic drug candidates that are undergoing or have already completed initial clinical testing for the treatment of cancer and then seek to further develop those drug candidates for commercial use. Nascent currently own the license rights to a drug candidate, pritumumab, which the Company is developing.

BASIS OF PRESENTATION

BASIS OF PRESENTATION	3 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
NOTE 2 - BASIS OF PRESENTATION	The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles. The Company has elected a fiscal year ending on March 31. The accompanying unaudited interim consolidated financial statements of the Company for the three months ended June 30, 2016 and 2015 have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information in accordance with Securities and Exchange Commission and should be read in conjunction with the audited financial statements and notes thereto contained in the Company's annual report on Form 10-K for the year ended March 31, 2016. In the opinion of management, the unaudited financial statements have been prepared on the same basis as the annual financial statements and reflect all adjustments, which include only normal recurring adjustments, necessary to present fairly the financial position and the results of operations for the interim periods presented herein. The results of operations for the interim periods are not necessarily indicative of the results to be expected for any subsequent quarters or for an entire year.

GOING CONCERN

GOING CONCERN	3 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
NOTE 3 - GOING CONCERN	The Company's consolidated financial statements are prepared using accounting principles generally accepted in the United States of America applicable to a going concern that contemplates the realization of assets and liquidation of liabilities in the normal course of business. The Company, as shown in the accompanying consolidated balance sheets, has negative working capital of $1,603,182 as June 30, 2016. The Company had incurred net losses since inception until the period ended June 30, 2016 in which the Company posted net income of $672,972 from a non-refundable deposit on a license sale. The Company has a source of revenue to cover its operating costs, however the source of revenue is not predictable and the Company will incur additional expenses in the future developing their product. These factors raise substantial doubt about the company's ability to continue as a going concern. The Company will engage in research and development activities that must be satisfied in cash secured through outside funding. The Company will offer noncash consideration and seek equity lines as a means of financing its operations. If the Company is unable to obtain revenue producing contracts or financing or if the revenue or financing it does obtain is insufficient to cover any operating losses it may incur, it may substantially curtail or terminate its operations or seek other business opportunities through strategic alliances, acquisitions or other arrangements that may dilute the interests of existing stockholders.

RELATED PARTY TRANSACTIONS

RELATED PARTY TRANSACTIONS	3 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
NOTE 4 - RELATED PARTY TRANSACTIONS	On September 1, 2015 the Company entered into five year employment contracts with three of its officers and directors. Under the terms of the agreements the Company issued shares of common stock to the officers and directors equaling 11% of the outstanding shares of the Company as of the date of the contracts. As additional future shares are issued, the officers and directors are entitled to additional shares so their aggregate ownership percentage remains at 11% of the outstanding shares of the Company. The following table sets forth the shares earned under these contracts as of June 30, 2016: Officer and Director Initial Share Awards Under the Contracts Additional Shares Earned to Maintain Ownership Percentage Total Shares Earned President 1,028,910 54,318 1,083,228 Chief Financial Officer 617,346 32,591 649,937 Senior Vice President 617,346 32,591 649,937 Total 2,263,602 119,500 2,383,102 In addition, if the officers and directors are removed from the company they are entitled to receive a cash severance payment per annum for each year of the term of the contract less salary payments received to date of termination. The table below sets forth the annual salary and annual severance amounts per the contracts: Officer and Director Annual Compensation Annual Severance per Contract if Terminated President $ 99,250 $ 250,000 Chief Financial Officer $ 60,000 $ 180,000 Senior Vice President $ 24,000 $ 140,000 Total $ 183,250 $ 570,000 During the three months ended June 30, 2016 the Company issued 16,500 shares of common stock to three officers with a value of $8,250 for service. As of June 30, 2016 the Company owed a related party $3,180 in expenses. The related party is a consultant to the Company and receives $5,000 per month in consulting fees.

LICENSE LIABILITY

LICENSE LIABILITY	3 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
NOTE 5 - LICENSE LIABILITY	The Company holds a license from a third party for certain patents and related material related to Pritumumab. The license allows the Company to develop, manufacture and sell its product worldwide using the patents under the license agreement. The license was entered into by Nascent Biologics, Inc. in March 2009 granting rights to the development and certain patents. The license was granted for total consideration of $2,000,000, to be paid in six installment of $300,000 plus a final payment of $200,000 on January 1, 2016. In addition, the license provides the licensor with a royalty of 2% on the sales of the developed product, up to $10,000,000 in sales, and thereafter, a royalty of 1% for all sales over $10,000,000. Prior to the acquisition by the Company, Nascent Biologics allowed 10 patents to expire based on their assessment of the patents and their value relating to the Company's development of its product. Nascent Biologics and the licensor amended the license agreement requiring payments of $333,000 per year from January 1, 2012 through January 1, 2015. Such payments were not made by Nascent Biologic or the Company after the acquisition of Nascent Biologic. On September 21, 2015 the Company and the licensor amended their agreement where the licensor received a $30,000 cash payment and will receive $1,000 per month for 28 months plus a $5,000 additional payment on the 28th month. In addition the licensor received 200,000 shares of the Company's common stock, plus will receive 1% of net sales of the Company's product up to $1,000,000 in royalties. The fair value of the stock issued was determined to be $150,000 and the transaction resulted in a gain on settlement of license agreement liability of $1,573,650. The remaining liability, as of June 30, 2016 of $23,000, will be paid over 18 months.

DERIVATIVE LIABILITIES

DERIVATIVE LIABILITIES	3 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
NOTE 6 - DERIVATIVE LIABILITIES	On May 20, 2014 the Company granted 13,317 common stock warrants for services. The warrants vest immediately, are exercisable at $1.00 per share and expire on May 21, 2017. The Company determined that the warrants were not afforded equity classification because the warrants are not considered to be indexed to the Company's own stock due to the anti-dilution provision. Accordingly, the warrants are treated as a derivative liability and are carried at fair value. The Company estimated the fair value of these derivative warrants at each balance sheet date and the changes in fair value are recognized in earnings in the statement of operations under the caption "loss on change in fair value of derivative liability" until such time as the derivative warrants are exercised or expire. The Company used the Black-Scholes Option Pricing model to estimate the fair value of the derivative liability as of the date of issuance and as of June 30, 2016 using the following key inputs: market price of the Company's common stock $0.10 to $1.51 per share, volatility of 250% and discount rate of 0.13%. The fair value of the derivative liability was determined to be $3,849 as of March 31, 2016 and $6,574 as of June 30, 2016 which resulted in a loss on the change in fair value of derivative liability of $2,725 for the three months ended June 30, 2016. Fair Value of Financial Instruments The Company's financial instruments consist of cash and cash equivalents, accounts payable and accrued expenses and shareholder loans. The carrying amount of these financial instruments approximates fair value due either to length of maturity or interest rates that approximate prevailing market rates unless otherwise disclosed in these financial statements. Financial assets and liabilities recorded at fair value in our condensed consolidated balance sheets are categorized based upon a fair value hierarchy established by GAAP, which prioritizes the inputs used to measure fair value into the following levels: Level 1 — Quoted market prices in active markets for identical assets or liabilities at the measurement date. Level 2 — quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable and can be corroborated by observable market data. Level 3 — Inputs reflecting management's best estimates and assumptions of what market participants would use in pricing assets or liabilities at the measurement date. The inputs are unobservable in the market and significant to the valuation of the instruments. A financial instrument's categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Financial assets and liabilities measured at fair value on a recurring basis are summarized below as of June 30, 2016 and March 31, 2016: Level 1 Level 2 Level 3 Total As of June 30, 2016: Assets None $ - $ - $ - $ - Liabilities Derivative liability $ - $ - $ 6,574 6,574 As of March 31, 2016: Assets None $ - $ - $ - $ - Liabilities Derivative liability $ - $ - $ 3,849 $ 3,849 The following table summarizes the change in the fair value of the derivative liability during the six months ended June 30, 2016: Fair value as of March 31, 2016 $ 3,849 Additions -- Transfers in (out) of Level 3 -- Change in fair value 2,725 Fair value as of June 30, 2016 $ 6,574

COMMON STOCK

COMMON STOCK	3 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
NOTE 7 - COMMON STOCK	During the three months month period ended June 30, 2015 the Company issued 500,000 shares of common stock for $500,000 in cash. During the three months ended June 30, 2016 the Company issued 150,000 shares of common stock with a value of $75,000 for the settlement of $410,000 of accounts payable realizing a gain on settlement of accounts payable of $335,000. During the three months ended June 30, 2016 the Company issued 16,500 shares of common stock to three officers with a value of $8,250 for service.

OPTIONS

OPTIONS	3 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
NOTE 8 - OPTIONS	The Company under its 2015 option plan issues options to various officers, directors and consultants. The options vest in equal annual installments over a five year period with the first 20% vested when the options were granted. All of the options are exercisable at a purchase price based on the last trading price of the Company's common stock on the date of grant and have a term of 10 years. On January 27, 2015 the Company issued 355,000 options with an exercise prices between $0.35 and $0.50 per share to four officers and directors and two consultants of the Company. A volatility of 250%, market price of common stock of $1.25 and a discount rate of 1.81% were used in calculating the fair value of the options using the Black-Scholes Option Pricing Model. The fair value of the options was determined to be $443,069. The fair value is being recognized as stock-based compensation over the vesting period of the options. On April 1, 2015 the Company granted a consultant to the Company 30,000 options that are exercisable at $0.35 per share. A volatility of 250%, market price of common stock of $1.05 and a discount rate of 1.87% were used in calculating the fair value of the options using the Black-Scholes Option Pricing Model. The fair value of the options was determined to be $31,456. The fair value is being recognized as stock-based compensation over the vesting period of the options. This award to a nonemployee is revalued at each reporting period until completion of services. On January 27, 2016 the Company granted a consultant to the Company 10,000 options that are exercisable at $0.50 per share. A volatility of 250%, market price of common stock of $0.14 and a discount rate of 1.87% were used in calculating the fair value of the options using the Black-Scholes Option Pricing Model. The fair value of the options were determined to be $1,392 on the date of grant. The fair value is being recognized as stock-based compensation over the vesting period of the options. This award to a nonemployee is revalued at each reporting period until completion of services. On April 1, 2016 the Company issued 40,000 options to a consultant under the 2015 option program. The options are exercisable into the Company's common stock at $0.30 per share, have term of 10 years and vest in 5 equal annual installments with the first installment vesting on the date of grant. This award to a nonemployee is revalued at each reporting period until completion of services. On April 1, 2016 the Company entered into a consulting agreement under which the consultant was granted 30,000 options on April 1, 2016. In addition, the consultant will be entitled to additional option grants of 30,000 options on April 1, 2017 and 40,000 options on April 1, 2018. The options are exercisable into the Company's common stock at $0.30 per share, have term of 10 years and vest in 5 equal annual installments with the first installment vesting on the date of grant. During the three months period ended June 30, 2016, the Company expensed $37,339 related to its option awards. The unrecognized future balance to be expensed over the remaining vesting term of the options is $165,553 as of June 30, 2016. The following sets forth the options granted and outstanding during the nine months ended June 30, 2016: Options Weighted Average Exercise Price Weighted Average Remaining Contract Life Number of Options Exercisable Intrinsic Value Outstanding at March 31, 2016 395,000 $ 0.48 8.87 150,000 $ 900 Granted 70,000 0.30 -- 14,000 5,460 Exercised -- -- -- -- -- Outstanding at June 30, 2016 465,000 $ 0.45 8.80 170,000 $ 38,700 The weighted average remaining life and intrinsic value of the options as of June 30, 2016 was 8.80 years and $38,700, respectively.

WARRANTS

WARRANTS	3 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
NOTE 9 - WARRANTS	On September 30, 2015 the Company issued 145,000 warrants to 6 shareholders along with 145,000 common shares for aggregate cash proceeds of $145,000.On October 20, 2015 the Company issue 50,000 warrants along with 50,000 common shares to one individual for aggregate cash proceeds of $50,000. Each warrant is exercisable within two years of the issuance date into one share of the Company's common stock at $0.01 per share. As of June 30, 2016, 120,000 of these warrants have been exercised leaving a balance of 75,000 warrants outstanding plus 13,317 initially issued for a total of 88,317. The weighted average remaining life and intrinsic value of the warrants as of June 30, 2016 was 1.23 years and $51,000, respectively. Weighted Weighted Average Average Remaining Exercise Contract Intrinsic Warrants Price Life Value Outstanding at March 31, 2016 88,317 $ 0.16 1.48 $ 29,250 Granted -- -- -- -- Exercised -- -- -- -- Outstanding at June 30, 2016 88,317 $ 0.16 1.23 $ 51,000

MATERIALS HELD FOR RESEARCH AND

MATERIALS HELD FOR RESEARCH AND DEVELOPMENT WITH ALTERNATIVE FUTURE ALTERNATIVE USE	3 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
NOTE 10 - MATERIALS HELD FOR RESEARCH AND DEVELOPMENT WITH ALTERNATIVE FUTURE ALTERNATIVE USE	During the year ended March 31, 2015, the Company, through contract manufacturing incurred costs related to the production of 424 grams of Pritumumab, a human monoclonal antibody. The product is being produced for use in research and development. In addition to the use in the brain cancer clinical trials, the Company has also determined the Pritumumab can be used in its current state for pancreatic, breast and lung cancer trials, none of which have commenced. Due to the existence of these alternative future uses, the Company has capitalized the cost of these materials not expected to be used in the brain cancer trials. Of the 424 grams being produced, 110 grams is expected to be used in the brain cancer trials which have already been planned, but have not commenced. The cost of the 110 grams was expensed as research and development during the year ended March 31, 2015. The amount capitalized by the Company as June 30, 2016 and March 31, 2016 is $827,964 associated with 313 grams. These capitalized costs will be expensed as research and development as the materials are consumed. As of June 30, 2016 and March 31, 2016, the manufacturing of the 424 grams was completed in bulk form.

ACCOUNTS PAYABLE

ACCOUNTS PAYABLE	3 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
NOTE 11 - ACCOUNTS PAYABLE	On June 30, 2016 the Company reached an agreement for the settlement of outstanding accounts payable and cell line transfer with its manufacturer. Under the terms of the agreement the Company will pay the manufacture $1,500,000 for all outstanding accounts payable, plus receive a credit for $135,000 for completion of the product testing and manufacturing report, receive a credit for the cell line transfer fee of $225,000 and receive a credit of $150,000 for the 5% royalty on the $3,000,000 license sales. Under the agreement, the Company will incur futures cost to the manufacture of 5% of the net future license payments received by the Company. (See Note 14 – Subsequent Events)

LICENSE AGREEMENT

LICENSE AGREEMENT	3 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
NOTE 12 - LICENSE AGREEMENT	On January 12, 2016 the Company entered into a letter of intent with a company based in China to license the Company's product for production and sales in China. Under the terms of the agreement the Company will receive a nonrefundable initial license payment of $600,000 for suspending negotiations with other potential licensees, with the second license payment of $2,400,000 less taxes of 10% due after the completion of the license agreement. A payment of $5,000,000 less taxes of 10% will be received when the product is approved by the China FDA for clinical trial and a payment of $8,000,000 less taxes of 10% upon approval for commercial use within the license territory. In addition, a royalty of 9% of net sales less taxes of 10% will be paid to the Company. On June 13, 2016 the Company completed a license agreement with a company in China. Under the terms of the license agreement the initial payment of $600,000 was made by the licensee on March 30, 2016 to suspend negotiations with other license parties. The $600,000 payment was recorded in the prior year as deferred income. After it became nonrefundable when the license agreement was signed June 13, 2016 and the negotiation suspension period ceased, the Company recorded the revenue. The license payment of $2,400,000 became due within 20 days after the signing of the agreement and was paid on July 6, 2016. (See Note 14 – Subsequent Events)

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
NOTE 13 - COMMITMENTS AND CONTINGENCIES	On June 30, 2016 the Company entered into a cell line sales agreement with the product manufacture. Under the terms of the agreement the company is obligated to make future payments based on the milestones of its achievements. These future payments may be as followed; 1. $100,000 upon the initiation (first dose/first patient) of the first Phase I clinical trial (or equivalent) of a Product; 2. $225,000 upon the initiation (first dose/first patient) of the first Phase III clinical trial (or equivalent) of a Product 3. $225,000 payable upon the first Biologics License Application approval (or equivalent) of a product. 4. Annual maintenance fee upon completion of phase I manufacturing or the transfer of the cell line from Catalent's control of $50,000; 5. A contingent sales fee upon product sales of 1% of sales or $150,000 whichever is greater.

SUBESQUENT EVENTS

SUBESQUENT EVENTS	3 Months Ended
	Jun. 30, 2016
Notes to Financial Statements
NOTE 14 - SUBESQUENT EVENTS	On July 6, 2016 the Company received a license payment of $2,400,000 less taxes of 10% ($2,160,000). (See Note 12- License Agreement) On July 7, 2016 the Company paid the manufacture the $1,500,000 owed per the settlement agreement. (See Note 11 Accounts Payable) On July 18, 2016 the Company granted from the 2015 Option Program 300,000 options each to three officers and directors for a total of 900,000 options being granted. The options have an exercise price of $0.301 per share. On July 22, 2016 the Company increased the base compensation for each officer by $2,000 per month as entitled by their compensation agreements.

RELATED PARTY TRANSACTIONS (Tab

RELATED PARTY TRANSACTIONS (Tables)	3 Months Ended
	Jun. 30, 2016
Related Party Transactions Tables
Shares earned	Officer and Director Initial Share Awards Under the Contracts Additional Shares Earned to Maintain Ownership Percentage Total Shares Earned President 1,028,910 54,318 1,083,228 Chief Financial Officer 617,346 32,591 649,937 Senior Vice President 617,346 32,591 649,937 Total 2,263,602 119,500 2,383,102
Salary and severance	Officer and Director Annual Compensation Annual Severance per Contract if Terminated President $ 99,250 $ 250,000 Chief Financial Officer $ 60,000 $ 180,000 Senior Vice President $ 24,000 $ 140,000 Total $ 183,250 $ 570,000

DERIVATIVE LIABILITIES (Tables)

DERIVATIVE LIABILITIES (Tables)	3 Months Ended
	Jun. 30, 2016
Derivative Liabilities Tables
Fair value of the assets and liabilities	Level 1 Level 2 Level 3 Total As of June 30, 2016: Assets None $ - $ - $ - $ - Liabilities Derivative liability $ - $ - $ 6,574 6,574 As of March 31, 2016: Assets None $ - $ - $ - $ - Liabilities Derivative liability $ - $ - $ 3,849 $ 3,849
Fair value of the derivative liability	Fair value as of March 31, 2016 $ 3,849 Additions -- Transfers in (out) of Level 3 -- Change in fair value 2,725 Fair value as of June 30, 2016 $ 6,574

OPTIONS (Tables)

OPTIONS (Tables)	3 Months Ended
	Jun. 30, 2016
Derivative Liabilities Tables
Summery of options granted and outstanding	Options Weighted Average Exercise Price Weighted Average Remaining Contract Life Number of Options Exercisable Intrinsic Value Outstanding at March 31, 2016 395,000 $ 0.48 8.87 150,000 $ 900 Granted 70,000 0.30 -- 14,000 5,460 Exercised -- -- -- -- -- Outstanding at June 30, 2016 465,000 $ 0.45 8.80 170,000 $ 38,700

WARRANTS (Tables)

WARRANTS (Tables)	3 Months Ended
	Jun. 30, 2016
Warrants Tables
Warrants exercised	Weighted Weighted Average Average Remaining Exercise Contract Intrinsic Warrants Price Life Value Outstanding at March 31, 2016 88,317 $ 0.16 1.48 $ 29,250 Granted -- -- -- -- Exercised -- -- -- -- Outstanding at June 30, 2016 88,317 $ 0.16 1.23 $ 51,000

GOING CONCERN (Details Narrativ

GOING CONCERN (Details Narrative)	Jun. 30, 2016USD ($)
Going Concern Details Narrative
Working capital deficit	$ 1,603,182
Non-refundable deposit income	$ 672,972

RELATED PARTY TRANSACTIONS (Det

RELATED PARTY TRANSACTIONS (Details)	3 Months Ended
	Jun. 30, 2016shares
Initial Share Awards Under the Contracts	2,263,602
Additional Shares Earned to Maintain Ownership Percentage	119,500
Total Shares Earned	2,383,102
President [Member]
Initial Share Awards Under the Contracts	1,028,910
Additional Shares Earned to Maintain Ownership Percentage	54,318
Total Shares Earned	1,083,228
Chief Financial Officer [Member]
Initial Share Awards Under the Contracts	617,346
Additional Shares Earned to Maintain Ownership Percentage	32,591
Total Shares Earned	649,937
Senior Vice President [Member]
Initial Share Awards Under the Contracts	617,346
Additional Shares Earned to Maintain Ownership Percentage	32,591
Total Shares Earned	649,937

RELATED PARTY TRANSACTIONS (D26

RELATED PARTY TRANSACTIONS (Details 1)	3 Months Ended
	Jun. 30, 2016USD ($)
Annual Salary	$ 183,250
Annual Severance per Contract if Terminated	570,000
President [Member]
Annual Salary	99,250
Annual Severance per Contract if Terminated	250,000
Chief Financial Officer [Member]
Annual Salary	60,000
Annual Severance per Contract if Terminated	180,000
Senior Vice President [Member]
Annual Salary	24,000
Annual Severance per Contract if Terminated	$ 140,000

RELATED PARTY TRANSACTIONS (D27

RELATED PARTY TRANSACTIONS (Details Narrative)	3 Months Ended
	Jun. 30, 2016USD ($)shares
Aggregate common shares issued | shares	16,500
Related party expense	$ 3,180
Consultant [Member]
Consulting fees	5,000
Former Officer [Member]
Consulting fees	$ 8,250

LICENSE LIABILITY (Details Narr

LICENSE LIABILITY (Details Narrative)	Jun. 30, 2016USD ($)
License Liability Details Narrative
License agreement liability accrued and unpaid	$ 23,000

DERIVATIVE LIABILITIES (Details

DERIVATIVE LIABILITIES (Details) - USD ($)	Jun. 30, 2016	Mar. 31, 2016
Assets
None
Liabilities
Derivative liability	$ 6,574	3,849
Fair Value, Inputs, Level 1 [Member]
Assets
None
Liabilities
Derivative liability
Fair Value, Inputs, Level 2 [Member]
Assets
None
Liabilities
Derivative liability
Fair Value, Inputs, Level 3 [Member]
Assets
None
Liabilities
Derivative liability	$ 6,574	$ 3,849

DERIVATIVE LIABILITIES (Detai30

DERIVATIVE LIABILITIES (Details 1)	3 Months Ended
	Jun. 30, 2016USD ($)
Derivative Liabilities Details 1
Fair value at beginning balance	$ 3,849
Additions
Transfers in (out) of Level 3
Change in fair value	(4,645)
Fair value at ending balance	$ 6,574

DERIVATIVE LIABILITIES (Detai31

DERIVATIVE LIABILITIES (Details Narrative) - USD ($)	3 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Mar. 31, 2016
Derivative Liabilities Details Narrative
Derivative liability	$ 6,574		$ 3,849
Loss on change in fair value of derivative liability	$ 2,725	$ 12,389

COMMON STOCK (Details Narrative

COMMON STOCK (Details Narrative) - USD ($)	3 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Company issued common shares		500,000
Company issued common shares, amount		$ 500,000
Company issued common shares aggregate	150,000
Value of common stock	$ 75,000
Accounts payable	410,000
Gain on settlement of accounts payable	$ (335,000)
Aggregate common shares issued	16,500
Former Officer [Member]
Consulting fees	$ 8,250

OPTIONS (Details)

OPTIONS (Details)	3 Months Ended
	Jun. 30, 2016USD ($)$ / sharesshares
Outstanding option shares, Ending	88,317
Options [Member]
Outstanding option shares, Beginning	395,000
Option granted	70,000
Option exercised
Outstanding option shares, Ending	465,000
Weighted average exercise price, Beginning | $ / shares	$ 0.48
Granted | $ / shares	0.30
Exercised | $ / shares
Weighted average exercise price, Ending | $ / shares	$ 0.45
Weighted average remaining contract life, Beginning	8 years 10 months 13 days
Weighted average remaining contract life, Ending	8 years 9 months 18 days
Number of options exercisable Beginning balance	150,000
Granted	14,000
Exercised
Number of options exercisable ending balance	170,000
Intrinsic value, Beginning | $	$ 900
Granted | $	5,460
Exercised | $
Intrinsic value, Ending | $	$ 38,700

OPTIONS (Details Narrative)

OPTIONS (Details Narrative)	3 Months Ended
	Jun. 30, 2016USD ($)
Options Details Narrative
Company expensed	$ 37,339
Unrecognized balance	$ 165,553

WARRANTS (Details)

WARRANTS (Details)	3 Months Ended
	Jun. 30, 2016USD ($)$ / sharesshares
Outstanding option shares, Ending	88,317
Warrant [Member]
Outstanding option shares, Beginning	88,317
Warrants granted, shares
Warrants exercised, shares
Outstanding option shares, Ending	88,317
Weighted average exercise price, Beginning | $ / shares	$ 0.16
Granted | $ / shares
Exercised | $ / shares
Weighted average exercise price, Ending | $ / shares	$ 0.16
Weighted average remaining contract life, Beginning	1 year 5 months 23 days
Weighted average remaining contract life, Ending	1 year 2 months 23 days
Intrinsic value, Beginning | $	$ 29,250
Intrinsic value granted | $
Intrinsic value exercised | $
Intrinsic value, Ending | $	$ 51,000

WARRANTS (Details Narrative)

WARRANTS (Details Narrative)	3 Months Ended
	Jun. 30, 2016USD ($)shares
Warrants Details Narrative
Company issued warrants, shares	120,000
Company issued warrants, amount | $	$ 75,000
Warrants initially issued	13,317
Weighted average remaining life of warrants	1 year 2 months 23 days
Intrinsic value of warrants | $	$ 51,000
Outstanding option shares, Ending	88,317

MATERIALS HELD FOR RESEARCH A37

MATERIALS HELD FOR RESEARCH AND DEVELOPMENT WITH ALTERNATIVE FUTURE ALTERNATIVE USE (Details Narrative)	Jun. 30, 2016USD ($)
Materials Held For Research And Development With Alternative Future Alternative Use Details Narrative
Amount capitalized for development	$ 827,964