Quarterly report pursuant to sections 13 or 15(d)

Consolidated Balance Sheets

v2.4.0.8
Consolidated Balance Sheets (USD $)
Nov. 30, 2013
May 31, 2013
Current assets:    
Cash $ 10,132,520 $ 603,681
Prepaid expenses 257,507 139,849
Deferred debt issuance cost 3,332  
Deferred offering costs 96,929 96,930
Total current assets 10,490,288 840,460
Furniture and equipment, net 10,598  
Intangibles, net 3,142,239 3,317,239
Total Assets 13,643,125 4,157,699
Current liabilities:    
Accounts payable 814,751 1,111,285
Accrued liabilities 46,341 321,884
Accrued salaries and severance 276,112 364,698
Accrued interest payable 49,189 56,884
Indebtedness to related parties 500,000 509,000
Convertible notes payable, net 294,094 328,347
Stock rescission liability 536,500 536,500
Total current liabilities 2,516,987 3,228,598
Long-term liabilities    
Convertible notes payable, net 1,634,670 1,153,017
Total liabilities 4,151,657 4,381,615
Shareholders' equity (deficit):    
Series B convertible preferred stock, no par value; 400,000 shares authorized, 95,100 shares issued and outstanding at November 30, 2013 and May 31, 2013, respectively 274,091 274,091
Common stock, no par value; 100,000,000 shares authorized, 55,336,021 and 30,798,150 outstanding at November 30, 2013 and May 31, 2013, respectively; 55,536,021 and 30,998,150 issued at November 30, 2013 and May 31, 2013, respectively 30,311,420 16,244,673
Common stock payable 47,880 117,778
Additional paid-in capital 19,403,477 17,523,796
Common and preferred stock subject to rescission (536,500) (536,500)
Treasury stock, at cost, 200,000 shares held at November 30, 2013 and May 31, 2013, respectively (100,000) (100,000)
Additional paid-in capital - treasury stock 255,065 255,065
Accumulated deficit on unrelated dormant operations (1,601,912) (1,601,912)
Accumulated deficit during development stage (38,562,054) (32,400,907)
Total shareholders' equity (deficit) 9,491,467 (223,916)
Total liabilities and shareholders' (deficit) $ 13,643,125 $ 4,157,699