| Debt Disclosure [Text Block] |
NOTE 8 DEBT As of July 31, 2011 and April 30, 2011, respectively, the following debts associated with the Freedom-2 Holdings, Inc. subsidiary are as follows: |
| July 31, 2011
| April 30, 2011
|
|
| Principal
| Accrued interest & penalty
| Total
| Principal
| Accrued interest & penalty
| Total
|
| Note payable to a Bank for a mortgage secured by the building, interest at 7.75 % payable in monthly installments of $19,202, with a balloon payment due 2/1/2013.
| $ 1,592,315
| $ 264,613
| $ 1,856,928
| $ 1,592,315
| $ 233,762
| $ 1,826,077
|
| Increase for fair value at acquisition
| 112,681
| -
| 112,681
| 112,681
| -
| 112,681
|
| Amortization of premium
| (69,526)
| -
| (69,526)
| (62,334)
| -
| (62,334)
|
| Note payable for a mortgage
| 1,635,470
| 264,613
| 1,900,083
| 1,642,662
| 233,732
| 1,.876,424
|
| Note Payable to Fish & Richardson, secured by a second mortgage on the building with interest at 2.5% payable in monthly installments of $5,787.
| 178,951
| 24,900
| 203,851
| 178,951
| 23,782
| 202,733
|
| Note Payable to MFE, LLC secured by a third mortgage on the property due 12/31/2009 with interest at 10% payable on the first day of April, July and October until the maturity date with the balance payable on the maturity date.
| 150,000
| 18,750
| 168,750
| 150,000
| 15,000
| 165,000
|
| License fee agreement with Brown University, amended February 12, 2009, for intellectual property rights. Equal payments of $100,000 are due on June 1, 2009, 2010, 2011 and 2012. The license fee payments do not include interest.
| 400,000
| -
| 400,000
| 400,000
| -
| 400,000
|
| Decrease for fair value at acquisition
| (58,408)
| -
| (58,408)
| (58,408)
| -
| (58,408)
|
| Amortization of premium
| 43,432
| -
| 43,432
| 38,939
| -
| 38,939
|
| Note fee payable
| 385,024
| -
| 385,024
| 380,531
| -
| 380,531
|
| Bridge loan payable initiated 12/01/2008 accruing interest at 8% and payable upon maturity on 6/30/2010.
| 20,000
| 2,000
| 24,000
| 20,000
| 1,600
| 21,600
|
| Total
| 2,369,445
| 310,263
| 2,679,708
| 2,372,144
| 274,144
| 2,646,288
|
| Less: current portion
| 2,369,445
| 310,263
| 2,679,708
| 2,372,144
| 274,144
| 2,646,288
|
| Long-term portion
| $ -
| $ -
| $ -
| $ -
| $ -
| $ -
|
On July 30, 2009, the mortgage agreement with Cornerstone Bank was modified whereby the principle of $43,572 paid to date on the note was re-advanced to the borrower returning the principle balance to $1,600,000. Payments under the modified agreement commenced on September 1, 2009. There have been pending sales of the Companys building in 2008 and again in 2009 and 2010, which would have accelerated the payment of the Cornerstone Bank mortgage. In addition, there was a temporary leasing of a small separated portion of the building in 2009, which unfortunately ended due to bankruptcy of the lessee, Eldon of NJ. Although the Companys efforts continue in this area to sell or lease part or all of the building, to date, the large number of vacant properties in the Cherry Hill, NJ region have made it difficult to accomplish either, through and including the current year. Accordingly, although the maturity date of the mortgage extends to February 1, 2013, the Company recognizes the entire outstanding mortgage value as a current liability. At the date of acquisition the mortgage and license fee payable were recorded at fair value on the Companys balance sheet. The above schedule adjusts the book value of those liabilities to their fair value, net of applicable amortization of the discount and premium as of July 31, 2011 and April 30, 2011.
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