Quarterly report pursuant to Section 13 or 15(d)

DISCONTINUED OPERATIONS

v3.19.3.a.u2
DISCONTINUED OPERATIONS
3 Months Ended
Dec. 31, 2019
Discontinued Operations and Disposal Groups [Abstract]  
DISCONTINUED OPERATIONS

NOTE 8 – DISCONTINUED OPERATIONS

 

In March 2018, the Company approved the spin-off Voiceinterop into a separate company under a Form S-1 registration to be filed with the United States Securities and Exchange Commission.

 

On April 23, 2018, the board of Directors declared a stock dividend for certain shareholders of the Company. The Company will distribute to its shareholders owning Common Stock and Series C and D Preferred stock an aggregate of 17,819,548 shares of shares of Common Stock of Voiceinterop. That each common shareholder would receive .075 shares of Voiceinterop common stock for each one (1) share of Cleartronic stock held by the shareholder, and that each shareholder of Series C and D Preferred stock shall receive .375 shares of Voiceinterop common stock for each one (1) share of Series C or Series D Preferred stock held by the shareholder.

 

The record date of the dividend distribution shall be defined as the first business day following an effective statement from the United States Securities and Exchange Commission (“SEC”) regarding a pending S-1 filing. On May 13, 2019 Voiceinterop filed an S-1 registration statement with the SEC.  On November 14, 2019, Voiceinterop, Inc’s., S-1 Registration Statement was declared effective by Securities and Exchange Commission.  

The Company has requested and received approval by the Financial Industry Regulatory Authority  (“FINRA”) to distribute the shares of common stock to the shareholders of common stock and Series C and Series D Preferred stock.

 

As of December 31, 2019 and September 30, 2019, assets and liabilities from discontinued operations are listed below:

 

December 31, 2019

 

September 30, 2019

 

(unaudited)

 

 

Current assets:

     

Cash

 $                   3,077

 $                    4,136

Total current assets

                     3,077

                       4,136

 

Operating lease asset, net

                    66,903

                             -

 

Total assets from discontinued operations

 $                 69,980

 $                    4,136

 

Current liabilities:

Accounts payable and accrued expenses

 $                 72,374

 $                  77,584

Operating lease liability, current

                    32,382

                              -

Deferred revenue, current portion

                    16,923

                     23,492

Deferred rent, current portion

                            -

                         896

Installment loan, net, current portion

                    35,502

                     14,587

Due to unrelated parties

                    68,000

                     68,000

Loan payable - related party

                     7,262

                              -

Total current liabilities from discontinued operations

                  232,443

                  184,559

 

Long Term Liabilities

Deferred revenue, net of current

                     8,263

                       9,987

Deferred rent, long term portion

                            -

                         680

Operating lease liability, net of current

                    38,608

                              -

Total long term liabilities from discontinued operations

                    46,871

                     10,667

 

  Total liabilities from discontinued operations

                  279,314

                   195,226

 

The following table illustrates the reporting of the discontinued operations included in the Statements of Operations for the three months ended December 31, 2019 and 2018.

 

 

For the Three

For the Three

 

Months Ended

Months Ended

 

December 31, 2019

December 31, 2018

 

(Unaudited)

(Unaudited)

Revenue

 $                 13,143

 $                 45,551

Cost of Revenue

                     1,750

                     8,994

Gross Profit

                    11,393

                    36,557

 

Operating Expenses:

   Selling expenses

                        783

                     4,706

   Administrative expenses

                    20,947

                    26,596

   Professional Fees

                     8,558

                            -

   Total Operating Expenses

                    30,288

                    31,302

 

Loss from operations

                   (18,895)

                     5,255

 

Other Income (Expense)

Other Income

                     3,450

                     1,596

Interest and other expense

                    (7,981)

                    (1,405)

Total Other Income (Expense)

                    (4,531)

                        191

 

(Loss) Income Before Income Taxes

                   (23,426)

                     5,446

Provision for Income Taxes

                           -

                            -

(Loss) Income from discontinued operations

 $           (23,426) 

 $                  5,446