CONTINGENCIES - LITIGATION	9 Months Ended
Sep. 30, 2011
Notes to Financial Statements
Note 4 - CONTINGENCIES - LITIGATION	One of the Company’s investors has initiated litigation claiming that the August 2008 conversion of their convertible debentures into Series B Preferred shares should be voided since they believe their Investment Advisor also represented the Company at that time. The investment advisor and the Company deny that there was any conflict of interest or wrong doing in this conversion. If the conversion is declared to be void, the investor seeks judgment on the convertible debenture, in an amount of approximately $250,000. The management team believes this case is without merit and has asked legal counsel to vigorously contest this matter. Legal counsel has filed for a summary judgment to dismiss this case. No judgment has been made on this matter. The Company’s management believes it has appropriate defenses to this claim and does not believe that the outcome of this litigation will have a material impact to the Company’s financial statements. No liability has been recorded in the Company’s financial records regarding this litigation.

CONTINGENCIES - LITIGATION

9 Months Ended

Sep. 30, 2011

One of the Company’s investors has initiated litigation claiming that the August 2008 conversion of their convertible debentures into Series B Preferred shares should be voided since they believe their Investment Advisor also represented the Company at that time. The investment advisor and the Company deny that there was any conflict of interest or wrong doing in this conversion.

If the conversion is declared to be void, the investor seeks judgment on the convertible debenture, in an amount of approximately $250,000. The management team believes this case is without merit and has asked legal counsel to vigorously contest this matter. Legal counsel has filed for a summary judgment to dismiss this case. No judgment has been made on this matter. The Company’s management believes it has appropriate defenses to this claim and does not believe that the outcome of this litigation will have a material impact to the Company’s financial statements. No liability has been recorded in the Company’s financial records regarding this litigation.

Physicians Healthcare Management Group, Inc 10-Q