Quarterly report pursuant to Section 13 or 15(d)

Note 10 - Investment Under Equity Method

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Note 10 - Investment Under Equity Method
 3 Months Ended
Sep. 30, 2012
Equity Method Investments and Joint Ventures Disclosure [Text Block]
NOTE 10 – INVESTMENT UNDER EQUITY METHOD

On April 10, 2009, the Company entered into an agreement to form a joint venture with the Atheeb Trading Company, a member of the Atheeb Group (“Atheeb”). The joint venture entity Atheeb NetSol Saudi Company Ltd. is a company organized under the laws of the Kingdom of Saudi Arabia. The venture was formed with an initial capital contribution of $268,000 by the Company and $266,930 by Atheeb with a profit sharing ratio of 50.1:49.9, respectively. The final formation of the company was completed on March 7, 2010.

Investment during the period
    100,000  
Net loss for the year ended June 30, 2012
    (503,303 )
NetSol's share (50.1%)
    (252,155 )
Unabsorbed losses brought forward
    (51,731 )
Total loss
    (303,886 )
Loss adjusted against investment
    (100,000 )
Loss adjusted against advance to investee
    (200,000 )
Net book value at June 30, 2012
  $ -  
         
Investment during the period
    -  
Net loss for the period ended September 30, 2012
    (200,965 )
NetSol's share (50.1%)
    (100,683 )
Unabsorbed losses brought forward
    (3,657 )
Total loss
    (104,340 )
Loss adjusted against investment
    -  
Loss adjusted against advance to investee
    -  
Net book value at September 30, 2012
  $ -