Quarterly report pursuant to Section 13 or 15(d)

Note 12 - Debt (Details) - Notes payable consisted of the following:

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Note 12 - Debt (Details) - Notes payable consisted of the following: (USD $)
Sep. 30, 2013
Jun. 30, 2013
Note 12 - Debt (Details) - Notes payable consisted of the following: [Line Items]    
Current Maturities $ (311,102)  
Long-Term Maturities 354,257  
Notes Payable 5,077,179 4,738,677
Current Maturities 3,660,388 3,326,465
Long-Term Maturities 1,416,791 1,412,212
D & O Insurance [Member]
    
Note 12 - Debt (Details) - Notes payable consisted of the following: [Line Items]    
Notes Payable 44,411 [1] 88,292 [1]
Current Maturities 44,411 [1] 88,292 [1]
Long-Term Maturities    [1]    [1]
Long-Term Maturities    [1]    [1]
Habib Bank Line Of Credit [Member]
    
Note 12 - Debt (Details) - Notes payable consisted of the following: [Line Items]    
Long-Term Maturities    [2]    [2]
Notes Payable 2,211,822 [2] 1,785,237 [2]
Current Maturities 2,211,822 [2] 1,785,237 [2]
Long-Term Maturities    [2]    [2]
Bank Overdraft Facility [Member]
    
Note 12 - Debt (Details) - Notes payable consisted of the following: [Line Items]    
Long-Term Maturities    [3]    [3]
Notes Payable 420,231 [3] 312,139 [3]
Current Maturities 420,231 [3] 312,139 [3]
Long-Term Maturities    [3]    [3]
HSBC Loan [Member]
    
Note 12 - Debt (Details) - Notes payable consisted of the following: [Line Items]    
Long-Term Maturities 710,983 [4] 710,675 [4]
Notes Payable 1,032,253 [4] 1,047,014 [4]
Current Maturities 321,270 [4] 336,339 [4]
Long-Term Maturities 710,983 [4] 710,675 [4]
Term Finance Facility [Member]
    
Note 12 - Debt (Details) - Notes payable consisted of the following: [Line Items]    
Long-Term Maturities 351,551 [5] 371,655 [5]
Notes Payable 703,103 [5] 867,195 [5]
Current Maturities 351,552 [5] 495,540 [5]
Long-Term Maturities 351,551 [5] 371,655 [5]
Subsidiary Capital Lease [Member]
    
Note 12 - Debt (Details) - Notes payable consisted of the following: [Line Items]    
Notes Payable 665,359 [6]  
Current Maturities 311,102 [6]  
Long-Term Maturities 354,257 [6]  
Subsidiary Capital Leases [Member]
    
Note 12 - Debt (Details) - Notes payable consisted of the following: [Line Items]    
Notes Payable   638,800 [6]
Current Maturities   308,918 [6]
Long-Term Maturities   $ 329,882 [6]
[1] The Company finances Directors' and Officers' ("D&O") liability insurance as well as Errors and Omissions ("E&O") liability insurance, for which the total balances are renewed on an annual basis and as such are recorded in current maturities. The interest rate on the insurance financing was 0.40% and 0.40% as of September 30, 2013 and June 30, 2013, respectively. Interest paid during the three months ended September 30, 2013 and 2012 was nominal.
[2] In April 2008, the Company entered into an agreement with Habib American Bank to secure a line of credit to be collateralized by Certificates of Deposit held at the bank. The interest rate on this line of credit is variable and was 1.5% as of September 30, 2013 and June 30, 2013, respectively. In June 2012, the Company's subsidiary, NTNA entered into an agreement with Habib American Bank to secure a line of credit up to $500,000 to be collateralized by Certificates of Deposit of same value held at the bank. The interest rate on this line of credit is variable and was 1.90% as of September 30, 2013 and June 30, 2013, respectively. Interest expense during the three months ended September 30, 2013 and 2012 was $7,296 and $3,772, respectively.
[3] During the year ended June 30, 2008, the Company's subsidiary, NTE entered into an overdraft facility with HSBC Bank plc whereby the bank would cover any overdrafts up to 300,000, or approximately $484,290. The annual interest rate is 4.25% over the bank's sterling base rate, which was 4.75% and 5.20% as of September 30, 2013 and June 30, 2013, respectively. Interest expense during the three months ended September 30, 2013 and 2012 was $22,442 and $18,524, respectively.
[4] In October 2011, the Company's subsidiary, NTE, entered into a loan agreement with HSBC Bank to finance the acquisition of 51% of controlling interest in Virtual Leasing Services Limited. HSBC Bank guaranteed the loan up to a limit of 1,000,000, or approximately $1,614,300 for a period of 5 years with monthly payments of 18,420, or approximately $29,735. The interest rate was 4% which is 3.5% above the bank sterling base rate. The loan is securitized against debenture comprising of fixed and floating charges over all the assets and undertakings of NTE including all present and future freehold and leasehold property, book and other debts, chattels, goodwill and uncalled capital, both present and future. As of June 30, 2013, the subsidiary has used this facility up to $1,047,015, of which $710,675, was shown as long term and the remaining $336,339, as current maturity. As of September 30, 2013, the subsidiary has used this facility up to $1,032,253, of which $710,983, was shown as long term and the remaining $321,270, as current maturity. Interest expense, for the three months ended September 30, 2013 and 2012, was $18,849, and $21,665, respectively.
[5] The Company's subsidiary, NetSol PK, entered into two different term finance facilities from Askari Bank to finance the construction of a new building. The total aggregate amount of these facilities is Rs. 112,500,000 or approximately $1,054,655(secured by the first charge of Rs. 580 million or approximately $5.44 million over the land, building and equipment of the company). The interest rate is 2.75% above the six-month Karachi Inter Bank Offering Rate. As of the year ended June 30, 2013, the Company has used a total of Rs.87,500,000 or approximately $867,195 of which $371,655 is shown as long term liabilities and the remainder of $495,540 as current maturity. As of September 30, 2013, the company has used a total of Rs.75,000,000, or approximately $703,103, of which $351,551, is shown as long term liabilities and the remainder of $351,552, as current maturity. Interest expense during the three months ended September 30, 2013 and 2012 was $22,123 and $37,202, respectively.
[6] The Company leases various fixed assets under capital lease arrangements expiring in various years through 2018. The assets and liabilities under capital leases are recorded at the lower of the present value of the minimum lease payments or the fair value of the asset. The assets are depreciated over the lesser of their related lease terms or their estimated useful lives and are secured by the assets themselves. Depreciation of assets under capital leases is included in depreciation expense for the three months ended September 30, 2013 and 2012.