That is what Dr. G told me in my recent visit. What puzzles me, is that since they stopped the beta-site tsting (>2 yers ago) they have spent more than 200 k on noteholders. The beta-testing results (assuming it would be positive), would have easily raised the rest of 500K for full FDA. Also, I recall that when they enterred the beta testing, they had raised enough for its completion but decided to squander it trying to get the bead buisness accelerated (which still has not panned out). They tried to do too much before and now they are left with not having enough means to even complete the beta testing. These are just my opnion

As for the Plasticap deal, i think it will fail through (in my opinion) but they will not recieve the >300 k settlement, because Plasticap is broke and has lot's of debt. They will have to find another way to raise funds.