Looks like the $200k is from a seperate transactio

Looks like the $200k is from a seperate transaction as I suspected.  This is from Q3 of 2011:

On September 30, 2011 the Company purchased a control block of shares from our CEO, Matthew Dwyer in RightSmile, Inc. for $150,000 which was paid to him using the Preferred stock of the Company. Mr. Dwyer received 18,750 shares of our Convertible Series AA Preferred which equaled $150,000 based on the closing bid price of our Common stock on that day.

And a second quote:

In October the Company sold its control block of 800,000 shares of Series A Preferred stock in RightSmile, Inc, back to the Company for $200,000. The terms of the transaction state; all payments and interest have been deferred until July of 2012 at which time RightSmile can either pay the Company cash or elect to pay off the Note in equity.

I believe the first quote is the liquidation that happened in mid-April.