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Document and Entity Information - USD ($)	12 Months Ended
Document and Entity Information - USD ($)	Jun. 30, 2013	Sep. 10, 2013	Dec. 30, 2012
Document and Entity Information [Abstract]
Entity Registrant Name	USA TECHNOLOGIES INC
Entity Central Index Key	0000896429
Trading Symbol	usat
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Current Fiscal Year End Date	--06-30
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		33,441,324
Entity Public Float			$ 54,959,924
Document Type	10-K
Document Period End Date	Jun. 30, 2013
Amendment Flag	false
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	FY

Consolidated Balance Sheets - USD ($)	Jun. 30, 2013	Jun. 30, 2012
Current assets:
Cash and cash equivalents	$ 5,981,000	$ 6,426,645
Accounts receivable, less allowance for uncollectible accounts of $18,000 and $25,000, respectively	2,620,684	2,441,941
Finance receivables	116,444	206,649
Inventory	1,823,615	2,511,748
Prepaid expenses and other current assets	184,336	555,823
Total current assets	10,726,079	12,142,806
Finance receivables, less current portion	408,674	336,198
Property and equipment, net	17,240,065	11,800,108
Intangibles, net	454,053	1,196,453
Goodwill	7,663,208	7,663,208
Other assets	84,117	80,884
Total assets	36,576,196	33,219,657
Current liabilities:
Accounts payable	7,301,247	6,136,443
Accrued expenses	1,468,184	3,342,456
Line of credit	3,000,000
Current obligations under long-term debt	247,152	466,056
Total current liabilities	12,016,583	9,944,955
Long-term liabilities:
Long-term debt, less current portion	122,754	262,274
Accrued expenses, less current portion	366,785	426,241
Deferred tax liabilities	40,245	12,599
Warrant liabilities	650,638	918,566
Total long-term liabilities	1,180,422	1,619,680
Total liabilities	13,197,005	11,564,635
Commitments and contingencies (Note 16)
Shareholders' equity:
Preferred stock, no par value: Authorized shares- 1,800,000 Series A convertible preferred- Authorized shares- 900,000 Issued and outstanding shares- 442,968 (liquidation preference of $16,026,004 and $15,361,552, respectively)	3,138,056	3,138,056
Common stock, no par value: Authorized shares- 640,000,000 Issued and outstanding shares - 33,284,232 and 32,510,069, respectively	221,383,373	220,513,327
Accumulated deficit	(201,142,238)	(201,996,361)
Total shareholders' equity	23,379,191	21,655,022
Total liabilities and shareholders' equity	$ 36,576,196	$ 33,219,657

Consolidated Balance Sheets (Parentheticals) - USD ($)	Jun. 30, 2013	Jun. 30, 2012
Allowance for uncollectible accounts receivable (in dollars)	$ 18,000	$ 25,000
Preferred stock, no par value (in dollar per share)
Preferred stock, shares authorized	1,800,000	1,800,000
Common stock, no par value (in dollars per share)
Common stock, shares authorized	640,000,000	640,000,000
Common stock, shares issued	33,284,232	32,510,069
Common stock, shares outstanding	33,284,232	32,510,069
Series A Convertible Preferred Stock
Preferred stock, shares authorized	900,000	900,000
Preferred stock, shares issued	442,968	442,968
Preferred stock, shares outstanding	442,968	442,968
Preferred stock, liquidation preference value (in dollars)	$ 16,026,004	$ 15,361,552

Consolidated Statements of Operations - USD ($)	12 Months Ended
Consolidated Statements of Operations - USD ($)	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Revenues:
License and transaction fees	$ 30,044,429	$ 23,370,754	$ 16,442,485
Equipment sales	5,895,815	5,646,489	6,426,304
Total revenues	35,940,244	29,017,243	22,868,789
Cost of services	18,219,945	15,312,966	11,651,138
Cost of equipment	3,623,686	3,743,226	3,468,993
Gross profit	14,096,613	9,961,051	7,748,658
Operating expenses:
Selling, general and administrative	12,068,566	15,460,668	11,430,610
Depreciation and amortization	1,314,122	1,500,775	1,424,365
Impairment of intangible asset			581,900
Total operating expenses	13,382,688	16,961,443	13,436,875
Operating income (loss)	713,925	(7,000,392)	(5,688,217)
Other income (expense):
Interest income	57,121	72,059	82,234
Interest expense	(157,205)	(83,993)	(35,953)
Change in fair value of warrant liabilities	267,928	1,813,687	(815,131)
Total other income (expense), net	167,844	1,801,753	(768,850)
Income (loss) before provision for income taxes	881,769	(5,198,639)	(6,457,067)
Provision for income taxes	(27,646)	(12,599)
Net income (loss)	854,123	(5,211,238)	(6,457,067)
Cumulative preferred dividends	(664,452)	(664,452)	(665,577)
Net income (loss) applicable to common shares	$ 189,671	$ (5,875,690)	$ (7,122,644)
Net earnings (loss) per common share - basic (in dollars per share)	$ 0.01	$ (0.18)	$ (0.26)
Weighted average number of common shares outstanding (in shares)	32,787,673	32,423,987	27,665,345
Net earnings (loss) per common share - diluted (in dollars per share)	$ 0.01	$ (0.18)	$ (0.26)
Diluted weighted average number of common shares outstanding (in shares)	33,413,346	32,423,987	27,665,345

Consolidated Statements of Shareholders' Equity - USD ($)	Preferred Stock Series A Convertible Preferred Stock	Common Stock	Accumulated Deficit	Total
Balance at Jun. 30, 2010	$ 3,148,676	$ 209,958,552	$ (190,295,056)	$ 22,812,172
Balance (in shares) at Jun. 30, 2010	444,468	25,497,155
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock at $0.90 per share less issuance cost of $230,087		$ 5,671		5,671
Issuance of common stock at $0.90 per share less issuance cost of $230,087 (in shares)		261,953
Issuance of common stock to Lincoln Park Capital (in shares)		150,000
Issuance of common stock at $2.064 per share less the fair value of warrants issued of $1,917,122 and less cash issuance costs of $838,705		$ 7,976,973		7,976,973
Issuance of common stock at $2.064 per share less the fair value of warrants issued of $1,917,122 and less cash issuance costs of $838,705 (in shares)		5,200,000
Exercise of 376,355 warrants at $2.20 resulting in the issuance of common stock		$ 827,981		827,981
Exercise of 376,355 warrants at $2.20 resulting in the issuance of common stock (in shares)		376,355
Exercise of 497,367 warrants at $1.13 resulting in the issuance of common stock		$ 562,025		562,025
Exercise of 497,367 warrants at $1.13 resulting in the issuance of common stock (in shares)		497,367
Cashless exercise of 127,497 warrants resulting in issuance of common stock (in shares)		83,472
Conversion of preferred stock into common stock	$ (10,620)	$ 10,620
Conversion of preferred stock into common stock (in shares)	(1,500)	15
Conversion of $33,000 preferred dividends into common stock		$ 33,000	(33,000)
Conversion of $33,000 preferred dividends into common stock (in shares)		33
Issuance of fully-vested shares of common stock to officers and employees and vesting of shares granted under the 2008 Stock Incentive Plan		$ 10,208		10,208
Issuance of fully-vested shares of common stock to officers and employees and vesting of shares granted under the 2008 Stock Incentive Plan (in shares)		20,747
Issuance of fully-vested shares of common stock to employees and directors and vesting of shares under the 2010 Stock Incentive Plan		$ 292,263		292,263
Issuance of fully-vested shares of common stock to employees and directors and vesting of shares under the 2010 Stock Incentive Plan (in shares)		109,918
Issuance of common stock for settlement of the Long-Term Equity Incentive Program for Fiscal Year 2010		$ 97,566		97,566
Issuance of common stock for settlement of the Long-Term Equity Incentive Program for Fiscal Year 2010 (in shares)		86,342
Vesting of shares under the 2012 Stock Incentive Plan				43,171
Retirement of common stock		$ (2,261)		(2,261)
Retirement of common stock (in shares)		(2,217)
Net income (loss)			(6,457,067)	(6,457,067)
Balance at Jun. 30, 2011	$ 3,138,056	$ 219,772,598	(196,785,123)	26,125,531
Balance (in shares) at Jun. 30, 2011	442,968	32,281,140
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Exercise of 4,550 warrants at $2.20 resulting in issuance of common stock		$ 10,010		10,010
Exercise of 4,550 warrants at $2.20 resulting in issuance of common stock (in shares)		4,550
Cashless exercise of 2,767 warrants resulting in issuance of common stock (in shares)		990
Issuance of fully-vested shares of common stock to employees and directors and vesting of shares under the 2010 Stock Incentive Plan		$ 248,851		248,851
Issuance of fully-vested shares of common stock to employees and directors and vesting of shares under the 2010 Stock Incentive Plan (in shares)		120,472
Issuance of fully-vested shares of common stock to employees and directors and vesting of shares under the 2011 Stock Incentive Plan		$ 335,636		335,636
Issuance of fully-vested shares of common stock to employees and directors and vesting of shares under the 2011 Stock Incentive Plan (in shares)		141,666
Vesting of shares under the 2012 Stock Incentive Plan		$ 197,613		197,613
Retirement of common stock		$ (51,381)		(51,381)
Retirement of common stock (in shares)		(38,749)
Net income (loss)			(5,211,238)	(5,211,238)
Balance at Jun. 30, 2012	$ 3,138,056	$ 220,513,327	(201,996,361)	21,655,022
Balance (in shares) at Jun. 30, 2012	442,968	32,510,069
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Exercise of 382,503 warrants at $1.13 resulting in issuance of common stock		$ 432,229		432,229
Exercise of 382,503 warrants at $1.13 resulting in issuance of common stock (in shares)		382,503
Cashless exercise of 36,186 warrant resulting in issuance of common stock (in shares)		17,094
Warrants issued in conjunction with Line of Credit Amendment		$ 55,962		55,962
Issuance of fully-vested shares of common stock to employees and directors and vesting of shares under the 2010 Stock Incentive Plan		$ 68,723		68,723
Issuance of fully-vested shares of common stock to employees and directors and vesting of shares under the 2010 Stock Incentive Plan (in shares)		62,942
Issuance of fully-vested shares of common stock to employees and directors and vesting of shares under the 2011 Stock Incentive Plan		$ 157,645		157,645
Issuance of fully-vested shares of common stock to employees and directors and vesting of shares under the 2011 Stock Incentive Plan (in shares)		96,665
Issuance of fully-vested shares of common stock to employees and directors and vesting of shares under the 2012 Stock Incentive Plan		$ 276,539		276,539
Issuance of fully-vested shares of common stock to employees and directors and vesting of shares under the 2012 Stock Incentive Plan (In shares)		279,806
Retirement of common stock		$ (121,052)		(121,052)
Retirement of common stock (in shares)		(64,847)
Net income (loss)			854,123	854,123
Balance at Jun. 30, 2013	$ 3,138,056	$ 221,383,373	$ (201,142,238)	$ 23,379,191
Balance (in shares) at Jun. 30, 2013	442,968	33,284,232

Consolidated Statements of Shareholders' Equity (Parentheticals) - USD ($)	12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Statement Of Stockholders Equity [Abstract]
Issuance of common stock per share, less issuance costs			$ 0.90
Issuance cost of common stock			$ 230,087
Issuance of common stock per share, less issuance costs			$ 2.064
Issuance cost of common stock			$ 838,705
Fair value of warrants issued			$ 1,917,122
Number of warrants exercised	382,503	4,550	376,355
Exercise price of warrants	$ 1.13	$ 2.20	$ 2.20
Exercise of warrants at $1.13 in the issuance of common stock			497,367
Par value exercise of 497,367 warrants			$ 1.13
Cashless exercise of warrants in issuance of common stock	36,186	2,767	127,497
Conversion of preferred stock into common stock			$ 33,000

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
Consolidated Statements of Cash Flows - USD ($)	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
OPERATING ACTIVITIES:
Net income (loss)	$ 854,123	$ (5,211,238)	$ (6,457,067)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Charges incurred in connection with the vesting and issuance of common stock for employee and director compensation	502,907	782,100	302,471
Charges incurred in connection with the Long-term Equity Incentive Plan			54,395
(Gain) Loss on disposal of property and equipment	(20,343)	134,350	116,828
Non-cash interest and amortization of debt discount	53,867
Bad debt expense (recoveries), net	68,615	(48,270)	92,025
Depreciation	3,837,174	2,443,054	1,553,978
Amortization	742,400	997,900	1,034,400
Impairment of intangible asset			581,900
Change in fair value of warrant liabilities	(267,928)	(1,813,687)	815,131
Provision for deferred tax liability	27,646	12,599
Changes in operating assets and liabilities:
Accounts receivable	(247,358)	(758,952)	321,677
Finance receivables	17,729	(61,460)	100,406
Inventory	716,470	158,584	(36,361)
Prepaid expenses and other current assets	503,937	431,276	115,756
Accounts payable	1,164,804	498,082	1,067,631
Accrued expenses	(1,915,091)	2,513,898	(571,397)
Net cash provided by (used in) operating activities	6,038,952	78,236	(908,227)
INVESTING ACTIVITIES:
Purchase of property and equipment	(107,351)	(478,144)	(291,390)
Purchase of property for rental program	(9,092,394)	(5,754,670)	(4,263,302)
Proceeds from sale of property and equipment	18,908
Net cash used in investing activities	(9,180,837)	(6,232,814)	(4,554,692)
FINANCING ACTIVITIES:
Net proceeds from the issuance (retirement) of common stock and exercise of common stock warrants	311,177	(41,371)	11,287,511
Proceeds from line of credit, net of repayments	3,000,000
Repayment of long-term debt	(614,937)	(368,917)	(437,405)
Net cash provided by (used in) financing activities	2,696,240	(410,288)	10,850,106
Net increase (decrease) in cash and cash equivalents	(445,645)	(6,564,866)	5,387,187
Cash and cash equivalents at beginning of year	6,426,645	12,991,511	7,604,324
Cash and cash equivalents at end of year	5,981,000	6,426,645	12,991,511
Supplemental disclosures of cash flow information:
Cash paid for interest	118,934	38,891	37,962
Fair value of warrants at issuance			1,917,122
Depreciation expense allocated to cost of sales	3,265,452	1,940,179	1,164,013
Prepaid interest from issuance of warrants for debt costs	55,962
Reclass of rental program property to inventory	28,337
Prepaid items financed with debt	133,588	95,263	94,311
Equipment and software acquired under capital lease	124,917	495,955
Equipment and software financed with long-term debt		252,968
Disposal of property and equipment	$ 98,928	$ 652,093	283,802
Conversion of convertible preferred stock to common stock			(10,620)
Conversion of cumulative preferred dividends to common stock			$ (33,000)

BUSINESS	12 Months Ended
BUSINESS	Jun. 30, 2013
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BUSINESS	1. BUSINESS USA Technologies, Inc. (the “Company”, “We” or “Our”), was incorporated in the Commonwealth of Pennsylvania in January 1992 and provides wireless networking, cashless transactions, asset monitoring and other value-added services principally to the small ticket unattended retail markets. Our ePort® technology can be installed and/or embedded into everyday devices such as vending machines, a variety of kiosks, and amusement and arcade machines and smartphones via our ePort Mobile™ solution. Our associated service, ePort Connect®, is a PCI-compliant, comprehensive service that includes simplified credit/debit card processing and support, consumer engagement services, as well as telemetry and machine-to-machine (“M2M”) services, including the ability to remotely monitor, control and report on the results of distributed assets containing our electronic payment solutions. In addition, the Company provides energy management products, such as its VendingMiser® and CoolerMiser™, which reduce energy consumption in vending machines and coolers. While strategies to drive growth have resulted in net income of $854,123 for the year ended June 30, 2013, the Company had incurred losses from its inception through June 30, 2012. The impact on net income of future changes to the fair value of our warrant liabilities, which is subject to secondary market conditions, is not reasonably predictable. The Company’s ability to meet its future obligations is dependent upon the success of its products and services in the marketplace and the available capital resources. Until the Company’s products and services can generate sufficient annual revenues, the Company will be required to use its cash and cash equivalents on hand, and its line of credit (see Note 7), and may raise capital to meet its cash flow requirements including the issuance of Common Stock and the exercise of outstanding Common Stock warrants.

- Definition

The entire disclosure for organization, consolidation and basis of presentation of financial statements disclosure.

+ References

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+ Details

ACCOUNTING POLICIES	12 Months Ended
ACCOUNTING POLICIES	Jun. 30, 2013
Organization, Consolidation, Basis Of Presentation, Business Description and Accounting Policies [Abstract]
ACCOUNTING POLICIES	2. ACCOUNTING POLICIES CONSOLIDATION The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, Stitch Networks Corporation (“Stitch”) and USAT Capital Corp LLC (“USAT Capital”). All significant intercompany accounts and transactions have been eliminated in consolidation. USE OF ESTIMATES The preparation of the consolidated financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates. CASH EQUIVALENTS Cash equivalents represent all highly liquid investments with original maturities of three months or less. Cash equivalents are comprised of money market funds. The Company maintains its cash in bank deposit accounts, which may exceed federally insured limits at times. Included in cash and cash equivalents at June 30, 2013 and 2012 was $0, of cash received by the Company for transaction processing services which is payable to our customers. Included in accounts receivable are amounts for transactions processed with our card processers for which cash has not been received by the Company and included in accounts payable are amounts for transactions processed with our card processers and due to our customers, which are recorded net of fees due to the Company. Generally, contractual terms require us to remit amounts owed to our customers on a weekly basis. ACCOUNTS RECEIVABLE Accounts receivable are reported at their outstanding unpaid principal balances reduced by an allowance for doubtful accounts. The Company estimates doubtful accounts for accounts receivable and finance receivables based on historical bad debts, factors related to specific customers’ ability to pay and current economic trends. The Company writes off accounts receivable against the allowance when management determines the balance is uncollectible and the Company ceases collection efforts. Management believes that the allowance accrued is adequate to provide for its estimated credit losses. FINANCE RECEIVABLES The Company offers extended payment terms to certain customers for equipment sales under its Quick Start Program. In accordance with the Financial Accounting Standards Board Accounting Standards Codification® (“ASC”) Topic 840, “Leases”, agreements under the Quick Start Program qualify for sales-type lease accounting. Accordingly, the future minimum lease payments are classified as finance receivables in the Company’s consolidated balance sheets. Notes receivable or Quick Start leases are generally for a 36 or 60 month term. Finance receivables are carried at their contractual amount and charged off against the allowance for credit losses when management determines that recovery is unlikely and the Company ceases collection efforts. The Company recognizes a portion of the note or lease payments as interest income in the accompanying consolidated financial statements based on the effective interest rate method. INVENTORY Inventory consists of finished goods and packaging materials. The Company’s inventory is stated at the lower of cost (average cost basis) or market. FAIR VALUE OF FINANCIAL INSTRUMENTS The Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2010-06, “Fair Value Measurements and Disclosures (“Topic 820”): Improving Disclosures about Fair Value Measurements.” ASU 2010-06 amends certain disclosure requirements of Subtopic 820-10. This ASU provides additional disclosures for transfers in and out of Levels 1 and 2 and for activity in Level 3. This ASU also clarifies certain other existing disclosure requirements including level of desegregation and disclosures around inputs and valuation techniques. The Company’s financial assets and liabilities are measured using inputs from the three levels of the fair value hierarchy. The three levels are as follows: Level 1- Inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2- Inputs are other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (i.e., interest rates, yield curves, etc.), and inputs that are derived principally from or corroborated by observable market data by correlation or other means (market corroborated inputs). Level 3- Inputs are unobservable and reflect the Company’s assumptions that market participants would use in pricing the asset or liability. The Company develops these inputs based on the best information available. The Company’s financial instruments, principally cash equivalents, accounts receivable, finance receivables, prepaid expenses and other assets, accounts payable and accrued expenses, are carried at cost which approximates fair value due to the short-term maturity of these instruments. The fair value of the Company’s obligations under its long-term debt and credit agreements approximates their carrying value as such instruments are at market rates currently available to the Company. PROPERTY AND EQUIPMENT Property and equipment are recorded at cost. Property and equipment are depreciated on the straight-line basis over the estimated useful lives of the related assets. Leasehold improvements are amortized on the straight-line basis over the lesser of the estimated useful life of the asset or the respective lease term. GOODWILL AND INTANGIBLE ASSETS Goodwill represents the excess of cost over fair value of the net assets purchased in acquisitions. The Company accounts for goodwill in accordance with ASC 350, “Intangibles – Goodwill and Other”. Under ASC 350, goodwill is not amortized to earnings, but instead is subject to periodic testing for impairment. In September 2011, the FASB issued ASU No. 2011-08 Intangibles – Goodwill and Other: Testing Goodwill for Impairment, which amended guidance to allow the Company to first assess qualitative factors to determine if it is necessary to perform the two-step quantitative impairment test. If after this assessment the Company determines that it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, then the two-step impairment test is unnecessary. If after this assessment the Company determines that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, than the Company will perform the first step of the two-step impairment test. The first step screens for potential impairment, while the second step measures the amount of impairment. The Company uses a quantitative method, including a discounted cash flow analysis to complete the first step in this process. We also give consideration to our market capitalization. Testing for impairment is to be done at least annually and at other times if events or circumstances arise that indicate that impairment may have occurred. The Company has selected April 1 as its annual test date. The Company has concluded there has been no impairment of goodwill as a result of its testing on April 1, 2013, April 1, 2012, and April 1, 2011. The Company trademarks with an indefinite economic life are not being amortized. The trademarks, not subject to amortization, are related to the miser asset group and consist of the following trademarks: 1) VendingMiser, 2) CoolerMiser, 3) PlugMiser and 4) SnackMiser. The Company tests indefinite-lived intangible assets for impairment using a two-step process. The first step screens for potential impairment, while the second step measures the amount of impairment. The Company uses a relief from royalty analysis to complete the first step in this process. Testing for impairment is to be done at least annually and at other times if events or circumstances arise that indicate that impairment may have occurred. The Company has selected April 1 as its annual test date for its indefinite-lived intangible assets. There was no impairment expenses recorded during the fiscal years ended June 30, 2013 and 2012. In fiscal 2011 the Company concluded there was an impairment of its indefinite-lived trademarks as a result of its testing and recorded a $581,900 impairment expense in the fourth quarter of the fiscal year ended June 30, 2011 (see Note 5). Patents and trademarks, with an estimated economic life, are carried at cost less accumulated amortization, which is calculated on a straight-line basis over their estimated economic life. The Company reviews intangibles, subject to amortization, for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An asset is considered to be impaired when the sum of the undiscounted future net cash flows resulting from the use of the asset and its eventual disposition is less than its carrying amount. The amount of the impairment loss, if any, is measured as the difference between the net book value of the asset and its estimated fair value. As of June 30, 2013 and 2012, the Company has concluded there has been no impairment of its patents or trademarks that is subject to amortization. IMPAIRMENT OF LONG LIVED ASSETS In accordance with ASC 360, “Impairment or Disposal of Long-Lived Assets”, the Company reviews its long-lived assets whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. If the carrying amount of an asset or group of assets exceeds its net realizable value, the asset will be written down to its fair value. In the period when the plan of sale criteria of ASC 360 are met, long-lived assets are reported as held for sale, depreciation and amortization cease, and the assets are reported at the lower of carrying value or fair value less costs to sell. The Company has concluded that the carrying amount of long-lived assets is recoverable as of June 30, 2013 and 2012. CONCENTRATION OF CREDIT RISK Financial instruments that subject the Company to a concentration of credit risk consist principally of cash and cash equivalents and accounts and finance receivables. The Company maintains cash and cash equivalents with various financial institutions. Approximately 41% and 46% of the Company’s trade accounts and finance receivables at June 30, 2013 and 2012, respectively, were concentrated with one and two customer(s), respectively. Approximately 37%, 43%, and 48%, of the Company’s license and transaction processing revenues for the years ended June 30, 2013, 2012, and 2011, respectively, were concentrated with two customers - 26%, 25%, and 23%, respectively, with one; and 11%, 18%, and 25%, respectively, with another. There was no concentration of equipment sales revenue for the years ended June 30, 2013, 2012 and 2011. The Company’s customers are principally located in the United States. REVENUE RECOGNITION Revenue from the sale of equipment is recognized on the terms of freight-on-board shipping point. Activation fee revenue is recognized when the Company’s cashless payment device is initially activated for use on the Company network. Transaction processing revenue is recognized upon the usage of the Company’s cashless payment and control network. License fees for access to the Company’s devices and network services are recognized on a monthly basis. In all cases, revenue is only recognized when persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the price is fixed and determinable, and collection of the resulting receivable is reasonably assured. The Company estimates an allowance for product returns at the date of sale. EQUIPMENT RENTAL During the year ended June 30, 2010, the Company commenced a rental program, the JumpStart Program (“JumpStart”), for its ePort devices. The JumpStart terms are typically 36 months and are cancellable with sixty days written notice. In accordance with ASC 840, “Leases”, the Company classifies the rental agreements as operating leases. For the years ended June 30, 2013, 2012, and 2011, there was approximately $806,000, $607,000, and $597,000, respectively, of activation fee revenue related to JumpStart equipment included in equipment sales in the Consolidated Statements of Operations. There was also approximately $10,193,000, $6,074,000, and $2,725,000 of service fee revenue related to JumpStart equipment included in license and transaction fees in the Consolidated Statements of Operations for the years ended June 30, 2013, 2012, and 2011, respectively. Cost for the JumpStart revenues, which consists of depreciation expense on the JumpStart equipment, approximated $3,171,000, $1,740,000, and $933,000 for the years ended June 30, 2013, 2012, and 2011, respectively, and was included in cost of services in the Consolidated Statements of Operations. At June 30, 2013 and 2012, approximately, $15,685,000 and $9,793,000, respectively, of ePort equipment utilized by the JumpStart Program was included in property and equipment, net on the Consolidated Balance Sheet (see Note 4). WARRANTY COSTS The Company generally warrants its products for one to three years. Warranty costs are estimated and recorded at the time of sale based on historical warranty experience, if available. These costs are reviewed and adjusted, if necessary, periodically throughout the year. SHIPPING AND HANDLING Shipping and handling fees billed to our customers in connection with sales are recorded as revenue. The costs incurred for shipping and handling of our product are recorded as cost of sales. RESEARCH AND DEVELOPMENT EXPENSES Research and development expenses are expensed as incurred. Research and development expenses, which are included in selling, general and administrative expenses in the Consolidated Statements of Operations, were approximately $901,000, $1,038,000, and $997,000, for the years ended June 30, 2013, 2012, and 2011, respectively. Our research and development initiatives focus on adding features and functionality to our system solutions through the development and utilization of our processing and reporting network and new technology. ACCOUNTING FOR EQUITY AWARDS In accordance with ASC 718 the cost of employee services received in exchange for an award of equity instruments is based on the grant-date fair value of the award and allocated over the vesting period of the award. The Company recorded stock compensation expense of $483,740, $584,487, and $302,471 related to common stock grants and vesting of shares previously granted to employees and directors during the years ended June 30, 2013, 2012, and 2011, respectively. These expenses exclude the Performance Share Plans for the 2013 and 2012 fiscal years (“2013 Plan” and the “2012 Plan”) and the Long-Term Equity Incentive Program (“LTIP” or the “LTIP Program”) covering the Company’s executive officers. On September 5, 2012, at the recommendation of the Compensation Committee, the board of directors adopted the 2013 Plan. The Company recorded expense of $19,167 for the year ended June 30, 2013 for the award earned by the Company’s executive officers under the 2013 Plan. On September 15, 2011, at the recommendation of the Compensation Committee, the board of directors adopted the “2012 Plan”. The Company recorded expense of $197,613 for the year ended June 30, 2012 for the award earned by the Company’s executive officers under the 2012 Plan. The Company recorded stock compensation expense of $54,395 and $43,171 related to the vesting of shares and the change in fair value of the shares awarded under the LTIP Program during the year ended June 30, 2011 (see Note 12), the last year of the LTIP Program. There were no common stock options granted, vested or recorded as expense during the years ended June 30, 2013, 2012 and 2011. During each of the fiscal years ended June 30, 2013 and 2012, 42,333 and 3,000 common stock options, with exercise prices of $7.50 and $8.00, respectively, expired unexercised. As of June 30, 2013, there were no common stock options outstanding. INCOME TAXES The Company follows the provisions of FASB ASC 740, Accounting for Uncertainty in Income Taxes, which provides detailed guidance for the financial statement recognition, measurement and disclosure of uncertain tax positions recognized in the financial statements. Tax positions must meet a “more-likely-than-not” recognition threshold at the effective date to be recognized upon the adoption of ASC 740 and in subsequent periods. Upon the adoption of ASC 740, the Company had no unrecognized tax benefits. No liabilities have been recorded for uncertain tax positions. Income taxes are computed using the asset and liability method of accounting. Under the asset and liability method, a deferred tax asset or liability is recognized for estimated future tax effects attributable to temporary differences and carryforwards. The measurement of deferred income tax assets is adjusted by a valuation allowance, if necessary, to recognize future tax benefits only to the extent, based on available evidence it is more likely than not such benefits will be realized. The Company recognizes interest and penalties, if any, related to uncertain tax positions in selling, general and administrative expenses. No interest or penalties related to uncertain tax positions were accrued or incurred during the years ended June 30, 2013, 2012, and 2011. The Company files income tax returns in the United States federal jurisdiction and various state jurisdictions. The tax years ended June 30, 2010 through June 30, 2013 remain open to examination by taxing jurisdictions to which the Company are subject. As of June 30, 2013, the Company did not have any income tax examinations in process. EARNINGS (LOSS) PER COMMON SHARE Basic earnings per share are calculated by dividing income (loss) applicable to common shares by the weighted average common shares outstanding for the period. Diluted earnings per share is calculated by dividing income (loss) applicable to common shares by the weighted average common shares outstanding for the year plus the effect of potential common shares unless such effect is anti-dilutive. For the fiscal year ended June 30, 2013 exercise of 825,673 stock purchase warrants was assumed to calculate the weighted average common shares outstanding for the year. Exercise of stock purchase warrants (5,212,955) or the conversion of preferred stock (85,847) or cumulative preferred dividends (11,596) was not assumed during the fiscal year ended June 30, 2013 because the result would be anti-dilutive. For the fiscal year ended June 30, 2012 no exercise of stock options (45,333); or stock purchase warrants (8,045,619); or the conversion of preferred stock (4,430) or cumulative preferred dividends (10,932) was assumed during the because the result would be anti-dilutive. For the fiscal year ended June 30, 2011 no exercise of stock options (90,666); or stock purchase warrants (15,567,199); or the conversion of preferred stock (4,430) or cumulative preferred dividends (10,267) was assumed during the fiscal year ended June 30, 2011 because the result would be anti-dilutive. RECENT ACCOUNTING PRONOUCEMENTS The Company does not believe that the following recent accounting pronouncements or any other recently issued, but not yet effective accounting standards will have a material effect on the Company’s consolidated financial position, results of operations, or cash flows. In September 2011, the Financial Accounting Standards Board issued ASU 2011-08 Intangibles—Goodwill and Other (Topic 350): Testing Goodwill for Impairment. This is effective for the Company beginning with the fiscal year ended June 30, 2013. In December 2011, the Financial Accounting Standards Board issued ASU 2011-11 Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities. This will be effective for the Company beginning with the fiscal year ending June 30, 2014. In December 2011, the Financial Accounting Standards Board issued ASU 2011-12 Comprehensive Income (Topic 220): Deferral of the Effective Date for Amendments to the Presentation of Reclassifications of Items Out of Accumulated Other Comprehensive Income in Accounting Standards Update No. 2011-05. This is effective for the Company at the beginning of the fiscal year ended June 30, 2013. In July 2012, the Financial Accounting Standards Board issued ASU 2012-02 Intangibles—Goodwill and Other (Topic 350): Testing Indefinite-Lived Intangible Assets for Impairment. This will be effective for the Company beginning with the fiscal year ending June 30, 2014.

FINANCE RECEIVABLES

12 Months Ended

Jun. 30, 2013

Receivables [Abstract]

FINANCE RECEIVABLES

3. FINANCE RECEIVABLES

Finance Receivables consist of the following:

	June 30,

	2013		2012
Total finance receivables	$	525,118	$	542,847
Less current portion		116,444		206,649
Non-current portion of finance receivables	$	408,674	$	336,198

As of June 30, 2013 and 2012, there was no allowance for credit losses of finance receivables. As the Company collects monthly payments of the receivables from the customers’ transaction funds the risk of loss was determined to be remote.

Credit Quality Indicators
As of June 30, 2013

Credit risk profile based on payment activity:
	Leases

Performing	$	525,118
Nonperforming		-
Total	$	525,118

Age Analysis of Past Due Finance Receivables

As of June 30, 2013

	31 – 60		61 – 90		Greater than						Total
	Days Past Due		Days Past Due		90 Days Past Due		Total Past Due		Current		Finance Receivables

Leases	$	-	$	814	$	-	$	814	$	524,304	$	525,118
Total	$	-	$	814	$	-	$	814	$	524,304	$	525,118

Age Analysis of Past Due Finance Receivables

As of June 30, 2012

	31 – 60		61 – 90		Greater than						Total
	Days Past Due		Days Past Due		90 Days Past Due		Total Past Due		Current		Finance Receivables

Leases	$	-	$	2,057	$	18,855	$	20,912	$	521,935	$	542,847
Total	$	-	$	2,057	$	18,855	$	20,912	$	521,935	$	542,847

PROPERTY AND EQUIPMENT

12 Months Ended

Jun. 30, 2013

Property, Plant and Equipment [Abstract]

PROPERTY AND EQUIPMENT

4. PROPERTY AND EQUIPMENT

Property and equipment, at cost, consist of the following:

		June 30,
	Useful
	Lives	2013			2012
Computer equipment and purchased software	3-7 years	$	4,688,104		$	4,682,276
Property and equipment used for Rental Program	5 years		21,574,225			12,523,254
Furniture and equipment	3-7 years		693,554			805,077
Leasehold improvements	Lesser of
	life or lease term		539,629			465,587
			27,495,512			18,476,194
Less accumulated depreciation			(10,255,447	)		(6,676,086	)
		$	17,240,065		$	11,800,108

Assets under capital lease totaled approximately $1,965,000 and $1,863,000 as of June 30, 2013 and 2012, respectively. Capital lease amortization of approximately $265,000, $189,000, and $277,000, is included in depreciation expense for the years ended June 30, 2013, 2012, and 2011, respectively.

ePort equipment utilized by the JumpStart Program is identified as Property and equipment used for Rental Program in the above table. Accumulated depreciation attributable to the Property and equipment used for Rental Program is approximately $5,889,000 and $2,731,000 as of June 30, 2013 and 2012, respectively and is included in accumulated depreciation for the respective years in the above table.

INTANGIBLE ASSETS

12 Months Ended

Jun. 30, 2013

Goodwill and Intangible Assets Disclosure [Abstract]

INTANGIBLE ASSETS

5. INTANGIBLE ASSETS

Amortization expense relating to all acquired intangible assets was approximately $742,000, $998,000, and $1,034,000 during each of the years ended June 30, 2013, 2012, and 2011, respectively. The intangible asset balance and related accumulated amortization consisted of the following:

	June 30, 2013
	Gross
	Carrying		Accumulated			Net Carrying
	Amount		Amortization			Value
Intangible assets:

Trademarks	$	1,482,100	$	(1,050,000	)	$	432,100
Patents		9,294,000		(9,272,047	)		21,953
Total	$	10,776,100	$	(10,322,047	)	$	454,053


	June 30, 2012
	Gross
	Carrying		Accumulated			Net Carrying
	Amount		Amortization			Value
Intangible assets:

Trademarks	$	1,482,100	$	(1,050,000	)	$	432,100
Patents		9,294,000		(8,529,647	)		764,353
Total	$	10,776,100	$	(9,579,647	)	$	1,196,453

The Company’s test for impairment of its indefinite-lived trademarks consists of the trademarks: 1) VendingMiser, 2) CoolerMiser, 3) PlugMiser and 4) SnackMiser. As a result of its testing in fiscal years ended June 30, 2013 and 2012 the Company determined that no impairment had occurred. In the testing in fiscal year 2011, the Company determined that the sum of the expected discounted cash flows attributable to the trademarks was less than its carrying value of $1,014,000, and that an impairment write-down was required. The primary driver behind the decrease in the value was a decrease in the revenue expectations for the trademarks from the time the trademarks were acquired in July 2003 to when the impairment assessment was prepared. Accordingly, in fiscal year 2011, the Company performed a valuation of the trademark’s fair value with the assistance of an independent valuation specialist. The fair value of the trademarks was determined by a method known as “relief from royalty”, in which the fair value is determined by reference to the amount of royalty income the intangible would generate if it were licensed in an arm’s-length transaction. The essential assumptions in a valuation via an income approach are as follows:

●

The related dollar sales volume;

●

The percentage royalty on sales;

●

The adjustment for taxes;

●

The remaining useful economic life;

●

The percentage return on investment; and,

●

The tax amortization benefit.

During the fourth quarter of the fiscal year ended June 30, 2011, the fair value of the trademarks was determined to be $432,100. This assessment resulted in an impairment write-down during the fourth fiscal quarter of $581,900, which is included in “Impairment of intangible asset” in the Consolidated Statement of Operations for the fiscal year ended June 30, 2011.

The trademark described above, is not related to the Company’s core operations consisting of its ePort wireless, cashless products and services.

At June 30, 2013, the expected amortization of the intangible assets is as follows: approximately $22,000 in fiscal year 2014 and $0 thereafter. The weighted average useful life of these amortized intangible assets is approximately one month at June 30, 2013. At June 30, 2013 and 2012, $432,100 of trademarks has an indefinite life and is included in the intangible assets tables above.

ACCRUED EXPENSES

12 Months Ended

Jun. 30, 2013

Accrued Liabilities [Abstract]

ACCRUED EXPENSES

6. ACCRUED EXPENSES

Accrued expenses consist of the following:


	June 30,

	2013		2012
Accrued compensation and related sales commissions	$	583,710	$	767,926
Accrued professional fees		165,444		482,664
Accrued taxes and filing fees		253,527		663,078
Advanced customer billings		346,868		311,767
Accrued proxy contest and litigation costs		-		992,520
Accrued rent		226,582		278,862
Accrued other		258,838		271,880
	$	1,834,969	$	3,768,697

LINE OF CREDIT	12 Months Ended
LINE OF CREDIT	Jun. 30, 2013
Line Of Credit Facility [Abstract]
LINE OF CREDIT	7. LINE OF CREDIT On July 10, 2012, the Company entered into a Loan and Security Agreement and other ancillary documents (the “Loan Documents”) with Avidbank Corporate Finance, a division of Avidbank (the “Bank”), providing for a secured asset-based revolving line of credit in an amount of up to $3 million (the “Line of Credit”). The Company intends to use advances under the Line of Credit towards the financing of growth initiatives like its JumpStart Program and other working capital needs The Loan Documents provide that the aggregate amount of advances under the Line of Credit shall not exceed the lesser of (i) $3.0 million, or (ii) 75% of eligible accounts receivable as defined in the Loan Documents plus 80% of the prior two months transaction processing revenues and networking service fees as defined in the Loan Documents, provided that the amounts advanced on account of such processing revenues and service fees shall not exceed $2,000,000 without the Bank’s prior consent, after the First Amendment entered into on January 2, 2013 As a condition of the Bank entering into the First Amendment, the Company issued to the Bank warrants to purchase up to 45,000 shares of common stock of the Company. The warrants are exercisable at any time prior to December 31, 2017 at an exercise price of $2.10 per share. Upon the issuance of the 45,000 shares of common stock, the fair value of the warrants is $55,962 using a Black Scholes model, which was recorded as prepaid interest and included in other assets on the Consolidated Balance Sheet, and is being amortized as non-cash interest expense over the remaining term of the Line of Credit as amended in January 2013. Non-cash interest of $53,867 has been recognized for the year ended June 30, 2013. The outstanding balance of the amounts advanced under the Line of Credit will bear interest at 2% above the prime rate as published in The Wall Street Journal or 5% whichever is higher. Interest is payable by the Company to the Bank on a monthly basis, provided, that the minimum interest payable by the Company to the Bank with respect to each six month period shall be $20,000. The Line of Credit and the Company’s obligations under the Loan Documents are secured by substantially all of the Company’s assets, including its intellectual property. The term of the Line of Credit is one year. At the time of maturity all outstanding advances under the Line of Credit as well as any unpaid interest is due and payable. Prior to maturity of the Line of Credit, the Company may prepay amounts due under the Line of Credit without penalty, and subject to the terms of the Loan Documents, may re-borrow any such amounts. On April 2, 2013, the Company and the Bank, entered into a Second Amendment (the “Second Amendment”) to the Loan and Security Agreement. The Second Amendment provided a change to the definition of Adjusted EBITDA for covenant calculations for the fiscal quarters ending through March 31, 2014. On April 15, 2013, the Company and the Bank, entered into a Third Amendment (the “Third Amendment”) to the Loan and Security Agreement. The Third Amendment provides that, among other things, the aggregate amount available under the Line of Credit will be increased from $3.0 million to $5.0 million, and the maturity date of the Line of Credit will be extended for another twelve months, or until June 21, 2014.The Third Amendment provides that the aggregate amount of advances now available to the Company under the Line of Credit cannot exceed the lesser of (i) $5.0 million, or (ii) 80% of the prior three months transaction processing revenues and networking service fees as defined in the Loan Agreement. The Loan Documents contain customary affirmative and negative covenants. The Loan Documents also require the Company to achieve a minimum Adjusted EBITDA, as defined in the Loan Documents and amended by the Second Amendment, dated April 2, 2013, measured on a quarterly basis. Prior to the Third Amendment, the Company was required to maintain a balance of unrestricted cash in accounts with the Bank of at least $3.0 million. The Third Amendment provided that if the amount of the Company’s monthly “net cash provided by (used in) operating activities” including Jumpstart investments, as set forth in the Company’s monthly cash flow statements prepared in accordance with United States’ Generally Accepted Accounting Principles (“GAAP”) (the “RML”) is negative, the Company must maintain a balance of unrestricted cash in accounts with the Bank plus the availability under the Line of Credit of at least six times the RML. If the RML is positive, then in lieu of the foregoing requirement, the Company must maintain a minimum current ratio of current assets to current liabilities of at least 1.00 to 1.00. As of June 30, 2013 the Company obtained waivers from the Bank for the default of two covenants – Adjusted EBITDA and the minimum current ratio. On April 29, 2013, the Company and the Bank entered into a Fourth Amendment (“Fourth Amendment”) to the Loan and Security Agreement to change the RML from the monthly “net cash provided by (used in) operating activities” including Jumpstart investments to the average monthly amount (based on the prior three months) of the Company’s “net cash provided by (used in) operating activities” including JumpStart investments, as set forth in the Company’s monthly cash flow statements prepared in accordance with GAAP. In September 2013, the Company and the Bank entered into a Fifth Amendment (“Fifth Amendment”) to the Loan and Security Agreement to change the definition of Adjusted EBITDA for covenant calculations for the four fiscal quarters ending through June 30, 2014. The Loan Documents also contain customary events of default, including, among other things, payment defaults, breaches of covenants, and bankruptcy and insolvency events, subject to grace periods in certain instances. Upon an event of default, the Bank may declare all of the outstanding obligations of the Company under the Line of Credit and Loan Documents to be immediately due and payable, and exercise any other rights provided for under the Loan Documents. As of June 30, 2013, the balance due on the Line of Credit was $3,000,000, and another $2,000,000 was available.

LONG-TERM DEBT

12 Months Ended

Jun. 30, 2013

Debt Disclosure [Abstract]

LONG-TERM DEBT

8. LONG-TERM DEBT

Long-term debt consists of the following:


	June 30,

	2013		2012
Capital lease obligations	$	345,925	$	426,007
Loan agreement		23,981		302,323
		369,906		728,330
Less current portion		247,152		466,056
	$	122,754	$	262,274

The maturities of long-term debt as of June 30, 2013 are as follows:


2014	$	247,152
2015		96,347
2016		21,435
2017		4,972
	$	369,906

During March 2007, the Company entered into a capital lease agreement in connection with office equipment for approximately $146,000, due in sixty equal monthly payments of $2,965 through March 2012.

During November 2007, the Company entered into a long-term debt agreement for $93,000 with a financial institution bearing interest at 8.25%, collateralized by the assets of the Company, which requires 84 monthly payments of $1,467, including interest and principal. This loan was satisfied in June 2012.

During November 2008, the Company entered into various capital leases for network equipment and maintenance contracts on the equipment totaling $462,041, due in 24 to 36 monthly installments $1,545 to $3,246.

During July 2009, the Company also entered into a capital lease for office equipment totaling $24,836, due in 46 monthly installments of $677. This was satisfied in June 2013.

During March 2010, the Company financed the purchase of computer equipment totaling $195,000 due in 36 monthly installments at an interest rate of 4.95%. An amount of restricted cash equal to the outstanding principal balance of the loan serves as security for this loan. Accordingly, $51,492 of restricted cash is classified with current other assets on the Consolidated Balance Sheet at June 30, 2012. This loan was satisfied in March 2013.

During May 2010, the company financed software licenses totaling $77,730, due in twelve monthly installments at an interest rate of 3.3%.

During July 2010, the Company financed a portion of the premiums for various insurance policies totaling $94,331 due in nine monthly installments at an interest rate of 4.93%. During July 2011, the Company financed a portion of the premiums for various insurance policies totaling $90,372 due in nine equal monthly payments at an interest rate of 5.57%. During July 2012, the Company financed a portion of the premiums for various insurance policies totaling $128,062, due in ten monthly payments of $13,103 through May 2013 at an interest rate of 5.02%.

During August 2011, the Company entered into a capital lease for network equipment totaling approximately $496,000, due in 36 monthly payments of $14,145 through August 2014.

During November 2011, the Company financed network equipment totaling approximately $46,000, due in twelve equal quarterly installment payments at an interest rate of 6.47%.

During April 2012, the Company entered into a capital lease for network equipment totaling approximately $62,000, due in 36 monthly payments of $1,785 through February 2015.

During June 2012, the Company financed software licenses totaling approximately $212,000, due in four equal quarterly installment payments at an interest rate of 11.09%.

During January 2013, the Company entered into a capital lease for network equipment totaling approximately $45,000, due in 37 monthly payments of $1,501 through December 2015.

During March 2013, the Company entered into a capital lease for equipment to support customer service totaling approximately $15,000, due in 36 monthly payments of $464 through January 2016.

During March 2013, the Company entered into a capital lease for network equipment totaling approximately $24,000, due in three annual installments of $8,686 through April 2015.

During April 2013, the Company entered into a capital lease for equipment totaling approximately $32,000, due in twelve quarterly installments of $2,915 through December 2015.

During June 2013, the Company entered into a capital lease for office equipment totaling approximately $16,000, due in 48 monthly installments of $455.80 through June 2017.

FAIR VALUE OF FINANCIAL INSTRUMENTS

12 Months Ended

Jun. 30, 2013

Fair Value Disclosures [Abstract]

FAIR VALUE OF FINANCIAL INSTRUMENTS

9. FAIR VALUE OF FINANCIAL INSTRUMENTS

In accordance with the fair value hierarchy described in Note 2, the following table shows the fair value of the Company’s financial instruments that are required to be measured at fair value as of June 30, 2013 and 2012:


June 30, 2013	Level 1		Level 2		Level 3		Total

Cash equivalents	$	192,620	$	-	$	-	$	192,620
Common stock warrant liability, warrants exercisable at $2.6058 from September 18, 2011 through September 18, 2016	$	-	$	-	$	650,638	$	650,638
Common stock warrant liability, warrants exercisable at $5.90 through September 14, 2013	$	-	$	-	$	-	$	-


June 30, 2012	Level 1		Level 2		Level 3		Total

Cash equivalents	$	141,107	$	-	$	-	$	141,107
Common stock warrant liability, warrants exercisable at $2.6058 from September 18, 2011 through September 18, 2016	$	-	$	-	$	917,440	$	917,440
Common stock warrant liability, warrants exercisable at $5.90 through September 14, 2013	$	-	$	-	$	1,126	$	1,126

As of June 30, 2013 and 2012, the fair values of the Company’s Level 1 financial instruments were $192,620 and $141,107, respectively. These financial instruments consist of cash equivalents, including money market accounts. As of June 30, 2013 and 2012, the Company held no Level 2 financial instruments.

As of June 30, 2013 and 2012, the fair values of the Company’s Level 3 financial instruments totaled $650,638 and $918,566, respectively. The Level 3 financial instruments consist of common stock warrants issued by the Company in March 2011 and March 2007, which include features requiring liability treatment of the warrants. The fair value of warrants issued in March 2011 (see Notes 12 and 13) to purchase 3.9 million shares of the Company’s common stock is based on valuations performed by an independent third party valuation firm. The fair value was determined using proprietary valuation models using the quality of the underlying securities of the warrants, restrictions on the warrants and security underlying the warrants, time restrictions and precedent sale transactions completed in the secondary market or in other private transactions. The fair value of warrants issued in March 2007 to purchase 903,955 shares of the Company’s common stock was estimated by the Company to be $0 using the Black-Scholes with the following assumptions: dividend yield of 0%, expected stock price volatility of 46.6, risk free interest rate of 0.04, and an expected life of 0.2 years. There were no transfers of assets or liabilities between level 1, level 2, or level 3 during the years ended June 30, 2013 and 2012.

The following table summarizes the changes in fair value of the Company’s Level 3 financial instruments for the years ended:


	June 30,

	2013			2012
Beginning balance	$	(918,566	)	$	(2,732,253	)
Gain due to change in fair value of warrant liabilities, net		267,928			1,813,687
Ending balance	$	(650,638	)	$	(918,566	)

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

INCOME TAXES

12 Months Ended

Jun. 30, 2013

Income Tax Disclosure [Abstract]

INCOME TAXES

10. INCOME TAXES

At June 30, 2013, the Company had net operating loss carryforwards of $167,517,976 to offset future taxable income expiring through approximately 2033.

The timing and extent to which the Company can utilize future tax deductions in any year may be limited by provisions of the Internal Revenue Code regarding changes in ownership of corporations (i.e. IRS Code Section 382). The changes in ownership limitations under IRS Code Section 382 have had the effect of limiting the maximum amount of net operating loss carryforwards as of June 30, 2013 and 2012 available for use to offset future years’ taxable income to $129,313,279 and $127,024,196, respectively. Those net operating loss carryforwards start to expire June 30, 2022.

At June 30, 2013 and 2012, the Company recorded net deferred tax assets of $51,078,657 and $51,708,064, respectively, which were offset by a valuation allowance of $51,118,902 and $51,720,663 as of June 30, 2013 and 2012, respectively, as the realization of the deferred tax asset is not likely, principally due to the lack of earnings history.

As of June 30, 2013and 2012, net deferred tax liabilities of $40,245 and $12,599, respectively, were recorded representing the future potential state and federal income tax effects for basis differences between financial reporting and income tax purposes as of those respective dates for indefinite life intangible assets and goodwill that are being amortized for income tax purposes but not for financial reporting. The potential future income tax effects associated with such indefinite life assets are not subject to offset against deferred tax assets with finite lives.

These deferred tax liabilities resulted in a provision for income taxes for the years ended June 30, 2013 and 2012 of $27,646 and $12,599,respectively, which are comprised of deferred state income taxes of $6,804 and $3,101, respectively, and deferred federal income taxes of $20,842 and $9,498, respectively.

For the year ended June 30, 2013 an income tax provision of $299,801 at the federal statutory rate of 34% is indicated based upon the income before provision for income taxes. In recording the provision for income taxes the indicated provision was reduced for the effects of decreases in the valuation allowance of $205,266 for federal income taxes associated with deferred tax assets, decreased for the effects of permanent differences of $71,379 and increased by state income taxes net of federal benefit of $4,490.

For the year ended June 30, 2012 an income tax benefit of $1,767,537 at the federal statutory rate of 34% is indicated based upon the loss before provision for income taxes. In recording the provision for income taxes that benefit was reduced for the effects of increases in the valuation allowance of $2,372,354 for federal income taxes associated with deferred tax assets, increased for the effects of permanent differences of $594,264 and reduced by state income taxes net of federal benefit $2,046.

The net deferred tax assets arose primarily from net operating loss carryforwards, as well as the use of different accounting methods for financial statement and income tax reporting purposes as follows:


	June 30,

	2013			2012
Deferred tax assets:
Net operating loss carryforwards	$	49,534,732		$	48,825,628
Deferred research and development costs		135,189			185,940
Intangibles		1,132,471			1,059,409
Stock-based compensation		230,452			694,407
Other		671,947			955,279
		51,704,791			51,720,663
Deferred tax liabilities:
Intangibles and goodwill		(40,245	)		(12,599	)
Fixed Assets		(585,889	)
Deferred tax assets, net		51,078,657			51,708,064
Valuation allowance		(51,118,902	)		(51,720,663	)
Deferred tax (liabilities) assets, net of allowance	$	(40,245	)	$	(12,599	)

PREFERRED STOCK	12 Months Ended
PREFERRED STOCK	Jun. 30, 2013
Preferred Stock [Abstract]
PREFERRED STOCK	11. PREFERRED STOCK The authorized Preferred Stock may be issued from time to time in one or more series, each series with such rights, preferences or restrictions as determined by the Board of Directors. As of June 30, 2013 each share of Series A Preferred Stock is convertible into 0.1938 of a share of Common Stock and each share of Series A Preferred Stock is entitled to 0.1938 of a vote on all matters on which the holders of Common Stock are entitled to vote. Each share of Common Stock entitles the holder to one voting right. Series A Preferred Stock provides for an annual cumulative dividend of $1.50 per share, payable when, as and if declared by the Board of Directors, to the shareholders of record in equal parts on February 1 and August 1 of each year. Any and all accumulated and unpaid cash dividends on the Series A Preferred Stock must be declared and paid prior to the declaration and payment of any dividends on the Common Stock. Cumulative unpaid dividends at June 30, 2013 and 2012 amounted to $11,596,324 and $10,931,872, respectively. Cumulative unpaid dividends are convertible into common shares at $1,000 per common share at the option of the shareholder. During the years ended June 30, 2013 and 2012 no shares of Preferred Stock nor cumulative preferred dividends converted into shares of common stock. During the year ended June 30, 2011, 1,500 shares of Preferred Stock and $33,000 cumulative preferred dividends converted into 15 shares and 33 shares of common stock, respectively. The Series A Preferred Stock may be called for redemption at the option of the Board of Directors for a price of $11.00 per share plus payment of all accrued and unpaid dividends. No such redemption has occurred as of June 30, 2013. In the event of any liquidation as defined in the Company’s Articles of Incorporation, the holders of shares of Series A Preferred Stock issued shall be entitled to receive $10.00 for each outstanding share plus all cumulative unpaid dividends. If funds are insufficient for this distribution, the assets available will be distributed ratably among the preferred shareholders.

COMMON STOCK

12 Months Ended

Jun. 30, 2013

Common Stock [Abstract]

COMMON STOCK

12. COMMON STOCK

The Company’s Board of Directors has authorized various Common Stock public and private placement offerings. Activity for these offerings during the years ended June 30, 2013, 2012, and 2011 are as follows:

On July 7, 2010, we sold an aggregate of 261,953 shares and related warrants (USATZ) to purchase up to 261,953 shares pursuant to a subscription rights offering which concluded on July 6, 2010 (the “2010 Rights Offering”). In connection with the offering, Source Capital Group, Inc. (“Source”) acted as dealer manager. As compensation for its services, Source received warrants to purchase up to 15,717 shares at $1.13 per share at any time through July 7, 2013. The Company received $235,757 of gross proceeds; after deductions for fees and expenses, net cash proceeds were $5,671. During the year ended June 30, 2011, all of the 261,953 USATZ warrants issued under this offering were exercised at $1.13 per share for cash proceeds of $296,007.

During the year ended June 30, 2013, Source elected a cashless exercise of 36,186 warrants received from acting as dealer manager for the offering described above as well as the 2010 Public Offering (see Note 13), resulting in the issuance of 17,094 shares of Common Stock. Additionally, during the 2013 fiscal year Source exercised warrants at $1.13 per share for issuance of 13,216 shares of Common stock resulting in proceeds of $14,934. During the year ended June 30, 2012, Source elected a cashless exercise of 2,767 warrants received from acting as dealer manager, resulting in the issuance of 990 shares of Common Stock. During the year ended June 30, 2011, Source elected a cashless exercise of 127,497 warrants received from acting as dealer manager, resulting in the issuance of 83,472 shares of Common Stock.

On July 27, 2010, we executed a purchase agreement and a registration rights agreement (the “LPC Agreement”) with Lincoln Park Capital, LLC (“LPC”). On March 16, 2011, the Company gave written notice to LPC that it had terminated the LPC Agreement. During the year ended June 30, 2011 we issued 150,000 shares of our common stock to LPC as a commitment fee for entering into the purchase agreement and no other shares were issued to LPC under the LPC Agreement.

On March 14, 2011, the Company entered into a Securities Purchase Agreement (the “2011 Private Placement Offering”) with seven institutional investors (the “Buyers”). Pursuant thereto, on March 17, 2011 the Company sold to the Buyers 5,200,000 shares of the Company’s common stock at a price of $2.064 per share for an aggregate purchase price of $10,732,800. On March 17, 2011 the Company also issued warrants to the Buyers to purchase up to 3,900,000 shares of common stock at an exercise price of $2.6058 per share.

In connection with the 2011 Private Placement Offering, Chardan Capital Markets, LLC (“Chardan”), acted as exclusive placement agent. As compensation for its services, Chardan received cash compensation of $751,296 and warrants to purchase up to 364,000 shares of common stock at $2.6058 per share at any time within five years following the six-month and one day anniversary of the issuance of the warrants, March 17, 2011.

The total proceeds of $10,732,800 were reduced by $1,917,122, the fair value of the warrants which are subject to liability accounting (see Note 9), and cash issuance costs of $838,705, resulting in net cash proceeds of $9,894,095 and net proceeds related to common shares of $7,976,973.

The Company’s Board of Directors has authorized various compensation plans. Activity for these plans during the years ended June 30, 2013, 2012, and 2011 are as follows:

On February 12, 2007, upon recommendation of the Compensation Committee of the Board of Directors of the Company, the Board adopted the LTIP Program for each of our three then-current executive officers. The LTIP Program was intended to ensure continuity of the Company’s executive management, to encourage stock ownership by such persons, and to align the interests of executive management with those of the shareholders.

Pursuant to and as defined in the LTIP Program, each executive would be awarded shares of the Company’s Common Stock if the Company achieves certain target goals relating to revenues, gross profit, and EBITDA (the “Target Goals”) of the Company during each of the fiscal years ended June 30, 2007, June 30, 2008 and June 30, 2009. On February 4, 2009, the Board of Directors approved the recommendation of the Compensation Committee that the final twelve month measuring period under the LTIP Program be changed from the fiscal year ended June 30, 2009 to the fiscal year ended June 30, 2010.

As a result of the Board’s decision to change the final twelve month measuring date of the LTIP Program from fiscal year 2009 to fiscal year 2010. Final settlement of the award occurred in December 2010 with 86,342 shares earned and total compensation expense recorded of $97,566, of that $54,395 was compensation expense during the year ended June 30, 2011.

On February 28, 2008, the Company’s shareholders approved the 2008 Stock Incentive Plan to allow up to 300,000 shares of Common Stock to be available for issuance to future or current employees, directors and consultants of the Company. Prior to the year ended June 30, 2010, the Company had issued 239,253 shares under the 2008 Stock Incentive Plan. During the years ended June 30, 2011 and 2010, the Company issued 20,747 and 40,000 shares under the 2008 Stock Incentive Plan totaling $10,208 and $87,354, respectively, based on the grant date fair value of the shares. As of June 30, 2011, all 300,000 shares of Common Stock available for issuance under the Plan had been issued.

On June 15, 2010, the Company’s shareholders approved the 2010 Stock Incentive Plan to allow up to 300,000 shares of Common Stock to be available for issuance to future or current employees, directors and consultants of the Company. During the years ended June 30, 2013, 2012 and 2011, the Company issued 62,942, 120,472 and 109,918 shares under the plan totaling $68,723, $248,851 and $292,263, respectively based on the grant date fair value of the shares. As of June 30, 2013, 6,668 shares under the plan have been granted, but have not been issued as they are subject to various vesting provisions, and no more shares are available for future issuance.

On June 13, 2011, the Company’s shareholders approved the 2011 Stock Incentive Plan to allow up to 300,000 shares of Common Stock to be available for issuance to future or current employees, directors and consultants of the Company. During the years ended June 30, 2013, 2012 and 2011, the Company issued 96,665, 141,666 and 0 shares under the plan totaling $157,645, $335,636 and $0, respectively based on the grant date fair value of the shares. As of June 30, 2013, 61,669 shares under the plan have been granted, but have not been issued as they are subject to various vesting provisions, and no more shares are available for future issuance.

On June 28, 2012, the Company’s shareholders approved the 2012 Stock Incentive Plan to allow up to 500,000 shares of Common Stock to be available for issuance to future or current employees, directors and consultants of the Company. During the year ended June 30, 2013, the Company issued 279,806 shares under the plan totaling $257,372 based on the grant date fair value of the shares. During the year ended June 30, 2012, the Company did not issue any shares under the plan and recorded $197,613 related to the vesting of shares to be issued under this plan. As of June 30, 2013, 23,809 shares under the plan have been granted, but have not been issued as they are subject to various vesting provisions, and 196,385 shares are available for future issuance.

On June 21, 2013, the Company’s shareholders approved the 2013 Stock Incentive Plan to allow up to 500,000 shares of Common Stock to be available for issuance to future or current employees, directors and consultants of the Company. During the year ended June 30, 2013, the Company did not grant or issue any shares under the plan. As of June 30, 2013, 500,000 shares are available for future issuance.

On September 27, 2011 the Company and Mr. Jensen, the Company’s former Chief Executive Officer, entered into an amended and restated employment agreement (the “Jensen Employment Agreement”) and on October 14, 2011 a Separation Agreement and Release (the “Separation Agreement”).

The Jensen Employment Agreement provided for the issuance of an aggregate of 150,000 shares of common stock to Mr. Jensen under its stock incentive plans which were to vest as follows: 50,000 on the date the agreement was signed (September 27, 2011) by Mr. Jensen and the Company; 50,000 on the first anniversary of the date of signing (September 27, 2012); and 50,000 on the second anniversary of the date of signing (September 27, 2013).

Pursuant to the Separation Agreement, Mr. Jensen resigned as Chairman, Chief Executive Officer and as a Director of the Company, effective October 14, 2011. Under the Separation Agreement, the Company issued to Mr. Jensen 41,667 shares of its common stock which were awarded in connection with the signing of an amendment to his employment agreement in April 2011, which would not have otherwise vested until April 2012; and 50,000 shares of the Company’s common stock which were awarded to Mr. Jensen in connection with the signing Jensen Employment Agreement and which would not have otherwise vested until September 2012.

Pursuant to the Separation Agreement, 41,667 shares of common stock that would have vested in April 2013 in connection with the signing of an amendment to Mr. Jensen’s employment agreement in April 2011 and 50,000 shares of common stock that would have vested in September 2013 in connection with the signing of his amended and restated employment agreement in September 2011 were forfeited.

On September 27, 2011, the Company and Mr. Herbert entered into a second amendment to his employment agreement. The Company issued an aggregate of 100,000 shares of common stock to Mr. Herbert under its stock incentive plans which vest as follows: 33,333 on the date the agreement was signed by Mr. Herbert and the Company (September 27, 2011); 33,333 on the first anniversary of the date of signing (September 27, 2012); and 33,334 on the second anniversary of the date of signing (September 27, 2013).

In September 2012, the Board of Directors accepted the recommendation of the Compensation Committee and granted 71,429 shares of Common Stock with a grant date fair value of $100,000 to Mr. Herbert under the 2012 Stock Incentive Plan (the “2012 Plan”) to vest over a period of up to three years based on performance of the Company’s Common Stock. During the year ended June 30, 2013, the Company issued 47,620 shares of Common Stock and recorded $66,668 of expense for this grant. As of June 30, 2013, 23,809 shares of Common Stock remain unvested for this grant.

On September 27, 2011, the Company and Mr. DeMedio entered into a fifth amendment to his employment agreement pursuant to which Mr. DeMedio was granted an aggregate of 25,000 shares of common stock which vest as follows: 8,333 on the date of signing the amendment (September 27, 2011); 8,333 on the first anniversary of such signing date (September 27, 2012); and 8,334 on the second anniversary of such signing date (September 27, 2013).

On September 15, 2011, at the recommendation of the Compensation Committee, the board of directors adopted the Fiscal Year 2012 Performance Share Plan (the “2012 Performance Plan”) covering the Company’s executive officers. Under the 2012 Performance Plan, each executive officer will be awarded common stock in the event the Company achieves target goals during the fiscal year ending June 30, 2012 relating to the total number of connections, total revenues, operating expenses, and operating earnings. Operating earnings is defined as earnings before interest and taxes (after bonus accruals and stock awards) and before non-operating gains or losses. The number of eligible shares to be awarded to the executives is based upon the following weightings: 30% by the total number of connections; 30% by total revenues; 10% by operating expenses; and 30% by operating earnings. No awards would be made under the 2012 Performance Plan if either (i) none of the minimum, threshold performance target goals have been achieved, or (ii) if operating earnings for the 2012 fiscal year are not equal or better than those during the 2011 fiscal year.

Notwithstanding the above description of the 2012 Performance Plan, the executives would receive shares from the Company pursuant to the 2012 Performance Plan only if and to the extent that shares would be available to be issued to the executives under the existing 2011 stock incentive plan or another stock plan that has been approved by the shareholders of the Company in accordance with NASDAQ Listing Rule 5635(c).If there would not be a sufficient number of shares available to be issued to the executives, the Company would pay to the executives an amount of cash equal to the value of those shares not available to be issued to the executives. In such event, the executives would be required to utilize the cash payment, net of any withholding, payroll or other taxes attributable to the cash payment, to purchase shares of common stock of the Company on the open market.

As of September 15, 2011 and through June 27, 2012, there were not sufficient shares available under the existing 2011 stock incentive plan or another stock plan that had been approved by the shareholders of the Company; consequently, the Company may have been required to deliver to the executives an amount of cash equal to the value of shares earned but not available to be issued to the executives. Therefore, in accordance with ASC Topic 718, “Stock Compensation”, this award was accounted for as a liability of the Company through June 27, 2012. On June 28, 2012, the Company’s shareholders approved the 2012 Stock Incentive Plan, which includes sufficient shares for the 2012 Performance Plan. Accordingly, for the fiscal year ended June 30, 2012 the Company recorded stock compensation expense of $197,613 for the vesting of 136,285 shares of Common Stock – 96,201 shares to Mr. Herbert and 40,084 shares to Mr. DeMedio. Final settlement of the award occurred in September 2012.

Pursuant to the Separation Agreement entered into by the Company and Mr. Jensen, Mr. Jensen is not entitled to earn shares under the 2012 Performance Plan, and therefore no award was estimated for Mr. Jensen for the fiscal 2012 year.

On September 5, 2012, at the recommendation of the Compensation Committee, the board of directors adopted the Fiscal Year 2013 Performance Share Plan (the “2013 Performance Plan”) covering the Company’s executive officers. Under the 2013 Performance Plan, each executive officer would be awarded common stock in the event the Company achieves certain performance goals during the fiscal year ended June 30, 2013. The metrics under the 2013 Performance Plan as well as the relative weightings of these metrics are identical to those originally set forth in the 2012 Performance Plan. No awards would be made under the 2013 Performance Plan if either (i) none of the minimum, threshold performance target goals has been achieved, or (ii) if operating earnings for the 2013 fiscal year are not equal or better than those during the 2012 fiscal year.

If all of the target goals are achieved under the 2013 Performance Plan, the executive officers would be awarded shares having the following value: Mr. Herbert – $275,000; and Mr. DeMedio – $100,000. If all of the minimum, threshold performance target goals are achieved, the executive officers would be awarded shares having the following value: Mr. Herbert – $75,000; and Mr. DeMedio – $25,000. If all of the maximum, distinguished performance target goals are achieved, the executive officers would be awarded shares having the following value: Mr. Herbert – $550,000; and Mr. DeMedio – $200,000. If the actual results for the fiscal year are less than the target goals (but greater than the minimum, threshold performance target goals), each executive would be awarded a lesser pro rata number of shares from the target goal, if actual results are between target and maximum, then a pro rata number of shares between target and maximum is earned, and if actual results are above maximum (distinguished) than pro rata shares above maximum is earned.

As of September 5, 2012 and through June 20, 2013, there were not sufficient shares for the maximum awards available under the existing 2012 stock incentive plan or another stock plan that had been approved by the shareholders of the Company; consequently, the Company may have been required to deliver to the executives an amount of cash equal to the value of shares earned but not available to be issued to the executives. Therefore, in accordance with ASC Topic 718, “Stock Compensation”, this award was accounted for as a liability of the Company through June 20, 2013. On June 21, 2013, the Company’s shareholders approved the 2013 Stock Incentive Plan, which includes sufficient shares for the 2013 Performance Plan. Accordingly, for the fiscal year ended June 30, 2013, the Company recorded stock compensation expense of $19,167 for the vesting of 11,016 shares of Common Stock – 8,142 shares to Mr. Herbert and 2,874 shares to Mr. DeMedio. Final settlement of the award is expected to occur in September 2013.

During the years ended June 30, 2013, 2012 and 2011, and as permitted under their employment agreements, executive officers cancelled an aggregate of 64,847, 38,749, and 2,217 shares of Common Stock, respectively, in order to satisfy an aggregate of $121,052, $51,381, and $2,261, respectively, of payroll tax withholding obligations related to shares of Common Stock which vested during the 2010 through 2013 fiscal years.

During June 2011, the Board of Directors accepted the recommendation of the Compensation Committee that each non-employee Director serving as of June 30, 2011 receive a stock award of 10,000 shares of Common Stock under the 2010 Stock Incentive Plan valued at $2.22 per share. A total of 50,000 shares of Common Stock were awarded, and the shares vest as follows: 16,665 on June 30, 2011; 16,665 on June 30, 2012; and 16,670 on June 30, 2013. In February 2012, a non-employee member of the Board of Directors forfeited and returned to the Company 6,667 and 3,333 shares of Common Stock, respectively, awarded under this grant in June 2011.

As of June 30, 2012, 29,998 shares, net, have vested and been issued. In addition, due to the February 2012 forfeiture and return and changes in the composition of the Board of Directors as approved by shareholders at the Company’s annual meeting of shareholders on June 28, 2012, as of June 30, 2012, 10,002 shares of Common Stock remain reserved for future issuance and 10,000 shares will not vest under this June 2011 grant. As of June 30, 2013, 39,999 shares vested under this award and no shares remain unvested.

During March 2012, the Board of Directors accepted the recommendation of the Compensation Committee that each of the three non-employee Directors appointed to the Board in January 2012 receive a stock award of 10,000 shares of Common Stock under the 2010 Stock Incentive Plan valued at $0.94 per share. A total of 30,000 shares of Common Stock were awarded, and the shares vest as follows: 9,999 on April 1, 2012; 9,999 on April 1, 2013; and, 10,002 on April 1, 2014. As of June 30, 2013, 19,998 shares have vested and been issued. Due to changes in the composition of the Board of Directors as approved by shareholders at the Company’s annual meeting of shareholders on June 28, 2012, as of June 30, 2013, 6,668 shares of Common Stock remain reserved for future issuance and 6,667 shares will not vest under this March 2012 grant.

In July 2012, the Board of Directors accepted the recommendation of the Compensation Committee that each of the three non-employee Directors who joined the Board after March 31, 2012 receive a stock award of 10,000 shares of Common Stock. Under the 2011 Stock Incentive Plan (the “2011 Plan”) 30,000 shares of Common Stock were awarded with a grant date fair value of $1.45 per share, and vest as follows: 9,999 on August 10, 2012; 9,999 on August 10, 2013; and, 10,002 on August 10, 2014. As of June 30, 2013, 20,001 shares of Common Stock remain reserved for future issuance under this July 2012 grant.

During the years ended June 30, 2013 and 2012, Director(s) elected to receive compensation for service on the Company’s Board of Directors in Common Stock of the Company. For the years ended June 30, 2013 and 2012, the Company issued 88,594 and 2,299 shares of Common Stock and recorded $157,500 and $3,333 of expense, respectively, for this director compensation. The Company also issued to the lead independent director 23,248 and 19,175 shares of common stock attributable to his service as lead independent director during the years ended June 30, 2013 and 2012, respectively.

As of June 30, 2013, the Company had reserved shares of Common Stock for future issuance for the following:


Exercise of Common Stock Warrants			6,412,768
Conversions of Preferred Stock and cumulative Preferred Stock dividends			97,444
Issuance under 2012 Stock Incentive Plan			196,385
Issuance under 2013 Stock Incentive Plan			500,000
Issuance to former Chief Executive Officer upon the occurrence of a USA Transaction			140,000
Total shares reserved for future issuance			7,346,597

A summary of the status of the Company’s nonvested common shares as of June 30, 2013, 2012, and 2011, and changes during the years then ended is presented below:

				Weighted-Average
				Grant-Date
	Shares			Fair Value
Nonvested Shares
Nonvested at June 30, 2010		13,000		$	1.75
Granted		305,000			2.18
Vested		(130,665	)		1.93
Nonvested at June 30, 2011		187,335		$	2.32
Granted		473,285			1.58
Vested		(380,282	)		1.73
Forfeited due to Separation Agreement		(91,667	)		2.00
Forfeited, Director changes		(16,668	)		1.71
Nonvested at June 30, 2012		172,003		$	1.82
Granted		156,429			1.45
Vested		(204,587	)		1.72
Forfeited, Employee shares not earned		(26,699	)		1.52
Nonvested at June 30, 2013		97,146		$	1.52

The 97,146 nonvested shares of Common Stock as of June 30, 2013 were granted under the 2010, 2011, and 2012 stock incentive plans and relate to employment agreements, other employee grants, and non-employee Board of Director grants. A discussion of assumptions used in calculating the number of shares and weighted-average grant date fair value is included above in Note 12 of the Consolidated Financial Statements.

Common Stock Warrant activity for the years ended June 30, 2013, 2012, and 2011 was as follows:

	Warrants
Outstanding at June 30, 2010		13,526,748
Issued		4,541,670
Exercised		(1,001,219	)
Expired		(1,500,000	)
Outstanding at June 30, 2011		15,567,199
Issued		-
Exercised		(7,317	)
Expired		(7,514,263	)
Outstanding at June 30, 2012		8,045,619
Issued		45,000
Exercised		(399,597	)
Expired		(329,314	)
Outstanding at June 30, 2013		7,361,708

COMMON STOCK WARRANTS AND OPTIONS

12 Months Ended

Jun. 30, 2013

Common Stock Warrants and Options [Abstract]

COMMON STOCK WARRANTS AND OPTIONS

13. COMMON STOCK WARRANTS AND OPTIONS

All Common Stock warrants outstanding as of June 30, 2013 were exercisable. The following table shows exercise prices and expiration dates for warrants outstanding as of June 30, 2013:

	Exercise
Warrants	Price	Expiration
Outstanding	Per Share	Date
903,955	$ 5.90	September 14, 2013
2,148,753	$ 1.13	December 31, 2013
4,264,000	$ 2.6058	September 18, 2016
45,000	$ 2.10	December 31, 2017
7,361,708

In conjunction with an October 17, 2007 Securities Purchase Agreement, the Company issued warrants to purchase up to 17,532 shares of the Company’s Common Stock at $7.70 per share at any time through October 17, 2012 to the broker dealer who acted as the exclusive placement agent in the transaction. For the year ended June 30, 2013, warrants under this agreement expired unexercised.

In connection with a Securities Purchase Agreement with S.A.C. Capital Associates, LLC (“SAC”) entered into by the Company on March 14, 2007, the Company issued warrants to purchase 833,333 shares of Common Stock, exercisable at $6.40 per share. As a result of the adjustment provisions contained in the warrant, as of June 30, 2009, the original warrants to purchase 833,333 shares of Common Stock at $6.40 per share had changed to warrants to purchase 903,955 shares of Common Stock at $5.90 per share. The warrants are exercisable at any time through September 14, 2013. As of June 30, 2013 no warrants have been exercised under this agreement.

The warrant contains a provision that if a Fundamental Transaction occurs, notably a change in control, within ninety days of the Fundamental Transaction the warrant holder may require the Company to pay the Black-Scholes calculated value of the then unexercised warrant to the warrant holder in cash. The fair value of the 903,955 warrants was estimated using the Black-Scholes model and applying an estimated fair value adjustment related to warrant exercise restrictions, and the Company recorded a warrant liability in its Consolidated Balance Sheet of $0 and $1,126 at June 30, 2013 and 2012, respectively (see Note 9).

On August 7, 2009 in conjunction with a rights offering (the “2009 Rights Offering”), the Company issued warrants to purchase 7,285,792 shares of Common Stock, exercisable at $2.20 per share at any time prior to December 31, 2011. The warrants commenced trading on August 7, 2009, on The NASDAQ Global Market under the symbol USATW. During the years ended June 30, 2012 and 2011, 4,550 and 376,355 USATW warrants were exercised at $2.20 per share resulting in the issuance of 4,550 and 376,355 shares of Common Stock, generating cash proceeds of $10,010 and $827,981, respectively. 6,904,887 of these warrants expired unexercised on December 31, 2011. Additionally, the Company issued each of the two dealer managers warrants to purchase 145,716 shares of Common Stock that were exercisable at $2.20 per share at any time prior to August 6, 2012. The dealer manager warrants expired unexercised in August 2012.

On May 12, 2010, in conjunction with a public offering (the “2010 Public Offering”), the Company issued warrants to purchase 2,753,454 shares of Common Stock, exercisable at $1.13 per share at any time prior to December 31, 2013. The warrants commenced trading on May 24, 2010 on The NASDAQ Global Market under the symbol USATZ. During the years ended June 30, 2013, 2012 and 2011, 369,287, 0 and 235,414 USATZ warrants were exercised at $1.13 per share for cash proceeds of $417,294, $0 and $266,018, respectively. As of June 30, 2013 warrants for the issuance of 2,148,753 shares of Common Stock remain unexercised.

In conjunction with the 2010 Rights Offering (see Note 12), the Company issued USATZ warrants to purchase 261,953 shares of Common Stock, exercisable at $1.13 per share at any time prior to December 31, 2013. During the year ended June 30, 2011 all of these warrants were exercised at $1.13 per share for cash proceeds of $296,007.

Additionally, the Company issued to Source Capital Group (“Source”), placement agent of the 2010 Public Offering and the 2010 Rights Offering, warrants to purchase 165,207 and 15,717 shares of Common Stock, exercisable at $1.13 per share at any time prior to May 12, and July 7, 2013, respectively. During the years ended June 30, 2013, 2012 and 2011 Source elected cashless exercises of 36,186, 2,767 and 127,497 warrants resulting in the issuance of 17,094, 990 and 83,472 shares of Common Stock, respectively. During the year ended June 30, 2013, 13,216 shares of Common Stock were issued for warrants exercised at $1.13 per share for cash proceeds of $14,934. Warrants for the issuance of up to 1,258 shares of Common Stock expired unexercised in May 2013.

In conjunction with the 2011 Private Placement Offering (see Note 12), the Company issued warrants to purchase 3,900,000 shares of Common Stock at an exercise price of $2.6058 per share. Additionally, the Company issued the placement agent warrants to purchase 364,000 shares of common stock at $2.6058 per share. The 4,264,000 warrants are exercisable from September 18, 2011 through September 18, 2016. As of June 30, 2013, no warrants have been exercised under this offering.

The 3,900,000 warrants issued under the 2011 Private Placement Offering contain a provision that if a Fundamental Transaction occurs, notably a change in control, the warrant holder may require the Company to pay the Black-Scholes calculated value of the then unexercised warrant to the warrant holder in cash. The fair value of the warrants was estimated, and the Company recorded a warrant liability in its Consolidated Balance Sheet of $650,638 and $918,566 at June 30, 2013 and 2012, respectively (see Note 9).

In conjunction with the Loan and Security agreement (Note 7) and as a condition of the Bank entering into the First Amendment, the Company issued to the Bank warrants to purchase up to 45,000 shares of common stock of the Company. The warrants are exercisable at any time prior to December 31, 2017 at an exercise price of $2.10 per share. Upon the issuance of the 45,000 shares of common stock, the fair value of the warrants is $55,962 using a Black Scholes model, which was recorded as prepaid interest and included in other assets on the Consolidated Balance Sheet, and is being amortized as non-cash interest expense over the remaining term of the Line of Credit as amended in January 2013. Non-cash interest of $53,867 has been recognized for the year ended June 30, 2013. As of June 30, 2013 none of these warrants has been exercised.

Common Stock Option activity during the years ended June 30, 2013, 2012, and 2011 was as follows:

						Weighted-
				Exercise		Average
	Options			Price		Exercise
	Outstanding			Per Share		Price

Outstanding and exercisable at June 30, 2010		160,000		$	7.50-8	$	7.52
Granted		-			-		-
Expired		(69,334	)	$	7.50	$	7.50
Outstanding and exercisable at June 30, 2011		90,666		$	7.50-8	$	7.53
Granted		-			-		-
Expired		(45,333	)	$	7.50-8	$	7.53
Outstanding and exercisable at June 30, 2012		45,333		$	7.50-8	$	7.53
Granted		-			-		-
Expired		(45,333	)	$	7.50-8	$	7.53
Outstanding and exercisable at June 30, 2013		-		$	-	$	-

Prior to June 30, 2009 the Company’s Board of Directors granted options to employees and Board members to purchase shares of Common Stock at prices that were at or above fair market value on the dates the options were granted. The option term and vesting schedule were established by the contracts under which the options were granted. There was no compensation expense related to the vesting of options outstanding in the years ended June 30, 2013, 2012, and 2011 as all options were vested, and all related compensation expense had been recognized, prior to the June 30, 2011 fiscal year.

RETIREMENT PLAN	12 Months Ended
RETIREMENT PLAN	Jun. 30, 2013
Compensation and Retirement Disclosure [Abstract]
RETIREMENT PLAN	14. RETIREMENT PLAN The Company’s 401(k) Plan (the “Retirement Plan”) allows employees who have completed six months of service to make voluntary contributions up to a maximum of 100% of their annual compensation, as defined in the Retirement Plan. The Company may, in its discretion, make a matching contribution, a profit sharing contribution, a qualified non-elective contribution, and/or a safe harbor 401(k) contribution to the Retirement Plan. The Company must make an annual election, at the beginning of the plan year, as to whether it will make a safe harbor contribution to the plan. In fiscal years 2013 and 2012, the Company elected and made a safe harbor matching contributions of 100% of the participant’s first 3% and 50% of the next 2% of compensation deferred into the Retirement Plan. For fiscal year 2011, the Company did not elect to make a safe harbor contribution to the plan. The Company’s safe harbor contributions for the years ended June 30, 2013 and 2012 approximated $176,000 and $140,000, respectively. The Company’s discretionary contribution for the year ended June 30, 2011 approximated $42,000.

RELATED PARTY TRANSACTIONS	12 Months Ended
RELATED PARTY TRANSACTIONS	Jun. 30, 2013
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	15. RELATED PARTY TRANSACTIONS During the years ended June 30, 2012 and 2011, the Company incurred approximately $744,000 and $513,000, respectively, in connection with legal services provided by the law firm of a member of the Company’s Board of Directors. At June 30, 2012, approximately $119,000 was due to this individual. As of July 2012 this person was no longer a Director.

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

+ References + Details

COMMITMENTS AND CONTINGENCIES

12 Months Ended

Jun. 30, 2013

Commitments and Contingencies Disclosure [Abstract]

COMMITMENTS AND CONTINGENCIES

16. COMMITMENTS AND CONTINGENCIES

LEASES

The Company conducts its operations from various facilities under operating leases. The Company leases 17,249 square feet of space located in Malvern, Pennsylvania for its principal executive office and used for general administrative functions, sales activities, product development, and customer support. In November 2010, the Company entered into an amended lease of its principal executive office in Malvern, Pennsylvania, which extended the lease term from December 31, 2010 to April 2016. The amendment includes rental payments of approximately $29,000 to $32,000 as well as a four month period of no rent payments and leasehold improvements of approximately $195,000. The straight-lined rent expense for this office is approximately $25,000 per month for the duration of the lease.

The Company leases space in Malvern, Pennsylvania for its product warehousing and shipping support. In October 2011, the Company amended the lease of its operations site in Malvern, Pennsylvania, to extend the lease term from December 31, 2011 to December 31, 2012. The amendment includes monthly rental payments of approximately $15,100 to $16,200. Beginning in January 2012 the straight-lined rent expense for this office is approximately $15,600 per month for the duration of the amended lease period. In November 2012, the Company amended and extended this lease to January 31, 2013 with monthly rent of $16,721 for January 2013.

In November 2012, the Company entered into a lease for a new operations site in Malvern, Pennsylvania to replace its existing site and lease. The lease term for the 11,250 square feet of space is January 1, 2013 through February 29, 2016. The lease includes monthly rental payments from $4,406 to $4,678 as well as a two month period of no rent payments. Beginning in January 2013 the straight-lined rent expense for this operations site is approximately $4,300 per month for the duration of the lease period.

Rent expense under operating leases was approximately $432,000, $502,000, and $545,000 during the years ended June 30, 2013, 2012, and 2011, respectively. Future minimum lease payments subsequent to June 30, 2013 under capital leases and non-cancellable operating leases are as follows:

	Capital		Operating
	Leases		Leases

2014	$	250,588	$	425,337
2015		94,515		435,578
2016		23,553		361,927
2017		5,470		810
Thereafter		-		-
Total minimum lease payments	$	374,126	$	1,223,652
Less amount representing interest		28,201
Present value of net minimum lease payments		345,925
Less current obligations under capital leases		231,423
Obligations under capital leases, less current portion	$	114,502

EMPLOYMENT AGREEMENTS

On November 30, 2011, the Company and Mr. Herbert entered into an Amended and Restated Employment and Non-Competition Agreement that replaced his prior employment agreement with the Company. The agreement provides for an initial term continuing through January 1, 2013, which is automatically renewed for consecutive one year periods unless terminated by either Mr. Herbert or the Company upon at least ninety days notice prior to the end of the initial term or any one year extension thereof.

The agreement increased Mr. Herbert’s base salary to $341,227, which is equal to the base salary under his prior employment agreement plus an amount equal to the cost to the Company of the car allowance and supplemental disability insurance coverage provided to him under his prior employment agreement; and, the car allowance and supplemental disability insurance coverage that had been provided to him under his prior employment agreement, which have been discontinued. He is eligible for a cash bonus as described in the next sentence. The agreement provides for the payment to Mr. Herbert of a cash bonus of $30,000 if the Company would achieve all of the minimum threshold performance target goals under the Fiscal Year 2012 Executive Performance Plan, of $50,000 if the Company would achieve all of the target performance goals under the plan, and of $75,000 if the Company would achieve all of the maximum distinguished performance target goals under the plan.

The Company has agreed to obtain and pay the premiums for a term life insurance policy in the amount of $1,500,000 on the life of Mr. Herbert while he is employed by the Company. Mr. Herbert has the right to designate the beneficiary of the policy. On September 5, 2012, the Company discontinued this policy and Mr. Herbert’s base salary was increased by the amount equal to the annual premiums being paid by the Company for the life insurance policy.

The agreement provides that if Mr. Herbert would terminate his employment with the Company for good reason (as defined in the agreement), or if the Company would terminate his employment without cause (as defined in the agreement), or if the Company would provide Mr. Herbert with a notice of non-renewal of his employment agreement, then the Company would pay to him a lump sum equal to two times his base salary on or before the termination of his employment. The term good reason as defined in the agreement, includes: (A) a material breach of the terms of the agreement by the Company; (B) the assignment by the Company to Mr. Herbert of duties in any way materially inconsistent with his authorities, duties, or responsibilities, or a material reduction or alteration in the nature or status of his authority, duties, or responsibilities as the Chief Executive Officer of the Company; (C) the Company reduces Mr. Herbert’s annual base salary; or (D) a material reduction by the Company in the kind or level of employee benefits to which Mr. Herbert is entitled immediately prior to such reduction with the result that his overall benefit package is significantly reduced unless such failure to continue a plan, policy, practice or arrangement pertains to all plan participants generally. As a condition to Mr. Herbert receiving any payments or benefits upon the termination of his employment for good reason, Mr. Herbert shall have executed and delivered (and not revoked) a release of any and all claims, suits, or causes of action against the Company and its affiliates in form reasonably acceptable to the Company.

The agreement also provides that as a condition of the consummation of a USA Transaction (as defined in the agreement), the successor to the Company’s business or assets would agree to assume and perform Mr. Herbert’s employment agreement. If any such successor would not do so, Mr. Herbert’s employment would terminate on the date of consummation of the USA Transaction, and the Company would pay to Mr. Herbert a lump sum equal to two times his base salary on or before the termination of his employment.

On April 12, 2005, Mr. DeMedio and the Company entered into an employment agreement pursuant to which he was employed as the Chief Financial Officer of the Company. In the event that a USA Transaction shall occur, then Mr. DeMedio has the right to terminate his agreement upon thirty days notice to the Company.

On September 24, 2009, the Company agreed to obtain and pay the premiums for a term life insurance policy in the amount of $750,000 on the life of Mr. DeMedio while he is employed by the Company. Mr. DeMedio has the right to designate the beneficiary of the policy. The Company has agreed to obtain and pay the premiums for a supplemental long term disability policy covering Mr. DeMedio over and above the existing long-term group disability plan of the Company. If he shall become disabled while employed by the Company, the policy would provide for monthly disability coverage of up to 65% of his monthly base compensation payable to age 65 or death. If Mr. DeMedio’s employment with the Company would be terminated without cause, the Company has agreed, at its cost, to continue to provide Mr. DeMedio with health insurance benefits substantially similar to those which he is receiving immediately prior to the date of termination for a one year period following such termination.

On April 14, 2011, the Company and Mr. DeMedio entered into an additional amendment to the employment agreement. The agreement extended the term of Mr. DeMedio’s employment with the Company from June 30, 2011 until June 30, 2014, and will automatically continue from year to year thereafter unless terminated as of the end of the original term or any such one year renewal period by the Company or Mr. DeMedio by at least 90-days notice. In connection with the amendment, Mr. DeMedio was issued 25,000 shares of common stock under the 2010 Stock Incentive Plan which vest or vested as follows: 8,333 on April 14, 2011; 8,333 on April 14, 2012; and 8,334 on April 14, 2013.

Effective July 1, 2011, Mr. DeMedio’s annual base salary was increased to $220,000.

On September 27, 2011, the Company and Mr. DeMedio entered into another amendment to his employment agreement pursuant to which Mr. DeMedio was granted an aggregate of 25,000 shares of common stock as a bonus for his performance during the last six months of the 2011 fiscal year which vest as follows: 8,333 on the date of signing the amendment; 8,333 on the first anniversary of such signing date; and 8,334 on the second anniversary of such signing date. Mr. DeMedio also agreed that the premiums for his supplemental long term disability policy being paid by the Company would now be included in his wages and be taxable to him.

On September 5, 2012, the Company discontinued Mr. DeMedio’s car allowance, supplemental disability insurance policy and life insurance policy, and the amount of his base salary was increased by the annual cost of these benefits.

SUBSEQUENT EVENTS	12 Months Ended
SUBSEQUENT EVENTS	Jun. 30, 2013
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	17. SUBSEQUENT EVENTS CONCENTRATION OF CREDIT RISK During August 2013, at the request of a customer, we ceased providing ePort Connect services for 10,890 ePort devices which the customer had previously purchased from us. We believe that the customer made such a request as a result of the customer developing its own product and service. We continue to provide ePort Connect services to this customer for additional ePort devices that were previously purchased from us by the customer. The license and transaction fees attributable to these continuing connections would have represented approximately 6% to 7% of our license and transaction fee revenues during fiscal year 2013. As a result of our anticipated growth in connections during fiscal year 2014, we do not believe that these deactivations will have a material adverse effect on our business. The customer represented 11%, 18% and 25% of our license and transaction fee revenues during fiscal years 2013, 2012 and 2011, respectively. LINE OF CREDIT In September 2013, the Company and the Bank entered into a Fifth Amendment (“Fifth Amendment”) to the Loan and Security Agreement to change the definition of Adjusted EBITDA for covenant calculations for the four fiscal quarters ending through June 30, 2014. COMMON STOCK WARRANTS On September 14, 2013 warrants to purchase 903,955 shares of Common Stock, exercisable at $5.90 per share expired unexercised. The warrants had been issued in connection with a Securities Purchase Agreement with SAC entered into by the Company on March 14, 2007 (see Note 13).

VALUATION AND QUALIFYING ACCOUNTS

12 Months Ended

Jun. 30, 2013

Valuation and Qualifying Accounts [Abstract]

VALUATION AND QUALIFYING ACCOUNTS

SCHEDULE II

USA TECHNOLOGIES, INC.

VALUATION AND QUALIFYING ACCOUNTS

YEARS ENDED JUNE 30, 2013, 2012, AND 2011


ACCOUNTS RECEIVABLE	Balance at beginning of period		Additions charged to earnings			Deductions uncollectible receivables written off, net of recoveries			Balance at end of period
June 30, 2013	$	25,000	$	(46,000	)		$	42,000	$	(63,000	)
June 30, 2012	$	113,000	$	(46,000	)		$	42,000	$	25,000
June 30, 2011	$	41,000	$	92,000			$	20,000.00	$	113,000

	Balance at		Additions		Deductions,			Balance
	beginning		charged to		Shrinkage and			at end
INVENTORY	of period		earnings		obsolescence			of period
June 30, 2013	$	712,000	$	136,000		$	52,000	$	796,000
June 30, 2012	$	628,000	$	136,000		$	52,000	$	712,000
June 30, 2011	$	741,000	$	11,000		$	124,000	$	628,000

ACCOUNTING POLICIES (Policies)	12 Months Ended
ACCOUNTING POLICIES (Policies)	Jun. 30, 2013
Organization, Consolidation, Basis Of Presentation, Business Description and Accounting Policies [Abstract]
CONSOLIDATION	CONSOLIDATION The accompanying consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, Stitch Networks Corporation (“Stitch”) and USAT Capital Corp LLC (“USAT Capital”). All significant intercompany accounts and transactions have been eliminated in consolidation.
USE OF ESTIMATES	USE OF ESTIMATES The preparation of the consolidated financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.
CASH EQUIVALENTS	CASH EQUIVALENTS Cash equivalents represent all highly liquid investments with original maturities of three months or less. Cash equivalents are comprised of money market funds. The Company maintains its cash in bank deposit accounts, which may exceed federally insured limits at times. Included in cash and cash equivalents at June 30, 2013 and 2012 was $0, of cash received by the Company for transaction processing services which is payable to our customers. Included in accounts receivable are amounts for transactions processed with our card processers for which cash has not been received by the Company and included in accounts payable are amounts for transactions processed with our card processers and due to our customers, which are recorded net of fees due to the Company. Generally, contractual terms require us to remit amounts owed to our customers on a weekly basis.
ACCOUNTS RECEIVABLE	ACCOUNTS RECEIVABLE Accounts receivable are reported at their outstanding unpaid principal balances reduced by an allowance for doubtful accounts. The Company estimates doubtful accounts for accounts receivable and finance receivables based on historical bad debts, factors related to specific customers’ ability to pay and current economic trends. The Company writes off accounts receivable against the allowance when management determines the balance is uncollectible and the Company ceases collection efforts. Management believes that the allowance accrued is adequate to provide for its estimated credit losses.
FINANCE RECEIVABLES	FINANCE RECEIVABLES The Company offers extended payment terms to certain customers for equipment sales under its Quick Start Program. In accordance with the Financial Accounting Standards Board Accounting Standards Codification® (“ASC”) Topic 840, “Leases”, agreements under the Quick Start Program qualify for sales-type lease accounting. Accordingly, the future minimum lease payments are classified as finance receivables in the Company’s consolidated balance sheets. Notes receivable or Quick Start leases are generally for a 36 or 60 month term. Finance receivables are carried at their contractual amount and charged off against the allowance for credit losses when management determines that recovery is unlikely and the Company ceases collection efforts. The Company recognizes a portion of the note or lease payments as interest income in the accompanying consolidated financial statements based on the effective interest rate method.
INVENTORY	INVENTORY Inventory consists of finished goods and packaging materials. The Company’s inventory is stated at the lower of cost (average cost basis) or market.
FAIR VALUE OF FINANCIAL INSTRUMENTS	FAIR VALUE OF FINANCIAL INSTRUMENTS The Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2010-06, “Fair Value Measurements and Disclosures (“Topic 820”): Improving Disclosures about Fair Value Measurements.” ASU 2010-06 amends certain disclosure requirements of Subtopic 820-10. This ASU provides additional disclosures for transfers in and out of Levels 1 and 2 and for activity in Level 3. This ASU also clarifies certain other existing disclosure requirements including level of desegregation and disclosures around inputs and valuation techniques. The Company’s financial assets and liabilities are measured using inputs from the three levels of the fair value hierarchy. The three levels are as follows: Level 1- Inputs are unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2- Inputs are other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (i.e., interest rates, yield curves, etc.), and inputs that are derived principally from or corroborated by observable market data by correlation or other means (market corroborated inputs). Level 3- Inputs are unobservable and reflect the Company’s assumptions that market participants would use in pricing the asset or liability. The Company develops these inputs based on the best information available. The Company’s financial instruments, principally cash equivalents, accounts receivable, finance receivables, prepaid expenses and other assets, accounts payable and accrued expenses, are carried at cost which approximates fair value due to the short-term maturity of these instruments. The fair value of the Company’s obligations under its long-term debt and credit agreements approximates their carrying value as such instruments are at market rates currently available to the Company.
PROPERTY AND EQUIPMENT	PROPERTY AND EQUIPMENT Property and equipment are recorded at cost. Property and equipment are depreciated on the straight-line basis over the estimated useful lives of the related assets. Leasehold improvements are amortized on the straight-line basis over the lesser of the estimated useful life of the asset or the respective lease term.
GOODWILL AND INTANGIBLE ASSETS	GOODWILL AND INTANGIBLE ASSETS Goodwill represents the excess of cost over fair value of the net assets purchased in acquisitions. The Company accounts for goodwill in accordance with ASC 350, “Intangibles – Goodwill and Other”. Under ASC 350, goodwill is not amortized to earnings, but instead is subject to periodic testing for impairment. In September 2011, the FASB issued ASU No. 2011-08 Intangibles – Goodwill and Other: Testing Goodwill for Impairment, which amended guidance to allow the Company to first assess qualitative factors to determine if it is necessary to perform the two-step quantitative impairment test. If after this assessment the Company determines that it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, then the two-step impairment test is unnecessary. If after this assessment the Company determines that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, than the Company will perform the first step of the two-step impairment test. The first step screens for potential impairment, while the second step measures the amount of impairment. The Company uses a quantitative method, including a discounted cash flow analysis to complete the first step in this process. We also give consideration to our market capitalization. Testing for impairment is to be done at least annually and at other times if events or circumstances arise that indicate that impairment may have occurred. The Company has selected April 1 as its annual test date. The Company has concluded there has been no impairment of goodwill as a result of its testing on April 1, 2013, April 1, 2012, and April 1, 2011. The Company trademarks with an indefinite economic life are not being amortized. The trademarks, not subject to amortization, are related to the miser asset group and consist of the following trademarks: 1) VendingMiser, 2) CoolerMiser, 3) PlugMiser and 4) SnackMiser. The Company tests indefinite-lived intangible assets for impairment using a two-step process. The first step screens for potential impairment, while the second step measures the amount of impairment. The Company uses a relief from royalty analysis to complete the first step in this process. Testing for impairment is to be done at least annually and at other times if events or circumstances arise that indicate that impairment may have occurred. The Company has selected April 1 as its annual test date for its indefinite-lived intangible assets. There was no impairment expenses recorded during the fiscal years ended June 30, 2013 and 2012. In fiscal 2011 the Company concluded there was an impairment of its indefinite-lived trademarks as a result of its testing and recorded a $581,900 impairment expense in the fourth quarter of the fiscal year ended June 30, 2011 (see Note 5). Patents and trademarks, with an estimated economic life, are carried at cost less accumulated amortization, which is calculated on a straight-line basis over their estimated economic life. The Company reviews intangibles, subject to amortization, for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An asset is considered to be impaired when the sum of the undiscounted future net cash flows resulting from the use of the asset and its eventual disposition is less than its carrying amount. The amount of the impairment loss, if any, is measured as the difference between the net book value of the asset and its estimated fair value. As of June 30, 2013 and 2012, the Company has concluded there has been no impairment of its patents or trademarks that is subject to amortization.
IMPAIRMENT OF LONG LIVED ASSETS	IMPAIRMENT OF LONG LIVED ASSETS In accordance with ASC 360, “Impairment or Disposal of Long-Lived Assets”, the Company reviews its long-lived assets whenever events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. If the carrying amount of an asset or group of assets exceeds its net realizable value, the asset will be written down to its fair value. In the period when the plan of sale criteria of ASC 360 are met, long-lived assets are reported as held for sale, depreciation and amortization cease, and the assets are reported at the lower of carrying value or fair value less costs to sell. The Company has concluded that the carrying amount of long-lived assets is recoverable as of June 30, 2013 and 2012.
CONCENTRATION OF CREDIT RISK	CONCENTRATION OF CREDIT RISK Financial instruments that subject the Company to a concentration of credit risk consist principally of cash and cash equivalents and accounts and finance receivables. The Company maintains cash and cash equivalents with various financial institutions. Approximately 41% and 46% of the Company’s trade accounts and finance receivables at June 30, 2013 and 2012, respectively, were concentrated with one and two customer(s), respectively. Approximately 37%, 43%, and 48%, of the Company’s license and transaction processing revenues for the years ended June 30, 2013, 2012, and 2011, respectively, were concentrated with two customers - 26%, 25%, and 23%, respectively, with one; and 11%, 18%, and 25%, respectively, with another. There was no concentration of equipment sales revenue for the years ended June 30, 2013, 2012 and 2011. The Company’s customers are principally located in the United States.
REVENUE RECOGNITION	REVENUE RECOGNITION Revenue from the sale of equipment is recognized on the terms of freight-on-board shipping point. Activation fee revenue is recognized when the Company’s cashless payment device is initially activated for use on the Company network. Transaction processing revenue is recognized upon the usage of the Company’s cashless payment and control network. License fees for access to the Company’s devices and network services are recognized on a monthly basis. In all cases, revenue is only recognized when persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the price is fixed and determinable, and collection of the resulting receivable is reasonably assured. The Company estimates an allowance for product returns at the date of sale.
EQUIPMENT RENTAL	EQUIPMENT RENTAL During the year ended June 30, 2010, the Company commenced a rental program, the JumpStart Program (“JumpStart”), for its ePort devices. The JumpStart terms are typically 36 months and are cancellable with sixty days written notice. In accordance with ASC 840, “Leases”, the Company classifies the rental agreements as operating leases. For the years ended June 30, 2013, 2012, and 2011, there was approximately $806,000, $607,000, and $597,000, respectively, of activation fee revenue related to JumpStart equipment included in equipment sales in the Consolidated Statements of Operations. There was also approximately $10,193,000, $6,074,000, and $2,725,000 of service fee revenue related to JumpStart equipment included in license and transaction fees in the Consolidated Statements of Operations for the years ended June 30, 2013, 2012, and 2011, respectively. Cost for the JumpStart revenues, which consists of depreciation expense on the JumpStart equipment, approximated $3,171,000, $1,740,000, and $933,000 for the years ended June 30, 2013, 2012, and 2011, respectively, and was included in cost of services in the Consolidated Statements of Operations. At June 30, 2013 and 2012, approximately, $15,685,000 and $9,793,000, respectively, of ePort equipment utilized by the JumpStart Program was included in property and equipment, net on the Consolidated Balance Sheet (see Note 4).
WARRANTY COSTS	WARRANTY COSTS The Company generally warrants its products for one to three years. Warranty costs are estimated and recorded at the time of sale based on historical warranty experience, if available. These costs are reviewed and adjusted, if necessary, periodically throughout the year.
SHIPPING AND HANDLING	SHIPPING AND HANDLING Shipping and handling fees billed to our customers in connection with sales are recorded as revenue. The costs incurred for shipping and handling of our product are recorded as cost of sales.
RESEARCH AND DEVELOPMENT EXPENSES	RESEARCH AND DEVELOPMENT EXPENSES Research and development expenses are expensed as incurred. Research and development expenses, which are included in selling, general and administrative expenses in the Consolidated Statements of Operations, were approximately $901,000, $1,038,000, and $997,000, for the years ended June 30, 2013, 2012, and 2011, respectively. Our research and development initiatives focus on adding features and functionality to our system solutions through the development and utilization of our processing and reporting network and new technology.
ACCOUNTING FOR EQUITY AWARDS	ACCOUNTING FOR EQUITY AWARDS In accordance with ASC 718 the cost of employee services received in exchange for an award of equity instruments is based on the grant-date fair value of the award and allocated over the vesting period of the award. The Company recorded stock compensation expense of $483,740, $584,487, and $302,471 related to common stock grants and vesting of shares previously granted to employees and directors during the years ended June 30, 2013, 2012, and 2011, respectively. These expenses exclude the Performance Share Plans for the 2013 and 2012 fiscal years (“2013 Plan” and the “2012 Plan”) and the Long-Term Equity Incentive Program (“LTIP” or the “LTIP Program”) covering the Company’s executive officers. On September 5, 2012, at the recommendation of the Compensation Committee, the board of directors adopted the 2013 Plan. The Company recorded expense of $19,167 for the year ended June 30, 2013 for the award earned by the Company’s executive officers under the 2013 Plan. On September 15, 2011, at the recommendation of the Compensation Committee, the board of directors adopted the “2012 Plan”. The Company recorded expense of $197,613 for the year ended June 30, 2012 for the award earned by the Company’s executive officers under the 2012 Plan. The Company recorded stock compensation expense of $54,395 and $43,171 related to the vesting of shares and the change in fair value of the shares awarded under the LTIP Program during the year ended June 30, 2011 (see Note 12), the last year of the LTIP Program. There were no common stock options granted, vested or recorded as expense during the years ended June 30, 2013, 2012 and 2011. During each of the fiscal years ended June 30, 2013 and 2012, 42,333 and 3,000 common stock options, with exercise prices of $7.50 and $8.00, respectively, expired unexercised. As of June 30, 2013, there were no common stock options outstanding.
INCOME TAXES	INCOME TAXES The Company follows the provisions of FASB ASC 740, Accounting for Uncertainty in Income Taxes, which provides detailed guidance for the financial statement recognition, measurement and disclosure of uncertain tax positions recognized in the financial statements. Tax positions must meet a “more-likely-than-not” recognition threshold at the effective date to be recognized upon the adoption of ASC 740 and in subsequent periods. Upon the adoption of ASC 740, the Company had no unrecognized tax benefits. No liabilities have been recorded for uncertain tax positions. Income taxes are computed using the asset and liability method of accounting. Under the asset and liability method, a deferred tax asset or liability is recognized for estimated future tax effects attributable to temporary differences and carryforwards. The measurement of deferred income tax assets is adjusted by a valuation allowance, if necessary, to recognize future tax benefits only to the extent, based on available evidence it is more likely than not such benefits will be realized. The Company recognizes interest and penalties, if any, related to uncertain tax positions in selling, general and administrative expenses. No interest or penalties related to uncertain tax positions were accrued or incurred during the years ended June 30, 2013, 2012, and 2011. The Company files income tax returns in the United States federal jurisdiction and various state jurisdictions. The tax years ended June 30, 2010 through June 30, 2013 remain open to examination by taxing jurisdictions to which the Company are subject. As of June 30, 2013, the Company did not have any income tax examinations in process.
EARNINGS (LOSS) PER COMMON SHARE	EARNINGS (LOSS) PER COMMON SHARE Basic earnings per share are calculated by dividing income (loss) applicable to common shares by the weighted average common shares outstanding for the period. Diluted earnings per share is calculated by dividing income (loss) applicable to common shares by the weighted average common shares outstanding for the year plus the effect of potential common shares unless such effect is anti-dilutive. For the fiscal year ended June 30, 2013 exercise of 825,673 stock purchase warrants was assumed to calculate the weighted average common shares outstanding for the year. Exercise of stock purchase warrants (5,212,955) or the conversion of preferred stock (85,847) or cumulative preferred dividends (11,596) was not assumed during the fiscal year ended June 30, 2013 because the result would be anti-dilutive. For the fiscal year ended June 30, 2012 no exercise of stock options (45,333); or stock purchase warrants (8,045,619); or the conversion of preferred stock (4,430) or cumulative preferred dividends (10,932) was assumed during the because the result would be anti-dilutive. For the fiscal year ended June 30, 2011 no exercise of stock options (90,666); or stock purchase warrants (15,567,199); or the conversion of preferred stock (4,430) or cumulative preferred dividends (10,267) was assumed during the fiscal year ended June 30, 2011 because the result would be anti-dilutive.
RECENT ACCOUNTING PRONOUCEMENTS	RECENT ACCOUNTING PRONOUCEMENTS The Company does not believe that the following recent accounting pronouncements or any other recently issued, but not yet effective accounting standards will have a material effect on the Company’s consolidated financial position, results of operations, or cash flows. In September 2011, the Financial Accounting Standards Board issued ASU 2011-08 Intangibles—Goodwill and Other (Topic 350): Testing Goodwill for Impairment. This is effective for the Company beginning with the fiscal year ended June 30, 2013. In December 2011, the Financial Accounting Standards Board issued ASU 2011-11 Balance Sheet (Topic 210): Disclosures about Offsetting Assets and Liabilities. This will be effective for the Company beginning with the fiscal year ending June 30, 2014. In December 2011, the Financial Accounting Standards Board issued ASU 2011-12 Comprehensive Income (Topic 220): Deferral of the Effective Date for Amendments to the Presentation of Reclassifications of Items Out of Accumulated Other Comprehensive Income in Accounting Standards Update No. 2011-05. This is effective for the Company at the beginning of the fiscal year ended June 30, 2013. In July 2012, the Financial Accounting Standards Board issued ASU 2012-02 Intangibles—Goodwill and Other (Topic 350): Testing Indefinite-Lived Intangible Assets for Impairment. This will be effective for the Company beginning with the fiscal year ending June 30, 2014.

FINANCE RECEIVABLES (Tables)

12 Months Ended

Jun. 30, 2013

Receivables [Abstract]

Schedule of finance receivables

	June 30,

	2013		2012
Total finance receivables	$	525,118	$	542,847
Less current portion		116,444		206,649
Non-current portion of finance receivables	$	408,674	$	336,198

Schedule of credit quality indicators

Credit Quality Indicators
As of June 30, 2013

Credit risk profile based on payment activity:
	Leases

Performing	$	525,118
Nonperforming		-
Total	$	525,118

Schedule of age analysis of past due finance receivables

Age Analysis of Past Due Finance Receivables

As of June 30, 2013

	31 – 60		61 – 90		Greater than						Total
	Days Past Due		Days Past Due		90 Days Past Due		Total Past Due		Current		Finance Receivables

Leases	$	-	$	814	$	-	$	814	$	524,304	$	525,118
Total	$	-	$	814	$	-	$	814	$	524,304	$	525,118

Age Analysis of Past Due Finance Receivables

As of June 30, 2012

	31 – 60		61 – 90		Greater than						Total
	Days Past Due		Days Past Due		90 Days Past Due		Total Past Due		Current		Finance Receivables

Leases	$	-	$	2,057	$	18,855	$	20,912	$	521,935	$	542,847
Total	$	-	$	2,057	$	18,855	$	20,912	$	521,935	$	542,847

PROPERTY AND EQUIPMENT (Tables)

12 Months Ended

Jun. 30, 2013

Property, Plant and Equipment [Abstract]

Schedule of property and equipment

		June 30,
	Useful
	Lives	2013			2012
Computer equipment and purchased software	3-7 years	$	4,688,104		$	4,682,276
Property and equipment used for Rental Program	5 years		21,574,225			12,523,254
Furniture and equipment	3-7 years		693,554			805,077
Leasehold improvements	Lesser of
	life or lease term		539,629			465,587
			27,495,512			18,476,194
Less accumulated depreciation			(10,255,447	)		(6,676,086	)
		$	17,240,065		$	11,800,108

INTANGIBLE ASSETS (Tables)

12 Months Ended

Jun. 30, 2013

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of amortization expense relating to all acquired intangible assets

	June 30, 2013
	Gross
	Carrying		Accumulated			Net Carrying
	Amount		Amortization			Value
Intangible assets:

Trademarks	$	1,482,100	$	(1,050,000	)	$	432,100
Patents		9,294,000		(9,272,047	)		21,953
Total	$	10,776,100	$	(10,322,047	)	$	454,053


	June 30, 2012
	Gross
	Carrying		Accumulated			Net Carrying
	Amount		Amortization			Value
Intangible assets:

Trademarks	$	1,482,100	$	(1,050,000	)	$	432,100
Patents		9,294,000		(8,529,647	)		764,353
Total	$	10,776,100	$	(9,579,647	)	$	1,196,453

ACCRUED EXPENSES (Tables)

12 Months Ended

Jun. 30, 2013

Accrued Liabilities [Abstract]

Schedule of accrued liabilities

	June 30,

	2013		2012
Accrued compensation and related sales commissions	$	583,710	$	767,926
Accrued professional fees		165,444		482,664
Accrued taxes and filing fees		253,527		663,078
Advanced customer billings		346,868		311,767
Accrued proxy contest and litigation costs		-		992,520
Accrued rent		226,582		278,862
Accrued other		258,838		271,880
	$	1,834,969	$	3,768,697

LONG-TERM DEBT (Tables)

12 Months Ended

Jun. 30, 2013

Debt Disclosure [Abstract]

Schedule of long-term debt


	June 30,

	2013		2012
Capital lease obligations	$	345,925	$	426,007
Loan agreement		23,981		302,323
		369,906		728,330
Less current portion		247,152		466,056
	$	122,754	$	262,274

Schedule of maturities of long-term debt


2014	$	247,152
2015		96,347
2016		21,435
2017		4,972
	$	369,906

FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)

12 Months Ended

Jun. 30, 2013

Fair Value Disclosures [Abstract]

Schedule of fair value of financial instruments required to be measured at fair value


June 30, 2013	Level 1		Level 2		Level 3		Total

Cash equivalents	$	192,620	$	-	$	-	$	192,620
Common stock warrant liability, warrants exercisable at $2.6058 from September 18, 2011 through September 18, 2016	$	-	$	-	$	650,638	$	650,638
Common stock warrant liability, warrants exercisable at $5.90 through September 14, 2013	$	-	$	-	$	-	$	-


June 30, 2012	Level 1		Level 2		Level 3		Total

Cash equivalents	$	141,107	$	-	$	-	$	141,107
Common stock warrant liability, warrants exercisable at $2.6058 from September 18, 2011 through September 18, 2016	$	-	$	-	$	917,440	$	917,440
Common stock warrant liability, warrants exercisable at $5.90 through September 14, 2013	$	-	$	-	$	1,126	$	1,126

Schedule of fair value, liabilities measured on recurring basis, unobservable input reconciliation


	June 30,

	2013			2012
Beginning balance	$	(918,566	)	$	(2,732,253	)
Gain due to change in fair value of warrant liabilities, net		267,928			1,813,687
Ending balance	$	(650,638	)	$	(918,566	)

INCOME TAXES (Tables)

12 Months Ended

Jun. 30, 2013

Income Tax Disclosure [Abstract]

Schedule of net deferred tax assets arose primarily from net operating loss carryforwards


	June 30,

	2013			2012
Deferred tax assets:
Net operating loss carryforwards	$	49,534,732		$	48,825,628
Deferred research and development costs		135,189			185,940
Intangibles		1,132,471			1,059,409
Stock-based compensation		230,452			694,407
Other		671,947			955,279
		51,704,791			51,720,663
Deferred tax liabilities:
Intangibles and goodwill		(40,245	)		(12,599	)
Fixed Assets		(585,889	)
Deferred tax assets, net		51,078,657			51,708,064
Valuation allowance		(51,118,902	)		(51,720,663	)
Deferred tax (liabilities) assets, net of allowance	$	(40,245	)	$	(12,599	)

COMMON STOCK (Tables)

12 Months Ended

Jun. 30, 2013

Common Stock [Abstract]

Schedule of reserved shares of common stock for future issuance


Exercise of Common Stock Warrants			6,412,768
Conversions of Preferred Stock and cumulative Preferred Stock dividends			97,444
Issuance under 2012 Stock Incentive Plan			196,385
Issuance under 2013 Stock Incentive Plan			500,000
Issuance to former Chief Executive Officer upon the occurrence of a USA Transaction			140,000
Total shares reserved for future issuance			7,346,597

Schedule of nonvested common shares

				Weighted-Average
				Grant-Date
	Shares			Fair Value
Nonvested Shares
Nonvested at June 30, 2010		13,000		$	1.75
Granted		305,000			2.18
Vested		(130,665	)		1.93
Nonvested at June 30, 2011		187,335		$	2.32
Granted		473,285			1.58
Vested		(380,282	)		1.73
Forfeited due to Separation Agreement		(91,667	)		2.00
Forfeited, Director changes		(16,668	)		1.71
Nonvested at June 30, 2012		172,003		$	1.82
Granted		156,429			1.45
Vested		(204,587	)		1.72
Forfeited, Employee shares not earned		(26,699	)		1.52
Nonvested at June 30, 2013		97,146		$	1.52

Schedule of common stock warrant activity

	Warrants
Outstanding at June 30, 2010		13,526,748
Issued		4,541,670
Exercised		(1,001,219	)
Expired		(1,500,000	)
Outstanding at June 30, 2011		15,567,199
Issued		-
Exercised		(7,317	)
Expired		(7,514,263	)
Outstanding at June 30, 2012		8,045,619
Issued		45,000
Exercised		(399,597	)
Expired		(329,314	)
Outstanding at June 30, 2013		7,361,708

COMMON STOCK WARRANTS AND OPTIONS (Tables)

12 Months Ended

Jun. 30, 2013

Common Stock Warrants and Options [Abstract]

Schedule of exercise prices and expiration dates for warrants outstanding

	Exercise
Warrants	Price	Expiration
Outstanding	Per Share	Date
903,955	$ 5.90	September 14, 2013
2,148,753	$ 1.13	December 31, 2013
4,264,000	$ 2.6058	September 18, 2016
45,000	$ 2.10	December 31, 2017
7,361,708

Schedule of common stock option activity

						Weighted-
				Exercise		Average
	Options			Price		Exercise
	Outstanding			Per Share		Price

Outstanding and exercisable at June 30, 2010		160,000		$	7.50-8	$	7.52
Granted		-			-		-
Expired		(69,334	)	$	7.50	$	7.50
Outstanding and exercisable at June 30, 2011		90,666		$	7.50-8	$	7.53
Granted		-			-		-
Expired		(45,333	)	$	7.50-8	$	7.53
Outstanding and exercisable at June 30, 2012		45,333		$	7.50-8	$	7.53
Granted		-			-		-
Expired		(45,333	)	$	7.50-8	$	7.53
Outstanding and exercisable at June 30, 2013		-		$	-	$	-

COMMITMENTS AND CONTINGENCIES (Tables)

12 Months Ended

Jun. 30, 2013

Commitments and Contingencies Disclosure [Abstract]

Schedule of capital leases and non-cancellable operating leases

	Capital		Operating
	Leases		Leases

2014	$	250,588	$	425,337
2015		94,515		435,578
2016		23,553		361,927
2017		5,470		810
Thereafter		-		-
Total minimum lease payments	$	374,126	$	1,223,652
Less amount representing interest		28,201
Present value of net minimum lease payments		345,925
Less current obligations under capital leases		231,423
Obligations under capital leases, less current portion	$	114,502

BUSINESS (Details Textual) - USD ($)	12 Months Ended
BUSINESS (Details Textual) - USD ($)	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Net income (loss)	$ 854,123	$ (5,211,238)	$ (6,457,067)

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Net Income
-URI http://asc.fasb.org/extlink&oid=6518256

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 230
-SubTopic 10
-Section 45
-Paragraph 28
-URI http://asc.fasb.org/extlink&oid=31042434&loc=d3e3602-108585

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 225
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04.19)
-URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 260
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 225
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03.18)
-URI http://asc.fasb.org/extlink&oid=26872669&loc=d3e20235-122688

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 225
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04.22)
-URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Other Comprehensive Income
-URI http://asc.fasb.org/extlink&oid=6519514

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=28358780&loc=d3e565-108580

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 03
-Paragraph 19
-Article 5

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 04
-Paragraph 20
-Article 9

+ Details

ACCOUNTING POLICIES (Detail Textual) - USD ($)	12 Months Ended
ACCOUNTING POLICIES (Detail Textual) - USD ($)	Jun. 30, 2013	Jun. 30, 2011	Jun. 30, 2012
Accounts, Notes, Loans and Financing Receivable [Line Items]
Cash received on transaction processing services	$ 0		$ 0
Impairment of indefinite-lived trademarks		$ 581,900
Quick Start leases \| Minimum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Term of notes receivable or quick start leases	36 months
Quick Start leases \| Maximum
Accounts, Notes, Loans and Financing Receivable [Line Items]
Term of notes receivable or quick start leases	60 months

ACCOUNTING POLICIES (Detail Textuals 1) - Customer	12 Months Ended
ACCOUNTING POLICIES (Detail Textuals 1) - Customer	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
License and transaction processing revenues
Concentration Risk [Line Items]
Concentration percentage	11.00%	18.00%	25.00%
License and transaction processing revenues \| Customer two
Concentration Risk [Line Items]
Concentration percentage	37.00%	43.00%	48.00%
Number of entities	2	2	2
License and transaction processing revenues \| Customer one
Concentration Risk [Line Items]
Concentration percentage	26.00%	25.00%	23.00%
Number of entities	1	1	1
License and transaction processing revenues \| Another customer
Concentration Risk [Line Items]
Concentration percentage	11.00%	18.00%	25.00%
Accounts and finance receivables
Concentration Risk [Line Items]
Concentration percentage	41.00%	46.00%
Number of entities	1	2

ACCOUNTING POLICIES (Detail Textuals 2) - USD ($)	12 Months Ended
ACCOUNTING POLICIES (Detail Textuals 2) - USD ($)	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Operating Leased Assets [Line Items]
Depreciation expense	$ 1,314,122	$ 1,500,775	$ 1,424,365
ePort equipment included in property and equipment, net	17,240,065	11,800,108
Research and development expenses	901,000	1,038,000	997,000
Expenses recorded under 2013 compensation Plan	19,167	197,613
Charges incurred in connection with the Long-term Equity Incentive Plan			54,395
Vesting of shares under the 2012 Stock Incentive Plan		197,613	43,171
Jump start equipment
Operating Leased Assets [Line Items]
Activation fee revenue	806,000	607,000	597,000
Service fee revenue	10,193,000	6,074,000	2,725,000
Depreciation expense	3,171,000	1,740,000	$ 933,000
ePort equipment included in property and equipment, net	$ 15,685,000	$ 9,793,000

ACCOUNTING POLICIES (Detail Textuals 3) - USD ($)	12 Months Ended
ACCOUNTING POLICIES (Detail Textuals 3) - USD ($)	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Charges incurred in connection with the vesting and issuance of common stock for employee and director compensation	$ 502,907	$ 782,100	$ 302,471
Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expired	(45,333)	(45,333)	(69,334)
Charges incurred in connection with the vesting and issuance of common stock for employee and director compensation	$ 483,740	$ 584,487	$ 302,471
Stock options \| Exercise Price $7.50
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expired	42,333
Common stock options, exercise price per share	$ 7.50
Stock options \| Exercise Price $8.00
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expired		3,000
Common stock options, exercise price per share		$ 8.00

ACCOUNTING POLICIES (Detail Textuals 4) - shares	12 Months Ended
ACCOUNTING POLICIES (Detail Textuals 4) - shares	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Stock purchase warrants, exercise	825,673
Stock options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Weighted average common shares outstanding		(45,333)	(90,666)
Stock purchase warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Weighted average common shares outstanding	(5,212,955)	(8,045,619)	(15,567,199)
Preferred Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Weighted average common shares outstanding	(85,847)	(4,430)	(4,430)
Cumulative preferred dividends
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Weighted average common shares outstanding	(11,596)	(10,932)	(10,267)

FINANCE RECEIVABLES - Information regarding finance receivables (Details) - USD ($)	Jun. 30, 2013	Jun. 30, 2012
Receivables [Abstract]
Total finance receivables	$ 525,118	$ 542,847
Less current portion	116,444	206,649
Non-current portion of finance receivables	$ 408,674	$ 336,198

FINANCE RECEIVABLES - Credit risk profile based on payment activity (Details 1) - USD ($)	Jun. 30, 2013	Jun. 30, 2012
Financing Receivable, Recorded Investment [Line Items]
Total finance receivables	$ 525,118	$ 542,847
Leases
Financing Receivable, Recorded Investment [Line Items]
Total finance receivables	525,118
Performing \| Leases
Financing Receivable, Recorded Investment [Line Items]
Total finance receivables	525,118
Nonperforming \| Leases
Financing Receivable, Recorded Investment [Line Items]
Total finance receivables

FINANCE RECEIVABLES - Age analysis of past due finance receivables (Details 2) - USD ($)	Jun. 30, 2013	Jun. 30, 2012
Financing Receivable, Recorded Investment, Past Due [Line Items]
31-60 Days Past Due
61-90 Days Past Due	814	2,057
Greater than 90 Days Past Due		18,855
Total Past Due	814	20,912
Current	524,304	521,935
Total Finance Receivables	525,118	542,847
Leases
Financing Receivable, Recorded Investment, Past Due [Line Items]
31-60 Days Past Due
61-90 Days Past Due	814	2,057
Greater than 90 Days Past Due		18,855
Total Past Due	814	20,912
Current	524,304	521,935
Total Finance Receivables	$ 525,118	$ 542,847

PROPERTY AND EQUIPMENT - Summary of property and equipment at cost (Details) - USD ($)	12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 27,495,512	$ 18,476,194
Less accumulated depreciation	(10,255,447)	(6,676,086)
Property and equipment, net	$ 17,240,065	11,800,108
Computer equipment purchased software
Property, Plant and Equipment [Line Items]
Useful lives	3-7 years
Property, plant and equipment, gross	$ 4,688,104	4,682,276
Property and equipment used for Rental Program
Property, Plant and Equipment [Line Items]
Useful lives	5 years
Property, plant and equipment, gross	$ 21,574,225	12,523,254
Less accumulated depreciation	$ (5,889,000)	(2,731,000)
Furniture and equipment
Property, Plant and Equipment [Line Items]
Useful lives	3-7 years
Property, plant and equipment, gross	$ 693,554	805,077
Leasehold improvements
Property, Plant and Equipment [Line Items]
Useful lives	Lesser of life or lease term
Property, plant and equipment, gross	$ 539,629	$ 465,587

PROPERTY AND EQUIPMENT (Detail Textuals) - USD ($)	12 Months Ended
PROPERTY AND EQUIPMENT (Detail Textuals) - USD ($)	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Property, Plant and Equipment [Line Items]
Assets under capital lease	$ 1,965,000	$ 1,863,000
Capital lease amortization included in depreciation expense	265,000	189,000	$ 277,000
Accumulated depreciation attributable to the Lessor Equipment is included in accumulated depreciation	10,255,447	6,676,086
Jump Start Program
Property, Plant and Equipment [Line Items]
Accumulated depreciation attributable to the Lessor Equipment is included in accumulated depreciation	$ 5,889,000	$ 2,731,000

INTANGIBLE ASSETS - Summary of intangible assets (Details) - USD ($)	Jun. 30, 2013	Jun. 30, 2012
Intangible assets:
Gross Carrying Amount	$ 10,776,100	$ 10,776,100
Accumulated Amortization	(10,322,047)	(9,579,647)
Net Carrying Value	454,053	1,196,453
Trademarks
Intangible assets:
Gross Carrying Amount	1,482,100	1,482,100
Accumulated Amortization	(1,050,000)	(1,050,000)
Net Carrying Value	432,100	432,100
Patents
Intangible assets:
Gross Carrying Amount	9,294,000	9,294,000
Accumulated Amortization	(9,272,047)	(8,529,647)
Net Carrying Value	$ 21,953	$ 764,353

INTANGIBLE ASSETS (Detail Textuals) - USD ($)	12 Months Ended
INTANGIBLE ASSETS (Detail Textuals) - USD ($)	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization	$ 742,400	$ 997,900	$ 1,034,400
Carrying value of indefinite-lived trademarks	$ 1,014,000

INTANGIBLE ASSETS (Detail Textuals 1)	3 Months Ended
INTANGIBLE ASSETS (Detail Textuals 1)	Jun. 30, 2011 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Fair value of the trademarks	$ 432,100
Impairment write-down	$ 581,900

INTANGIBLE ASSETS (Detail Textuals 2) - USD ($)	12 Months Ended
INTANGIBLE ASSETS (Detail Textuals 2) - USD ($)	Jun. 30, 2013	Jun. 30, 2012
Goodwill and Intangible Assets Disclosure [Abstract]
Expected amortization of the intangible assets in fiscal year 2013	$ 22,000
Expected amortization of the intangible assets in fiscal year 2014	$ 0
The weighted average useful life of amortized intangible assets	1 month
Indefinite- lived trademarks	$ 432,100	$ 432,100

ACCRUED EXPENSES - Information regarding accrued expenses (Details) - USD ($)	Jun. 30, 2013	Jun. 30, 2012
Accrued Liabilities [Abstract]
Accrued compensation and related sales commissions	$ 583,710	$ 767,926
Accrued professional fees	165,444	482,664
Accrued taxes and filing fees	253,527	663,078
Advanced customer billings	346,868	311,767
Accrued proxy contest and litigation costs		992,520
Accrued rent	226,582	278,862
Accrued other	258,838	271,880
Accrued expenses, Total	$ 1,834,969	$ 3,768,697

LINE OF CREDIT (Detail Textuals)			12 Months Ended
LINE OF CREDIT (Detail Textuals)	Apr. 15, 2013 USD ($)	Jul. 10, 2012 USD ($)	Jun. 30, 2013 USD ($) $ / Warrant shares	Dec. 30, 2012 $ / Warrant	Mar. 17, 2011 $ / Warrant
Line of Credit Facility [Line Items]
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant			2.6058	2.6058
Warrants issued in conjunction with Line of Credit Amendment			$ 55,962
Non-cash interest and amortization of debt discount			53,867
Unrestricted cash in accounts with bank			$ 3,000,000
Current assets to current liabilities, ratio			1.00 to 1.00
Line of credit			$ 3,000,000
Line of credit available			$ 2,000,000
Warrants
Line of Credit Facility [Line Items]
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant					2.6058
Line of Credit \| Loan and Security Agreement
Line of Credit Facility [Line Items]
Term of line of credit			1 year
Line of Credit \| Avidbank (the "Bank") \| Loan and Security Agreement
Line of Credit Facility [Line Items]
Line of credit facility, description	<div>The Third Amendment provides that the aggregate amount of advances now available to the Company under the Line of Credit cannot exceed the lesser of (i) $5.0 million, or (ii) 80% of the prior three months transaction processing revenues and networking service fees as defined in the Loan Agreement.</div>
Maximum limit of amount under line of credit	$ 5,000,000	$ 3,000,000
Maximum limit of amount of advances under Line of Credit	$ 5,000,000	$ 3,000,000
Line of credit facility, basis of measurement		Prime rate
Percentage limit of eligible accounts receivable		75.00%
Percentage of prior months transaction processing revenues and networking service fees	80.00%	80.00%
Threshold limit of processing revenues and service fees		$ 2,000,000
Line of credit facility, interest rate description		The outstanding balance of the amounts advanced under the Line of Credit will bear interest at 2% above the prime rate as published in The Wall Street Journal or 5% whichever is higher.
Percentage of interest rate above prime rate as per condition one		2.00%
Percentage of interest rate on line of credit as per condition two		5.00%
Minimum interest payable on line of credit		$ 20,000
Line of Credit \| Avidbank (the "Bank") \| Warrants \| Loan and Security Agreement
Line of Credit Facility [Line Items]
Number of common stock called by warrants \| shares			45,000
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant			2.10
Warrants issued in conjunction with Line of Credit Amendment			$ 55,962

LONG-TERM DEBT - Long-term debt (Details) - USD ($)	Jun. 30, 2013	Jun. 30, 2012
Debt Instrument [Line Items]
Long-term debt	$ 369,906	$ 728,330
Less current portion	247,152	466,056
Long-term debt, less current portion	122,754	262,274
Capital Lease Obligations
Debt Instrument [Line Items]
Long-term debt	345,925	426,007
Loans Payable
Debt Instrument [Line Items]
Long-term debt	$ 23,981	$ 302,323

LONG-TERM DEBT-Maturities of long-term debt (Details 1) - USD ($)	Jun. 30, 2013	Jun. 30, 2012
Debt Disclosure [Abstract]
2014	$ 247,152
2015	96,347
2016	21,435
2017	4,972
Long-term Debt	$ 369,906	$ 728,330

LONG-TERM DEBT (Detail Textuals)	1 Months Ended
LONG-TERM DEBT (Detail Textuals)	Jun. 30, 2013 USD ($) Installment	Apr. 30, 2013 USD ($) Installment	Mar. 31, 2013 USD ($) Installment	Jan. 31, 2013 USD ($) Installment	Jul. 31, 2012 USD ($) Installment	Jun. 30, 2012 USD ($) Installment	Apr. 30, 2012 USD ($) Installment	Nov. 30, 2011 USD ($) Installment	Aug. 31, 2011 USD ($) Installment	Jul. 31, 2011 USD ($) Installment	Jul. 31, 2010 USD ($) Installment	May 31, 2010 USD ($) Installment	Mar. 31, 2010 USD ($) Installment	Jul. 31, 2009 USD ($) Installment	Nov. 30, 2008 USD ($) Installment	Nov. 30, 2007 USD ($) Installment	Mar. 31, 2007 USD ($) Installment
Debt Instrument [Line Items]
Amount of monthly installment, capital lease	$ 374,126
Other assets	84,117					$ 80,884
Financing for insurance policies premium
Debt Instrument [Line Items]
Payment of finance long term debt					$ 128,062					$ 90,372	$ 94,331
Number of equal monthly installments for finance long term debt \| Installment					10					9	9
Amount of equal monthly installments finance long term debt					$ 13,103
Interest rate of finance long term debt					5.02%					5.57%	4.93%
Capital lease for network equipment
Debt Instrument [Line Items]
Payment of finance long term debt	$ 16,000	$ 32,000	$ 24,000	$ 45,000			$ 62,000	$ 46,000	$ 496,000					$ 24,836	$ 462,041		$ 146,000
Number of equal monthly installments for finance long term debt \| Installment	48	12	3	37			36	12	36					46			60
Amount of equal monthly installments finance long term debt	$ 455.80	$ 2,915	$ 8,686	$ 1,501			$ 1,785		$ 14,145					$ 677			$ 2,965
Interest rate of finance long term debt								6.47%
Capital lease for network equipment \| Minimum
Debt Instrument [Line Items]
Number of equal monthly installments for finance long term debt \| Installment															24
Amount of equal monthly installments finance long term debt															$ 1,545
Capital lease for network equipment \| Maximum
Debt Instrument [Line Items]
Number of equal monthly installments for finance long term debt \| Installment															36
Amount of equal monthly installments finance long term debt															$ 3,246
Long-term Debt
Debt Instrument [Line Items]
Payment of finance long term debt																$ 93,000
Number of equal monthly installments for finance long term debt \| Installment																84
Amount of equal monthly installments finance long term debt																$ 1,467
Interest rate of finance long term debt																8.25%
Software License
Debt Instrument [Line Items]
Payment of finance long term debt						$ 212,000						$ 77,730
Number of equal monthly installments for finance long term debt \| Installment						4						12
Interest rate of finance long term debt						11.09%						3.30%
Computer Equipment
Debt Instrument [Line Items]
Payment of finance long term debt													$ 195,000
Number of equal monthly installments for finance long term debt \| Installment													36
Interest rate of finance long term debt													4.95%
Computer Equipment \| Current other assets
Debt Instrument [Line Items]
Other assets						$ 51,492
Capital lease for equipment to support customer service
Debt Instrument [Line Items]
Payment of finance long term debt			$ 15,000
Number of equal monthly installments for finance long term debt \| Installment			36
Amount of equal monthly installments finance long term debt			$ 464

FAIR VALUE OF FINANCIAL INSTRUMENTS - Fair value of the company financial instruments that are required to be measured at fair value (Details) - USD ($)	Jun. 30, 2013	Jun. 30, 2012
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	$ 192,620	$ 141,107
Common stock warrant liability, warrants exercisable at $2.6058 from September 18, 2011 through September 18, 2016
Common stock warrant liability, warrants exercisable at $5.90 through September 14, 2013
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents
Common stock warrant liability, warrants exercisable at $2.6058 from September 18, 2011 through September 18, 2016
Common stock warrant liability, warrants exercisable at $5.90 through September 14, 2013
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents
Common stock warrant liability, warrants exercisable at $2.6058 from September 18, 2011 through September 18, 2016	650,638	917,440
Common stock warrant liability, warrants exercisable at $5.90 through September 14, 2013		1,126
Total
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	192,620	141,107
Common stock warrant liability, warrants exercisable at $2.6058 from September 18, 2011 through September 18, 2016	650,638	917,440
Common stock warrant liability, warrants exercisable at $5.90 through September 14, 2013		$ 1,126

FAIR VALUE OF FINANCIAL INSTRUMENTS - Fair value of the company financial instruments that are required to be measured at fair value (Parentheticals) (unaudited) (Details) - $ / Warrant	Jun. 30, 2013	Dec. 30, 2012
Fair Value Disclosures [Abstract]
Exercise Price Per Share	2.6058	2.6058
Common stock warrant liability, warrants exercisable at through September 14, 2013, exercise price (in dollars per share)	5.90	5.90

FAIR VALUE OF FINANCIAL INSTRUMENTS - Changes in fair value of the Company level 3 financial instruments (unaudited) (Details 1) - USD ($)	12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	$ (918,566)	$ (2,732,253)
Gain due to change in fair value of warrant liabilities, net	267,928	1,813,687
Ending balance	$ (650,638)	$ (918,566)

FAIR VALUE OF FINANCIAL INSTRUMENTS (Detail Textuals) - USD ($)	1 Months Ended		12 Months Ended
	Mar. 31, 2011	Mar. 31, 2007	Jun. 30, 2013	Dec. 30, 2012	Jun. 30, 2012	Jun. 30, 2011
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of common stock warrants			$ 650,638	$ 918,566	$ 918,566	$ 2,732,253
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents			192,620		141,107
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value of common stock warrants			650,638		918,566
Cash equivalents
Purchase of company's common stock (in shares)	3,900,000	903,955
Valuation method used to determine fair value	Proprietary valuation models	Black-Scholes model
Dividend yield			0.00%
Expected stock price volatility			46.60%
Risk free interest rate			0.04%
Expected life			2 months 12 days

INCOME TAXES (Details) - USD ($)	Jun. 30, 2013	Jun. 30, 2012
Deferred tax assets:
Net operating loss carryforwards	$ 49,534,732	$ 48,825,628
Deferred research and development costs	135,189	185,940
Intangibles	1,132,471	1,059,409
Stock-based compensation	230,452	694,407
Other	671,947	955,279
Deferred tax assets, gross	51,704,791	51,720,663
Deferred tax liabilities:
Intangibles and goodwill	(40,245)	(12,599)
Fixed Assets	(585,889)
Deferred tax assets, net	51,078,657	51,708,064
Valuation allowance	(51,118,902)	(51,720,663)
Deferred tax (liabilities) assets, net of allowance	$ (40,245)	$ (12,599)

INCOME TAXES (Detail Textuals) - USD ($)	12 Months Ended
INCOME TAXES (Detail Textuals) - USD ($)	Jun. 30, 2013	Jun. 30, 2012
Income Tax Examination [Line Items]
Net operating loss carryforwards	$ 167,517,976
Maximum amount of net operating loss carryforwards	129,313,279	$ 127,024,196
Deferred tax assets, net	51,078,657	51,708,064
Valuation allowance	51,118,902	51,720,663
Deferred tax liabilities	40,245	12,599
Deferred income taxes	27,646	12,599
Income tax benefit	$ 299,801	$ 1,767,537
Federal statutory rate	34.00%	34.00%
Effects of increases in the valuation allowance	$ 205,266	$ 2,372,354
Amount of increase in deferred tax assets for effects of permanent difference	71,379	594,264
State income taxes net of federal benefit	4,490	2,046
Domestic Tax Authority
Income Tax Examination [Line Items]
Deferred state income taxes	6,804	3,101
Foreign Tax Authority
Income Tax Examination [Line Items]
Deferred federal income taxes	$ 20,842	$ 9,498

PREFERRED STOCK (Detail Textuals)	12 Months Ended
PREFERRED STOCK (Detail Textuals)	Jun. 30, 2013 USD ($) $ / shares	Jun. 30, 2012 USD ($)	Jun. 30, 2011 USD ($) shares
Series A Preferred Stock
Class of Stock [Line Items]
An annual cumulative dividend price per share of Series A Preferred Stock (in dollars per share)	$ 1.50
Cumulative unpaid dividends \| $	$ 11,596,324	$ 10,931,872
Cumulative unpaid dividends converted into common shares, Convertible price per common share (in dollars per share)	$ 1,000
Conversion of $33,000 preferred dividends into common stock \| $			$ 33,000
Conversion of preferred stock (in Shares) \| shares			1,500
Series A preferred stock, redemption price per share (in dollars per share)	11
Liquidation price to be received by series A preferred stock holder for each outstanding share plus all cumulative unpaid dividends (in dollars per share)	$ 10
Conversion of preferred dividends into common stock (Per share)	0.1938
Preferred stock voting rights	0.1938 of a vote
Common Stock
Class of Stock [Line Items]
Conversion of preferred stock into common stock (in shares) \| shares			15
Conversion of $33,000 preferred dividends into common stock (in shares) \| shares			33

COMMON STOCK - Summary of reserved shares of common stock for future issuance (Details)	12 Months Ended
	Jun. 30, 2013 shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Exercise of Common Stock Warrants	6,412,768
Conversions of Preferred Stock and cumulative Preferred Stock dividends	97,444
Total shares reserved for future issuance	7,346,597
2012 Stock Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Issuance under Stock Incentive Plan	196,385
2013 Stock Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Issuance under Stock Incentive Plan	500,000
Mr. Jensen
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Issuance under Stock Incentive Plan	140,000

COMMON STOCK - Company nonvested common shares (Details 1) - $ / shares	12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Shares
Nonvested at June 30	172,003	187,335	13,000
Granted	156,429	473,285	305,000
Vested	(204,587)	(380,282)	(130,665)
Forfeited due to Separation Agreement		(91,667)
Forfeited, Director changes		(16,668)
Forfeited, Employee shares not earned	(26,699)
Nonvested at June 30	97,146	172,003	187,335
Weighted-Average Grant-Date Fair Value
Nonvested at June 30	$ 1.82	$ 2.32	$ 1.75
Granted	1.45	1.58	2.18
Vested	1.72	1.73	1.93
Forfeited due to Separation Agreement		2.00
Forfeited, Director changes		1.71
Forfeited, Employee shares not earned	1.52
Nonvested at June 30	$ 1.52	$ 1.82	$ 2.32

COMMON STOCK - Summary of common stock warrant activity (Details 2) - Warrants - shares	12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Class Of Warrant Or Right [Roll Forward]
Outstanding at June 30	8,045,619	15,567,199	13,526,748
Issued	45,000		4,541,670
Exercised	(399,597)	(7,317)	(1,001,219)
Expired	(329,314)	(7,514,263)	(1,500,000)
Outstanding at June 30	7,361,708	8,045,619	15,567,199

COMMON STOCK - 2010 Public Offering (Detail Textuals)			12 Months Ended
COMMON STOCK - 2010 Public Offering (Detail Textuals)	Jul. 07, 2010 USD ($) $ / Warrant shares	Jul. 07, 2010 USD ($) $ / Warrant shares	Jun. 30, 2013 USD ($) $ / shares $ / Warrant shares	Jun. 30, 2012 USD ($) shares	Jun. 30, 2011 USD ($) $ / Warrant shares	Dec. 30, 2012 $ / Warrant	Mar. 17, 2011 $ / Warrant	May 12, 2010 $ / Warrant shares
Common Stock Public and Private Placement Offerings [Line Items]
Cashless exercise of warrants in issuance of common stock			36,186	2,767	127,497
Common stock shares issued \| $					$ 5,671
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant			2.6058			2.6058
Source Capital Group, Inc. ("Source") \| Common Stock
Common Stock Public and Private Placement Offerings [Line Items]
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant			1.13
Warrants
Common Stock Public and Private Placement Offerings [Line Items]
USATZ warrants exercised			(399,597)	(7,317)	(1,001,219)
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant							2.6058
"2010 Rights Offering" \| Warrants
Common Stock Public and Private Placement Offerings [Line Items]
Common stock shares issued \| $		$ 261,953
Number of common stock called by warrants	261,953	261,953						2,753,454
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant								1.13
Proceeds from issuance of common stock \| $			$ 417,294	$ 0	$ 266,018
"2010 Rights Offering" \| Warrants \| Source Capital Group, Inc. ("Source")
Common Stock Public and Private Placement Offerings [Line Items]
Cashless exercise of warrants in issuance of common stock			36,186	2,767	127,497
Cashless exercise of warrants resulting in issuance of common stock (in shares)			17,094	990	83,472
Common stock shares issued (in shares)			13,216
Number of common stock called by warrants	15,717	15,717
USATZ warrants exercised					261,953
Exercise price of shares to be purchased as warrants (in dollars per share)	1.13	1.13	1.13		1.13
Cash proceeds on exercise of warrants \| $					$ 296,007
Proceeds from issuance of common stock \| $	$ 5,671		$ 14,934
Gross proceeds from issuance of common stock \| $	$ 235,757

COMMON STOCK - LPC Agreement (Detail Textuals 1)	12 Months Ended
COMMON STOCK - LPC Agreement (Detail Textuals 1)	Jun. 30, 2011 shares
LPC Agreement
Common Stock Public and Private Placement Offerings [Line Items]
Number of shares issued as commitment fee	150,000

COMMON STOCK - Securities Purchase Agreement (Detail Textuals 2)	1 Months Ended
	Mar. 17, 2011 USD ($) $ / shares $ / Warrant shares	Jun. 30, 2013 $ / Warrant	Dec. 30, 2012 $ / Warrant	Oct. 17, 2012 $ / Warrant shares
Common Stock Public and Private Placement Offerings [Line Items]
Exercise Price Per Share		2.6058	2.6058
Warrants
Common Stock Public and Private Placement Offerings [Line Items]
Exercise Price Per Share	2.6058
Securities Purchase Agreement (the "2011 Private Placement Offering")
Common Stock Public and Private Placement Offerings [Line Items]
Number of common stock called by warrants \| shares				17,532
Exercise Price Per Share				7.70
Securities Purchase Agreement (the "2011 Private Placement Offering") \| Seven institutional investors (the "Buyers")
Common Stock Public and Private Placement Offerings [Line Items]
Number of shares sold to the buyers \| shares	5,200,000
Common stock issue price per share (in dollars per share) \| $ / shares	$ 2.064
Aggregate purchase price of common stock \| $	$ 10,732,800
Securities Purchase Agreement (the "2011 Private Placement Offering") \| Seven institutional investors (the "Buyers") \| Warrants
Common Stock Public and Private Placement Offerings [Line Items]
Number of common stock called by warrants \| shares	3,900,000
Exercise Price Per Share	2.6058

COMMON STOCK - Private placement offering (Detail Textuals 3) - USD ($)	1 Months Ended	12 Months Ended
	Mar. 17, 2011	Jun. 30, 2011
Class of Warrant or Right [Line Items]
Fair value of warrants issued		$ 1,917,122
2011 Private Placement Offering, Chardan Capital Markets, LLC ("Chardan") \| Warrants
Class of Warrant or Right [Line Items]
Cash compensation for services rendered	$ 751,296
Warrants issued	364,000
Exercise price of warrant	$ 2.6058
Cash proceeds from issuance of warrants	$ 10,732,800
Fair value of warrants issued	1,917,122
Cash issuance costs	838,705
Net cash proceeds	9,894,095
Proceeds from issuance of common stock	$ 7,976,973

COMMON STOCK - LTIP Program (Detail Textuals 4) - USD ($)	1 Months Ended		12 Months Ended
	Sep. 15, 2011	Dec. 31, 2010	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of common stock issued (in shares)				29,998
Number of eligible shares awarded determined by EBITDA (in percentage)	30.00%
Stock compensation expense			$ 19,167	$ 197,613
Long-Term Equity Incentive Program
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Stock compensation expense		$ 97,566			$ 54,395
Number of shares earned		86,342

COMMON STOCK - 2008 Stock Incentive Plan (Detail Textuals 5) - USD ($)	12 Months Ended
	Jun. 30, 2012	Jun. 30, 2011	Jun. 30, 2010	Feb. 28, 2008
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of common stock issued (in shares)	29,998
2008 Stock Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of common stock issued (in shares)		20,747	40,000
Value of shares issued		$ 10,208	$ 87,354
Common stock shares issued available for issuance		300,000
2008 Stock Incentive Plan \| Employees, directors and consultants
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares of common stock to be available for issuance to future or current employees, directors and consultants				300,000
Number of common stock issued (in shares)			239,253

COMMON STOCK - Stock Incentive Plan (Detail Textuals 6) - USD ($)	12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011	Jun. 21, 2013	Jun. 28, 2012	Jun. 13, 2011	Jun. 30, 2010	Jun. 15, 2010
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of common stock issued (in shares)		29,998
Stock compensation expense	$ 19,167	$ 197,613
Nonvested number of shares	97,146	172,003	187,335				13,000
2010 Stock Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares of common stock to be available for issuance to future or current employees, directors and consultants								300,000
Number of common stock issued (in shares)	62,942	120,472	109,918
Value of shares issued	$ 68,723	$ 248,851	$ 292,263
Granted	6,668
2011 Stock Incentive Plan (the "2011 Plan")
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares of common stock to be available for issuance to future or current employees, directors and consultants						300,000
Number of common stock issued (in shares)	96,665	141,666	0
Value of shares issued	$ 157,645	$ 335,646	$ 0
Granted	61,669
2012 Stock Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares of common stock to be available for issuance to future or current employees, directors and consultants					500,000
Value of vesting of shares		$ 197,613
Number of common stock issued (in shares)	279,806
Value of shares issued	$ 257,372
Granted	23,809
Common stock reserved for future issuance	196,385
Common stock issued (in shares)	47,620
Stock compensation expense	$ 66,668
Nonvested number of shares	23,809
2013 Stock Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares of common stock to be available for issuance to future or current employees, directors and consultants				500,000
Common stock reserved for future issuance	500,000

COMMON STOCK - Jensen Employment Agreement (Detail Textuals 7) - shares	1 Months Ended			12 Months Ended
	Sep. 27, 2013	Sep. 27, 2012	Sep. 27, 2011	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of common stock issued (in shares)					29,998
Number of shares vested				(204,587)	(380,282)	(130,665)
Amended and restated employment agreement (the "Jensen Employment Agreement") \| Mr. Jensen
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of common stock issued (in shares)				150,000
Number of shares vested		50,000	50,000
Amended and restated employment agreement (the "Jensen Employment Agreement") \| Mr. Jensen \| Subsequent Event
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of shares vested	50,000

COMMON STOCK - Separation Agreement (Detail Textuals 8) - shares		12 Months Ended
	Oct. 14, 2011	Jun. 30, 2012
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of common stock issued (in shares)		29,998
Forfeited due to Separation Agreement		(91,667)
Separation Agreement and Release (the "Separation Agreement") \| Mr. Jensen
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of common stock issued (in shares)		41,667
Separation Agreement and Release (the "Separation Agreement") \| Vesting April 2012 \| Mr. Jensen
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of common stock issued (in shares)	41,667
Separation Agreement and Release (the "Separation Agreement") \| Vesting September 2012 \| Mr. Jensen
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of common stock issued (in shares)	50,000
Separation Agreement and Release (the "Separation Agreement") \| Vesting April 2013 \| Mr. Jensen
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Forfeited due to Separation Agreement	41,667
Separation Agreement and Release (the "Separation Agreement") \| Vesting September 2013 \| Mr. Jensen
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Forfeited due to Separation Agreement	50,000

COMMON STOCK - Amended and Restated Employment and Non-Competition Agreement (Detail Textuals 9) - shares	1 Months Ended			12 Months Ended
	Sep. 27, 2013	Sep. 27, 2012	Sep. 27, 2011	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of shares granted				156,429	473,285	305,000
Number of common stock issued (in shares)					29,998
Number of shares vested year 1				(204,587)	(380,282)	(130,665)
Mr. Herbert
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of shares vested year 1				8,142	96,201
Mr. DeMedio
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of shares vested year 1				2,874	40,084
Amended And Restated Employment And Non Competition Agreement \| Mr. Herbert
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of common stock issued (in shares)			100,000
Number of shares vested year 1		33,333	33,333
Amended And Restated Employment And Non Competition Agreement \| Mr. Herbert \| Subsequent Event
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of shares vested year 1	33,334
Amended And Restated Employment And Non Competition Agreement \| Mr. DeMedio
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of shares granted			25,000
Number of shares vested year 1		8,333	8,333
Amended And Restated Employment And Non Competition Agreement \| Mr. DeMedio \| Subsequent Event
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of shares vested year 1	8,334

COMMON STOCK - Recommendation of the Compensation Committee (Detail Textuals 10) - shares		1 Months Ended
	Sep. 05, 2012	Sep. 15, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of eligible shares awarded relating to total number of connections (in percentage)		30.00%
Number of eligible shares awarded relating to total revenues (in percentage)		30.00%
Number of eligible shares awarded relating to operating expenses (in percentage)		10.00%
Number of eligible shares awarded relating to operating earnings (in percentage)		30.00%
Fiscal Year 2013 Performance Share Plan (the "2013 Performance Plan") \| Mr. Herbert
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares awarded, if all of the target performance goals are achieved (in shares)	275,000
Number of shares awarded, if minimum threshold performance target goals achieved (in shares)	75,000
Number of shares awarded, if maximum target performance goals are achieved (in shares)	550,000
Fiscal Year 2013 Performance Share Plan (the "2013 Performance Plan") \| Mr. DeMedio
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares awarded, if all of the target performance goals are achieved (in shares)	100,000
Number of shares awarded, if minimum threshold performance target goals achieved (in shares)	25,000
Number of shares awarded, if maximum target performance goals are achieved (in shares)	200,000

COMMON STOCK - Stock Incentive Plan (Detail Textuals 11) - USD ($)	12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock compensation expense	$ 19,167	$ 197,613
Number of common stock vested (in shares)	(204,587)	(380,282)	(130,665)
Number of common stock shares cancelled to pay payroll taxes (in shares)	64,847	38,749	2,217
Payment of payroll tax obligations	$ 121,052	$ 51,381	$ 2,261
Executive officer
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of common stock vested (in shares)	11,016	136,285
Mr. Herbert
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of common stock vested (in shares)	8,142	96,201
Mr. DeMedio
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Number of common stock vested (in shares)	2,874	40,084

COMMON STOCK - 2010 Stock Incentive Plan (Detail Textuals 12) - $ / shares	1 Months Ended				12 Months Ended
	Jul. 31, 2012	Mar. 31, 2012	Feb. 29, 2012	Jun. 30, 2011	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011	Aug. 10, 2014	Apr. 01, 2014	Aug. 10, 2013	Apr. 01, 2013	Aug. 10, 2012	Apr. 01, 2012	Jun. 30, 2010
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted					156,429	473,285	305,000
Number of shares vested					(204,587)	(380,282)	(130,665)
Number of shares forfeited						(91,667)
Number of shares vested and been issued						29,998
Number of shares reserved for future issuance						10,002
Number of shares remain non-vested				187,335	97,146	172,003	187,335							13,000
Stock issued during period, shares, issued for services						19,175
Non-Employee Director
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares forfeited			6,667
Number of shares returned			3,333
2010 Stock Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares vested					6,668
Number of shares vested and been issued					62,942	120,472	109,918
2010 Stock Incentive Plan \| Subsequent Event \| Common Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares vested and been issued						9,999
2010 Stock Incentive Plan \| Non-Employee Director
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares vested				10,000
Issue price per share				$ 2.22
Number of shares granted							50,000
Number of shares vested					16,670	16,665	16,665
2010 Stock Incentive Plan \| Non-Employee Director \| Common Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted					30,000
Number of shares vested					39,999
Number of shares vested and been issued					19,998
Number of shares reserved for future issuance					6,668
Number of shares remain non-vested					6,667
Number of shares authorized to be issued as stock award		10,000
Grant date fair value of shares issued as stock award		$ 0.94
Number of shares issued as stock award to non-employee Director											9,999		9,999
2010 Stock Incentive Plan \| Non-Employee Director \| Subsequent Event \| Common Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares issued as stock award to non-employee Director									10,002
2011 Stock Incentive Plan (the "2011 Plan")
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares vested					61,669
Number of shares vested and been issued					96,665	141,666	0
2011 Stock Incentive Plan (the "2011 Plan") \| Non-Employee Director \| Common Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted	30,000
Number of shares reserved for future issuance					20,001
Number of shares authorized to be issued as stock award	10,000
Grant date fair value of shares issued as stock award	$ 1.45
Number of shares issued as stock award to non-employee Director												9,999
2011 Stock Incentive Plan (the "2011 Plan") \| Non-Employee Director \| Subsequent Event \| Common Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares issued as stock award to non-employee Director								10,002		9,999

COMMON STOCK - Director compensation (Detail Textuals 13) - USD ($)	12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of common stock issued (in shares)		29,998
Stock compensation expense	$ 19,167	$ 197,613
Common stock issued for services (in shares)		19,175
Director
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of common stock issued (in shares)	88,594	2,299
Stock compensation expense	$ 157,500	$ 3,333
Lead independent director
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Common stock issued for services (in shares)	23,248	19,175

COMMON STOCK WARRANTS AND OPTIONS - Exercise prices and expiration dates for warrants outstanding (Details)	12 Months Ended
	Jun. 30, 2013 $ / Warrant shares	Dec. 30, 2012 $ / Warrant	Jun. 30, 2012 shares	Jun. 30, 2011 shares	Mar. 17, 2011 $ / Warrant	Jun. 30, 2010 shares
Class of Warrant or Right [Line Items]
Exercise Price Per Share	2.6058	2.6058
Warrants
Class of Warrant or Right [Line Items]
Warrants Outstanding \| shares	7,361,708		8,045,619	15,567,199		13,526,748
Exercise Price Per Share					2.6058
Warrants \| September 14, 2013
Class of Warrant or Right [Line Items]
Warrants Outstanding \| shares	903,955
Exercise Price Per Share	5.90
Expiration Date	Sep. 14, 2013
Warrants \| December 31, 2013
Class of Warrant or Right [Line Items]
Warrants Outstanding \| shares	2,148,753
Exercise Price Per Share	1.13
Expiration Date	Dec. 31, 2013
Warrants \| September 18, 2016
Class of Warrant or Right [Line Items]
Warrants Outstanding \| shares	4,264,000
Exercise Price Per Share	2.6058
Expiration Date	Sep. 18, 2016
Warrants \| December 31, 2017
Class of Warrant or Right [Line Items]
Warrants Outstanding \| shares	45,000
Exercise Price Per Share	2.10
Expiration Date	Dec. 31, 2017

COMMON STOCK WARRANTS AND OPTIONS - Common Stock Option activity (Details 1) - Stock options - $ / shares	12 Months Ended
	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Options Outstanding
Outstanding and exercisable at the beginning	45,333	90,666	160,000
Granted
Expired	(45,333)	(45,333)	(69,334)
Outstanding and exercisable at the ending		45,333	90,666
Exercise Price Per Share
Granted
Expired			7.50
Weighted-Average Exercise Price
Outstanding and exercisable at the beginning	7.53	7.53	7.52
Granted
Expired	7.53	7.53	7.50
Outstanding and exercisable at the ending		7.53	7.53
Minimum
Exercise Price Per Share
Outstanding and exercisable at the beginning	7.50	7.50	7.50
Expired	7.50	7.50
Outstanding and exercisable at the ending		7.50	7.50
Maximum
Exercise Price Per Share
Outstanding and exercisable at the beginning	8.00	8.00	8.00
Expired	8.00	8.00
Outstanding and exercisable at the ending		$ 8.00	$ 8.00

COMMON STOCK WARRANTS AND OPTIONS (Detail Textuals)	1 Months Ended	12 Months Ended
COMMON STOCK WARRANTS AND OPTIONS (Detail Textuals)	Jun. 30, 2009 $ / Warrant shares	Jun. 30, 2013 USD ($) $ / Warrant shares	Dec. 30, 2012 $ / Warrant	Oct. 17, 2012 $ / Warrant shares	Jun. 30, 2012 USD ($)	Mar. 17, 2011 $ / Warrant	Mar. 14, 2007 $ / Warrant shares
Class of Warrant or Right [Line Items]
Exercise price of shares to be purchased as warrants (in dollars per share)		2.6058	2.6058
Securities Purchase Agreement
Class of Warrant or Right [Line Items]
Number of common stock called by warrants \| shares				17,532
Exercise price of shares to be purchased as warrants (in dollars per share)				7.70
Warrants
Class of Warrant or Right [Line Items]
Exercise price of shares to be purchased as warrants (in dollars per share)						2.6058
Warrants \| Securities Purchase Agreement \| S.A.C. Capital Associates, LLC ("SAC")
Class of Warrant or Right [Line Items]
Number of common stock called by warrants \| shares	903,955						833,333
Exercise price of shares to be purchased as warrants (in dollars per share)	5.90						6.40
Date of exercise of warrants	Sep. 14, 2013
Fair value of warrants \| shares		903,955
Warrants \| Warrant liability
Class of Warrant or Right [Line Items]
Common stock warrant liability recorded \| $		$ 0			$ 1,126

COMMON STOCK WARRANTS AND OPTIONS (Detail Textuals 1)		12 Months Ended
COMMON STOCK WARRANTS AND OPTIONS (Detail Textuals 1)	Jul. 07, 2010 USD ($) $ / Warrant shares	Jun. 30, 2013 USD ($) $ / shares $ / Warrant shares	Jun. 30, 2012 USD ($) shares	Jun. 30, 2011 USD ($) $ / Warrant shares	Dec. 30, 2012 $ / Warrant	Mar. 17, 2011 $ / Warrant	May 12, 2010 $ / Warrant shares	Aug. 07, 2009 $ / Warrant shares
Class of Warrant or Right [Line Items]
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant		2.6058			2.6058
USATW warrants exercised		382,503	4,550	376,355
Warrants
Class of Warrant or Right [Line Items]
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant						2.6058
Warrants \| Rights offering (the "2009 Rights Offering")
Class of Warrant or Right [Line Items]
USATW warrants exercised			4,550	376,355
Common stock shares issued (in shares)			4,550	376,355
Proceeds from issuance of common stock \| $			$ 10,010	$ 827,981
Warrants \| Rights offering (the "2009 Rights Offering") \| Source Capital Group, Inc. ("Source")
Class of Warrant or Right [Line Items]
Number of common stock called by warrants				145,716				7,285,792
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant				2.20				2.20
Warrants \| "2010 Rights Offering"
Class of Warrant or Right [Line Items]
Number of common stock called by warrants	261,953						2,753,454
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant							1.13
USATW warrants exercised		369,287	0	235,414
Proceeds from issuance of common stock \| $		$ 417,294	$ 0	$ 266,018
Warrants \| "2010 Rights Offering" \| Source Capital Group, Inc. ("Source")
Class of Warrant or Right [Line Items]
Number of common stock called by warrants	15,717
Exercise price of shares to be purchased as warrants (in dollars per share)	1.13	1.13		1.13
Common stock shares issued (in shares)		13,216
Proceeds from issuance of common stock \| $	$ 5,671	$ 14,934
Gross proceeds from issuance of common stock \| $	$ 235,757

COMMON STOCK WARRANTS AND OPTIONS (Detail Textuals 2)	12 Months Ended
COMMON STOCK WARRANTS AND OPTIONS (Detail Textuals 2)	Jun. 30, 2013 USD ($) $ / Warrant shares	Jun. 30, 2012 USD ($) shares	Jun. 30, 2011 USD ($) shares	May 31, 2013 shares	May 12, 2013 $ / Warrant shares	Dec. 30, 2012 $ / Warrant	Dec. 31, 2011 shares	Mar. 17, 2011 $ / Warrant	Jul. 07, 2010 shares	May 12, 2010 $ / Warrant shares
Class of Warrant or Right [Line Items]
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant	2.6058					2.6058
Warrants issued in conjunction with Line of Credit Amendment \| $	$ 55,962
Non-cash interest and amortization of debt discount \| $	$ 53,867
Cashless exercise of warrants in issuance of common stock	36,186	2,767	127,497
Common Stock
Class of Warrant or Right [Line Items]
Number of shares of common stock remain unexercised	2,148,753			1,258
Placement Agent \| Common Stock
Class of Warrant or Right [Line Items]
Cashless exercise of warrants resulting in issuance of common stock (in shares)	17,094	990	83,472
Proceeds from issuance of common stock \| $	$ 14,934
Warrants
Class of Warrant or Right [Line Items]
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant								2.6058
Number of warrants expired unexercised							6,904,887
Warrants \| Loan and Security Agreement
Class of Warrant or Right [Line Items]
Number of common stock called by warrants	45,000
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant	2.10
Warrants issued in conjunction with Line of Credit Amendment \| $	$ 55,962
Non-cash interest and amortization of debt discount \| $	53,867
Warrants \| "2010 Rights Offering"
Class of Warrant or Right [Line Items]
Number of common stock called by warrants									261,953	2,753,454
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant										1.13
Proceeds from issuance of common stock \| $	$ 417,294	$ 0	$ 266,018
Warrants \| "2010 Rights Offering" \| Placement Agent
Class of Warrant or Right [Line Items]
Number of common stock called by warrants					165,207
Exercise price of shares to be purchased as warrants (in dollars per share) \| $ / Warrant					1.13

COMMON STOCK WARRANTS AND OPTIONS (Detail Textuals 3)	Jun. 30, 2013 USD ($) $ / Warrant shares	Dec. 30, 2012 USD ($) $ / Warrant	Jun. 30, 2012 USD ($)	Jun. 30, 2011 USD ($)	Mar. 17, 2011 $ / Warrant
Class of Warrant or Right [Line Items]
Exercise price of shares to be purchased as warrants (in dollars per share)	2.6058	2.6058
Warrant liabilities \| $	$ 650,638	$ 918,566	$ 918,566	$ 2,732,253
Warrants
Class of Warrant or Right [Line Items]
Exercise price of shares to be purchased as warrants (in dollars per share)					2.6058
Warrants \| Private Placement Offering 2011
Class of Warrant or Right [Line Items]
Warrants issued \| shares	3,900,000
Exercise price of shares to be purchased as warrants (in dollars per share)	2.6058
Number of warrants exercisable \| shares	4,264,000
Warrants \| Private Placement Offering 2011 \| Placement Agent
Class of Warrant or Right [Line Items]
Warrants issued \| shares	364,000
Exercise price of shares to be purchased as warrants (in dollars per share)	2.6058

RETIREMENT PLAN (Details Textuals) - USD ($)	12 Months Ended
RETIREMENT PLAN (Details Textuals) - USD ($)	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Compensation and Retirement Disclosure [Abstract]
Maximum percent of voluntary contribution	100.00%
Company's safe harbor contribution	$ 176,000	$ 140,000
Company's discretionary contribution			$ 42,000
Percentage of employee compensation level 1	100.00%	100.00%
Percentage of employee eligible compensation level 1	3.00%	3.00%
Percentage of employee compensation level 2	50.00%	50.00%
Percentage of employee eligible compensation level 2	2.00%	2.00%

RELATED PARTY TRANSACTIONS (Details Textuals) - Board of directors - USD ($)	12 Months Ended
	Jun. 30, 2012	Jun. 30, 2011
Related Party Transaction [Line Items]
Legal services provided by a member of the Company's Board of Directors	$ 744,000	$ 513,000
Due to the member of the company's board of directors for legal services provided	$ 119,000

COMMITMENTS AND CONTINGENCIES - Future minimum lease payments under capital leases and non-cancellable operating leases (Details)	Jun. 30, 2013 USD ($)
Capital Leases
2014 - Capital Leases	$ 250,588
2015 - Capital Leases	94,515
2016 - Capital Leases	23,553
2017 - Capital Leases	5,470
Thereafter - Capital Leases
Total minimum lease payments - Capital Leases	374,126
Operating Leases
2014 - Operating Leases	425,337
2015 - Operating Leases	435,578
2016 - Operating Leases	361,927
2017 - Operating Leases	810
Thereafter - Operating Leases
Total minimum lease payments - Operating Leases	1,223,652
Less amount representing interest	28,201
Present value of net minimum lease payments	345,925
Less current obligations under capital leases	231,423
Obligations under capital leases, less current portion	$ 114,502

COMMITMENTS AND CONTINGENCIES (Detail Textuals)	1 Months Ended			12 Months Ended
COMMITMENTS AND CONTINGENCIES (Detail Textuals)	Nov. 30, 2012 USD ($) ft²	Oct. 31, 2011 USD ($)	Nov. 30, 2010 USD ($)	Jun. 30, 2013 USD ($) ft²	Jun. 30, 2012 USD ($)	Jun. 30, 2011 USD ($)
Operating Leased Assets [Line Items]
Rent expense under operating leases				$ 432,000	$ 502,000	$ 545,000
Malvern office facilities \| Property Subject to Operating Lease
Operating Leased Assets [Line Items]
Square feet area taken under operating lease for principal executive office \| ft²				17,249
Operating leases, rent expense, minimum rentals			$ 29,000
Maximum monthly rental lease			32,000
Straight-lined rent expense of principal executive office, Per month					$ 25,000
New operations site in Malvern Pennsylvania \| Property Subject to Operating Lease
Operating Leased Assets [Line Items]
Square feet area taken under operating lease for principal executive office \| ft²	11,250
Extension of operating lease period by amendment	Jan. 31, 2013
Operating leases, rent expense, minimum rentals	$ 4,406
Maximum monthly rental lease	4,678
Straight-lined rent expense of principal executive office, Per month	4,300
Malvern product warehousing facilities \| Product warehousing shipping And customer support
Operating Leased Assets [Line Items]
Extension of operating lease period by amendment		Jan. 31, 2013
Operating leases, rent expense, minimum rentals		$ 15,100
Maximum monthly rental lease		16,200
Straight-lined rent expense of principal executive office, Per month	$ 16,721	$ 15,600
Rent expense under operating leases			$ 195,000

COMMITMENTS AND CONTINGENCIES (Detail Textuals 1) - USD ($)	1 Months Ended		12 Months Ended
	Nov. 30, 2011	Sep. 27, 2011	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted			156,429	473,285	305,000
Number of shares vested year 1			(204,587)	(380,282)	(130,665)
2008 Stock Incentive Plan \| Mr. Herbert - President
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted		100,000
Number of shares vested year 1		33,333
Base salary	$ 341,227
Premiums agree to pay for a term life insurance policy			$ 1,500,000
Percentage of monthly disability coverage up to of his monthly base compensation payable to age 65 or death			65.00%

COMMITMENTS AND CONTINGENCIES (Detail Textuals 2) - USD ($)				1 Months Ended			12 Months Ended
	Apr. 14, 2013	Jul. 02, 2011	Apr. 14, 2011	Apr. 30, 2012	Sep. 27, 2011	Sep. 24, 2009	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted							156,429	473,285	305,000
Number of shares vested							(204,587)	(380,282)	(130,665)
2010 Stock Incentive Plan \| Mr. DeMedio
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares granted			25,000		25,000
Number of shares vested	8,334		8,333	8,333	8,333
Premiums agree to pay for a term life insurance policy						$ 750,000
Percentage of monthly disability coverage up to of his monthly base compensation payable to age 65 or death						65.00%
Base salary		$ 220,000
Executive performance 2012 plan \| Mr. Herbert - President
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Base salary							$ 341,227
Cash bonus received if achieve all of the minimum threshold performance target goals							30,000
Cash bonus received if achieve all of the target performance goals							50,000
Cash bonus received if achieve all maximum distinguished performance target goals							$ 75,000

COMMITMENTS AND CONTINGENCIES (Detail Textuals 3)	1 Months Ended
COMMITMENTS AND CONTINGENCIES (Detail Textuals 3)	Nov. 30, 2012 USD ($) ft²	Oct. 31, 2011 USD ($)
Malvern product warehousing facilities \| Product warehousing shipping And customer support
Operating Leased Assets [Line Items]
Extension of operating lease period by amendment		Jan. 31, 2013
Operating leases, rent expense, minimum monthly rentals		$ 15,100
Operating leases, rent expense, maximum monthly rentals		16,200
Straight-lined rent expense of principal executive office, Per month	$ 16,721	$ 15,600
New operations site in Malvern Pennsylvania \| Property Subject to Operating Lease
Operating Leased Assets [Line Items]
Square feet area taken under operating lease for principal executive office \| ft²	11,250
Extension of operating lease period by amendment	Jan. 31, 2013
Operating leases, rent expense, minimum monthly rentals	$ 4,406
Operating leases, rent expense, maximum monthly rentals	4,678
Straight-lined rent expense of principal executive office, Per month	$ 4,300

SUBSEQUENT EVENTS (Detail Textuals) - Device	1 Months Ended	12 Months Ended
SUBSEQUENT EVENTS (Detail Textuals) - Device	Aug. 31, 2013	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
License and transaction processing revenues
Subsequent Event [Line Items]
Concentration percentage		11.00%	18.00%	25.00%
License and transaction processing revenues \| Minimum
Subsequent Event [Line Items]
Percentage of revenue attributable to continuing connections		6.00%
License and transaction processing revenues \| Maximum
Subsequent Event [Line Items]
Percentage of revenue attributable to continuing connections		7.00%
Subsequent Event
Subsequent Event [Line Items]
Number of ePort devices	10,890

SUBSEQUENT EVENTS (Detail Textuals 1)	Sep. 14, 2013 $ / Warrant shares	Jun. 30, 2013 $ / Warrant	Dec. 30, 2012 $ / Warrant	Oct. 17, 2012 $ / Warrant shares
Subsequent Event [Line Items]
Exercise price of shares to be purchased as warrants (in dollars per share)		2.6058	2.6058
Securities Purchase Agreement
Subsequent Event [Line Items]
Number of warrants issued to purchase shares of common stock \| shares				17,532
Exercise price of shares to be purchased as warrants (in dollars per share)				7.70
Subsequent Event \| Securities Purchase Agreement
Subsequent Event [Line Items]
Number of warrants issued to purchase shares of common stock \| shares	903,955
Exercise price of shares to be purchased as warrants (in dollars per share)	5.90

VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($)	12 Months Ended
VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($)	Jun. 30, 2013	Jun. 30, 2012	Jun. 30, 2011
ACCOUNTS RECEIVABLE
Movement in Valuation Allowances and Reserves [Roll Forward]
Balance at beginning of period	$ 25,000	$ 113,000	$ 41,000
Additions charged to earnings	(46,000)	(46,000)	92,000
Deductions uncollectible receivables written off, net of recoveries	42,000	42,000	20,000.00
Balance at end of period	(63,000)	25,000	113,000
INVENTORY
Movement in Valuation Allowances and Reserves [Roll Forward]
Balance at beginning of period	712,000	628,000	741,000
Additions charged to earnings	136,000	136,000	11,000
Deductions uncollectible receivables written off, net of recoveries	52,000	52,000	124,000
Balance at end of period	$ 796,000	$ 712,000	$ 628,000