to adopt on this market trend we have invested in technology , resources and structures . these investments in our strategic offerings and focus areas have heavily influenced our business results for the fiscal year ended march 31 , 2012 . 28 strategic offerings and focus areas as it departments face continuous budget reductions and constant pressure for higher performance and efficiency , cios are focusing on modern technologies to support their need for increased scalability , flexibility and lower costs . gbs has identified this demand as a strategic growth opportunity for the company and has placed a significant focus on expanding its cloud computing and modernizing/migrating technology offerings . the strategic opportunities are served by gbs with two distinct offerings : ¨ group live - cloud automation platform / cloud platform-as-a-service ( paas ) software and services ¨ transformer - lotus notes modernization/migration services and technology accelerators cloud computing gbs cloud computing activities are focused on cloud automation solutions and therefore the company has made key acquisitions and r & d investments to create an award winning cloud platform-as-a-service offering . under the group live banner , the gbs paas offering has been sold to a variety of enterprise customers , which use the paas software to host internal corporate clouds ( private cloud ) and applications as-a-service to their various internal user groups . group live has also be sold and implemented by a number of independent software vendors ( isvs ) , which are leveraging the platform to deliver their own software-as-a-service ( saas ) applications to their respective customer bases . both of these customer groups enjoy the comprehensive nature of this platform agnostic paas solution and its exceptional change management capabilities enabling resource flexibility , business agility , scalability and ease-of-use beyond that which is generally available in the market today . application modernization and migration gbs 's application modernization and migration activities are focused on the ibm lotus notes applications and the offering spans from expert services and accelerator technologies to modernize , web enable and migrate lotus applications ; and thus ultimately take the lotus applications from legacy to the future . the foundation of the transformer suite software offering is gbs 's significant r & d investment in a set of methodologies and key technology accelerators to automate the conversion of traditional notes based client-server applications , into the ibm xpages framework which enables domino applications to be run and accessed via the lotus client , a web browser or on a mobile device . the patent-pending software that underpins what is referred to as our “ transformer ” solution was developed by gbs with the assistance and guidance from ibm corporation 's software group to ensure alignment with future releases of the ibm lotus / domino and xpages technology . ibm has deemed the transformer technology a “ game changer , ” and will be employing it to modernize their clients ' applications . competition the competitive landscape in the enterprise data center market is intense and changing , and we expect there will be a new class of very large , well-financed , and aggressive competitors , each bringing its own new class of products to address this new market . we also expect to see acquisitions , further industry consolidation , and new alliances among companies as they seek to serve the enterprise data center market . 29 the company is focused on developing a portfolio of cloud computing software technologies and application services to address the needs of isv 's , data center providers , as well as commercial and government organizations . gbsx is pursuing an aggressive growth strategy based upon highly targeted mergers and acquisitions so as to build its portfolio of technologies , applications , and services . results of operations fiscal year ended march 31 , 2012 compared to fiscal year ended march 31 , 2011 assets total assets decreased from $ 76,865,929 at march 31 , 2011 to $ 70,449,961 at march 31 , 2012. total assets consists of total current assets and total non-current assets . at march 31 , 2012 , our total current assets were $ 8,634,975 , compared to $ 17,875,353 at march 31 , 2011. total current assets consist of : cash and cash equivalents ; accounts receivable ; inventories ; prepaid expenses ; other receivables and assets held for sale . ¨ story_separator_special_tag liabilities and amounts due to related parties . ¨ notes payable decreased from $ 1,440,295 at march 31 , 2011 to $ 1,381,821 at march 31 , 2012 and consisted of the exercise of capital components of a convertible bond issue . ¨ liabilities to banks decreased from $ 50,073 at march 31 , 2011 to $ 19,651 at march 31 , 2012 on payments of a line of credit held by a subsidiary . ¨ accounts payable and accrued liabilities increased from $ 4,996,748 at march 31 , 2011 to $ 5,919,788 at march 31 , 2012. this includes trade payables , tax accruals and other accruals . the increase from 2011 to 2012 was due to the addition of four more business units included within the corporate consolidation during the fiscal year . ¨ deferred income increased from $ 6,208,458 at march 31 , 2011 to $ 6,421,502 at march 31 , 2012 encompassing maintenance income collected in advance for the period after the close of the fiscal year . ¨ other liabilities of $ 2,820,002 at march 31 , 2011 increased to $ 4,237,071 at march 31 , 2012 as a result of the reclassification of payments due from long term to current . these payments derived from the purchase of permessa in 2010 and are now due in the short term . story_separator_special_tag an allowance is provided where management has determined that it is less than likely that the loss will be applied and income taxes recovered . 36 comprehensive income ( loss ) the company adopted fasb codification topic ( asc ” ) 220 , reporting comprehensive income , which establishes standards for the reporting and display of comprehensive income and its components in the financial statements . comprehensive income consists of net income and other gains and losses affecting stockholder 's equity that are excluded from net income , such as unrealized gains and losses on investments available for sale , foreign currency translation gains and losses and minimum pension liability . since inception , the company 's other comprehensive income represents foreign currency translation adjustments . net income per common share fasb codification topic ( asc ” ) 260 , earnings per share , requires dual presentation of basic and diluted earnings per share ( eps ) with a reconciliation of the numerator and denominator of the eps computations . basic earnings per share amounts are based on the weighted average shares of common stock outstanding . if applicable , diluted earnings per share would assume the conversion , exercise or issuance of all potential common stock instruments such as options , warrants and convertible securities , unless the effect is to reduce a loss or increase earnings per share . diluted net income ( loss ) per share on the potential exercise of the equity-based financial instruments is not presented where anti-dilutive . accordingly , although the diluted weighted average number of common stock outstanding is disclosed on the statements of operation , the calculated net loss per share is the same for bother basic and diluted as both are based on the basic weighted average of common stock outstanding . there were no adjustments required to net income for the period presented in the computation of diluted earnings per share . financial instruments financial instruments consist of cash and cash equivalents , accounts receivable , financial assets , notes payable , liabilities to banks , accounts payable and accrued liabilities and other liabilities . as of the financial statement date , the company does not hold any derivate financial instruments . financial assets and liabilities are measured upon first recognition and reviewed at the financial statement date . changes in fair value are recognized through profit and loss . unless otherwise noted , it is management 's opinion that the company is not exposed to significant interest or credit risks arising from these financial instruments . currency risk we use the us dollar as our reporting currency . the functional currencies of our significant foreign subsidiaries are the local currency , which includes the euro , the british pound and the indian rupee . accordingly , some assets and liabilities are incurred in those currency and we are subject to foreign currency risks . fair value measurements the company follows fasb codification topic ( asc ” ) 820 , fair value measurements and disclosures , for all financial instruments and non-financial instruments accounted for at fair value on a recurring basis . this new accounting standard establishes a single definition of fair value and a framework for measuring fair value , sets out a fair value hierarchy to be used to classify the source of i pronouncements . it does not change existing guidance as to whether or not an instrument is carried at fair value . the company defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date . when determining the fair value measurements for assets and liabilities , which are required to be recorded at fair value , the company considers the principal or most advantageous market in which the company would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability , such as inherent risk , transfer restrictions and credit risk . the company has adopted ( asc ” ) 825 , financial instruments , which allows companies to choose to measure eligible financial instruments and certain other items at fair value that are not required to be measured at fair value . the company has not elected the fair value option for any eligible financial instruments . 37 cash and cash equivalents the company considers all highly liquid instruments with a maturity of three months or less at the time of issuance to be cash equivalents . inventories pursuant to asc 330 ( inventories ) , inventories held for sale are recognized under inventories . inventories were measured at the lower of cost or market . cost is determined on a first-in-first out basis , without any overhead component . intangible assets intangible assets predominately comprise goodwill , acquired software and capitalized software development services . intangible assets acquired in exchange for payment are reflected as acquisition costs . if the development costs can be capitalized per asc 985-20-25 , these are reflected as ascribable personnel and overhead costs . company created software can be intended for sale to third parties or used by the company itself . if the conditions for capitalization are not met , the expenses are recorded with their effect on profit in the year in which they were incurred . group amortizes intangible assets with a limited useful life to the estimated residual book value in accordance with asc regulations . in addition , in special circumstances according to asc 350-30 , a recoverability test is performed and , if applicable , unscheduled amortization is considered . the useful life of acquired software is between three and five years and three years for company-designed software . intangible assets obtained as part of an acquisition which do not meet the criteria for a separate entry are identified as goodwill and are reviewed once a year as to their

cash and cash equivalents decreased from $ 8,530,864 at march 31 , 2011 to $ 1,502,977 at march 31 , 2012 as a result of our investments in the strategic technology areas such as application migration and modernization , cloud technology and the associated costs necessary to build and implement the go to market strategy . ¨ accounts receivable decreased from $ 5,698,321 at march 31 , 2011 to $ 4,936,887 at march 31 , 2012 from increased collections resulting from personnel added to focus efforts on improvement of cash flow . ¨ inventories increased from $ 0 at march 31 , 2011 to $ 236,712 at march 31 , 2012 from the purchase of pavone ag , and related work in progress and products immediately available for purchase within this business entity . ¨ prepaid expenses decreased from $ 1,423,281 at march 31 , 2011 to $ 459,363 at march 31 , 2012 due to the reclassification of prepaid license payments to a vendor into intangible assets . ¨ other receivables decreased from $ 2,222,887 at march 31 , 2011 to $ 1,474,929 at march 31 , 2012. other receivables consist primarily of derivatives used for hedging held by one business entity , warrants sold with related funding in escrow , and installment payments due from the sale of group business software holding oy together with their subsidiary gedys intraware gmbh on february 28 , 2010. the decrease was primarily due to an insurance claim of approximately $ 1,900,000 which was included in the previous year .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```cash and cash equivalents decreased from $ 8,530,864 at march 31 , 2011 to $ 1,502,977 at march 31 , 2012 as a result of our investments in the strategic technology areas such as application migration and modernization , cloud technology and the associated costs necessary to build and implement the go to market strategy . ¨ accounts receivable decreased from $ 5,698,321 at march 31 , 2011 to $ 4,936,887 at march 31 , 2012 from increased collections resulting from personnel added to focus efforts on improvement of cash flow . ¨ inventories increased from $ 0 at march 31 , 2011 to $ 236,712 at march 31 , 2012 from the purchase of pavone ag , and related work in progress and products immediately available for purchase within this business entity . ¨ prepaid expenses decreased from $ 1,423,281 at march 31 , 2011 to $ 459,363 at march 31 , 2012 due to the reclassification of prepaid license payments to a vendor into intangible assets . ¨ other receivables decreased from $ 2,222,887 at march 31 , 2011 to $ 1,474,929 at march 31 , 2012. other receivables consist primarily of derivatives used for hedging held by one business entity , warrants sold with related funding in escrow , and installment payments due from the sale of group business software holding oy together with their subsidiary gedys intraware gmbh on february 28 , 2010. the decrease was primarily due to an insurance claim of approximately $ 1,900,000 which was included in the previous year .
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 Suspicious Activity Report : to adopt on this market trend we have invested in technology , resources and structures . these investments in our strategic offerings and focus areas have heavily influenced our business results for the fiscal year ended march 31 , 2012 . 28 strategic offerings and focus areas as it departments face continuous budget reductions and constant pressure for higher performance and efficiency , cios are focusing on modern technologies to support their need for increased scalability , flexibility and lower costs . gbs has identified this demand as a strategic growth opportunity for the company and has placed a significant focus on expanding its cloud computing and modernizing/migrating technology offerings . the strategic opportunities are served by gbs with two distinct offerings : ¨ group live - cloud automation platform / cloud platform-as-a-service ( paas ) software and services ¨ transformer - lotus notes modernization/migration services and technology accelerators cloud computing gbs cloud computing activities are focused on cloud automation solutions and therefore the company has made key acquisitions and r & d investments to create an award winning cloud platform-as-a-service offering . under the group live banner , the gbs paas offering has been sold to a variety of enterprise customers , which use the paas software to host internal corporate clouds ( private cloud ) and applications as-a-service to their various internal user groups . group live has also be sold and implemented by a number of independent software vendors ( isvs ) , which are leveraging the platform to deliver their own software-as-a-service ( saas ) applications to their respective customer bases . both of these customer groups enjoy the comprehensive nature of this platform agnostic paas solution and its exceptional change management capabilities enabling resource flexibility , business agility , scalability and ease-of-use beyond that which is generally available in the market today . application modernization and migration gbs 's application modernization and migration activities are focused on the ibm lotus notes applications and the offering spans from expert services and accelerator technologies to modernize , web enable and migrate lotus applications ; and thus ultimately take the lotus applications from legacy to the future . the foundation of the transformer suite software offering is gbs 's significant r & d investment in a set of methodologies and key technology accelerators to automate the conversion of traditional notes based client-server applications , into the ibm xpages framework which enables domino applications to be run and accessed via the lotus client , a web browser or on a mobile device . the patent-pending software that underpins what is referred to as our “ transformer ” solution was developed by gbs with the assistance and guidance from ibm corporation 's software group to ensure alignment with future releases of the ibm lotus / domino and xpages technology . ibm has deemed the transformer technology a “ game changer , ” and will be employing it to modernize their clients ' applications . competition the competitive landscape in the enterprise data center market is intense and changing , and we expect there will be a new class of very large , well-financed , and aggressive competitors , each bringing its own new class of products to address this new market . we also expect to see acquisitions , further industry consolidation , and new alliances among companies as they seek to serve the enterprise data center market . 29 the company is focused on developing a portfolio of cloud computing software technologies and application services to address the needs of isv 's , data center providers , as well as commercial and government organizations . gbsx is pursuing an aggressive growth strategy based upon highly targeted mergers and acquisitions so as to build its portfolio of technologies , applications , and services . results of operations fiscal year ended march 31 , 2012 compared to fiscal year ended march 31 , 2011 assets total assets decreased from $ 76,865,929 at march 31 , 2011 to $ 70,449,961 at march 31 , 2012. total assets consists of total current assets and total non-current assets . at march 31 , 2012 , our total current assets were $ 8,634,975 , compared to $ 17,875,353 at march 31 , 2011. total current assets consist of : cash and cash equivalents ; accounts receivable ; inventories ; prepaid expenses ; other receivables and assets held for sale . ¨ story_separator_special_tag liabilities and amounts due to related parties . ¨ notes payable decreased from $ 1,440,295 at march 31 , 2011 to $ 1,381,821 at march 31 , 2012 and consisted of the exercise of capital components of a convertible bond issue . ¨ liabilities to banks decreased from $ 50,073 at march 31 , 2011 to $ 19,651 at march 31 , 2012 on payments of a line of credit held by a subsidiary . ¨ accounts payable and accrued liabilities increased from $ 4,996,748 at march 31 , 2011 to $ 5,919,788 at march 31 , 2012. this includes trade payables , tax accruals and other accruals . the increase from 2011 to 2012 was due to the addition of four more business units included within the corporate consolidation during the fiscal year . ¨ deferred income increased from $ 6,208,458 at march 31 , 2011 to $ 6,421,502 at march 31 , 2012 encompassing maintenance income collected in advance for the period after the close of the fiscal year . ¨ other liabilities of $ 2,820,002 at march 31 , 2011 increased to $ 4,237,071 at march 31 , 2012 as a result of the reclassification of payments due from long term to current . these payments derived from the purchase of permessa in 2010 and are now due in the short term . story_separator_special_tag an allowance is provided where management has determined that it is less than likely that the loss will be applied and income taxes recovered . 36 comprehensive income ( loss ) the company adopted fasb codification topic ( asc ” ) 220 , reporting comprehensive income , which establishes standards for the reporting and display of comprehensive income and its components in the financial statements . comprehensive income consists of net income and other gains and losses affecting stockholder 's equity that are excluded from net income , such as unrealized gains and losses on investments available for sale , foreign currency translation gains and losses and minimum pension liability . since inception , the company 's other comprehensive income represents foreign currency translation adjustments . net income per common share fasb codification topic ( asc ” ) 260 , earnings per share , requires dual presentation of basic and diluted earnings per share ( eps ) with a reconciliation of the numerator and denominator of the eps computations . basic earnings per share amounts are based on the weighted average shares of common stock outstanding . if applicable , diluted earnings per share would assume the conversion , exercise or issuance of all potential common stock instruments such as options , warrants and convertible securities , unless the effect is to reduce a loss or increase earnings per share . diluted net income ( loss ) per share on the potential exercise of the equity-based financial instruments is not presented where anti-dilutive . accordingly , although the diluted weighted average number of common stock outstanding is disclosed on the statements of operation , the calculated net loss per share is the same for bother basic and diluted as both are based on the basic weighted average of common stock outstanding . there were no adjustments required to net income for the period presented in the computation of diluted earnings per share . financial instruments financial instruments consist of cash and cash equivalents , accounts receivable , financial assets , notes payable , liabilities to banks , accounts payable and accrued liabilities and other liabilities . as of the financial statement date , the company does not hold any derivate financial instruments . financial assets and liabilities are measured upon first recognition and reviewed at the financial statement date . changes in fair value are recognized through profit and loss . unless otherwise noted , it is management 's opinion that the company is not exposed to significant interest or credit risks arising from these financial instruments . currency risk we use the us dollar as our reporting currency . the functional currencies of our significant foreign subsidiaries are the local currency , which includes the euro , the british pound and the indian rupee . accordingly , some assets and liabilities are incurred in those currency and we are subject to foreign currency risks . fair value measurements the company follows fasb codification topic ( asc ” ) 820 , fair value measurements and disclosures , for all financial instruments and non-financial instruments accounted for at fair value on a recurring basis . this new accounting standard establishes a single definition of fair value and a framework for measuring fair value , sets out a fair value hierarchy to be used to classify the source of i pronouncements . it does not change existing guidance as to whether or not an instrument is carried at fair value . the company defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date . when determining the fair value measurements for assets and liabilities , which are required to be recorded at fair value , the company considers the principal or most advantageous market in which the company would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability , such as inherent risk , transfer restrictions and credit risk . the company has adopted ( asc ” ) 825 , financial instruments , which allows companies to choose to measure eligible financial instruments and certain other items at fair value that are not required to be measured at fair value . the company has not elected the fair value option for any eligible financial instruments . 37 cash and cash equivalents the company considers all highly liquid instruments with a maturity of three months or less at the time of issuance to be cash equivalents . inventories pursuant to asc 330 ( inventories ) , inventories held for sale are recognized under inventories . inventories were measured at the lower of cost or market . cost is determined on a first-in-first out basis , without any overhead component . intangible assets intangible assets predominately comprise goodwill , acquired software and capitalized software development services . intangible assets acquired in exchange for payment are reflected as acquisition costs . if the development costs can be capitalized per asc 985-20-25 , these are reflected as ascribable personnel and overhead costs . company created software can be intended for sale to third parties or used by the company itself . if the conditions for capitalization are not met , the expenses are recorded with their effect on profit in the year in which they were incurred . group amortizes intangible assets with a limited useful life to the estimated residual book value in accordance with asc regulations . in addition , in special circumstances according to asc 350-30 , a recoverability test is performed and , if applicable , unscheduled amortization is considered . the useful life of acquired software is between three and five years and three years for company-designed software . intangible assets obtained as part of an acquisition which do not meet the criteria for a separate entry are identified as goodwill and are reviewed once a year as to their

