Enhance Chat Room To Private Chat

I have a site called GhettoMoments.com. On there is a chat bar at the bottom of the page. In order to see the bar you must sign in. You can sign in as Username: brycol24 Password: scriptlance.

I want to make this chat just like the chat on Facebook where people that are signed in can chat only with the people they have in their profile in private. So if the member adds a friend to their profile they will only be able to chat with them in private, not in a chat room. I would also like the user to know who is on line just like Facebook. On Facebook there is a line on the chat bar that has a green light and the number of friends currently online they can chat with.

Please let me know if you have any questions.

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