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Note 3: Loans Payable
12 Months Ended
Dec. 31, 2020
Disclosure Text Block [Abstract]  
Note 3: Loans Payable

3. Loans Payable  

 

As of December 31, 2020, the Company had received loans of $522,552 (€225,000; CAD$ 60,000; $199,600) (December 31, 2019 - $581,379: €225,000; CAD$ 72,300; $273,107) from stockholders; loans of $130,677 (CAD$ 27,600; $109,000) (December 31, 2019 – $130,249: CAD$ 27,600; $109,000) from a related party and loans of $74,664 (CAD$ 10,000; $66,810) (December 31, 2019 – $84,509: CAD$ 10,000; $76,810) from unrelated third parties. Loans of $76,810 are non-interest bearing. All other loans bear interest at 6% per annum. The loans were made in 3 different currencies, Euros, Canadian Dollars and US Dollars. All amounts reflected on these financial statements are expressed in US Dollars. Repayment of the loans is due on closing of any future financing arrangement by the Company. The balance of accrued interest of $515,263 and $521,156 is included in accounts payable and accrued liabilities at December 31, 2020 and December 31, 2019, respectively. Interest expense recognized on these loans was $51,902 for the year ended December 31, 2020, compared to $57,484 for the year ended December 31, 2019, respectively.

 

On March 30, 2020, loans of $60,000 and corresponding interest of $37,104 were settled by the issuance of 971,040 common shares pursuant to three debt settlement agreements dated March 3, 2020, March 4, 2020 and March 4, 2020. The Company recorded a loss on settlement of debt of $19,421.

 

On November 10, 2020, debt in the amount of $224,560 due on loans or payables, including accrued interest, and in payment for services rendered in the amount of $36,000 were settled by the issuance of 2,605,600 common shares pursuant to three debt settlement agreements dated November 10, 2020. The Company recorded a loss on settlement of debt of $263,165.

 

Between March 17, 2016, and August 17, 2020, CaiE provided an aggregate of $174,610 in loans to the Company, of which $107,800 is documented in two convertible promissory notes for $50,000 and $57,800 dated May 18, 2016, and October 12, 2018, respectively (Note 9). The remaining $66,810 of CaiE loan amounts are unsecured, non-interest bearing, and due on demand.