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Related Party Transactions
6 Months Ended
Jun. 30, 2022
Related Party Transactions [Abstract]  
Related Party Transactions [Text Block]

7. Related Party Transactions

For the three and six-month periods ended June 30, 2022, the Company incurred $94,008 (C$120,000) and $188,784 (C$240,000) (2021-$73,323; C$90,000 and $144,414; C$180,000) respectively, in management fees expense with Travellers International Inc. ("Travellers"), an Ontario company controlled by a director and the president and chief executive officer (the "CEO"); and $23,503 (C$30,000) and $47,196 (C$60,000) (2021-$19,552; C$24,000 and $38,510; C$48,000) respectively, in management fees expense with the Company's chief financial officer (the "CFO"). As at June 30, 2022, unpaid remuneration and unpaid expenses in the amount of $125,946 (C$162,301) (December 31, 2021-$14,755; C$18,706) is included in accounts payable in the interim condensed consolidated balance sheets.

For the three and six-month periods ended June 30, 2022, the Company incurred $38,296 (C$8,806) and $61,802 (C$78,568) (2021-$24,287; C$29,858 and $45,452; C$56,653) respectively, in rent expense paid under a lease agreement with Haute Inc. ("Haute"), an Ontario company controlled by the CEO.

During the three and six-month periods ended June 30, 2022, Travellers converted a total of $nil (C$) and $nil (C$nil) respectively, (December 31, 2021-$371,001 (C$461,620) of loans provided during the period and $nil (C$) and $nil (C$nil) respectively, (December 31, 2021-$80,323; C$101,700) of accounts payable owing to Travellers for nil common shares (December 31, 2021-1,726,076 common shares).

In addition, during the three and six-month periods ended June 30, 2022, the Company paid the CFO interest of $nil (C$nil) and $502 (C$638) (2021-$nil; C$nil and $nil; C$nil), respectively on loans totaling $29,211 (C$36,000) provided to the Company and repaid during the three-month period ended March 31, 2022.

For those independent directors providing their services throughout 2022, the Company accrued directors' compensation for the three and six-month periods ended June 30, 2022 in the amount of $14,690 (C$18,750) and $29,498 (C$37, 500) respectively, (2021-$12,672; C$16,586 and $23,336; C$29,086) respectively. Also included in directors' compensation for the three-month and six-month periods ended June 30, 2022, is the audit committee chairman's fees, in the amount of $nil (C$) and $nil (C$nil) (2021-$(790); C$(1,000) and $nil; C$nil) respectively. As at June 30, 2022, outstanding directors' compensation of $98,316 (C$126,696) (December 31, 2021-$70,358; C$89,196) is included in accrued liabilities, in the interim condensed consolidated balance sheets.

In addition, during the three and six-month periods ended June 30, 2022, the Company accrued interest of $132 and $132 respectively, on the $40,000 loan provided by an independent director during the three-month period ended June 30, 2022. Refer also to note 12, loan payable to related party.

Pursuant to the terms of the CEO's Consulting Agreement, for his services as the CEO, the compensation is at a rate of $23,280 (C$30,000) per month for twelve (12) months, beginning on the Effective Date, January 1, 2021, and at a rate of $31,040 (C$40,000) per month for twelve (12) months, beginning January 1, 2022. In addition, the Company agreed to grant the CEO 1,000,000 restricted shares of the Company's Common Stock, par value of $0.0001 per share (the "Common Stock") on the Effective Date, and 1,000,000 shares of Common Stock on January 1, 2022. The Company has also agreed to reimburse the CEO for certain out-of-pocket expenses incurred by the CEO.

Pursuant to the terms of the CFO's Consulting Agreement for his services as the CFO, the compensation is at a rate of $6,208 (C$8,000) per month for twelve (12) months, beginning on the Effective Date, January 1, 2021. In addition, the Company agreed to grant the CFO 50,000 restricted shares of the Company's Common Stock, par value of $0.0001 per share (the "Common Stock") on the Effective Date. The Company has also agreed to reimburse the CFO for certain out-of-pocket expenses incurred by the CFO.

Pursuant to the terms of the CFO's Consulting Agreement for his services as the CFO, the compensation is at a rate of $7,760 (C$10,000) per month for twelve (12) months, beginning on the Effective Date, January 1, 2022. In addition, the Company agreed to grant the CFO 50,000 restricted shares of the Company's Common Stock, par value of $0.0001 per share (the "Common Stock") on the Effective Date. The Company has also agreed to reimburse the CFO for certain out-of-pocket expenses incurred by the CFO.

Furthermore, for the three and six-month periods ended June 30, 2022, the Company recognized management stock-based compensation expense of $60,113 and $120,226 (2021-$54,259 and $108,518) respectively, on the common stock issued to the CEO and the CFO, 1,000,000 and 50,000 common stock, respectively, as stipulated in their executive consulting agreements, effective January 1, 2022. The total stock-based compensation on the issuance of the common stock totaled $240,450 (2021-$217,035). The portion to be expensed for the balance of the year, $120,224 (2021-$108,517 is included in prepaid expenses and deposits in the interim condensed consolidated balance sheets.