Related Party Transactions
|12 Months Ended|
Aug. 31, 2021
|Related Party Transactions [Abstract]|
|RELATED PARTY TRANSACTIONS||
Related party transactions not otherwise separately disclosed in these consolidated financial statements are:
The Company owes outstanding directors fees of $264,064 and $235,165 as at August 31, 2021 and 2020, respectively, and outstanding salaries and fees to officers and directors of $447,500 and $328,075 for the years ended August 31, 2021 and 2020.
Related party payables and receivables represent non-interest-bearing (payables) receivables that are due on demand.
The balances outstanding are as follows:
On September 19, 2019 and July 31, 2020, Mr. Blyumkin subscribed for 696,153 and 15,000,000 common shares for gross proceeds of $90,500 and $600,000.
On August 20, 2020, a Company controlled by Mr. Blyumkin entered into a debt settlement agreement, whereby 2,356,374 shares were issued to settle an outstanding promissory note of $94,255.
On April 28, 2021, Mr. Blyumkin subscribed for 1,166,666 common shares at a price of $0.06 per share for gross proceeds of $70,000.
On July 12, 2021, the Company issued Mr. Blyumkin 578,480 common shares valued at $40,494 in partial settlement of directors fees outstanding.
On July 27, 2021, Mr. Blyumkin subscribed for 1,875,000 units at a price of $0.12 per unit for gross proceeds of $225,000.
Mr. Blyumkin has resigned as an officer and director of the Company effective August 6, 2021.
The Company owed Mr. Blyumkin $493,549 and $555,647 as at August 31, 2021 and 2020, respectively.
On January 25, 2021, Mr. Stapleton was awarded 1,000,000 common shares valued at $58,879 as part of his compensation package.
On August 7, 2020, Mr. Stapleton was awarded options exercisable for 3,000,000 common shares exercisable at $0.085 per share and valued at $165,855. The options vested over an eight month period.
On November 30, 2021, Mr. George Stapleton retired as the Chief Operating Officer of the Company.
Dr. Gerald Bailey
On July 12, 2021, the Company issued Dr. Bailey 578,480 common shares valued at $40,494 in partial settlement of directors fees outstanding.
On August 6, 2021, the Board of Directors of the Company has appointed Dr. R. Gerald Bailey, a current director and former Chief Executive Officer of the Company, as Chairman of the Board of Directors and Interim Chief Executive Officer. The Company has not entered into a written employment agreement with Dr. Bailey. Dr. Bailey is entitled to cash compensation of $10,000 per month in his new role. The Board of Directors is responsible for reviewing compensation paid to the Company’s executive officers on an annual basis.
On October 31, 2019 and March 11, 2020, Mr. Dennewald advanced the Company $50,000 and $25,000, respectively as short-term loans. The loans are interest free The total loans outstanding as of August 31, 2020 was $125,000.
During June 2021, in terms of an exchange agreement entered into with Mr. Dennewald, Mr. Dennewald exchanged three promissory notes dated August 1, 2019, October 31, 2019 and March 3, 2020 totaling $125,000 for a $125,000 convertible promissory note bearing interest at 8% per annum and maturing on February 12, 2022.
On June 10, 2021, in terms of an Assignment and Purchase of Debt Agreement entered into between Mr. Dennewald and Equilibris Management AG (“Equilibris”), the $125,000 Convertible Promissory Note owing to the director was purchased and assigned to Equilibris.
On July 12, 2021, the Company issued Mr. Dennewald 578,480 common shares valued at $40,494 in partial settlement of directors fees outstanding.
The Company owed Mr. Dennewald $0 and $125,000 in terms of promissory notes due to him as at August 31, 2021 and 2020.
On July 12, 2021, the Company issued Mr. Fuller 228,668 common shares valued at $16,007 in partial settlement of directors fees outstanding.
The Board of Directors has appointed Dr. Vladimir Podlipsky, currently the Chief Technology Officer of the Company, as a director, with effect from August 6, 2021, to fill the vacancy on the Board created by Mr. Blyumkin’s resignation.
Mr. Cook was appointed as the Chief Financial Officer of the Company with effect from October 31, 2021.
Mr. Korb resigned as CFO of the Company with effect from October 31, 2021.
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.
Reference 1: http://www.xbrl.org/2003/role/disclosureRef