RELATED PARTY TRANSACTIONS	6 Months Ended
Jun. 30, 2021
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	NOTE 4 – RELATED PARTY TRANSACTIONS During the six months ended June 30, 2021, the Board of Directors approved the issuance of 2,440,000,000 shares to directors and shareholders of the Company for par value of $24,400, resulting in as stock-based compensation valued at $7,295,600. These shares will be issued after the Company is able to increase its authorized number of common shares. During the year ended December 31, 2020, the Board of Directors approved the issuance of 2,708,000,000 shares to directors and shareholders of the Company for par value of $27,080, resulting in as stock-based compensation valued at $35,398,420. These shares will be issued after the Company is able to increase its authorized number of common shares. During the year ended December 31, 2019, the Board of Directors approved the issuance of 57,000,000 shares to directors and shareholders of the Company for par value of $570, resulting in as stock-based compensation valued at $1,373,130. These shares will be issued after the Company is able to increase its authorized number of common shares. During the year ended December 31, 2019, the Company designated 5,000,000 of is preferred stock as Series B preferred stock, each of which has 1,000 votes and are not convertible. The Company, will not, without the approval or express written consent of the all the holders of the Series B preferred stock (i) establish, create, authorize or approve the issuance of any series or class of preferred stock (ii) change any of the rights, privileges or preferences of the Series B preferred stock or (iii) redeem the Series B preferred stock.. During the year ended December 31, 2019, the Board of Directors approved the issuance of 5,000,000 Series B preferred shares to a director as compensation for services rendered and their fair value were deemed to be $201,350 based on the voting rights of the preferred shares relative to the fair value of the Company at the date of the approved issuance. These shares were issued during the six months ended June 30, 2021. Included in liability for issuable shares is 3,731,005 common shares valued at $149,240 and approved for issuance to a family of the controlling shareholder of FE Pharmacy Inc as compensation during 2018 which will be issued after the Company is able to increase its authorized number of common shares. The transfer agent has erroneously issued these shares in spite of the Company’s instructions to wait for the increase in authorized number of common shares. Included in accounts payable and accrued liabilities is an amount of $1,858,268 (December 31, 2020 - $1,675,108) due to directors of the Company as of June 30, 2021. Included in convertible loans payable to related parties is an amount of $1,036,678 (December 31, 2020 - $993,812), including accrued interest, owing to a director and a shareholder of the Company as of June 30, 2021. Included in short term loans payable is an amount of $263,167 (December 31, 2020 - $61,297) due to a director and officer of the Company as at June 30, 2021. KALLO INC. Notes to Consolidated Financial Statements June 30, 2021 (Amounts expressed in US dollars) (Unaudited)

RELATED PARTY TRANSACTIONS

6 Months Ended

Jun. 30, 2021

NOTE 4 – RELATED PARTY TRANSACTIONS

During the six months ended June 30, 2021, the Board of Directors approved the issuance of 2,440,000,000 shares to directors and shareholders of the Company for par value of $24,400, resulting in as stock-based compensation valued at $7,295,600. These shares will be issued after the Company is able to increase its authorized number of common shares.

During the year ended December 31, 2020, the Board of Directors approved the issuance of 2,708,000,000 shares to directors and shareholders of the Company for par value of $27,080, resulting in as stock-based compensation valued at $35,398,420. These shares will be issued after the Company is able to increase its authorized number of common shares.

During the year ended December 31, 2019, the Board of Directors approved the issuance of 57,000,000 shares to directors and shareholders of the Company for par value of $570, resulting in as stock-based compensation valued at $1,373,130. These shares will be issued after the Company is able to increase its authorized number of common shares.

During the year ended December 31, 2019, the Company designated 5,000,000 of is preferred stock as Series B preferred stock, each of which has 1,000 votes and are not convertible. The Company, will not, without the approval or express written consent of the all the holders of the Series B preferred stock (i) establish, create, authorize or approve the issuance of any series or class of preferred stock (ii) change any of the rights, privileges or preferences of the Series B preferred stock or (iii) redeem the Series B preferred stock..

During the year ended December 31, 2019, the Board of Directors approved the issuance of 5,000,000 Series B preferred shares to a director as compensation for services rendered and their fair value were deemed to be $201,350 based on the voting rights of the preferred shares relative to the fair value of the Company at the date of the approved issuance. These shares were issued during the six months ended June 30, 2021.

Included in liability for issuable shares is 3,731,005 common shares valued at $149,240 and approved for issuance to a family of the controlling shareholder of FE Pharmacy Inc as compensation during 2018 which will be issued after the Company is able to increase its authorized number of common shares. The transfer agent has erroneously issued these shares in spite of the Company’s instructions to wait for the increase in authorized number of common shares.

Included in accounts payable and accrued liabilities is an amount of $1,858,268 (December 31, 2020 - $1,675,108) due to directors of the Company as of June 30, 2021.

Included in convertible loans payable to related parties is an amount of $1,036,678 (December 31, 2020 - $993,812), including accrued interest, owing to a director and a shareholder of the Company as of June 30, 2021.

Included in short term loans payable is an amount of $263,167 (December 31, 2020 - $61,297) due to a director and officer of the Company as at June 30, 2021.

KALLO INC.

Notes to Consolidated Financial Statements

June 30, 2021

(Amounts expressed in US dollars)

(Unaudited)

Kallo Inc. 10-Q