An anonymous director reports

HELLO PAL PROVIDES UPDATE ON MCTO

Hello Pal International Inc. is providing an update with respect to its previously announced management cease trade order issued by the company's principal regulator, the B.C. Securities Commission, on June 29, 2022. The MCTO was issued following the company's announcement on June 22, 2022, that it was unable to file its audited consolidated financial statements, its management's discussion and analysis, and related officer certifications for the year ended Feb. 28, 2022, before the prescribed deadline on June 28, 2022.

Further to the default announcement, the company reports that it continues to work diligently with its auditor to finalize the required documents and that primarily, the delay is due to the numerous transactions undertaken by the company during the financial year ended Feb. 28, 2022, and the continuing complications in co-ordinating with the company's auditor and the collection of required data and documentation to complete the audit of the company and its subsidiaries thereof. The company expects to file the required documents on or before Aug. 29, 2022.

As previously announced, pursuant to the MCTO, the chief executive officer, the chief financial officer and all directors may not trade securities of the company until such time as the company files the required documents and the BCSC revokes the MCTO. The MCTO does not affect the ability of shareholders to trade their securities.

The company is providing this updated status report in accordance with National Policy statement 12-203 respecting management cease trade orders. Until such time as the company files the required documents and the MCTO has been revoked, the company intends to follow the provisions of the alternative information guidelines set out in NP 12-203, including the issuance of biweekly default status reports in the form of news releases.

Pursuant to the provisions of the alternative information guidelines specified in NP 12-203, the company confirms that, as of the date of this news release and except as noted above: (a) there have been no material changes to the information contained in the default announcement that would reasonably be expected to be material to an investor; (b) there have been no failures by the company to fulfill its stated intentions with respect to satisfying the provisions of the alternative reporting guidelines under NP 12-203; (c) there has not been, nor is there anticipated to be, any specified default subsequent to the default which is the subject of the default announcement; and (d) there is no other material information concerning the affairs of the company that has not been generally disclosed.

About the Hello Pal platform

The Hello Pal platform is a proprietary suite of mobile applications built on a user-friendly messaging interface that focus on social interaction, language learning and travel. Hello Pal has been designed from the ground up to be easy to use and to afford users the freedom to speak in their own language regardless of the other person's language to whom they are speaking. Hello Pal's overriding mission is to bring the world closer together through social interaction, language learning and travel. By creating a platform where it is easy to instantly interact with others around the world and giving them the tools to communicate with one other in a joyful and fun way, the company hopes to do its part (however small) in fostering understanding and tolerance between all citizens of the world.

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