Quarterly report pursuant to Section 13 or 15(d)

Subsequent Events

v3.19.2
Subsequent Events
3 Months Ended
Jun. 30, 2019
Subsequent Events  
Subsequent Events
20. Subsequent Events

 

a) On July 2, 2019, the Company received the resignation of the Chief Operating Officer. The resignation did not result from a disagreement with the Company regarding policies, practices or otherwise. The Company agreed to a payment of $150,000 and the issuance of 50,000 shares of common stock in full settlement of all accrued and unpaid compensation and bonuses payable for services rendered. Options previously granted or conditionally granted by the Company were concurrently forfeited with the resignation.

 

b) Additionally, on July 2, 2019, the Company entered into a settlement agreement with an affiliated shareholder, holding more than 10% of the issued and outstanding securities. The Company was notified that the affiliated shareholder profited from the purchase and sale of the Company’s common stock within a six month period, in violation of Section 16(b) of the Securities Exchange Act of 1934. The affiliated shareholder has disgorged the full amount of profit realized paying the Company approximately $135,500, in exchange for the forbearance of legal action by the Company.