Healthcare Solutions Mgmt. Group Inc. (HSMD)

[Prudent Capitalist]

Our new CEO



Duane Spader, age 75, has been a Board Member since Verity went public in early 2013. Spader attended South Dakota State University in Brookings, South Dakota and left college to start a recreational vehicle dealership in Brookings, SD, subsequently moving to Sioux Falls, SD. Mr. Spader has extensive business experience in the recreational vehicle industry--http://www.rvbusiness.com/tag/duane-spader/. Mr. Spader founded The Spader Companies, including Spader Business Management ("SBM")--https://www.spader.com/- in 1977 and was its President until 2002. Mr. Spader is a former CEO of Verity and the largest shareholder and creditor of Verity Corp.

At this point, any change may be good news, all in all, given that nothing whatsoever has happened in the past 19 months since the ouster of Richard K as CEO. It does very much concern me that Mr. Spader is the primary creditor of VRTY, and having the CEO and primary creditor as one in the same would, in most instances, be a recipe for disaster from the standpoint of shareholders, IMO.

Mr. Sneller had updated us last May and disclosed that he was having problems with "the largest shareholder" and even felt that Mr. Spader was trying to "sabotage" the company. If Mr. Spader has been difficult regarding the debt, Mr. Spader could now help the company (and his stock's value) by being more generous with a renegotiated set of terms on the debt. And, as the new CEO and largest shareholder, why wouldn't Mr. Spader be willing to renegotiate or restructure the debt, and establish for once and for all that there was sufficient consideration tendered to back up all of his shares issued to him by the company when he was previously in control here? After all, as the new CEO with a fiduciary duty to the shareholders, this should be a no brainer for Mr. Spader, IMO.