Ethema Health Corp (GRST)

[Bubae]

You can spin it anyway you like. The bottom line is that the must borrow every quarter to meet their cash flow needs and are not making their debt payments. Even the very short term notes from Leonite have been earning default interest and fees for about a year. How many filings before they get to the point where they can sell shares again? Click on image to enlarge.



For the fiscal year ended: December 31, 2022
https://www.otcmarkets.com/filing/html?id=16535244&guid=QXm-kWGmkEC6Jth

12. Short-term Notes
Leonite Capital, LLC
Secured Promissory Notes

On March 1, 2022, the Company entered into a secured Promissory Note in the aggregate principal amount of $124,000 for net proceeds of $100,000 after an original issue discount of $24,000. Due to the failure to repay the note by due date, a penalty of $37,200 was added to the principal outstanding and the Company incurs a monthly monitoring fee of $2,000 per month. In addition the note earns interest at a default rate of 24% per annum on the total balance outstanding, including the monthly monitoring fee and accrued interest.

The Note had a maturity date of April 1, 2022. This note has not been repaid at the date of this report, we are in negotiations with Leonite to settle the balance outstanding and no default has been declared.

The balance outstanding on the note, including default penalty, interest accrued and monthly monitoring fees is $212,579 as of December 31, 2022.

On May 3, 2022, the Company, entered into a secured Promissory Note in the aggregate principal amount of $76,250 for net proceeds of $61,000 after an original issue discount of $15,250. Due to the failure to repay the note by due date, a penalty of $22,875 was added to the principal outstanding and the Company incurs a monthly monitoring fee of $2,000 per month. In addition the note earns interest at a default rate of 24% per annum on the total balance outstanding, including the monthly monitoring fee and accrued interest.

The Note had a maturity date of June 17, 2022. This note has not been repaid at the date of this report, we are in negotiations with Leonite to settle the balance outstanding and no default has been declared.

The balance outstanding on the note, including default penalty, interest accrued and monthly monitoring fees is $127,702 as of December 31, 2022.