The person that created the quarterly report decided to include it in the most recent report, while it was not mentioned in the third quarter of 2023 report. I do remember this issue was brought up a long time ago. From what I vaguely remember is that there were two nurses that were essentially running the clinics. From what I remember it sounded more like the nurses were over prescribing, but Joseph took the fall. Again, this is going from memory. If I thought he was running a "pill mill" when this issue first came up, I would have sold at that time.
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7) Legal/Disciplinary History A. Identify and provide a brief explanation as to whether any of the persons or entities listed above in Section 6 have, in the past 10 years: 1. Been the subject of an indictment or conviction in a criminal proceeding or plea agreement or named as a defendant in a pending criminal proceeding (excluding minor traffic violations); 2. Been the subject of the entry of an order, judgment, or decree, not subsequently reversed, suspended or vacated, by a court of competent jurisdiction that permanently or temporarily enjoined, barred, suspended or otherwise limited such person’s involvement in any type of business, securities, commodities, financial- or investment-related, insurance or banking activities. Joseph Cotropia: On February 13, 2015, The TexMedical Board revoked Cotropia’s license to practice medicine and he was found to have failed to comply with required standards of care for the treatment of chronic pain. This revocation was based on an administrative law judge’s finding that Cotropia violated the Medical Practices Act and TMB rules by prescribing opioids and other controlled substances that were not therapeutic, by failing to maintain records that supported the prescribed therapeutic regime, for inadequately supervising midlevel providers, and working at an unregistered, uncertified pain management clinic. This became final on March 17, 2015. Cotropia also lost his license in California and Pennsylvania as a result of this finding. 3. Been the subject of a finding, disciplinary order or judgment by a court of competent jurisdiction (in a civil action), the Securities and Exchange Commission, the Commodity Futures Trading Commission, a state securities regulator of a violation of federal or state securities or commodities law, or a foreign regulatory body or court, which finding or judgment has not been reversed, suspended, or vacated None 4. Named as a defendant or a respondent in a regulatory complaint or proceeding that could result in a “yes” answer to part 3 above; or None 5. Been the subject of an order by a self-regulatory organization that permanently or temporarily barred, suspended, or otherwise limited such person’s involvement in any type of business or securities activities. Joseph Cotropia: On February 13, 2015, The Texas Medical Board revoked Cotropia’s license to practice medicine and he was found to have failed to comply with required standards of care for the treatment of chronic pain. This revocation was based on an administrative law judge’s finding that Cotropia violated the Medical Practices Act and TMB rules by prescribing opioids and other controlled substances that were not therapeutic, by failing to maintain records that supported the prescribed therapeutic regime, for inadequately supervising midlevel providers, and working at an unregistered, uncertified pain management clinic. This became final on March 17, 2015. Cotropia also lost his license in California and Pennsylvania as a result of this finding. 6. Been the subject of a U.S Postal Service false representation order, or a temporary restraining order, or preliminary injunction with respect to conduct alleged to have violated the false representation statute that applies to U.S mail. None B. escribe briefly any material pending legal proceedings, other than ordinary routine litigation incidental to the business, to which the issuer or any of its subsidiaries is a party to or of which any of their property is the subject. Include the name of the court or agency in which the proceedings are pending, the date instituted, the principal parties thereto, a description of the factual basis alleged to underlie the proceeding and the relief sought. Include similar information as to any such proceedings known to be contemplated by governmental authorities. The Company has pending litigation over disputed shares in California, and litigation in Delaware as to the appropriate party to a suit in Delaware. The Company is vigorously defending itself in these matters.
7) Legal/Disciplinary History A. Identify whether any of the persons or entities listed above have, in the past 10 years, been the subject of: 1. A conviction in a criminal proceeding or named as a defendant in a pending criminal proceeding (excluding traffic violations and other minor offenses); None 2. The entry of an order, judgment, or decree, not subsequently reversed, suspended or vacated, by a court of competent jurisdiction that permanently or temporarily enjoined, barred, suspended or otherwise limited such person’s involvement in any type of business, securities, commodities, or banking activities; None 3. A finding or judgment by a court of competent jurisdiction (in a civil action), the Securities and Exchange Commission, the Commodity Futures Trading Commission, or a state securities regulator of a violation of federal or state securities or commodities law, which finding or judgment has not been reversed, suspended, or vacated; or None 4. The entry of an order by a self-regulatory organization that permanently or temporarily barred, suspended, or otherwise limited such person’s involvement in any type of business or securities activities. None B. Describe briefly any material pending legal proceedings, other than ordinary routine litigation incidental to the business, to which the issuer or any of its subsidiaries is a party or of which any of their property is the subject. Include the name of the court or agency in which the proceedings are pending, the date instituted, the principal parties thereto, a description of the factual basis alleged to underlie the proceeding and the relief sought. Include similar information as to any such proceedings known to be contemplated by governmental authorities. The Company is litigating 2 pending legal matters in Delaware Federal Court where there are disputed shares. The Company and its legal representatives believe all claims to be meritless and baseless and are vigorously defending the matters. The Company and its legal representatives believe they will prevail in both cases.
