Intellect Neurosciences Inc. (fka ILNS)

[montanus]

Name and Address Amount and Nature
of Beneficial Holder (1) of Beneficial Ownership Percent of Class (2)

Margery Chassman 83,734,211 (3) 65.8 %
465 W 23rd Street
Suite 12J
New York, New York 10011

Daniel G. Chain 232,905 (4) 0.2 %

Elliot Maza 60,838 (5) 0.05 %

Isaac Onn 10,000 0.008 %

Directors and executive officers as a group (3 persons) 311,743 0.2 %


(1) Except as otherwise noted, the address of record of each of the following individuals is: c/o Intellect Neurosciences, Inc., 45 West 36th St. 3rd Fl., New York, New York 10018.

(2) Percentages based on 66,751,143 shares of common stock issued and outstanding as of June 30, 2011, including as applicable, those shares that may be acquired within 60 days upon the exercise of stock options, warrants and/or the conversion of convertible securities by the relevant stockholder.

(3) Includes 60,600 shares of common stock which may be acquired within 60 days upon the exercise of warrants and/or the conversion of convertible securities by the relevant stockholder .

(4) Includes 139,905 shares of common stock which may be acquired within 60 days upon the exercise of stock options.

(5) Includes 60,838 shares of common stock which may be acquired within 60 days upon the exercise of stock options.

Item 13. Certain Relationships and Related Transactions, and Director Independence.

We describe below any transactions, arrangements or relationships of which we are aware, as of the date of filing of this current report, which occurred since the beginning of the last fiscal year or are currently proposed to which we are or will be a participant (as defined in Item 404 of Regulation S-K); in which the amount involved exceeded or will exceed $120,000; and in which any related person (as defined in Item 404 of Regulation S-K) has or will have a direct or indirect material interest. We include in the description below transactions involving certain of our founders and control persons.

Certain Relationships Involving Margie Chassman and David Blech

Ms. Margie Chassman is one of our founding principal stockholders and is the spouse of Mr. David Blech. Ms. Chassman beneficially owns 65.8% of our common stock, including shares by a trust, for which Ms. Chassman serves as Trustee and of which one of Mr. Blech’s sons is a beneficiary. Ms. Chassman has expressly disclaimed beneficial ownership of certain of the shares that applicable SEC rules deem her to beneficially own. See “Item 12 - Security ownership of certain beneficial owners and management and related stockholder matters.”

FORM 10-K June 30, 2011