2 unchanged sentences
involved in legal proceedings, claims and other legal matters, arising in the ordinary course of our business or otherwise.
−Removed: 16 pending FINRA claims that arise from the sale to clients of alternative investments (REITs, Business Development Loan Funds, and Oil
−Removed: and Gas securities).
−Removed: While the exposure on these cases would not be material, the costs of defense for legal fees may be substantial.
−Removed: Company is evaluating the impact upon operations of the expenses.
+Added: in the Subsequent Events the number of FINRA claims against Forta has increased to 22 as of August 2021.
+Added: The claims arise from the sale
+Added: to clients of alternative investments (REITs, Business Development Loan Funds, and Oil and Gas securities).
+Added: Most of the claims arise from
+Added: investments prior 2015.
+Added: None of the registered representatives that recommended these alternative investments is currently associated
+Added: The total amount of the pending claims is in excess of $3,000,000 and the Company is in the process of determining the best
+Added: approach to respond to the claims.
+Added: Based on the status of the claims with FINRA, management cannot reasonably estimate a potential range
+Added: of losses or settlements of the claims.
+Added: Forta is evaluating how best to resolve the claims.
+Added: Forta no longer generates significant revenue
+Added: from brokerage activity like the sale of alternative investments and the continuing need for a broker dealer will be evaluated by Company.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.