Item 5. Other Information
Item
5. Other Information.
On September 22, 2023, a trust, the beneficiaries of which are the Chief Executive Officer of TicketSmarter,
and his spouse, contributed cash in the amount of $2,325,000 to support TicketSmarter’s operations and to repay approved debts and
obligations of TicketSmarter in exchange for the TicketSmarter Related Party Note. The TicketSmarter Related Party Note bears interest
of 13.25% per annum with weekly repayments of the principal amount of $54,000.00 each, together with accrued interest, for fifty weeks,
or until the principal is paid in full, commencing on January 2, 2024. The use of proceeds of the TicketSmarter Related Party Note was
to resolve numerous outstanding payables at a discounted rate, the discount received is recognized as a gain on extinguishment of liabilities
on the statement of operations. Additionally, these negotiations relieved TicketSmarter of numerous future obligations following fiscal
year 2023.
Item
6. Exhibits.
(a)
Exhibits.
10.1
Loan and Security Agreement between Digital Ally, Inc., Digital Ally Healthcare, LLC and Kompass Kapital Funding, LLC (incorporated by reference to Exhibit 10.1 to Company’s Current Report on Form 8-K with the SEC on October 27, 2023).
10.2
Mortgage, Assignment of Leases and Rents, Security Agreement and Fixture Filing between Digital Ally, Inc. and Kompass Kapital Funding, LLC (incorporated by reference to Exhibit 10.2 to Company’s Current Report on Form 8-K with the SEC on October 27, 2023).
10.3
Revolving Note between Digital Ally, Inc., Digital Ally Healthcare, LLC and Kompass Kapital Funding, LLC (incorporated by reference to Exhibit 10.3 to Company’s Current Report on Form 8-K with the SEC on October 27, 2023).
10.4
Promissory Note between TicketSmarter, Inc. and Jeff Goodman and Heather Goodman Joint Revocable Trust, dated September 22, 2023.
31.1
Certificate
of Stanton E. Ross pursuant to Rule 13a-14(a) under the Securities and Exchange Act of 1934, as amended.
31.2
Certificate
of Thomas J. Heckman pursuant to Rule 13a-14(a) under the Securities and Exchange Act of 1934, as amended.
32.1
Certificate
of Stanton E. Ross pursuant to Rule 13a-14(b) under the Securities and Exchange Act of 1934, as amended.
32.2
Certificate
of Thomas J. Heckman pursuant to Rule 13a-14(b) under the Securities and Exchange Act of 1934, as amended.
101.INS
Inline
XBRL Instance Document
101.SCH
Inline
XBRL Schema Document
101.CAL
Inline
XBRL Calculation Linkbase Document
101.DEF
Inline
XBRL Definition Linkbase Document
101.LAB
Inline
XBRL Label Linkbase Document
101.PRE
Inline
XBRL Presentation Linkbase Document
104
Cover
Page Interactive Data File (Embedded within the Inline XBRL document and included in Exhibit)
(*) Filed herewith.
In
accordance with SEC Release 33-8238, Exhibits 32.1 and 32.2 are being furnished and not filed.
67
Signatures
Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by
the undersigned thereunto duly authorized.
Date:
November 14, 2023
DIGITAL
ALLY, INC.
By:
/s/
Stanton E. Ross
Name:
Stanton
E. Ross
Title:
Chief
Executive Officer
By:
/s/
Thomas J. Heckman
Name:
Thomas
J. Heckman
Title:
Chief
Financial Officer, Secretary and Treasurer (Principal Financial and Accounting Officer)
68
Text extracted from the filing as submitted to EDGAR. Formatting, tables and exhibits are simplified for reading; the original document is authoritative for anything you rely on.