Legal Proceedings.
−Removed: In April 2024, an ex-shareholder of Otto Pvt Ltd.,
−Removed: an indirect wholly owned Bahamian subsidiary of SSi(“ Otto ”) commenced litigation in the Bahamas, seeking legal confirmation
−Removed: that it holds 9,000 shares (approximately a 9% interest) in Otto.
−Removed: The litigation, in which Otto is one of the defendants, relates to a
−Removed: purported transaction in 2021, at which time Dr.
−Removed: Sudhir Srivastava, the Company’s Chairman, Chief Executive Officer and principal
−Removed: shareholder, was the sole shareholder of Otto.
−Removed: The plaintiff in the litigation alleges that at that time, it acquired the 9,000 Otto shares
−Removed: However, as the plaintiff failed to pay the agreed upon consideration for the shares, in July 2022, the shareholding
−Removed: was cancelled.
−Removed: Srivastava along with Otto, has recently filed an action in the Bahamas to confirm the cancellation of the shares and
−Removed: reconfirm their ownership and both actions are pending in the Bahamian courts.
−Removed: The Bahamian court has issued an interim order to maintain
−Removed: the status quo as it stands today with respect to the 9,000 Otto shares at the center of the dispute, as well as Otto’s shareholdings
−Removed: in Sudhir Srivastava Innovations Pvt Ltd.
−Removed: (“ SSI-India ”), our Indian operating subsidiary and SSI-India’s assets
−Removed: during the pendency of the litigation.
−Removed: Based on legal opinions obtained from counsel, the Company believes that there will be a favorable
−Removed: outcome in this case.
−Removed: Notwithstanding the foregoing, Dr.
−Removed: and the Company have entered into an Indemnification Agreement on October 12, 2024, pursuant to which Dr.
−Removed: Srivastava has agreed to fully
−Removed: indemnify the Company for any claims, damages and costs (including legal fees) which it incurs in connection with this litigation or in
−Removed: relation to any of his ventures prior to consummation of the Company’s acquisition by merger of CardioVentures, Inc.
−Removed: in April 2023.
−Removed: In addition to the foregoing and other matters which have been reported
−Removed: in the Company’s previous periodic Exchange Act filings, from time to time, the Company may become involved in various lawsuits
−Removed: and legal proceedings which arise in the ordinary course of business.
−Removed: Litigation is subject to inherent uncertainties, and an adverse
−Removed: result in any such matter may harm the Company’s business.
+Added: In addition to matters which have been reported
+Added: in the Company’s previous periodic filings under the Securities Exchange Act of 1934, as amended, from time to time, the Company
+Added: may become involved in various lawsuits and legal proceedings which arise in the ordinary course of business.
+Added: Litigation is subject to
+Added: inherent uncertainties, and an adverse result in any such matter may harm the Company’s business.
Risk Factors.
Not Applicable.
+Added: Unregistered Sales
+Added: of Equity Securities and Use of Proceeds.
+Added: Defaults Upon Senior Securities.
+Added: Mine Safety Disclosures.
+Added: Not applicable
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.