Insider filing report for Changes in Beneficial Ownership
- Schedule 13G & 13D forms are used to report a party's ownership of stock which exceeds 5% of a company's total stock issue.
- Schedule 13G is a shorter version of Schedule 13D with fewer reporting requirements.
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE 13D
Amendment No. 7
(Rule 13d-101)
INFORMATION
TO BE INCLUDED IN STATEMENTS FILED PURSUANT
TO § 240.13d-1(a) AND AMENDMENTS THERETO FILED PURSUANT
TO § 240.13d-2(a)) UNDER THE SECURITIES EXCHANGE ACT OF 1934
CAREVIEW COMMUNICATIONS, INC.
(Name of Issuer)
Common Stock, $.001 Par Value Per Share
(Title of Class of Securities)
141743 10 4
(CUSIP Number)
L. ALLEN WHEELER
401 West Evergreen
Durant, OK 74701
(580) 924-4449
(Name, Address and Telephone Number of Person
Authorized to Receive Notices and Communications)
DECEMBER 30, 2022
(Date of Event Which Requires Filing of This Statement)
If the filing person has previously filed a statement on Schedule 13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of §§240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the following box. ☐
Note: Schedules filed in paper format shall include a signed original and five copies of the schedule, including all exhibits. See §240.13d-7 for other parties to whom copies are to be sent.
*The remainder of this cover page shall be filled out for a reporting person’s initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter disclosures provided in a prior cover page.
The information required on the remainder of this cover page shall not be deemed to be "filed" for the purpose of Section 18 of the Securities Exchange Act of 1934 (“Act”) or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, see the Notes).
| CUSIP No. 141743 10 4 | Page 2 of 10 |
| 1. | Name of Reporting Persons.
L. Allen Wheeler | |||
| 2. | Check the Appropriate Box if a Member of a Group (a) ☐ (b) ☐ | |||
3.
|
SEC Use Only
| |||
4.
|
Source of Funds
OO-Other | |||
| 5. | Check if Disclosure of Legal Proceedings is Required Pursuant to Items 2(d) or 2(e) ☐ | |||
| 6. | Citizenship or Place of Organization
United States | |||
Number of Shares Beneficially Owned by Each Reporting Person With |
7. | Sole Voting Power 18,522,343 (1)(2)(3)(4)(5) | ||
8.
|
Shared Voting Power -0- | |||
| 9. | Sole Dispositive Power 18,522,343 (1)(2)(3)(4)(5) | |||
| 10. | Shared Dispositive Power -0- | |||
| 11. | Aggregate Amount Beneficially Owned by Each Reporting Person
18,522,343 (1)(2)(3)(4)(5) | |||
| 12. | Check if the Aggregate Amount in Row (11) Excludes Certain Shares ☐ | |||
| 13. | Percent of Class Represented by Amount of Row (11)
13.11% (5) | |||
| 14. | Type of Reporting Person
IN | |||
______________________
| (1) | Includes 80,000 shares of Common Stock underlying convertible notes convertible at any time. |
| (2) | Includes 1,851,962 shares of Common Stock underlying options exercisable within sixty days. |
| (3) | Includes 14,201,820 shares of Common Stock held by Dozer Man, LLC. |
| (4) | Includes 2,388,561 shares of Common Stock held directly by Mr. Wheeler. |
| (5) | Based on 141,312,710 shares of Common Stock which would be outstanding if all of Mr. Wheeler’s options exercisable within sixty days and convertible notes were exercised or converted. |
| CUSIP No. 141743 10 4 | Page 3 of 10 |
| 1. | Name of Reporting Persons.
Dozer Man, LLC, an Oklahoma entity solely owned by L. Allen Wheeler ("Dozer Man") | |||
| 2. | Check the Appropriate Box if a Member of a Group (a) ☐ (b) ☐ | |||
3.
|
SEC Use Only
| |||
4.
|
Source of Funds
OO-Other | |||
| 5. | Check if Disclosure of Legal Proceedings is Required Pursuant to Items 2(d) or 2(e) ☐ | |||
| 6. | Citizenship or Place of Organization
United States | |||
Number of Shares Beneficially Owned by Each Reporting Person With |
7. | Sole Voting Power 14,201,820 | ||
8.
|
Shared Voting Power -0- | |||
| 9. | Sole Dispositive Power 14,201,820 | |||
| 10. | Shared Dispositive Power -0- | |||
| 11. | Aggregate Amount Beneficially Owned by Each Reporting Person 14,201,820 | |||
| 12. | Check if the Aggregate Amount in Row (11) Excludes Certain Shares ☐ | |||
| 13. | Percent of Class Represented by Amount of Row (11)
10.19% (1) | |||
| 14. | Type of Reporting Person
OO | |||
______________________
| (1) | Based on 139,380,748 shares currently outstanding. |
| CUSIP No. 141743 10 4 | Page 4 of 10 |
This Amendment No. 7 to Schedule 13D (the "Amendment") amends and supplements the beneficial ownership statement on Schedule 13D originally filed with the Securities and Exchange Commission on September 29, 2010, as amended by subsequent Schedule 13Ds filed on each of January 30, 2012, August 16, 2012, April 1, 2013, January 31, 2014, February 17, 2015, and November 21, 2022. This Amendment is being filed to report amendments in Items 3, 5 and 7.
| Item 1. | Security and Issuer |
The class of equity securities to which this Schedule 13D relates is the common stock, $.001 par value, of CareView Communications, Inc., a Nevada corporation ("Company" or "Issuer"). The address of the principal executive office of the Company is 405 State Highway 121, Suite B-240, Lewisville, TX 75067.
| Item 2. | Identity and Background. |
| (a) | Names: L. Allen Wheeler and Dozer Man, an Oklahoma entity solely owned by Mr. Wheeler (the "Reporting Persons"). | |
| (b) | Residence or Business Address of Reporting Persons: | |
| 401 West Evergreen, Durant, OK 74701. | ||
| (c) | Present principal occupation or employment of Reporting Persons: | |
| Rancher and owner of real estate investments. | ||
| (d) | During the last five years, the Reporting Persons have not been convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors). | |
| (e) | During the last five years, the Reporting Persons have not been a party to a civil proceeding of a judicial or administrative body of competent jurisdiction which as a result of such proceeding was or is subject to a judgment, decree or final order enjoining future violations of, or prohibiting or mandating activities subject to, federal or state securities laws or finding violation with respect to such laws. | |
| (f) | Citizenship: Mr. Wheeler is a citizen of the United States of America. |
| Item 3. | Source and Amount of Funds or Other Consideration. |
Item 3 is hereby amended and restated in its entirety as follows:
OO-Other
PF-Personal Funds
AF-Affiliate
| CUSIP No. 141743 10 4 | Page 5 of 10 |
Acquisition of Shares of the Issuer
Mr. Wheeler owned an ownership interest in CareView Communications, LLC, a Texas limited liability company ("CareView LLC") through Dozer Man, and InvestSearch, LLC, an entity in which he owned 22.5% ("InvestSearch"). CareView LLC subsequently converted into a Texas corporation, CareView Communications, Inc. ("CareView-TX"). On September 28, 2007, CareView-TX, its shareholders, and Ecogate, Inc. entered into a Securities Exchange Agreement (the "Agreement"), pursuant to which Ecogate, Inc. issued 87,684,910 shares of its Common Stock to the CareView-TX shareholders in exchange for 100% of the outstanding stock of CareView-TX. Upon the closing of the Agreement, the ownership of Dozer Man and InvestSearch were exchanged for 12,038,175 and 11,104,334 shares respectively of Ecogate, Inc. (Ecogate, Inc. subsequently changed its name to CareView Communications, Inc. which is now a Nevada corporation and the Issuer.) On July 7, 2009, the members of InvestSearch agreed to distribute its 11,104,334 shares and Mr. Wheeler, through Dozer Man, received 1,990,570 of those shares.
On November 11, 2008, the Company converted a loan from Mr. Wheeler in which an aggregate of principal and interest of $43,103.73 was converted into 82,892 shares of the Company's Common Stock at $0.52 per share.
On November 13, 2008, the Company converted a loan from InvestSearch Management, LLC, an entity in which Mr. Wheeler owned 22.5% ("InvestSearch Management") for principal and accrued interest in the aggregated amount of $37,971.82. InvestSearch Management was issued an aggregate of 73,023 shares of the Company's Common Stock at $0.52 per share. On December 14, 2009, the members of InvestSearch Management agreed to distribute its 73,023 shares and Mr. Wheeler, through Dozer Man, received 24,341 of those shares.
On January 8, 2010, Mr. Wheeler, through Dozer Man, was transferred 148,734 shares of the Company's Common Stock from an unaffiliated party in a private transaction.
On May 5, 2010, Mr. Wheeler converted a debt owed by the Company for principal and accrued interest in the aggregated amount of $92,566.95. Mr. Wheeler was issued an aggregate of 178,013 shares of the Company's Common Stock at $0.52 per share.
On August 13, 2012, Mr. Wheeler purchased 50,000 shares in the market.
On January 6, 2013, Mr. Wheeler purchased 104,430 shares in a private transaction.
On March 27, 2013, the Company executed a Securities Purchase Agreement (the "Purchase Agreement") with multiple investors (collectively, the "Investors") relating to the sale and issuance of shares of the Company's common stock and warrants to purchase common stock in a private offering. At the closing on April 1, 2013, Mr. Wheeler purchased 101,010 shares of the Company's Common Stock at a price of $0.495 per share. Mr. Wheeler did not purchase any warrants thereunder.
In January 2014, Global FG, LLC was transferred 64,433 shares of the Company's Common Stock in satisfaction of a promissory note. As a 50% owner of Global FG, LLC, Mr. Wheeler was transferred 32,216 shares.
In January 2014, Dozer Man was transferred 134,931 shares of the Company's Common Stock in satisfaction of a promissory note.
| CUSIP No. 141743 10 4 | Page 6 of 10 |
On April 10, 2017, Mr. Wheeler purchased 180,750 shares in the market.
On April 11, 2017, Mr. Wheeler purchased 1,059,206 shares in the market.
On April 12, 2017, Mr. Wheeler purchased 228,550 shares in the market.
On April 13, 2017, Mr. Wheeler purchased 500,000 shares in the market.
On April 18, 2017, Mr. Wheeler purchased 42,398 shares in the market.
On April 19, 2017, Mr. Wheeler purchased 347,179 shares in the market.
Subsequently, Mr. Wheeler transferred shares in private transactions resulting in his direct ownership of 1,888,561 shares.
On November 14, 2022, Mr. Wheeler purchased 500,000 shares of the Company’s Common Stock pursuant to a Securities Purchase Agreement.
Disposition of Shares of the Issuer
In November 2008, Mr. Wheeler, through Dozer Man, transferred 134,921 shares a in private transaction.
Acquisition of Derivative Securities of the Issuer
Non-Qualified Stock Options ("Options")
On February 25, 2015, Mr. Wheeler was issued an Option under the CareView Communications 2015 Stock Incentive Plan for 150,000 underlying shares of the Company’s Common Stock at an exercise price of $0.53 per share. The ten-year Option vests as to 50,000 shares on each of the first, second and third anniversary of the issuance date.
On August 31, 2016, Mr. Wheeler was issued an Option under the CareView Communications 2016 Stock Incentive Plan for 235,295 underlying shares of the Company’s Common Stock at an exercise price of $0.17 per share. The ten-year Option vests at the rate of 33.3% on each of the first and second anniversary of the issuance date and 33.4% on the third anniversary of the issuance date.
On November 30, 2017, Mr. Wheeler was issued an Option under the CareView Communications 2016 Stock Incentive Plan for 666,667 underlying shares of the Company’s Common Stock at an exercise price of $0.11 per share. The ten-year Option vests as to 222,223 shares on November 30, 2018 and as to 222,222 shares on each of November 30, 2019 and November 30, 2020. The Option has not been exercised and expires on November 29, 2027.
On August 10, 2020, Mr. Wheeler was issued an Option under the 2020 Stock Incentive Plan for 1,200,000 underlying shares of the Company’s Common Stock at an exercise price of $0.035 per share. The ten-year option vests at 400,000 share per year on each of August 5, 2021, August 5, 2022, and August 5, 2023.
| CUSIP No. 141743 10 4 | Page 7 of 10 |
Senior Secured Convertible Note and Common Stock Purchase Warrants
On December 15, 2014, the Company entered into a Fifth Amendment to Note and Warrant Purchase Agreement (the "Fifth Amendment") with the HealthCor Parties and certain additional investors party thereto (such additional investors, the "New Investors" and, collectively with the HealthCor Parties, the "Investors") to sell and issue (i) additional notes in the initial aggregate principal amount of $6,000,000, with a conversion price per share equal to $0.52 (subject to adjustment as described therein) (the "Fifth Amendment Supplemental Closing Notes") and (ii) additional warrants to purchase an aggregate of up to 3,692,308 shares of our Common Stock at an exercise price per share equal to $0.52 (subject to adjustment as described therein) (the "Fifth Amendment Supplemental Warrants").
The New Investors included all but one of our current directors and one of our officers. The closing date of the transaction was February 17, 2015 (the "Fifth Amendment Supplemental Closing Date"). On the Fifth Amendment Supplemental Closing Date, each of the Investors shall severally, not jointly, purchased the Fifth Amendment Supplemental Closing Notes and the Fifth Amendment Supplemental Warrants for cash, payable by wire transfer in same day funds to an account specified by the Company.
The Purchase Agreement and Fifth Amendment provide that the Company grant to the Investors a security interest in the assets of the Company as collateral for payment of the Fifth Amendment Supplemental Closing Notes, evidenced by that certain Pledge and Security Agreement dated as of April 20, 2011 (the "Security Agreement") and by that certain Intellectual Property Security Agreement dated as of April 20, 2011 (the "IP Security Agreement"). On the Fifth Amendment Supplemental Closing Date, the Company entered into an amended and restated Security Agreement and an amended and restated IP Security Agreement in order, among other things, to add the New Investors as secured parties (such amended and restated agreements, respectively the "Amended Security Agreement" and the "Amended IP Security Agreement").
The Purchase Agreement and the Fifth Amendment Supplemental Closing Notes also provide that the Company grant registration rights to the Investors for the Common Stock into which the Fifth Amendment Supplemental Closing Notes may be converted and that may be issued upon exercise of the Fifth Amendment Supplemental Warrants as provided for by that certain Registration Rights Agreement dated as of April 20, 2011 (the "Registration Rights Agreement").
Mr. Wheeler is one of the New Investors. On the Fifth Amendment Supplemental Closing Date, Mr. Wheeler purchased a Senior Secured Convertible Note in the amount of $500,000 which is immediately convertible into shares of the Company's Common Stock at $0.52 per share (subject to adjustment as described therein) and has a maturity date of February 16, 2025. In connection therewith, Mr. Wheeler was also issued Fifth Amendment Supplemental Warrants for the purchase of 307,692 shares of the Company's Common Stock at an exercise price per share equal to $0.52 (subject to adjustment as described therein). The Fifth Amendment Supplemental Warrants were exercisable upon issuance and have an expiration date of February 17, 2025.
Note Cancellation and Replacement Notes
On December 30, 2022, Mr. Wheeler exchange all outstanding notes issued under the Note and Purchase Agreement dated as of April 21, 2011, as amended, with an aggregate balance of $1,594,793, for replacement notes in the aggregate of $800,000 with a conversion price of $0.10 per share. At the same time, Mr. Wheeler surrendered for cancellation all outstanding warrants held by him representing an aggregate of 382,692 shares, for no value.
| CUSIP No. 141743 10 4 | Page 8 of 10 |
| Item 4. | Purpose of Transaction. |
See Item 3 above.
The Reporting Persons have no plans which relate to or would result in:
| (a) | the acquisition by any person of additional securities of the issuer, or the disposition of securities of the issuer; | |
| (b) | an extraordinary corporate transaction, such as a merger, reorganization or liquidation, involving the issuer or any of its subsidiaries; | |
| (c) | A sale or transfer of a material amount of assets of the issuer or of any of its subsidiaries; | |
| (d) | Any change in the present board of directors or management of the issuer, including any plans or proposals to change the number or term of directors or to fill any existing vacancies on the board; | |
| (e) | Any material change in the present capitalization or dividend policy of the issuer; | |
| (f) | Any other material change in the issuer's business or corporate structure, including but not limited to, if the issuer is a registered closed-end investment company, any plans or proposals to make any changes in its investment policy for which a vote is required by Section 13 of the Investment Company Act of 1940; | |
| (g) | Changes in the issuer's charter, bylaws or instruments corresponding thereto or other actions which may impede the acquisition of control of the issuer by any person; | |
| (h) | Causing a class of securities of the issuer to be delisted from a national securities exchange or to cease to be authorized to be quoted in an inter-dealer quotation system of a registered national securities association; | |
| (i) | A class of equity securities of the issuer becoming eligible for termination of registration pursuant to Section 12(g)(4) of the Act; or | |
| (j) | Any action similar to any of those enumerated above. |
| Item 5. | Interest in Securities of the Issuer. |
Item 5 is hereby amended and restated in its entirety as follows:
| (a) | Mr. Wheeler directly owns 2,388,561 shares of the Company's Common Stock. He indirectly owns an aggregate of 14,201,820 shares through Dozer Man. Mr. Wheeler directly owns replacement notes in the aggregate of $800,000 which are immediately convertible into 80,000 shares. Mr. Wheeler directly owns Options for the purchase of 1,851,962 shares of the Company's Common Stock, bringing his direct and indirect ownership to an aggregate of 18,522,343 shares. The percentage of class for Mr. Wheeler is 13.11% and is based on 141,312,710 shares which would be outstanding if all of Mr. Wheeler's Options were exercised and the replacement notes were converted. |
| CUSIP No. 141743 10 4 | Page 9 of 10 |
| (b) | Mr. Wheeler has sole power to vote or direct the vote and the power to dispose or to direct the disposition of the 18,522,343 shares of the Company's Common Stock owned directly or indirectly by him or to be acquired by him through the exercise of Options and the conversion of the replacement notes. | |
| (c) | Please see Item 3 above for the description of the transaction relative to the shares and derivative securities acquired by the Reporting Persons. | |
| (d) | The Reporting Persons know of no other person who has the right to receive or the power to direct the receipt of dividends from, or the proceeds from the sale of, such shares or derivative securities. | |
| (e) | Not applicable. |
| Item 6. | Contracts, Arrangements, Understandings or Relationships With Respect to Securities of Issuer |
Except for as outlined herein, the Reporting Persons have no contracts, arrangements, understandings or relationships (legal or otherwise) with any person with respect to any securities of the issuer, including but not limited to transfer or voting of any of the securities, finder’s fees, joint ventures, loan or option arrangements, puts or calls, guarantees of profits, division of profits or loss, or the giving or withholding of proxies.
| Item 7. | Material to be Filed as Exhibits. |
(Signature page follows)
| CUSIP No. 141743 10 4 | Page 10 of 10 |
SIGNATURE
After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct.
| Dated: | January 6, 2023 | By: | /s/ L. Allen Wheeler | |
| L. Allen Wheeler, an individual, Sole Member of Dozer Man, LLC |