chazzy1
1 week ago
Digdeeper17, I really wouldn't know beyond what I have already said. However, I do recall one item from HDC's rebuttal to certain Vennwest assertions in that court case (after it was re-started), a statement to the effect that Mr. McGovern could have claimed private ownership of the patents (meaning that he had the right), but instead loaned his money to HDC. One could assume that this was to avoid hurting the shareholders. If Colleen and Ed follow in George's footsteps, it could then be assumed that they would want to protect the shareholders (many of whom are family and friends).
Regardless, I was aware of a certain danger of HDC's IP falling into private hands in the event of a worst case scenario, but I don't think that we are there yet.
Thank you for your thoughts on this.
chazzy1
1 week ago
Digdeeper17, with all due respect, I was aware of the loan terms from several years ago which did stipulate that, in the event of bankruptcy, Mr. McGovern would receive as compensation for his loan, HDC's IP. Your theory, unless I misunderstood, is that HDC has been dissolved and is now defunct, thus the patent portfolio goes to the heirs of George H. McGovern, namely Colleen Hutchinson. I now posit a different perspective which would dispute that theory.
First, the referenced loan to HDC by Mr. McGovern did stipulate that, if the loan could not be repaid and the company filed for bankruptcy, he would receive as just compensation the patent portfolio of HDC. However, if my memory serves me, that loan was repaid in full when NeoGenomics settled with HDC for a sum of around $6.6 million. This happened just prior to HDC suing Intel, and is in fact where the money to sue Intel came from. Now, with McGovern's loan having been repaid in full, the "bankruptcy" clause contained within that loan document which stated that HDC's IP would revert to McGovern in the event of bankruptcy, should no longer apply or be relevant today, as that loan has been satisfied. Besides, HDC has NOT declared bankruptcy as evidenced by the fact that they are still filing docs with the SEC, even though they did admit to their accounting firm that they "may not" be able to continue as "a going concern." Somebody please correct me if I am wrong, but this accurately describes my understanding of these events.
Furthermore, I would assume that, should HDC declare bankruptcy in the future, all of HDC's assets (and those patents are the company's only asset) would be distributed according to the articles of incorporation which should be on file for anyone to read. If those articles stipulate that, in the event of bankruptcy, the patent portfolio falls into private hands, then you would be correct, sir. But we are not there yet, and I believe that the company's Board is making every effort to prevent that from happrning. JMHO.
chazzy1
2 weeks ago
Buylow2, I was beginning to think that, given the accounting firm's resignation, HDC was at the end of their rope. However, I will give this a little more time to see what they may come up with to salvage this. After all, the family and friends of GHM represent millions upon millions of shares, which I am sure they don't want to see expire worthless. Thus, the motivation to save this company should be there for them if not for us.
chazzy1
2 weeks ago
LocWolf, I don't think that Colleen and Venning ever "held hands" (as you put it). What I do think is that Laurie Venning (CEO of Vennwest Global Technologies) has wanted to take over and run HDC for a long time, and he has the big bucks, personnel, and legal resources to do it. If HDC is on the verge of bankruptcy, perhaps a deal with Venning, as unpleasant as that may seem to Colleen, may just be the only way for HDC to survive. Otherwise, the stock, coupled with HDC's IP, would likely become worthless. Even worse for shareholders, is that in such a scenario the stock could become worthless (due to HDC filing bankruptcy), but their most valuable asset, the IP, could fall into private hands.
On the other hand, when a company files for bankruptcy, they have to disclose all of their assets, so I am not sure how the value of their IP would factor into the equation for shareholders.
LocWolf
2 weeks ago
So much for the 10-k everyone hoped for.......
https://www.sec.gov/ix?doc=/Archives/edgar/data/1141788/000168316824004024/health_8k.htm
Item 4.01 Changes in Registrant’s Certifying Accountant.
On May 31, 2024, the Board of Directors received notice from Frazier & Deeter, LLC (“Frazier & Deeter”), the independent registered public accounting firm of Health Discovery Corporation (the “Company”), that they were resigning as the Company’s registered accounting firm effective immediately.
The reports of Frazier & Deeter on the financial statements of the Company for the fiscal year ended December 31, 2020, did not contain any adverse opinion or disclaimer of opinion and were not qualified or modified as to uncertainty, audit scope or accounting principles, except the opinion included an explanatory paragraph referring to the Company’s ability to continue as a going concern.
During the Company’s two most recent fiscal years and through the date of this Current Report on Form 8-K (i) there were no disagreements with Frazier & Deeter on any matter of accounting principles or practices, financial statement disclosure, or auditing scope or procedure, which, if not resolved to Frazier & Deeter’s satisfaction, would have caused Frazier & Deeter to make reference to the subject matter in connection with their reports on the Company’s financial statements for such years; and (ii) there were no reportable events, within the meaning set forth in Item 304(a)(1)(v) of Regulation S-K.
The Company provided a copy of the foregoing disclosures to Frazier & Deeter prior to the date of the filing of this Current Report on Form 8-K (this “Report”) and requested that Frazier & Deeter furnish it with a letter addressed to the U.S. Securities and Exchange Commission stating whether it agrees with the above statements and, if it does not agree, the respects in which it does not agree.
The full board of directors acts as an audit committee and will be provided a copy of the 8k filing.
chazzy1
1 month ago
LocWolf, I am glad that you explained about the "surgical stuff" as I was having some difficulty following your previous post. I do get the frustration, however, and frankly, if I were a new investor and could buy shares of HDVY, I don't think I would at this time. Neither am I dumping all of my shares. I am waiting for closure in some form. Again, you may be right in your fatalistic prognosis of HDC's chances of survival, however, I believe that there is still a chance that our patient, who is on life support, may actually pull through in the end. We will just have to wait for confirmation, one way or the other, which I believe will come soon.
ou71764
1 month ago
Hi Chazzy,
It is odd that we're still eligible for trading on the Expert Market. After the communists deposed the tsar in Russia, the bonds issued under the tsar's regime still traded, for a few pennies each, for decades. I hope that's not what's happening here - a few dealers making long odds bets, "just in case."
From the line in Simon and Garfunkel's song Hazy Shade of Winter, "Hang onto your hopes my friend..."
chazzy1
1 month ago
Buylow2, when I go to my brokerage account and look at the posted stock price for HDVY, there is a footnote beside the price. When I read the footnote, it says, "The price listed may not be the actual price." What do you suppose that means? It means that the price listed in your brokerage account is the price for you, only if you are selling. It is not the price for insiders who may be buying. As I have stated many times, I don't believe that this is over yet, and I would expect that many shareholders will be quite surprised when this turns out to be the case. Do I have proof? Unfortunately, I can't offer that.
chazzy1
2 months ago
LocWolf, just take whatever I say with a grain of salt. After all, what do I know that we all don't already know? Will HDC, like the fabled Phoenix, rise from the ashes and fly again? At this point, your guess is as good as mine. Being a diehard Romantic, I choose to remain hopeful until I get a "Dear John" letter, or until I catch her with another man. Then I will know that it's over. But until then.....the verdict is still out.
chazzy1
2 months ago
Buylow2, granted, we do not have a replacement CEO as of yet, however, there are still "decision makers" at the helm of HDC. They would, in fact, be responsible for the hiring of a new CEO. I refer to these decision makers as "management."
chazzy1
2 months ago
As always, thanks for contributing your thoughts, LocWolf. If this investment ultimately goes south, I will be disappointed but not devastated, because I never invest more than I can afford to lose. However, I'm not counting this one out yet, as I think there is still more to come. Good luck to ya!
chazzy1
2 months ago
LocWolf, I would like to respond to one point you have made, which is that the expiration date on HDC's primary patent is arriving sometime next year (2025). I agree that no one "in his right mind" would want to buy HDC solely for the IP at this late stage of the game. However, IF HDC were to hire an expert in the field to take over managing the company, this expert may be able to develop and patent new products utilizing HDC's patented technology. This expert in the field could then proceed to market HDC's new products. At that point, it really wouldn't matter so much when those underlying patents expire, because clients would at that point be using HDC's new products (products possibly related to molecular diagnostics/testing), ostensibly for years after the original patents have expired. Now I am realistic enough to know that this is a rosy (optimistic) scenario, however, this is a potential pathway to monetize HDC's IP, IF the current management is able to execute such a plan.