Quarterly report pursuant to Section 13 or 15(d)

Accrued Expenses

Accrued Expenses
9 Months Ended
Sep. 30, 2020
Payables and Accruals [Abstract]  
Accrued Expenses

Note 6 – Accrued Expenses


Accrued expenses at September 30, 2020 (unaudited) and December 31, 2019 consisted of the following:


    September 30,     December 31,  
    2020     2019  
Accrued payroll and related liabilities   $ 7,357,041     $ 7,603,077  
Deferred HHS Provider Relief Funds     4,400,000       -  
Accrued interest     3,373,430       4,905,749  
Accrued legal     770,019       1,226,997  
Other accrued expenses     574,658       509,469  
Accrued expenses   $ 16,475,148     $ 14,245,292  


Accrued payroll and related liabilities at September 30, 2020 included approximately $1.8 million for penalties associated with approximately $5.0 million of accrued past due payroll taxes.


As of September 30, 2020, we have deferred $4.4 million of HHS Provider Relief funds as more fully discussed in Note 1.


Accrued interest decreased by $1.5 million at September 30, 2020 as compared to December 31, 2019. On June 30, 2020, the Company exchanged loans and the related accrued interest owed to Mr. Diamantis, a former member of our Board of Directors, outstanding as of that date for shares of the Company’s newly-issued Series M Convertible Preferred Stock (the “Series M Preferred Stock”) as more fully discussed in Notes 7 and 13. On August 31, 2020, the Company exchanged certain debentures and associated accrued interest outstanding as of that date for shares of its newly-issued Series N Convertible Redeemable Preferred Stock (the “Series N Preferred Stock”) and the interest accrued on certain outstanding debentures was reduced as more fully discussed in Note 8. Accrued interest at December 31, 2019 included accrued interest of $1.9 million on loans made to the Company by Mr. Diamantis. No accrued interest was owed to Mr. Diamantis at September 30, 2020.