Quarterly report pursuant to Section 13 or 15(d)

Accrued Expenses

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Accrued Expenses
 6 Months Ended
Jun. 30, 2022
Payables and Accruals [Abstract]  
Accrued Expenses

Note 5 – Accrued Expenses

 

Accrued expenses at June 30, 2022 (unaudited) and December 31, 2021 consisted of the following:

 

    June 30,     December 31,  
    2022     2021  
Accrued payroll and related liabilities   $ 7,905,762     $ 7,528,464  
HHS Provider Relief Funds     1,178,103       863,452  
Accrued interest     5,021,454       5,027,459  
Accrued legal expenses and settlements     454,486       632,318  
Other accrued expenses     2,717,003       1,448,242  
Accrued expenses   $ 17,276,808     $ 15,499,935  

 

Payroll and related liabilities at June 30, 2022 and December 31, 2021 included approximately $2.7 million and $2.3 million, respectively, for penalties associated with approximately $3.9 million and $3.9 million of accrued past due payroll taxes as of June 30, 2022 and December 31, 2021, respectively. This liability account at June 30, 2022 and December 31, 2021 is net of employee retention credits totaling $1.5 million and $1.5 million, respectively. Employee retention credits are also discussed in Note 2.

 

As of June 30, 2022, the Company has accrued $1.2 million of HHS Provider Relief Funds. These funds are more fully discussed in Note 2.

 

Accrued interest at June 30, 2022 and December 31, 2021 included accrued interest of $0.4 million and $0.3 million, respectively, on loans made to the Company by Christopher Diamantis, a former member of the Company’s Board of Directors. The loans from Mr. Diamantis are more fully discussed in Note 6.