Quarterly report pursuant to Section 13 or 15(d)

Accrued Expenses

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Accrued Expenses
 3 Months Ended
Mar. 31, 2022
Payables and Accruals [Abstract]  
Accrued Expenses

Note 5 – Accrued Expenses

 

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

 

    March 31,     December 31,  
    2022     2021  
Accrued payroll and related liabilities   $ 7,675,786     $ 7,528,464  
HHS Provider Relief Funds     863,452       863,452  
Accrued interest     4,891,351       5,027,459  
Accrued legal     622,318       632,318  
Other accrued expenses     1,907,397       1,448,242  
Accrued expenses   $ 15,960,304     $ 15,499,935  

 

Payroll and related liabilities at March 31, 2022 and December 31, 2021 included approximately $2.4 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 March 31, 2022 and December 31, 2021, respectively. This liability account at March 31, 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 March 31, 2022, the Company has accrued $0.9 million of HHS Provider Relief Funds, which are more fully discussed in Note 2. On April 13, 2022, the Company received an additional $0.3 million of HHS Provider Relief Funds as more fully discussed in Note 15.

  

Accrued interest at March 31, 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.