SEC Form 5 · accession 0001615774-17-001708
VERTICAL COMPUTER SYSTEMS INC · VCSY
Statement of changes in beneficial ownership, as filed. Original on EDGAR ↗
Table I — non-derivative securities
| Security | Date | Code | Shares | Price | A/D | Owned after | D/I | Nature of ownership |
|---|---|---|---|---|---|---|---|---|
| Common Stock | May 27, 2016 | G | 400,000 | $0.00 | D | 79,450,190 | D | |
| Common Stock | Oct 1, 2016 | A | 1,500,000 | $112,500.00 | A | 79,450,190 | D |
Table II — derivative securities
Remarks
Mr. Wade, the President and CEO of the Company, directly owns 4,517,647 shares of the common stock of Vertical Computer Systems, Inc. (the "Company") and beneficially owns 74,932,543 shares of the Company's common stock through Mountain Reservoir Corporation ("MRC") for a total of 79,450,190 shares of the Company's common stock at the filing date of this Report. On May 27, 2016, Mr. Wade transferred 400,000 VCSY common shares as a gift to third parties. On June 1, 2016, the Company granted Richard Wade a total of 5,000,000 shares of the Company's common stock with the Rule 144 restrictive legend pursuant to a restricted stock agreement between Mr. Wade and the Company. Pursuant to the terms of the restricted agreement, 1,500,000 shares vested at 4 months (on October 1, 2016), 1,500,000 and 2,000,000 shares vest shares will vest at 16 and 28 months, respectively, from the date of the restricted stock agreement. MRC is controlled by the W5 Family Trust. Richard Wade, the President and CEO of the Company, is the trustee of the W5 Family Trust.