Covid Clinic Inc

“Covid clinic previously agreed to sell certain assets to, and be paid to provide certain services to, a third-party entity. Covid clinic became aware during the organization's tax year that the third party breached its agreement to pay covid clinic for the assets and services that had been provided. Relatedly, the same third party contracted to reimburse covid clinic for expenses incurred as part of a transition of the assets and related services. Covid clinic became aware that the third party had also breached its agreement to reimburse covid clinic for these expenses. Covid clinic is still assessing the amount of money owed it by this third party, but suspects that amount may be as much as $50 million. Covid clinic made a formal demand to the third party. The parties participated in a formal mediation that did not lead to settlement. The parties agreed to arbitrate the claims with jams. At the time of filing, covid clinic counsel anticipates filing a demand for arbitration within the near term. Separately, covid clinic became aware that it had overpaid when reimbursing a different third party for expenses incurred on behalf of covid clinic by approximately $3.4 million. Covid clinic is making every effort to take corrective action and secure recovery. Covid clinic has engaged counsel, made demands to the third party to return the $3.4 million overpayment, and filed suit. The parties agreed to arbitrate the claims with jams. The court action will be stayed pending the arbitration. Covid clinic's investigation remains ongoing.”

“There are no committees that have been granted authority to act on behalf of the board.”

“The form 990 is prepared by the organization's outside public accounting firm based on information provided by management. Once a draft of the return is available, it is reviewed by management with any changes or revisions incorporated into the filing. The revised return is then submitted to the board of directors for their review and approval prior to submitting to the irs.”

“The officers, directors, and the trustees are required to disclose all potential conflicts of interest. Monitoring is performed regularly by the officers to identify potential conflicts of interest. The board reviews any conflicts presented by interested parties. The chairperson appoints a disinterested person or committee to investigate the transaction in question and report findings to the board. Alternatives to the proposed transaction are identified and compared to the proposed transaction. The board votes on the most beneficial option for the organization. If the board has reason to believe an interested person has failed to disclose the potential conflict, the board will investigate further and if necessary, take appropriate disciplinary and corrective action.”

“Covid clinic, inc performs market research based on industry and size when determining compensation for officers or key employees of the organization. The board reviews and approves compensation amounts.”

“The form 990, financial statements, conflict of interest policy, and governing documents are available upon request.”

“Prior period adjustments -3,520,750.”

“The organization is currently undergoing its fye 2022 and 2021 audits. The 2022 return was based on unadjusted numbers and the organization expects to amend its 2021 / 2022 returns upon finalization of the audit.”