Attachment: FORM 10-Q


Exhibit 10.1

 

AMENDMENT No. 4 TO 12% SENIOR SECURED CONVERTIBLE PROMISSORY NOTE

 

This Amendment No. 4 to the 12% Senior Secured Convertible Promissory Note (this “Amendment”) dated effective March 1, 2022 is by and between IIOT-OXYS, Inc., a Nevada corporation (the “Borrower”), on the one hand, and Sergey Gogin (the “Holder”), on the other hand. The Borrower and the Holder will be referred to individually as a “Party” and collectively as the “Parties.” Any capitalized terms not defined in this Amendment will have the meaning set forth in the 12% Senior Secured Convertible Promissory Note dated January 22, 2018, as amended, issued by the Borrower to the Holder (the “Note”), attached hereto as Exhibit A.

 

RECITALS

 

WHEREAS, on January 22, 2018, the Borrower issued to the Holder the Note in the principal amount of $500,000 (the “Principal Amount”);

 

WHEREAS, the Note is convertible into shares of Common Stock of the Borrower at a rate of $0.01 per share (the “Conversion Price”);

 

WHEREAS, the Note matured on March 1, 2022 (the “Maturity Date”);

 

WHEREAS, the Parties wish to amend the Note to change the Conversion Price to $0.008 per share;

 

WHEREAS, the Parties wish to amend the definition of “Event of Default” to include the price of the Common Stock of the Borrower closing at below $0.008 for ten consecutive “Trading Days;” and

 

WHEREAS, as consideration for lowering the Conversion Price, the Parties wish to (i) extend the Maturity Date of the Note from March 1, 2022 to March 1, 2023; (ii) include an automatic extensions of the Note for one year periods as long as there are no uncured Events of Default on the Maturity Date; and (iii) waive all current “Events of Default” pertaining to the Note and all defaults of the Securities Purchase Agreement dated January 22, 2018 between the Borrower and the Holder (the “SPA”), the Security and Pledge Agreement dated January 22, 2018 between the Borrower and the Holder (the “Security Agreement”), and the Common Stock Purchase Warrant, as amended, issued January 22, 2018 by the Borrower to the Holder (the “Warrant”) (the Note, the SPA, the Security Agreement, and the Warrant, together, the “Transaction Documents”), and to waive all future “Events of Default” pertaining to the timeliness of all future interest payments under the Note and all future defaults in the Transaction Documents pertaining to the timeliness of the Borrower’s filings with the Securities and Exchange Commission (the “SEC”) until March 1, 2023.

 

THEREFORE, in consideration of the foregoing recitals, mutual covenants contained herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as set forth below.

 

 

 1 

 

 

AGREEMENT

 

1.                   Revised Conversion Price. Pursuant to Section 7(i) of the Note, Section 4(b) of the Note is hereby amended so that, as amended, Section 4(b) of the Note reads as follows:

 

(b)       Conversion Price. The Conversion Price of the Common Stock into which the Principal Amount, or the then outstanding interest due thereon, of this Note is convertible shall be $0.008 per share (subject to adjustments as described herein). In the event the Company (i) makes a distribution or distributions on Common Shares payable in Common Shares or any Common Share Equivalents(which, for avoidance of doubt, shall not include any Common Shares issued by the Company upon conversion of, or payment of interest on, the Notes), (ii) subdivides outstanding Common Shares into a larger number of Common Shares, (iii) combines (including by way of a reverse split) outstanding Common Shares into a smaller number of Common Shares or (iv) issues, in the event of a reclassification of Common Shares, any Common Shares of the Company, then the Conversion Price shall be adjusted by multiplying the Conversion Price by a fraction of which the numerator shall be the number of Common Shares outstanding immediately before such event, and of which the denominator shall be the number of Common Shares outstanding immediately after such event. Any adjustment made pursuant to this Section shall become effective immediately after the record date for the determination of members entitled to receive such distribution and shall become effective immediately after the effective date in the case of a subdivision, combination or re-classification.

 

2.                   Extended Maturity Date. Pursuant to Section 7(i) of the Note, the definition of “Maturity Date,” as defined in the Note, is “March 1, 2023.”

 

3.                   Additional Event of Default. Pursuant to Section 7(i) of the Note, the definition of “Event of Default” is amended to include the following:

 

vi.the closing price of the Common Shares the Trading Market is less than $0.008 per share for ten (10) consecutive Trading Days.

 

4.                   Automatic Extensions in Absence of Event of Default. Pursuant to Section 7(i) of the Note, the following is inserted prior to Section 1:

 

Upon the Maturity Date, if no uncured Event of Default exists on the Note, the Maturity Date of the Note shall automatically extend for one-year periods.

 

5.                   Waiver of Prior Defaults. Upon entering into this Amendment, the Holder hereby waives all “Events of Default” pertaining to the Note, known or unknown to the Holder, by Borrower prior to the date hereof. The Holder also waives all defaults of the Transaction Documents, known or unknown to the Holder by Borrower prior to the date hereof.

 

6.                   Waiver of Future Defaults. Upon entering into this Amendment, the Holder hereby waives all future “Events of Default” pertaining to the timeliness of all future interest payments under the Note; however, all accrued and unpaid interest must be paid upon maturity of the Note. The Holder also waives all future defaults of the Transaction Documents pertaining the timeliness of the Borrower’s filings with the SEC until March 1, 2023 and any automatic extension of the Note.

 

 

 

 2 

 

7.                   No Other Changes. Except as amended hereby, the Transaction Documents will continue to be, and will remain, in full force and effect. Except as provided herein, this Amendment will not be deemed (i) to be a waiver of, or consent to, or a modification or amendment of, any other term or condition of the Note or (ii) to prejudice any right or rights which the Parties may now have or may have in the future under or in connection with the Note or any of the instruments or agreements referred to therein, as the same may be amended, restated, supplemented or otherwise modified from time to time.

 

8.                   Authority; Binding on Successors. The Parties represent that they each have the authority to enter into this Amendment. This Amendment will be binding on, and will inure to the benefit of, the Parties to it and their respective heirs, legal representatives, successors, and assigns.

 

9.                   Governing Law and Venue. This Amendment and the rights and duties of the Parties hereto will be construed and determined in accordance with the terms of the Note.

 

10.                 Incorporation by Reference. The terms of the Note, except as amended by this Amendment, are incorporated herein by reference and will form a part of this Amendment as if set forth herein in their entirety.

 

11.                 Counterparts; Facsimile Execution. This Amendment may be executed in any number of counterparts and all such counterparts taken together will be deemed to constitute one instrument. Delivery of an executed counterpart of this Amendment by facsimile or email will be equally as effective as delivery of a manually executed counterpart of this Amendment.

 

[Signature Page to Follow]

 

 

 

 

 3 

 

 

IN WITNESS WHEREOF, each of the undersigned has executed this Amendment the respective day and year set forth below:

 

BORROWER: IIOT-OXYS, Inc.
     
     
Date:  March 14, 2022 By /s/ Clifford L. Emmons
    Clifford L. Emmons, CEO
     
     
HOLDER:  
     
     
Date:  March 14, 2022 By /s/ Sergey Gogin
    Sergey Gogin, an Individual

 

 

 

 

 

 

 

 

 

 

 4 

 

 

EXHIBIT A

 

12% Senior Secured Convertible Promissory Note dated January 22, 2018, as Amended

 

[See Attached]

 

 

 

 

 

 5 


Exhibit 10.2

 

 

AMENDMENT No. 4 TO 12% SENIOR SECURED CONVERTIBLE PROMISSORY NOTE

 

This Amendment No. 4 to the 12% Senior Secured Convertible Promissory Note (this “Amendment”) dated effective March 1, 2022 is by and between IIOT-OXYS, Inc., a Nevada corporation (the “Borrower”), on the one hand, and YVSGRAMORAH LLC (the “Holder”), on the other hand. The Borrower and the Holder will be referred to individually as a “Party” and collectively as the “Parties.” Any capitalized terms not defined in this Amendment will have the meaning set forth in the 12% Senior Secured Convertible Promissory Note dated March 6, 2019, as amended, issued by the Borrower to the Holder (the “Note”), attached hereto as Exhibit A.

 

RECITALS

 

WHEREAS, on March 6, 2019, the Borrower issued to the Holder the Note in the principal amount of $50,000 (the “Principal Amount”);

 

WHEREAS, the Note is convertible into shares of Common Stock of the Borrower at a rate of $0.10 per share (the “Conversion Price”);

 

WHEREAS, the Note matured on March 1, 2022 (the “Maturity Date”);

 

WHEREAS, the Parties wish to amend the Note to change the Conversion Price to $0.008 per share;

 

WHEREAS, the Parties wish to amend the definition of “Event of Default” to include the price of the Common Stock of the Borrower closing at below $0.008 for ten consecutive “Trading Days;” and

 

WHEREAS, as consideration for lowering the Conversion Price, the Parties wish to (i) extend the Maturity Date of the Note from March 1, 2022 to March 1, 2023; (ii) include an automatic extensions of the Note for one year periods as long as there are no uncured Events of Default on the Maturity Date; and (iii) waive all current “Events of Default” pertaining to the Note and all defaults of the Securities Purchase Agreement dated March 6, 2019 between the Borrower and the Holder (the “SPA”), the Security and Pledge Agreement dated March 6, 2019 between the Borrower and the Holder (the “Security Agreement”), and the Common Stock Purchase Warrant issued March 6, 2019 by the Borrower to the Holder (the “Warrant”) (the Note, the SPA, the Security Agreement, and the Warrant, together, the “Transaction Documents”), and to waive all future “Events of Default” pertaining to the timeliness of all future interest payments under the Note and all future defaults in the Transaction Documents pertaining to the timeliness of the Borrower’s filings with the Securities and Exchange Commission (the “SEC”) until March 1, 2023.

 

THEREFORE, in consideration of the foregoing recitals, mutual covenants contained herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as set forth below.

 

 

 

 1 

 

AGREEMENT

 

1.                   Revised Conversion Price. Pursuant to Section 7(i) of the Note, Section 4(b) of the Note is hereby amended so that, as amended, Section 4(b) of the Note reads as follows:

 

(b)       Conversion Price. The Conversion Price of the Common Stock into which the Principal Amount, or the then outstanding interest due thereon, of this Note is convertible shall be $0.008 per share (subject to adjustments as described herein). In the event the Company (i) makes a distribution or distributions on Common Shares payable in Common Shares or any Common Share Equivalents(which, for avoidance of doubt, shall not include any Common Shares issued by the Company upon conversion of, or payment of interest on, the Notes), (ii) subdivides outstanding Common Shares into a larger number of Common Shares, (iii) combines (including by way of a reverse split) outstanding Common Shares into a smaller number of Common Shares or (iv) issues, in the event of a reclassification of Common Shares, any Common Shares of the Company, then the Conversion Price shall be adjusted by multiplying the Conversion Price by a fraction of which the numerator shall be the number of Common Shares outstanding immediately before such event, and of which the denominator shall be the number of Common Shares outstanding immediately after such event. Any adjustment made pursuant to this Section shall become effective immediately after the record date for the determination of members entitled to receive such distribution and shall become effective immediately after the effective date in the case of a subdivision, combination or re-classification.

 

2.                   Extended Maturity Date. Pursuant to Section 7(i) of the Note, the definition of “Maturity Date,” as defined in the Note, is “March 1, 2023.”

 

3.                   Additional Event of Default. Pursuant to Section 7(i) of the Note, the definition of “Event of Default” is amended to include the following:

 

vi.the closing price of the Common Shares the Trading Market is less than $0.008 per share for ten (10) consecutive Trading Days.

 

4.                   Automatic Extensions in Absence of Event of Default. Pursuant to Section 7(i) of the Note, the following is inserted prior to Section 1:

 

Upon the Maturity Date, if no uncured Event of Default exists on the Note, the Maturity Date of the Note shall automatically extend for one-year periods.

 

5.                   Waiver of Prior Defaults. Upon entering into this Amendment, the Holder hereby waives all “Events of Default” pertaining to the Note, known or unknown to the Holder, by Borrower prior to the date hereof. The Holder also waives all defaults of the Transaction Documents, known or unknown to the Holder by Borrower prior to the date hereof.

 

 

 

 2 

 

6.                   Waiver of Future Defaults. Upon entering into this Amendment, the Holder hereby waives all future “Events of Default” pertaining to the timeliness of all future interest payments under the Note; however, all accrued and unpaid interest must be paid upon maturity of the Note. The Holder also waives all future defaults of the Transaction Documents pertaining the timeliness of the Borrower’s filings with the SEC until March 1, 2023 and any automatic extension of the Note.

 

7.                   No Other Changes. Except as amended hereby, the Transaction Documents will continue to be, and will remain, in full force and effect. Except as provided herein, this Amendment will not be deemed (i) to be a waiver of, or consent to, or a modification or amendment of, any other term or condition of the Note or (ii) to prejudice any right or rights which the Parties may now have or may have in the future under or in connection with the Note or any of the instruments or agreements referred to therein, as the same may be amended, restated, supplemented or otherwise modified from time to time.

 

8.                   Authority; Binding on Successors. The Parties represent that they each have the authority to enter into this Amendment. This Amendment will be binding on, and will inure to the benefit of, the Parties to it and their respective heirs, legal representatives, successors, and assigns.

 

9.                   Governing Law and Venue. This Amendment and the rights and duties of the Parties hereto will be construed and determined in accordance with the terms of the Note.

 

10.                 Incorporation by Reference. The terms of the Note, except as amended by this Amendment, are incorporated herein by reference and will form a part of this Amendment as if set forth herein in their entirety.

 

11.                 Counterparts; Facsimile Execution. This Amendment may be executed in any number of counterparts and all such counterparts taken together will be deemed to constitute one instrument. Delivery of an executed counterpart of this Amendment by facsimile or email will be equally as effective as delivery of a manually executed counterpart of this Amendment.

 

[Signature Page to Follow]

 

 

 

 3 

 

 

 

IN WITNESS WHEREOF, each of the undersigned has executed this Amendment the respective day and year set forth below:

 

BORROWER: IIOT-OXYS, Inc.
     
     
Date:  March 14, 2022 By /s/ Clifford L. Emmons
    Clifford L. Emmons, CEO
     
     
HOLDER: YVSGRAMORAH LLC
     
     
Date:  March 14, 2022 By /s/ Sergey Gogin
    Sergey Gogin, President

 

 

 

 

 

 

 

 

 

 

 

 

 4 

 

 

EXHIBIT A

 

12% Senior Secured Convertible Promissory Note dated March 6, 2019, as Amended

 

[See Attached]

 

 

 

 

 

 

 

 

 

 

 

 

 

 5 


Exhibit 31.1

 

CERTIFICATIONS

 

I, Clifford L. Emmons, certify that:

 

1. I have reviewed this Form 10-Q quarterly report of IIOT-OXYS, Inc. for the quarter ended March 31, 2022;

 

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

 

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

 

4. I am responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

 

  a.

Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under my supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to me by others within those entities, particularly during the period in which this report is being prepared;

 

  b.

Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under my supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

 

  c.

Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

 

  d. Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

 

5. I have disclosed, based on my most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

 

  a.

All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

 

  b. Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

 

Date:  May 16, 2022    
       
/s/ Clifford L. Emmons      
Clifford L. Emmons, Chief Executive Officer      
(Principal Executive & Financial Officer)      

 

 


Exhibit 32.1

 

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

 

In connection with the quarterly report of IIOT-OXYS, Inc. (the “Company”) on Form 10-Q for the quarter ended March 31, 2022, as filed with the Securities and Exchange Commission (the “Report”), the undersigned principal executive and principal financial officer of the Company, hereby certifies pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

 

  (1) the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
     
  (2) the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

  

 

Date:  May 16, 2022    
       
/s/ Clifford L. Emmons      
Clifford L. Emmons, Chief Executive Officer      
(Principal Executive & Financial Officer)      

 

 


itox-20220331.xsd
Attachment: XBRL SCHEMA FILE


itox-20220331_cal.xml
Attachment: XBRL CALCULATION FILE


itox-20220331_def.xml
Attachment: XBRL DEFINITION FILE


itox-20220331_lab.xml
Attachment: XBRL LABEL FILE


itox-20220331_pre.xml
Attachment: XBRL PRESENTATION FILE