Company: EHSI
Filing Date: 2025-09-02
Form Type: PRE 14A
Source: 0001437749-25-028137
Chunk: 29

Company: Elite Health Systems Inc.
Filing Date: 2025-09-02
Form: PRE 14A
Chunk 29
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, or person sharing the household with, any of these individuals, had or will have a direct or indirect material interest during the last two completed fiscal years or that is currently proposed.

As currently proposed and set further in further detail in Proposal Four, the Company has been in discussion with, and proposed to move forward with, PSS regarding a prospective stock exchange transaction, pursuant to which the Company will be issuing 3,158,000 shares of the Company’s common stock to the current shareholders of PSS in exchange for all current issued and outstanding capital stock of PSS.

The prospective PSS transaction is a related party transaction as defined in Item 404(a) of Regulation S-K as Dr. Jeereddi serves as the CEO of the Company and, collectively with his immediate family member, owns 90% of the outstanding capital stock of PSS. Dr. Jeereddi’s immediate family member also serves as the executive officer of PSS and is participating in the negotiation of the prospective PSS transaction. The remaining 10% is owned by an officer of PSS.

REPORT OF THE AUDIT COMMITTEE

The material in this report is not “soliciting material”, is not deemed filed with the SEC, and is not to be incorporated by reference in any of our filings under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, whether made before or after the date hereof and irrespective of any general incorporation language in such filing.

The Audit Committee's role includes the oversight of our financial, accounting and reporting processes, our system of internal accounting and financial controls and our compliance with related legal and regulatory requirements, the appointment, engagement, termination and oversight of our independent auditors, including conducting a review of their independence, reviewing and approving the planned scope of our annual audit, overseeing the independent auditors' audit work, reviewing and pre-approving any audit and non-audit services that may be performed by them, reviewing with management and our independent auditors the adequacy of our internal financial controls, and reviewing our critical accounting policies and the application of accounting principles. The Audit Committee held one meeting since its formation in November 2024.

Messrs. Leimkuhler, St. Lawrence and Gold meet the rules of the SEC for audit committee membership and are "independent" as that term is used in Rule 10A-3 under the Exchange Act and under Nasdaq listing standards. A copy of the Audit Committee Charter is available on Elite’s website