secwatch.observer — SEC 8-K summary
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Issuer:     SCWorx Corp. (WORX)
CIK:        0001674227
Form:       8-K
Filed at:   2022-06-08T23:59:59+00:00
Accession:  0001213900-22-031757
Event type: regulatory
Sentiment:  negative
Materiality: 0.70
Item codes: 8.01, 9.01
LLM model:  deepseek-v4-flash:cloud@v2

SCWorx settles SEC charges over COVID-19 test kit claims; pays $125K penalty and $503K disgorgement via stock
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- SEC charged SCWorx and former CEO Schessel with false/misleading statements about COVID-19 rapid test kit distribution in April 2020.
- Settlement includes permanent injunctions, $125,000 penalty, disgorgement of $471,000, and prejudgment interest of $32,761.56.
- SCWorx to satisfy disgorgement and interest by issuing $600,000 in stock to harmed investors in the Yannes class action.
- Company recorded full accrual for penalty in Q1 2022; no admission or denial of allegations.
- CEO Hannibal states resolution allows focus on healthcare data management services.

Source:
  EDGAR index:    https://www.sec.gov/Archives/edgar/data/1674227/000121390022031757/0001213900-22-031757-index.htm
  Primary doc:    https://www.sec.gov/Archives/edgar/data/1674227/000121390022031757/ea161334-8k_scworx.htm
  HTML page:      https://secwatch.observer/filing/0001213900-22-031757

License: Source filings: public domain (SEC EDGAR). Summaries (headline + bullets): CC-BY-4.0; attribute https://secwatch.observer