Intrusion settles shareholder derivative suit; adopts governance reforms, $250K fee paid by insurance

INTRUSION INC

Settlement of derivative action filed June 2022; court approval hearing set for April 3, 2024.
Company to adopt governance reforms including audit committee enhancements, insider trading controls, and lead independent director.
$250,000 attorneys' fees paid by insurance; no direct cash cost to Intrusion.
Reforms remain in effect at least 3 years; independent consultant to review internal controls annually.

Key facts

Extracted from this filing and checked against the source text.

Governance Changes SEC 8-K Item 5.03/5.05/5.06 confidence 0.9

INTRUSION INC: Amended and restated bylaws to require a lead independent director when CEO and Chairman roles are held by the same person.

Change: bylaw amendment

Exact text from the filing

The Company also agreed to adopt amended and restated bylaws providing that when the Company’s Chief Executive Officer and Chairman of the Board of Directors of the Company are the same individual, the Company will designate a lead independent director.

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Material Agreements SEC 8-K Item 1.01/1.02 confidence 0.7

INTRUSION INC entered into Stipulation of Compromise and Settlement with Nathan Prawitt valued at $250,000 (effective 2023-09-28).

Action: entry
Agreement: settlement
Counterparty: Nathan Prawitt
Value: $250,000
Effective: 2023-09-28

Exact text from the filing

As previously disclosed, on September 28, 2023, the Company agreed to the terms of a settlement contained in that certain Stipulation of Compromise and Settlement ("Settlement Agreement")

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59 governance changes filed in the last 30 days. Browse all governance changes →

INTRUSION INC filing history →

Source: SEC EDGAR

accession 0001683168-24-000148

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