UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE 13G
Under the Securities Exchange Act of 1934
Network-1 Security Solutions, Inc.
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(Name of Issuer)
Common Stock, $.01 par value
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(Title of Class of Securities)
64121N 10 9
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(CUSIP Number)
November 12, 1998
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(Date of Event Which Requires Filing of this Statement)
Check the appropriate box to designate the rule pursuant to which this Schedule
is filed:
|_| Rule 13d-1(b)
|_| Rule 13d-1(c)
|X| Rule 13d-1(d)
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SCHEDULE 13G
CUSIP No. 64121N 10 9
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Page 2 of 7 Pages
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1) NAMES OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Corey M. Horowitz
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2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) |_|
(b) |_|
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3) SEC USE ONLY
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4) CITIZENSHIP OR PLACE OF ORGANIZATION
USA
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5) SOLE VOTING POWER
NUMBER 392,752
OF --------------------------------------------------------
SHARES 6) SHARED VOTING POWER
BENEFICIALLY 565,751 (See Item 4)
OWNED BY --------------------------------------------------------
EACH 7) SOLE DISPOSITIVE POWER
REPORTING 392,752
PERSON --------------------------------------------------------
WITH: 8) SHARED DISPOSITIVE POWER
565,751 (See Item 4)
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9) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
958,503 (See Item 4)
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10) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES
|_|
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11) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
21.1% (See Item 4)
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12) TYPE OF REPORTING PERSON
IN
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SCHEDULE 13G
CUSIP No. 64121N 10 9
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Page 3 of 7 Pages
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1) NAMES OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
CMH Capital Management Corp.
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2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) |_|
(b) |_|
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3) SEC USE ONLY
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4) CITIZENSHIP OR PLACE OF ORGANIZATION
New York
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5) SOLE VOTING POWER
NUMBER 212,931
OF --------------------------------------------------------
SHARES 6) SHARED VOTING POWER
BENEFICIALLY 322,820 (See Item 4)
OWNED BY --------------------------------------------------------
EACH 7) SOLE DISPOSITIVE POWER
REPORTING 212,931
PERSON --------------------------------------------------------
WITH: 8) SHARED DISPOSITIVE POWER
322,820 (See Item 4)
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9) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
565,751 (See Item 4)
- --------------------------------------------------------------------------------
10) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES
|_|
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11) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
12.5% (See Item 4)
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12) TYPE OF REPORTING PERSON
CO
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Schedule 13G
Item 1(a). Name of Issuer:
Network-1 Security Solutions, Inc.
Item 1(b). Address of Issuer's Principal Executive Offices:
Reservoir Place, 1601 Trapelo Road, Waltham, Massachusetts 02451
Item 2(a). Name of Person Filing:
This Statement is being filed by Corey Horowitz and CMH Capital
Management Corp.
Item 2(b). Address of Principal Business Office or, if None, Residence:
The address of the principal business office of Corey Horowitz is
c/o CMH Capital Management Corp., 885 Third Avenue, New York, New York 10022.
The address of the principal business office of CMH Capital Management Corp. is
885 Third Avenue, New York, New York 10022.
Item 2(c). Citizenship:
Corey Horowitz is a citizen of the United States of America. CMH
Capital Management Corp. is a New York corporation.
Item 2(d). Title of Class of Securities:
Common Stock, par value $.01 per share
Item 2(e). CUSIP Number:
64121N 10 9
Item 3. If this statement is filed pursuant to Rule 13d-1(b), or 13d-2(b) or
(c), check whether the person filing is a:
(a) |_| Broker or dealer registered under Section 15 of the
Exchange Act.
(b) |_| Bank as defined in Section 3(a)(6) of the Exchange Act.
(c) |_| Insurance company as defined in Section 3(a)(19) of the
Exchange Act.
(d) |_| Investment company registered under Section 8 of the
Investment Company Act.
(e) |_| Investment adviser in accordance with Rule 13d-1(b)(1)
(ii)(E).
(f) |_| Employee benefit plan or endowment fund in accordance
with Rule 13d-1(b)(1)(ii)(F).
(g) |_| Parent holding company or control person in accordance
with Rule 13d-1(b)(ii)(G).
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(h) |_| Savings association as defined in Section 3(b) of the
Federal Deposit Insurance Act.
(i) |_| Church plan that is excluded from the definition of an
investment company under Section 3(c)(14) of the
Investment Company Act.
(j) |_| Group, in accordance with Rule 13d-1(b)(ii)(J).
Item 4. Ownership.
(a)-(b) Corey Horowitz beneficially owns an aggregate of 958,503 shares of
Common Stock, representing approximately 21.1% of the Common Stock outstanding.
Mr. Horowitz is the record holder of 392,752 of such shares of Common Stock,
representing approximately 9.0% of the Common Stock outstanding. CMH Capital
Management Corp. ("CMH"), a corporation whose sole stockholder and officer is
Mr. Horowitz, beneficially owns 565,751 of such shares of Common Stock,
representing approximately 12.5% of the Common Stock outstanding, of which (i)
CMH is the record holder of 212,931 shares of Common Stock, representing
approximately 4.7% of the Common Stock outstanding, (ii) Pisces Investors, L.P.
("Pisces Investors"), a limited partnership whose general partner is CMH, is the
record holder of 206,933 shares of Common Stock, representing approximately 4.7%
of the Common Stock outstanding and (iii) Security Partners, L.P. ("Security
Partners"), a limited partnership whose general partner is CMH and one of whose
limited partners is Mr. Horowitz, is the record holder of 145,887 shares of
Common Stock, representing approximately 3.3% of the Common Stock outstanding.
(c) By reason of its position as general partner of Pisces Investors and
Security Partners, CMH may be deemed to possess the power to vote and dispose of
the shares of Common Stock of Pisces Investors and Security Partners. By reason
of his position as sole stockholder and officer of CMH, Mr. Horowitz may be
deemed to possess the power to vote and dispose of the shares of Common Stock
owned by CMH, Pisces Investors and Security Partners. Pursuant to Rule 13d-4
promulgated under the Securities Exchange Act of 1934, as amended, each of Mr.
Horowitz and CMH disclaims beneficial ownership of the shares of Common Stock
owned by Pisces Investors and Security Partners, except to the extent of their
equity interests therein.
Item 5. Ownership of Five Percent or Less of a Class.
Not applicable
Item 6. Ownership of More than Five Percent on Behalf of Another Person.
Not applicable
Item 7. Identification and Classification of the Subsidiary Which Acquired
the Security Being Reported on by the Parent Holding Company.
Not applicable
Item 8. Identification and Classification of Members of the Group.
Not applicable
Item 9. Notice of Dissolution of Group.
Not applicable
Item 10. Certification.
Not applicable.
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SIGNATURE
After reasonable inquiry and to the best of my knowledge and belief,
I certify that the information set forth in this statement is true, complete and
correct.
Date: February 12, 1999
/s/Corey M. Horowitz
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Corey M. Horowitz
CMH CAPITAL MANAGEMENT CORP.
By: /s/Corey M. Horowitz
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Corey M. Horowitz, President
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EXHIBIT 1
AGREEMENT OF JOINT FILING
Pursuant to Rule 13d-1(k) promulgated under the Securities Exchange
Act of 1934, as amended, the undersigned persons hereby agree to file with the
Securities and Exchange Commission the Statement on Schedule 13G (the
"Statement") to which this Agreement is attached as an exhibit, and agree that
such Statement, as so filed, is filed on behalf of each of them.
IN WITNESS WHEREOF, the undersigned have executed this Agreement as
of February 12, 1999.
/s/Corey M. Horowitz
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Corey M. Horowitz
CMH CAPITAL MANAGEMENT CORP.
By: /s/Corey M. Horowitz
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Corey M. Horowitz, President
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