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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
(Amendment No. 2)
Under the Securities Exchange Act of 1934
FORWARD INDUSTRIES, INC.
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(Name of Issuer)
COMMON STOCK (.01 PAR VALUE)
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(Title of Class of Securities)
34986210
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(CUSIP Number)
Kenneth Koch, Esq.
Squadron, Ellenoff, Plesent & Sheinfeld, LLP
551 FIFTH AVENUE, NEW YORK, NY 10176
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(Name, Address and Telephone Number of Person Authorized to Receive Notices
and Communications)
DECEMBER 4, 1998
------------------------------
(Date of event which Requires Filing of this Statement)
If the filing person has previously filed a statement on Schedule 13G to report
the acquisition which is the subject of this Schedule 13D, and is filing this
schedule because of Rule 13d-1(b)(3) or (4), check the following box: / /
NOTE: Six copies of this statement, including all exhibits, should be filed with
the Commission. See Rule 13d-1(a) for other parties to whom copies are to be
sent.
* THE REMAINDER OF THIS COVER PAGE SHALL BE FILLED OUT FOR A REPORTING PERSON'S
INITIAL FILING ON THIS FORM WITH RESPECT TO THE SUBJECT CLASS OF SECURITIES, AND
FOR ANY SUBSEQUENT AMENDMENT CONTAINING INFORMATION WHICH WOULD ALTER
DISCLOSURES PROVIDED IN A PRIOR COVER PAGE.
THE INFORMATION REQUIRED ON THE REMAINDER OF THIS COVER PAGE SHALL NOT BE DEEMED
TO BE "FILED" FOR THE PURPOSE OF SECTION 18 OF THE SECURITIES EXCHANGE ACT OF
1934 ("Act") OR OTHERWISE SUBJECT TO THE LIABILITIES OF THAT SECTION OF THE ACT
BUT SHALL BE SUBJECT TO ALL OTHER PROVISIONS OF THE ACT (HOWEVER, SEE THE
NOTES).
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CUSIP NO. 34986210
1 Name of Reporting Person Robert S. Ellin
S.S. or I.R.S. Identification No.
of Above Person
__________________________________________________________________________
2 Check the Appropriate Box if (a) [ ]
a Member of a Group (b) [X]
__________________________________________________________________________
3 SEC Use Only
__________________________________________________________________________
4 Source of Funds PF
__________________________________________________________________________
5 Check if Disclosure of Legal Proceedings
is Required Pursuant to Items 2(d) or 2(e) [ ]
__________________________________________________________________________
6 Citizenship or Place of Organization U.S.A.
__________________________________________________________________________
7 Sole Voting Power 305,500 shares including
216,000 shares underlying
warrants
________________________________________________________
Number of Shares 8 Shared Voting Power 1,029,450 shares
including 571,950 shares
underlying warrants
Beneficially Owned by ________________________________________________________
Reporting Person With
9 Sole Dispositive Power 305,500 shares including
216,000 shares underlying
warrants
________________________________________________________
10 Shared Dispositive Power 1,029,450 shares
including 571,950 shares
underlying warrants
___________________________________________________________________________
11 Aggregate Amount Beneficially
Owned By Each Reporting Person 1,334,950 shares
___________________________________________________________________________
12 Check box if the aggregate Amount
in Row (11) Excludes Certain Shares [X]
___________________________________________________________________________
13 Percent of Class Represented
Amount in Row (11) 19.9%
___________________________________________________________________________
14 Type of Reporting Person IN
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CUSIP NO. 34986210
1 Name of Reporting Person Robert Ellin Family 1997 Trust
S.S. or I.R.S. Identification No.
of Above Person
___________________________________________________________________________
2 Check the Appropriate Box if (a) [ ]
a Member of a Group (b) [X]
___________________________________________________________________________
3 SEC Use Only
___________________________________________________________________________
4 Source of Funds PF
___________________________________________________________________________
5 Check if Disclosure of Legal Proceedings
is Required Pursuant to Items 2(d) or 2(e) [ ]
___________________________________________________________________________
6 Citizenship or Place of Organization U.S.A.
___________________________________________________________________________
7 Sole Voting Power 37,500 shares
____________________________________________________
Number of Shares 8 Shared Voting Power
Beneficially Owned by ____________________________________________________
Reporting Person With
9 Sole Dispositive Power 37,500 shares
____________________________________________________
10 Shared Dispositive Power
___________________________________________________________________________
11 Aggregate Amount Beneficially
Owned By Each Reporting Person 37,500 shares
___________________________________________________________________________
12 Check box if the aggregate Amount
in Row (11) Excludes Certain Shares [ ]
___________________________________________________________________________
13 Percent of Class Represented
Amount in Row (11) 0.6%
___________________________________________________________________________
14 Type of Reporting Person 00
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CUSIP NO. 34986210
1 Name of Reporting Person Atlantis Equities, Inc.
S.S. or I.R.S. Identification No.
of Above Person
___________________________________________________________________________
2 Check the Appropriate Box if (a) [ ]
a Member of a Group (b) [X]
___________________________________________________________________________
3 SEC Use Only
___________________________________________________________________________
4 Source of Funds WC
___________________________________________________________________________
5 Check if Disclosure of Legal Proceedings
is Required Pursuant to Items 2(d) or 2(e) [ ]
___________________________________________________________________________
6 Citizenship or Place of Organization New York
___________________________________________________________________________
7 Sole Voting Power
____________________________________________________
Number of Shares 8 Shared Voting Power 321,450 shares including
121,950 shares underlying
warrants
Beneficially Owned by ____________________________________________________
Reporting Person With
9 Sole Dispositive Power
____________________________________________________
10 Shared Dispositive Power 321,450 shares including
121,950 shares underlying
warrants
___________________________________________________________________________
11 Aggregate Amount Beneficially
Owned By Each Reporting Person 321,450 shares
___________________________________________________________________________
12 Check box if the aggregate Amount
in Row (11) Excludes Certain Shares [ ]
___________________________________________________________________________
13 Percent of Class Represented
Amount in Row (11) 5.3%
___________________________________________________________________________
14 Type of Reporting Person CO
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CUSIP NO. 34986210
1 Name of Reporting Person Robert Ellin Profit Sharing Plan
S.S. or I.R.S. Identification No.
of Above Person
___________________________________________________________________________
2 Check the Appropriate Box if (a) [ ]
a Member of a Group (b) [X]
___________________________________________________________________________
3 SEC Use Only
___________________________________________________________________________
4 Source of Funds 00
___________________________________________________________________________
5 Check if Disclosure of Legal Proceedings
is Required Pursuant to Items 2(d) or 2(e) [ ]
___________________________________________________________________________
6 Citizenship or Place of Organization U.S.A.
___________________________________________________________________________
7 Sole Voting Power
____________________________________________________
Number of Shares 8 Shared Voting Power 433,000 shares including
285,000 shares underlying
warrants
Beneficially Owned by ____________________________________________________
Reporting Person With
9 Sole Dispositive Power
____________________________________________________
10 Shared Dispositive Power 433,000 shares including
285,000 shares underlying
warrants
____________________________________________________
11 Aggregate Amount Beneficially
Owned By Each Reporting Person 433,000 shares
___________________________________________________________________________
12 Check box if the aggregate Amount
in Row (11) Excludes Certain Shares [ ]
___________________________________________________________________________
13 Percent of Class Represented
Amount in Row (11) 7.0%
___________________________________________________________________________
14 Type of Reporting Person EP
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CUSIP NO. 34986210
1 Name of Reporting Person Nancy J. Ellin
S.S. or I.R.S. Identification No.
of Above Person
___________________________________________________________________________
2 Check the Appropriate Box if (a) [ ]
a Member of a Group (b) [X]
___________________________________________________________________________
3 SEC Use Only
___________________________________________________________________________
4 Source of Funds PF
___________________________________________________________________________
5 Check if Disclosure of Legal Proceedings
is Required Pursuant to Items 2(d) or 2(e) [ ]
___________________________________________________________________________
6 Citizenship or Place of Organization U.S.A.
__________________________________________________________________________
7 Sole Voting Power
____________________________________________________
Number of Shares 8 Shared Voting Power 275,000 shares including
165,000 shares underlying
warrants
Beneficially Owned by ____________________________________________________
Reporting Person With
9 Sole Dispositive Power
____________________________________________________
10 Shared Dispositive Power 275,000 shares including
165,000 shares underlying
warrants
____________________________________________________
11 Aggregate Amount Beneficially
Owned By Each Reporting Person 275,000 shares
___________________________________________________________________________
12 Check box if the aggregate Amount
in Row (11) Excludes Certain Shares [ ]
___________________________________________________________________________
13 Percent of Class Represented
Amount in Row (11) 4.5%
___________________________________________________________________________
14 Type of Reporting Person IN
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This Amendment No. 2 to Schedule 13D ("Amendment No. 2"), amends the
Schedule 13D filed in September 1998 (the "Original 13D"), as amended by
Amendment No. 1 filed in October 1998 ("Amendment No.1"), filed by Robert S.
Ellin, Robert Ellin Family 1997 Trust, Atlantis Equities, Inc. and Robert Ellin
Profit Sharing Plan (the "Filing Persons") and relates to the common stock, par
value $.01 per share ("Common Stock"), of Forward Industries, Inc., a New York
corporation (the "Company"). Nancy J. Ellin, the wife of Robert S. Ellin,
joins the Filing Persons as a reporting person for this Amendment No. 2 .
Capitalized terms used herein and not defined herein shall have the
meanings ascribed to them in the Original 13D and Amendment No. 1.
Item 2. IDENTITY AND BACKGROUND.
(a) The name of the persons filing (the "Filing Persons") this Schedule
are Robert S. Ellin ("Ellin"), Robert Ellin Profit Sharing Plan (the
"Plan"), Atlantis Equities, Inc. ("Atlantis"), Robert Ellin Family
1997 Trust (the "Trust") and Mr. Ellin's wife, Nancy J. Ellin ("Ms.
Ellin").
(b) The address of Ms. Ellin is 350 East 79th Street, Apt. 38A, New York,
New York 10021.
Item 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION.
The source of the funds used for purchases made by Ms. Ellin was
personal funds and the source of funds for the Plan was funds contributed by or
for the benefit of the beneficiaries thereof. See Item 5(a).
Item 4. PURPOSE OF TRANSACTION.
Except as provided herein, the Filing Persons have no plans or
proposals which would relate to or would result in:
(a) the acquisition by any person of additional securities of the
Company, or the disposition of securities of the Company;
(b) an extraordinary corporate transaction, such as a merger,
reorganization or liquidation, involving the Company;
(c) a sale or transfer of a material amount of assets of the Company;
(d) any change in the present board of directors or management of the
Company;
(e) any material change in the present capitalization or dividend
policy of the Company;
(f) any other material change in the Company's business or corporate
structure;
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(g) changes in the Company's charter, bylaws or instruments
corresponding thereto or other actions which may impede the acquisition of
control of the Company by any person;
(h) causing a class of securities of the Company to be delisted from
a national securities exchange or cease to be authorized to be quoted on an
inter-dealer quotation system of a registered national securities association;
(i) a class of equity securities of the Company becoming eligible for
termination of registration pursuant to Section 12(g)(4) of the Securities Act
of 1933; or
(j) any action similar to those enumerated above.
The Filing Persons intend to evaluate their investments in the securities
of the Company and may, from time to time, acquire additional such securities or
dispose of such securities.
Item 5. INTEREST IN SECURITIES OF THE ISSUER.
Item 5 is hereby amended and supplemented by adding the following thereto:
(a) On December 3, 1998, the Company exercised its option to convert
the Notes into Common Stock and Private Placement Warrants. Mr. Ellin owned
$36,000 principal amount of the Notes which converted into 72,000 shares of
Common Stock and Private Placement Warrants to purchase 108,000 shares of Common
Stock. Atlantis owned $5,000 principal amount of the Notes which converted into
10,000 shares of Common Stock and Private Placement Warrants to purchase 15,000
shares of Common Stock. The Plan owned $25,000 principal amount of Notes which
converted into 50,000 shares of Common Stock and Private Placement Warrants to
purchase 75,000 shares of Common Stock.
In addition, on December 2, 1998, (i) Ms. Ellin purchased (for
$55,000) $55,000 principal amount of Notes from the Company which converted into
110,000 shares of Common Stock and Private Placement Warrants to purchase
165,000 shares of Common Stock and (ii) the Plan purchased (for $45,000) $45,000
principal amount of Notes from the Company which converted into 90,000 shares of
Common Stock and Private Placement Warrants to purchase 135,000 shares of Common
Stock. All holders of such shares of Common Stock and Private Placement
Warrants converted from the Notes have agreed not to sell or otherwise dispose
of such shares and warrants for a period of one year, without the Company's
consent.
These equity securities, in addition to the 416,000 shares of Common
Stock previously reported as beneficially owned by the Filing Persons in
Amendment No.1 (a total of 1,372,450 shares), represent approximately 20.5% of
the outstanding shares of Common Stock of the Company. In addition, the Class B
Warrants are scheduled to expire on December 31, 1998.
(b) Ms. Ellin shares the power to vote and dispose of the Common
Stock owned by her with Mr. Ellin. Mr. Ellin disclaims beneficial ownership of
the Common Stock owned by Ms. Ellin.
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Item 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH RESPECT
TO SECURITIES OF THE ISSUER.
As noted in Item 5, the Filing Persons have agreed, for a period of one
year, not to sell or otherwise dispose of securities received upon conversion of
the Notes, without the Company's consent.
Mr. Ellin is currently in negotiations with the Company concerning his
becoming a consultant to the Company; however, the Company and Mr. Ellin have
not reached any agreement as to any such consulting agreement and there can be
no assurance that any such agreement will be reached. In November, 1998, Mr.
Ellin received a fee of $40,000 in connection with his recruitment of Jerome E.
Ball as the Company's Chief Executive Officer.
In addition, Mr. Ellin has discussed with the Company extending the Class B
Warrants and lowering the exercise price thereof.
Item 7. MATERIALS TO BE FILED AS EXHIBITS.
1. Joint Filing Agreement
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SIGNATURE
After reasonable inquiry and to the best of my knowledge and belief, the
undersigned certifies that the information set forth in this statement is true,
correct and complete.
Dated: December 14, 1998 /s/ Robert S. Ellin
-----------------------------------
Robert S. Ellin
ROBERT ELLIN FAMILY 1997 TRUST
By: /s/ Marvin Ellin, Trustee
--------------------------------
Marvin Ellin, Trustee
ATLANTIS EQUITIES, INC.,
By: /s/ Robert S. Ellin
--------------------------------
Robert S. Ellin, President
ROBERT ELLIN PROFIT SHARING PLAN
By: /s/ Robert S. Ellin
--------------------------------
Robert S. Ellin, Trustee
By: /s/ Nancy J. Ellin
--------------------------------
Nancy J. Ellin
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Exhibit 1
The Undersigned agree that this Amendment No. 2 to Schedule 13D with
respect to the Common Stock, par value $.01 per share, of Forward Industries,
Inc., to which this agreement is attached and any amendments thereto are filed
on behalf of them.
This agreement may be executed in any number of counterparts, each of which
shall be deemed to be an original and all of which together shall constitute one
instrument.
Dated: December 14, 1998
/s/ Robert S. Ellin
-----------------------------------
Robert S. Ellin
ROBERT ELLIN 1997 FAMILY TRUST
By: /s/ Marvin Ellin, Trustee
--------------------------------
Marvin Ellin, Trustee
ATLANTIS EQUITIES, INC.,
By: /s/ Robert S. Ellin
--------------------------------
Robert S. Ellin, President
ROBERT ELLIN 1997 PROFIT SHARING
PLAN
By: /s/ Robert S. Ellin
--------------------------------
Robert S. Ellin, Trustee
/s/ Nancy J. Ellin
--------------------------------
Nancy J. Ellin
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