SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
--------------
SCHEDULE 13D
(Rule 13d-101)
INFORMATION TO BE INCLUDED IN STATEMENTS FILED
PURSUANT TO RULE 13d-1(a) AND AMENDMENTS
THERETO FILED PURSUANT TO RULE 13d-2(a)
(Amendment No. 5)(1)
QUERYOBJECT SYSTEMS CORPORATION
- --------------------------------------------------------------------------------
(Name of issuer)
COMMON STOCK
- --------------------------------------------------------------------------------
(Title of class of securities)
74833H 10 0
- --------------------------------------------------------------------------------
(CUSIP number)
STEVEN WOLOSKY, ESQ.
OLSHAN GRUNDMAN FROME ROSENZWEIG & WOLOSKY LLP
505 Park Avenue
New York, New York 10022
(212) 753-7200
- --------------------------------------------------------------------------------
(Name, address and telephone number of person
authorized to receive notices and communications)
December 10, 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 that is the subject of this Schedule 13D, and is
filing this schedule because of Rule 13d-1(e), 13d-1(f) or 13d-1(g), check the
following box / /.
Note. The Schedules filed in paper format shall include a signed
original and five copies of the schedule, including all exhibits. See Rule
13d-7(b) for other parties to whom copies are to be sent.
(Continued on following pages)
(Page 1 of 31 Pages)
- --------
(1) 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 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).
<PAGE>
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CUSIP No. 74833H 10 0 13D Page 2 of 31 Pages
- --------------------------------- ------------------------------
================================================================================
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Wheatley Partners, L.P.
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / /
(b) / /
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC, OO
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e) / /
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES
BENEFICIALLY 4,162,123(1) shares
OWNED BY ----------------------------------------------------------------
EACH
REPORTING
PERSON WITH
8 SHARED VOTING POWER
353,571(2) shares
----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
4,162,123(1) shares
----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
353,571(2) shares
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
4,515,694(1)(2) shares
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* / /
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
50.0%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
(1) Includes (i) 1,385,879 shares of Common Stock issuable upon exercise of
warrants and (ii) 2,208,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock held by Wheatley
Partners, L.P.
(2) Includes (i) 120,371 shares of Common Stock issuable upon exercise of
warrants and (ii) 192,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock held by Wheatley
Foreign Partners, L.P., of which Wheatley Partners, L.P. disclaims
beneficial ownership.
<PAGE>
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CUSIP No. 74833H 10 0 13D Page 3 of 31 Pages
- --------------------------------- ------------------------------
================================================================================
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Barry Rubenstein
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / /
(b) / /
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
PF, OO
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e) / /
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES
BENEFICIALLY 381,250(1) shares
OWNED BY ---------------------------------------------------------------
EACH
REPORTING
PERSON WITH
8 SHARED VOTING POWER
5,563,006(2) shares
----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
381,250(1) shares
----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
5,563,006(2) shares
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
5,944,256(1)(2) shares
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* / /
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
58.3%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
IN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
(1) Consists of (i) 56,250 shares of Common Stock issuable upon exercise of
options, (ii) 125,000 shares of Common Stock issuable upon exercise of
warrants and (iii) 200,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock held by Mr.
Rubenstein.
<PAGE>
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CUSIP No. 74833H 10 0 13D Page 4 of 31 Pages
- --------------------------------- ------------------------------
(2) Includes (a) 3,125 shares of Common Stock issuable upon exercise of
warrants held by Woodland Partners, (b)(i) 115,625 shares of Common
Stock issuable upon exercise of warrants, (ii) 100,000 shares of Common
Stock issuable upon conversion of shares of Series A Preferred Stock
and (iii) 80,000 shares of Common Stock issuable upon conversion of
shares of Series B Preferred Stock, all of which is held by Woodland
Venture Fund, (c)(i) 115,625 shares of Common Stock issuable upon
exercise of warrants, (ii) 100,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock and (iii) 80,000
shares of Common Stock issuable upon conversion of shares of Series B
Preferred Stock, all of which is held by Seneca Ventures, (d)(i)
1,385,879 shares of Common Stock issuable upon exercise of warrants and
(ii) 2,208,000 shares of Common Stock issuable upon conversion of
shares of Series A Preferred Stock, all of which is held by Wheatley
Partners, L.P., (e)(i) 120,371 shares of Common Stock issuable upon
exercise of warrants and (ii) 192,000 shares of Common Stock issuable
upon conversion of shares of Series A Preferred Stock, all of which is
held by Wheatley Foreign Partners, L.P., and (f) 200,000 shares of
Common Stock issuable upon exercise of options held by Rev-Wood
Merchant Partners. Mr. Rubenstein disclaims beneficial ownership of the
securities held by Woodland Partners, Woodland Venture Fund, Seneca
Ventures, Wheatley Partners, L.P., Wheatley Foreign Partners, L.P. and
Rev- Wood Merchant Partners, except to the extent of his respective
equity interest therein.
<PAGE>
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CUSIP No. 74833H 10 0 13D Page 5 of 31 Pages
- --------------------------------- ------------------------------
================================================================================
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Irwin Lieber
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / /
(b) / /
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e) / /
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES
BENEFICIALLY 56,250(1) shares
OWNED BY ----------------------------------------------------------------
EACH
REPORTING
PERSON WITH
8 SHARED VOTING POWER
4,515,694(2) shares
----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
56,250(1) shares
----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
4,515,694(2) shares
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
4,571,944(1)(2) shares
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* / /
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
50.3%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
IN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
(1) Consists of 56,250 shares of Common Stock issuable upon exercise of
options held by Mr. Lieber.
(2) Includes (a)(i) 1,385,879 shares of Common Stock issuable upon exercise
of warrants and (ii) 2,208,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock, all of which is held
by Wheatley Partners, L.P., and (b)(i) 120,371 shares of Common Stock
issuable upon
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 6 of 31 Pages
- --------------------------------- ------------------------------
exercise of warrants and (ii) 192,000 shares of Common Stock issuable
upon conversion of shares of Series A Preferred Stock, all of which is
held by Wheatley Foreign Partners, L.P., of which Mr. Lieber disclaims
beneficial ownership, except to the extent of his respective equity
interest therein.
<PAGE>
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CUSIP No. 74833H 10 0 13D Page 7 of 31 Pages
- --------------------------------- ------------------------------
================================================================================
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Barry Fingerhut
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / /
(b) / /
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e) / /
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES
BENEFICIALLY 0 shares
OWNED BY ----------------------------------------------------------------
EACH
REPORTING
PERSON WITH
8 SHARED VOTING POWER
4,515,694(1) shares
----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
0 shares
----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
4,515,694(1) shares
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
4,515,694(1) shares
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* / /
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
50.0%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
IN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
(1) Includes (a)(i) 1,385,879 shares of Common Stock issuable upon exercise
of warrants and (ii) 2,208,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock, all of which is held
by Wheatley Partners, L.P., and (b)(i) 120,371 shares of Common Stock
issuable upon exercise of warrants and (ii) 192,000 shares of Common
Stock issuable upon conversion of shares of Series A Preferred Stock,
all of which is held by Wheatley Foreign Partners, L.P., of which Mr.
Fingerhut disclaims beneficial ownership, except to the extent of his
respective equity interest therein.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 8 of 31 Pages
- --------------------------------- ------------------------------
================================================================================
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Wheatley Partners, LLC
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / /
(b) / /
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC, OO
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e) / /
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES
BENEFICIALLY 0 shares
OWNED BY ----------------------------------------------------------------
EACH
REPORTING
PERSON WITH
8 SHARED VOTING POWER
4,515,694(1) shares
----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
0 shares
----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
4,515,694(1) shares
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
4,515,694(1) shares
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* / /
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
50.0%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
OO
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
(1) Includes (a)(i) 1,385,879 shares of Common Stock issuable upon exercise
of warrants and (ii) 2,208,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock, all of which is held
by Wheatley Partners, L.P., and (b)(i) 120,371 shares of Common Stock
issuable upon exercise of warrants and (ii) 192,000 shares of Common
Stock issuable upon conversion of shares of Series A Preferred Stock,
all of which is held by Wheatley Foreign Partners, L.P., of which
Wheatley Partners, LLC disclaims beneficial ownership, except to the
extent of its respective equity interest therein.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 9 of 31 Pages
- --------------------------------- ------------------------------
================================================================================
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Seth Lieber
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / /
(b) / /
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e) / /
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES
BENEFICIALLY 2,084(1) shares
OWNED BY ----------------------------------------------------------------
EACH
REPORTING
PERSON WITH
8 SHARED VOTING POWER
4,515,694(2) shares
----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
2,084(1) shares
----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
4,515,694(2) shares
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
4,517,778(1)(2) shares
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* / /
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
50.0%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
IN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
(1) Consists of 2,084 shares of Common Stock issuable upon exercise of
options held by Mr. Lieber.
(2) Includes (a)(i) 1,385,879 shares of Common Stock issuable upon exercise
of warrants and (ii) 2,208,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock, all of which is held
by Wheatley Partners, L.P., and (b)(i) 120,371 shares of Common Stock
issuable upon
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 10 of 31 Pages
- --------------------------------- ------------------------------
exercise of warrants and (ii) 192,000 shares of Common Stock issuable
upon conversion of shares of Series A Preferred Stock, all of which is
held by Wheatley Foreign Partners, L.P., of which Mr. Lieber disclaims
beneficial ownership, except to the extent of his respective equity
interest therein.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 11 of 31 Pages
- --------------------------------- ------------------------------
================================================================================
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Jonathan Lieber
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / /
(b) / /
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e) / /
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES
BENEFICIALLY 2,084(1) shares
OWNED BY ----------------------------------------------------------------
EACH
REPORTING
PERSON WITH
8 SHARED VOTING POWER
4,515,694(2) shares
----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
2,084(1) shares
----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
4,515,694(2) shares
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
4,517,778(1)(2) shares
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* / /
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
50.0%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
IN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
(1) Consists of 2,084 shares of Common Stock issuable upon exercise of
options held by Mr. Lieber.
(2) Includes (a)(i) 1,385,879 shares of Common Stock issuable upon exercise
of warrants and (ii) 2,208,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock, all of which is held
by Wheatley Partners, L.P., and (b)(i) 120,371 shares of Common Stock
issuable upon
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 12 of 31 Pages
- --------------------------------- ------------------------------
exercise of warrants and (ii) 192,000 shares of Common Stock issuable
upon conversion of shares of Series A Preferred Stock, all of which is
held by Wheatley Foreign Partners, L.P., of which Mr. Lieber disclaims
beneficial ownership, except to the extent of his respective equity
interest therein.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 13 of 31 Pages
- --------------------------------- ------------------------------
================================================================================
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Wheatley Management Ltd.
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / /
(b) / /
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC, OO
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e) / /
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Cayman Islands, B.W.I.
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES
BENEFICIALLY 0 shares
OWNED BY ----------------------------------------------------------------
EACH
REPORTING
PERSON WITH
8 SHARED VOTING POWER
353,571(1) shares
----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
0 shares
----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
353,571(1) shares
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
353,571(1) shares
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* / /
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
6.5%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
OO
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
(1) Includes (i) 120,371 shares of Common Stock issuable upon exercise of
warrants and (ii) 192,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock held by Wheatley
Foreign Partners, L.P., of which Wheatley Management Ltd. disclaims
beneficial ownership, except to the extent of its equity interest
therein.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 14 of 31 Pages
- --------------------------------- ------------------------------
================================================================================
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Wheatley Foreign Partners, L.P.
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / /
(b) / /
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC, OO
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e) / /
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES
BENEFICIALLY 353,571(1) shares
OWNED BY ----------------------------------------------------------------
EACH
REPORTING
PERSON WITH
8 SHARED VOTING POWER
4,162,123(2) shares
----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
353,571(1) shares
----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
4,162,123(2) shares
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
4,515,694(1)(2) shares
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* / /
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
50.0%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
(1) Includes (i) 120,371 shares of Common Stock issuable upon exercise of
warrants and (ii) 192,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock held by Wheatley
Foreign Partners, L.P.
(2) Includes (i) 1,385,879 shares of Common Stock issuable upon exercise of
warrants and (ii) 2,208,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock is held by Wheatley
Partners, L.P., of which Wheatley Foreign Partners, L.P. disclaims
beneficial ownership.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 15 of 31 Pages
- --------------------------------- ------------------------------
================================================================================
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Seneca Ventures
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / /
(b) / /
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC, OO
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e) / /
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
New York
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES
BENEFICIALLY 336,106(1) shares
OWNED BY ----------------------------------------------------------------
EACH
REPORTING
PERSON WITH
8 SHARED VOTING POWER
0 shares
----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
336,106(1) shares
----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
0 shares
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
336,106(1) shares
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* / /
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
6.2%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
(1) Includes (i) 115,625 shares of Common Stock issuable upon exercise of
warrants, (ii) 100,000 shares of Common Stock issuable upon conversion
of shares of Series A Preferred Stock and (iii) 80,000 shares of Common
Stock issuable upon conversion of shares of Series B Preferred Stock
held by Seneca Ventures.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 16 of 31 Pages
- --------------------------------- ------------------------------
================================================================================
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Woodland Venture Fund
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / /
(b) / /
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC, OO
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e) / /
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
New York
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES
BENEFICIALLY 349,600(1) shares
OWNED BY ----------------------------------------------------------------
EACH
REPORTING
PERSON WITH
8 SHARED VOTING POWER
0 shares
----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
349,600(1) shares
----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
0 shares
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
349,600(1) shares
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* / /
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
6.5%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
(1) Includes (i) 115,625 shares of Common Stock issuable upon exercise of
warrants, (ii) 100,000 shares of Common Stock issuable upon conversion
of shares of Series A Preferred Stock and (iii) 80,000 shares of Common
Stock issuable upon conversion of shares of Series B Preferred Stock
held by Woodland Venture Fund.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 17 of 31 Pages
- --------------------------------- ------------------------------
================================================================================
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Woodland Partners
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / /
(b) / /
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC, OO
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e) / /
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
New York
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES
BENEFICIALLY 161,606(1) shares
OWNED BY ----------------------------------------------------------------
EACH
REPORTING
PERSON WITH
8 SHARED VOTING POWER
0 shares
----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
161,606(1) shares
----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
0 shares
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
161,606(1) shares
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* / /
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
3.2%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
(1) Includes 3,125 shares of Common Stock issuable upon exercise of
warrants held by Woodland Partners.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 18 of 31 Pages
- --------------------------------- ------------------------------
================================================================================
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Rev-Wood Merchant Partners
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / /
(b) / /
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e) / /
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
New York
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES
BENEFICIALLY 200,000(1) shares
OWNED BY ----------------------------------------------------------------
EACH
REPORTING
PERSON WITH
8 SHARED VOTING POWER
0
----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
200,000(1) shares
----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
0
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
200,000(1) shares
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* / /
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
3.8%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
(1) Consists of 200,000 shares of Common Stock issuable upon exercise of
options held by Rev-Wood Merchant Partners.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 19 of 31 Pages
- --------------------------------- ------------------------------
================================================================================
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Marilyn Rubenstein
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / /
(b) / /
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e) / /
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES
BENEFICIALLY 0 shares
OWNED BY ----------------------------------------------------------------
EACH
REPORTING
PERSON WITH
8 SHARED VOTING POWER
847,312(1) shares
----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
0 shares
----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
847,312(1) shares
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
847,312(1) shares
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* / /
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
14.8%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
IN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
(1) Includes (a) 3,125 shares of Common Stock issuable upon exercise of
warrants held by Woodland Partners, (b)(i) 115,625 shares of Common
Stock issuable upon exercise of warrants, (ii) 100,000 shares of Common
Stock issuable upon conversion of shares of Series A Preferred Stock
and (iii) 80,000 shares of Common Stock issuable upon conversion of
shares of Series B Preferred Stock, all of which is held by Woodland
Venture Fund, and (c)(i) 115,625 shares of
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 20 of 31 Pages
- --------------------------------- ------------------------------
Common Stock issuable upon exercise of warrants, (ii) 100,000 shares of
Common Stock issuable upon conversion of shares of Series A Preferred
Stock and (iii) 80,000 shares of Common Stock issuable upon conversion
of shares of Series B Preferred Stock, all of which is held by Seneca
Ventures. Mrs. Rubenstein disclaims beneficial ownership of the
securities held by Woodland Partners, Woodland Venture Fund and Seneca
Ventures, except to the extent of her respective equity interest
therein. Does not include securities held by Barry Rubenstein, the
husband of Marilyn Rubenstein.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 21 of 31 Pages
- --------------------------------- ------------------------------
================================================================================
1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Woodland Services Corp.
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / /
(b) / /
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC, OO
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e) / /
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
New York
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES
BENEFICIALLY 0 shares
OWNED BY ----------------------------------------------------------------
EACH
REPORTING
PERSON WITH
8 SHARED VOTING POWER
685,706(1) shares
----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
0 shares
----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
685,706(1) shares
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
685,706(1) shares
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* / /
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
12.0%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
CO
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
(1) Includes (a)(i) 115,625 shares of Common Stock issuable upon exercise
of warrants, (ii) 100,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock and (iii) 80,000
shares of Common Stock issuable upon conversion of shares of Series B
Preferred Stock, all of which is held by Woodland Venture Fund and
(b)(i) 115,625 shares of Common Stock issuable upon exercise of
warrants, (ii) 100,000 shares of Common Stock
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 22 of 31 Pages
- --------------------------------- ------------------------------
issuable upon conversion of shares of Series A Preferred Stock and
(iii) 80,000 shares of Common Stock issuable upon conversion of shares
of Series B Preferred Stock, all of which is held by Seneca Ventures,
of which Woodland Services Corp. disclaims beneficial ownership, except
to the extent of its respective equity ownership therein.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 23 of 31 Pages
- --------------------------------- ------------------------------
The following constitutes Amendment No. 5 to the Schedule 13D
filed by the undersigned (the "Schedule 13D"). Except as specifically amended by
this Amendment No. 5, the Schedule 13D remains in full force and effect.
Item 3 is amended to include the following:
Item 3. Source and Amount of Funds or Other Consideration.
On December 10, 1998, Barry Rubenstein, Wheatley, Wheatley
Foreign, Seneca and Woodland Fund acquired in the third tranche of a private
placement transaction (the "Series A Offering") (i) shares of Series A
Convertible Preferred Stock, $.001 par value per share ("Series A Preferred
Stock"), that are immediately convertible into 18,000, 198,720, 17,280, 9,000
and 9,000 shares of Common Stock, respectively, and (ii) warrants to purchase
shares of Common Stock that are immediately exercisable for 11,250, 124,200,
10,800, 5,625 and 5,625 shares of Common Stock, respectively. The purchase price
of these securities was $9,000, $99,360, $8,640, $4,500 and $4,500,
respectively. Seneca and Woodland Fund also acquired in the second tranche of a
private placement transaction (the "Series B Offering") (i) shares of Series B
Convertible Preferred Stock, $.001 par value per share ("Series B Preferred
Stock"), that are immediately convertible into 23,200 and 23,200 shares of
Common Stock, respectively, and (ii) warrants to purchase shares of Common Stock
that are immediately exercisable for 14,500 and 14,500 shares of Common Stock,
respectively. The purchase price of these securities was $11,600 and $11,600,
respectively. Mr. Rubenstein acquired these securities with his personal and
other funds, and Wheatley, Wheatley Foreign, Seneca and Woodland Fund acquired
these securities with their respective working capital and other funds.
On December 21, 1998, Barry Rubenstein, Wheatley, Wheatley
Foreign, Seneca and Woodland Fund acquired in the final tranche of the Series A
Offering (i) shares of Series A Preferred Stock that are immediately convertible
into 102,000, 1,126,080, 97,920, 51,000 and 51,000 shares of Common Stock,
respectively, and (ii) warrants to purchase shares of Common Stock that are
immediately exercisable for 63,750, 703,800, 61,200, 31,875 and 31,875 shares of
Common Stock, respectively. The purchase price of these securities was $51,000,
$563,040, $48,960, $25,500 and $25,500, respectively. Seneca and Woodland Fund
also acquired in the final tranche of the Series B Offering (i) shares of Series
B Preferred Stock that are immediately convertible into 40,800 and 40,800 shares
of Common Stock respectively, and (ii) warrants to purchase shares of Common
Stock that are immediately exercisable for 25,500 and 25,500 shares of Common
Stock, respectively. The purchase price of these Securities was $20,400 and
$20,400, respectively. Mr. Rubenstein acquired these securities with his
personal and other funds, and Wheatley, Wheatley Foreign, Seneca and Woodland
Fund acquired these securities with their respective working capital and other
funds.
On December 31, 1998, Wheatley and Wheatley Foreign acquired
in open market transactions 112,564 and 9,536 shares of Common Stock,
respectively. The purchase price of these securities was $140,581 and 11,900,
respectively. Wheatley and Wheatley Foreign acquired these securities with their
respective working capital and other funds.
Item 5(a) and (b) are hereby amended to read in their entirety
as follows:
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 24 of 31 Pages
- --------------------------------- ------------------------------
Item 5. Interest in Securities of the Issuer.
(a) The following table sets forth the aggregate number and
percentage (based on 5,121,422 shares of Common Stock outstanding as of October
31, 1998, as reported by the Issuer in its Form 10Q for the period ended
September 30, 1998) of Common Stock beneficially owned by each Reporting Person
named in Item 2 of Schedule 13D.
Percentage of
Shares of Common Shares of Common
Stock Stock
Name Beneficially Owned Beneficially Owned
- ---- ------------------ ------------------
Wheatley Partners, L.P.(1) 4,515,694 50.0%
Barry Rubenstein(2) 5,944,256 58.3%
Irwin Lieber(3) 4,571,944 50.3%
Barry Fingerhut(4) 4,515,694 50.0%
Wheatley Partners, LLC(4) 4,515,694 50.0%
Seth Lieber(4)(5) 4,517,778 50.0%
Jonathan Lieber(4)(5) 4,517,778 50.0%
Wheatley Management Ltd.(6) 353,571 6.5%
Wheatley Foreign Partners, L.P.(7) 4,515,694 50.0%
Seneca Ventures(8) 336,106 6.2%
Woodland Venture Fund(9) 349,600 6.5%
Woodland Partners(10) 161,606 3.2%
Rev-Wood Merchant Partners(11) 200,000 3.8%
Marilyn Rubenstein(12) 847,312 14.8%
Woodland Services Corp.(13) 685,706 12.0%
- ---------------------
(1) Includes (a)(i) 1,385,879 shares of Common Stock issuable upon exercise
of warrants and (ii) 2,208,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock, all of which is held
by Wheatley, and (b)(i) 120,371 shares of Common Stock issuable upon
exercise of warrants and (ii) 192,000 shares of Common Stock issuable
upon conversion of shares of Series A Preferred Stock, all of which is
held by Wheatley Foreign. Wheatley disclaims beneficial ownership of
the securities held by Wheatley Foreign.
(2) Includes (i) 56,250 shares of Common Stock issuable upon exercise of
options, (ii) 125,000 shares of Common Stock issuable upon exercise of
warrants and (iii) 200,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock held by Mr.
Rubenstein. Also includes (a) 3,125 shares of Common Stock issuable
upon exercise of warrants held by Woodland Partners, (b)(i) 115,625
shares of Common Stock issuable upon exercise of warrants, (ii) 100,000
shares of Common Stock issuable upon conversion of shares of Series A
Preferred Stock and (iii) 80,000 shares of Common Stock issuable upon
conversion of shares of Series B Preferred Stock, all of which is held
by Woodland Fund, (c)(i) 115,625 shares of Common Stock issuable upon
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 25 of 31 Pages
- --------------------------------- ------------------------------
exercise of warrants, (ii) 100,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock and (iii) 80,000
shares of Common Stock issuable upon conversion of shares of Series B
Preferred Stock, all of which is held by Seneca, (d)(i) 1,385,879
shares of Common Stock issuable upon exercise of warrants and (ii)
2,208,000 shares of Common Stock issuable upon conversion of shares of
Series A Preferred Stock, all of which is held by Wheatley, (e)(i)
120,371 shares of Common Stock issuable upon exercise of warrants and
(ii) 192,000 shares of Common Stock issuable upon conversion of shares
of Series A Preferred Stock, all of which is held by Wheatley Foreign,
and (f) 200,000 shares of Common Stock issuable upon exercise of
options held by Rev-Wood. Mr. Rubenstein disclaims beneficial ownership
of the securities held by Woodland Partners, Woodland Fund, Seneca,
Wheatley, Wheatley Foreign and Rev-Wood, except to the extent of his
respective equity interest therein.
(3) Includes 56,250 shares of Common Stock issuable upon exercise of
options held by Mr. Lieber. Also includes (a)(i) 1,385,879 shares of
Common Stock issuable upon exercise of warrants and (ii) 2,208,000
shares of Common Stock issuable upon conversion of shares of Series A
Preferred Stock, all of which is held by Wheatley, and (b)(i) 120,371
shares of Common Stock issuable upon exercise of warrants and (ii)
192,000 shares of Common Stock issuable upon conversion of shares of
Series A Preferred Stock, all of which is held by Wheatley Foreign, of
which Mr. Lieber disclaims beneficial ownership, except to the extent
of his respective equity interest therein.
(4) Includes (a)(i) 1,385,879 shares of Common Stock issuable upon exercise
of warrants and (ii) 2,208,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock, all of which is held
by Wheatley, and (b)(i) 120,371 shares of Common Stock issuable upon
exercise of warrants and (ii) 192,000 shares of Common Stock issuable
upon conversion of shares of Series A Preferred Stock, all of which is
held by Wheatley Foreign. The Reporting Person disclaims beneficial
ownership of these securities except to the extent of his or its equity
respective ownership in Wheatley and/or Wheatley Foreign.
(5) Includes 2,084 shares of Common Stock issuable upon exercise of options
held by Mr. Lieber.
(6) Includes (i) 120,371 shares of Common Stock issuable upon exercise of
warrants and (ii) 192,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock held by Wheatley
Foreign, of which Wheatley Management disclaims beneficial ownership,
except to the extent of its equity interest therein.
(7) Includes (a)(i) 1,385,879 shares of Common Stock issuable upon exercise
of warrants and (ii) 2,208,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock, all of which is held
by Wheatley, and (b)(i) 120,371 shares of Common Stock issuable upon
exercise of warrants and (ii) 192,000 shares of Common Stock issuable
upon conversion of shares of Series A Preferred Stock, all of which is
held by Wheatley Foreign. Wheatley Foreign disclaims beneficial
ownership of the securities held by Wheatley.
(8) Includes (i) 115,625 shares of Common Stock issuable upon exercise of
warrants, (ii) 100,000 shares of Common Stock issuable upon conversion
of shares of Series A Preferred Stock and (iii) 80,000 shares of Common
Stock issuable upon conversion of shares of Series B Preferred Stock,
held by Seneca.
(9) Includes (i) 115,625 shares of Common Stock issuable upon exercise of
warrants, (ii) 100,000 shares of Common Stock issuable upon conversion
of shares of Series A Preferred Stock and (iii) 80,000 shares of Common
Stock issuable upon conversion of shares of Series B Preferred Stock,
held by Woodland Fund.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 26 of 31 Pages
- --------------------------------- ------------------------------
(10) Includes 3,125 shares of Common Stock issuable upon exercise of
warrants held by Woodland Partners.
(11) Consists of 200,000 shares of Common Stock issuable upon exercise of
options held by Rev-Wood.
(12) Includes (a) 3,125 shares of Common Stock issuable upon exercise of
warrants held by Woodland Partners, (b)(i) 115,625 shares of Common
Stock issuable upon exercise of warrants, (ii) 100,000 shares of Common
Stock issuable upon conversion of shares of Series A Preferred Stock
and (iii) 80,000 shares of Common Stock issuable upon conversion of
shares of Series B Preferred Stock, all of which is held by Woodland
Fund, and (c)(i) 115,625 shares of Common Stock issuable upon exercise
of warrants, (ii) 100,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock and (iii) 80,000
shares of Common Stock issuable upon conversion of shares of Series B
Preferred Stock, all of which is held by Seneca. Mrs. Rubenstein
disclaims beneficial ownership of the securities held by Woodland
Partners, Woodland Fund and Seneca, except to the extent of her
respective equity interest therein. Does not include securities held by
Barry Rubenstein, the husband of Marilyn Rubenstein.
(13) Includes (a)(i) 115,625 shares of Common Stock issuable upon exercise
of warrants, (ii) 100,000 shares of Common Stock issuable upon
conversion of shares of Series A Preferred Stock and (iii) 80,000
shares of Common Stock issuable upon conversion of shares of Series B
Preferred Stock, all of which is held by Woodland Fund, and (b)(i)
115,625 shares of Common Stock issuable upon exercise of warrants, (ii)
100,000 shares of Common Stock issuable upon conversion of shares of
Series A Preferred Stock and (iii) 80,000 shares of Common Stock
issuable upon conversion of shares of Series B Preferred Stock, all of
which is held by Seneca, of which Woodland Services Corp. disclaims
beneficial ownership, except to the extent of its respective equity
ownership therein.
(b) Wheatley has sole power to vote and dispose of 4,162,123
shares of Common Stock, representing approximately 47.8% of the outstanding
shares of Common Stock and may be deemed to have shared power to vote and
dispose of 353,571 shares of Common Stock, representing approximately 6.5% of
the outstanding shares of Common Stock.
By virtue of being the general partner of Wheatley and a
general partner of Wheatley Foreign, Wheatley LLC may be deemed to have shared
power to vote and dispose of 4,515,694 shares of Common Stock, representing
approximately 50.0% of the outstanding shares of Common Stock.
Seth Lieber and Jonathan Lieber each have sole power to vote
and dispose of 2,084 shares of Common Stock upon the exercise of options, each
representing less than 1% of the outstanding shares of Common Stock. By virtue
of being a member and an officer of Wheatley LLC, each of Seth Lieber and
Jonathan Lieber may be deemed to have shared power to vote and dispose of
4,515,694 shares of Common Stock, representing approximately 50.0% of the
outstanding shares of Common Stock.
Barry Rubenstein has sole power to vote and dispose of 381,250
shares of Common Stock upon the exercise of options and warrants, representing
approximately 6.9% of the outstanding shares of Common Stock. By virtue of being
a member and an officer of Wheatley LLC and a general partner of Seneca,
Woodland Partners, Woodland Fund and Rev-Wood, Mr. Rubenstein may be deemed to
have shared power to vote and dispose of 5,563,006 shares of Common Stock,
representing approximately 56.6% of the outstanding shares of Common Stock.
Irwin Lieber has sole power to vote and dispose of 56,250
shares of Common Stock upon the exercise of options, representing approximately
1.1% of the outstanding shares of Common Stock. By virtue of being a member and
an officer of Wheatley LLC, Irwin Lieber may be deemed to have shared power to
vote and dispose of 4,515,694 shares of Common Stock, representing approximately
50.0% of the outstanding shares of Common Stock.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 27 of 31 Pages
- --------------------------------- ------------------------------
By virtue of being a member and an officer of Wheatley LLC,
Barry Fingerhut may be deemed to have shared power to vote and dispose of
4,515,694 shares of Common Stock, representing approximately 50.0% of the
outstanding shares of Common Stock.
Wheatley Foreign has sole power to vote and dispose of 353,571
shares of Common Stock representing approximately 6.5% of the outstanding shares
of Common Stock and may be deemed to have shared power to vote and dispose of
4,162,123 shares of Common Stock, representing approximately 47.8% of the
outstanding shares of Common Stock.
By virtue of being a general partner of Wheatley Foreign,
Wheatley Management may be deemed to have shared power to vote and dispose of
353,571 shares of Common Stock, representing approximately 6.5% of the
outstanding shares of Common Stock.
Seneca has sole power to vote and dispose of 336,106 shares of
Common Stock representing approximately 6.2% of the outstanding shares of Common
Stock.
Woodland Fund has sole power to vote and dispose of 349,600
shares of Common Stock representing approximately 6.5% of the outstanding shares
of Common Stock.
Woodland Partners has sole power to vote and dispose of
161,606 shares of Common Stock representing 3.2% of the outstanding shares of
Common Stock.
Rev-Wood has sole power to vote and dispose of 200,000 shares
of Common Stock representing 3.8% of the outstanding shares of Common Stock.
By virtue of being a general partner of Woodland Partners and
an officer of Woodland Services Corp., which is a general partner of Seneca and
Woodland Fund, Marilyn Rubenstein may be deemed to have shared power to vote and
dispose of 847,312 shares of Common Stock, representing approximately 14.8% of
the outstanding shares of Common Stock.
By virtue of being a general partner of Seneca and Woodland
Fund, Woodland Services Corp. may be deemed to have shared power to vote and
dispose of 685,706 shares of Common Stock, representing approximately 12.0% of
the outstanding shares of Common Stock.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 28 of 31 Pages
- --------------------------------- ------------------------------
Item 5(c) is supplemented as follows:
(c) The following table sets forth a description of all
transactions in shares of Common Stock of the Issuer by the Reporting Persons
identified in Item 2 of this Schedule 13D effected since the filing of Amendment
No. 4 to the Schedule 13D.
Number of
Purchase/ Shares
Acquisition Purchased/ Purchase
Name of Stockholder Date Acquired Price
- ------------------- ---- -------- -----
Common Stock
Wheatley Partners, L.P. 12/31/98 112,564 1.2489
Wheatley Foreign Partners, L.P 12/31/98 9,536 1.2489
Series A Preferred Stock
Barry Rubenstein 12/10/98 29,250(1) 2.00(2)
Wheatley Partners, L.P. 12/10/98 322,920(1) 2.00(2)
Wheatley Foreign Partners,
L.P. 12/10/98 28,080(1) 2.00(2)
Seneca Ventures 12/10/98 14,625(1) 2.00(2)
Woodland Venture Fund 12/10/98 14,625(1) 2.00(2)
Barry Rubenstein 12/21/98 165,750(1) 2.00(2)
Wheatley Partners, L.P. 12/21/98 1,829,880(1) 2.00(2)
Wheatley Foreign Partners,
L.P. 12/21/98 159,120(1) 2.00(2)
Seneca Ventures 12/21/98 82,875(1) 2.00(2)
Woodland Venture Fund 12/21/98 82,875(1) 2.00(2)
Series B Preferred Stock
Seneca Ventures 12/10/98 37,700(3) 10.00(4)
Woodland Venture Fund 12/10/98 37,700(3) 10.00(4)
Seneca Ventures 12/21/98 66,300(3) 10.00(4)
Woodland Venture Fund 12/21/98 66,300(3) 10.00(4)
- -------------------
(1) Represents shares of Common Stock issuable upon conversion of shares of
Series A Preferred Stock and upon exercise of warrants to purchase
shares of Common Stock.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 29 of 31 Pages
- --------------------------------- ------------------------------
(2) Represents the per unit purchase price, exclusive of the warrant
exercise price. Each unit was comprised of (i) one share of Series A
Preferred Stock (convertible into four shares of Common Stock) and (ii)
a warrant to purchase 2.5 shares of Common Stock at an exercise price
of $0.50 per share.
(3) Represents shares of Common Stock issuable upon conversion of shares of
Series B Preferred Stock and upon the exercise of warrants to purchase
shares of Common Stock.
(4) Represents the purchase price for (i) one share of Series B Preferred
Stock and (ii) five warrants to purchase an aggregate of 12.5 shares of
Common Stock (2.5 shares per warrant), the smallest fraction of the
unit that was offered by the Company, exclusive of the warrant exercise
price. Each full unit, purchase price $100,000, was comprised of (i)
10,000 shares of Series B Preferred Stock (each share convertible into
20 shares of Common Stock) and (ii) 50,000 warrants (each warrant
exercisable for 2.5 shares of Common Stock) at an exercise price of
$0.50 per share.
The securities set forth in the table above were purchased in
private placement transactions from the Issuer, except for the open market
purchases of Wheatley and Wheatley Foreign on December 31, 1998.
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 30 of 31 Pages
- --------------------------------- ------------------------------
SIGNATURES
After reasonable inquiry and to the best of his knowledge and
belief, each of the undersigned certifies that the information set forth in this
statement is true, complete and correct.
Dated: January 15, 1999 WHEATLEY PARTNERS, L.P.
By: Wheatley Partners, LLC,
General Partner
By: /s/ Barry Rubenstein
------------------------
Barry Rubenstein,
Chief Executive
Officer
WHEATLEY PARTNERS, LLC
By: /s/ Barry Rubenstein
------------------------
Barry Rubenstein,
Chief Executive
Officer
/s/ Barry Rubenstein
-------------------------------
Barry Rubenstein
/s/ Irwin Lieber
------------------------------
Irwin Lieber
/s/ Barry Fingerhut
------------------------------
Barry Fingerhut
/s/ Seth Lieber
------------------------------
Seth Lieber
/s/ Jonathan Lieber
------------------------------
Jonathan Lieber
<PAGE>
- --------------------------------- ------------------------------
CUSIP No. 74833H 10 0 13D Page 31 of 31 Pages
- --------------------------------- ------------------------------
WHEATLEY MANAGEMENT LTD.
By: /s/ Irwin Lieber
------------------------------
Irwin Lieber, President
WHEATLEY FOREIGN PARTNERS, L.P.
By: Wheatley Partners, LLC, a General
Partner
By: /s/ Barry Rubenstein
-------------------------------
Barry Rubenstein,
Chief Executive
Officer
SENECA VENTURES
By: /s/ Barry Rubenstein
---------------------------------
Barry Rubenstein,
a General Partner
WOODLAND PARTNERS
By: /s/ Barry Rubenstein
---------------------------------
Barry Rubenstein,
a General Partner
WOODLAND VENTURE FUND
By: /s/ Barry Rubenstein
----------------------------------
Barry Rubenstein,
a General Partner
REV-WOOD MERCHANT PARTNERS
By: /s/ Barry Rubenstein
---------------------------------
Barry Rubenstein,
a General Partner
By: /s/ Marilyn Rubenstein
---------------------------------
Marilyn Rubenstein
WOODLAND SERVICES CORP.
By: /s/ Barry Rubenstein
---------------------------------
Barry Rubenstein,
President
