Quarterly report pursuant to Section 13 or 15(d)

Variable Interest Entity

Variable Interest Entity
9 Months Ended
Jun. 30, 2023
Variable Interest Entity Disclosure [Abstract]  
Variable Interest Entity Variable Interest Entity
On March 31, 2023, the Company entered into a Settlement Agreement and Mutual Release (“Agreement”) with Angia Holdings, LLC and Thomas Diamante and Lawrence Zelin (“Principals”). The Agreement stipulated that the Principals would pay the Company $1,000,000 within 10 days of the effective date of the Agreement, and an additional $1,000,000 within 45 days of the effective date of the Agreement if a joint venture, with terms acceptable to the Company, was not formed.
The Principals made the initial $1,000,000 payment in April 2023, and, having failed to form a joint venture, as described above, made the second $1,000,000 payment in May 2023. Consequently, employment of the Principals was terminated, and operations of SW Financial were shut down. The Company recorded a gain on receipt of the settlement amounts of $2,000,000 and a loss on deconsolidation of SW Financial's assets and liabilities of approximately $1.7 million, as detailed in the table below (in $000’s):
Accounts payable $ 242 
Lease liabilities 728 
   Total deconsolidation of liabilities 970 
Cash 187 
Accounts receivable 130 
Other current assets 187 
Intangible assets
Customer Relationships 1,348 
Tradenames 72 
Subtotal Intangible Assets 1,420 
Right-of-use assets 687 
Other assets 55 
Total deconsolidation of assets 2,666 
Total loss on deconsolidation $ (1,696)