UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE 13D
UNDER THE SECURITIES EXCHANGE ACT OF 1934
(AMENDMENT NO. 7)(1)
NETWORK-1 SECURITY SOLUTIONS, INC.
--------------------------------------------------------------------------------
(Name of Issuer)
Common Stock, $0.01 Par Value Per Share
--------------------------------------------------------------------------------
(Title of Class of Securities)
64121N109
------------------
(CUSIP Number)
Wheatley Partners II, L.P.
80 Cuttermill Road
Great Neck, NY 11021
Telephone: (516) 773-1024
With a copy to:
Michael R. Reiner, Esq.
Breslow & Walker, LLP
767 Third Avenue
New York, New York 10017
Telephone: (212) 832-1930
--------------------------------------------------------------------------------
(Name, Address and Telephone Number of Person Authorized
to Receive Notices and Communications)
October 25, 2007
-----------------------------------------------------
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 ss.ss.240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the
following box: |_|
Note: Schedules filed in paper format shall include a signed original and five
copies of the schedule, including all exhibits. See ss.13d-7 for other parties
to whom copies are to be sent.
(Continued on following page(s))
(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 the
disclosures provided in a prior cover page.
The information required in 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).
Page 1 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Wheatley Partners II, L.P.
--------- ----------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
WC, OO
--------- ----------------------------------------------------------------------
5 CHECK BOX 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 0 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 0 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
0 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
0 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
0 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
PN
--------- ----------------------------------------------------------------------
Page 2 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES 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 (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
PF, OO
--------- ----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) OR 2(e) |_|
--------- ----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
--------------------------------- ----- ----------------------------------------
7 SOLE VOTING POWER
Number of 556,983 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 0 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
556,983 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
0 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
556,983 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
2.4%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
IN
--------- ----------------------------------------------------------------------
Page 3 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES 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 (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
PF, OO
--------- ----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) OR 2(e) |_|
--------- ----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
--------------------------------- ----- ----------------------------------------
7 SOLE VOTING POWER
Number of 197,512 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 1,881,384 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
197,512 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
1,881,384 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
2,078,896 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
8.9%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
IN
--------- ----------------------------------------------------------------------
Page 4 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES 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 (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
PF, OO
--------- ----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) OR 2(e) |_|
--------- ----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
--------------------------------- ----- ----------------------------------------
7 SOLE VOTING POWER
Number of 517,243 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 0 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
517,243 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
0 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
517,243 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
2.2%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
IN
--------- ----------------------------------------------------------------------
Page 5 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES 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 (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
PF, OO
--------- ----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) OR 2(e) |_|
--------- ----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
--------------------------------- ----- ----------------------------------------
7 SOLE VOTING POWER
Number of 34,136 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 106,809 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
34,136 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
106,809 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
140,945 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.6%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
IN
--------- ----------------------------------------------------------------------
Page 6 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES 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 (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
PF, OO
--------- ----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) OR 2(e) |_|
--------- ----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
--------------------------------- ----- ----------------------------------------
7 SOLE VOTING POWER
Number of 32,584 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 106,809 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
32,584 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
106,809 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
139,393 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.6%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
IN
--------- ----------------------------------------------------------------------
Page 7 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES 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 (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
WC, OO
--------- ----------------------------------------------------------------------
5 CHECK BOX 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 792,726 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 0 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
792,726 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
0 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
792,726 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
3.4%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
PN
--------- ----------------------------------------------------------------------
Page 8 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES 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 (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
WC, OO
--------- ----------------------------------------------------------------------
5 CHECK BOX 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 583,483 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 0 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
583,483 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
0 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
583,483 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
2.5%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
PN
--------- ----------------------------------------------------------------------
Page 9 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES 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 (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
PF, OO
--------- ----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) OR 2(e) |_|
--------- ----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
--------------------------------- ----- ----------------------------------------
7 SOLE VOTING POWER
Number of 1,049 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 1,880,335 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
1,049 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
1,880,335 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,881,384 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
8.1%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
IN
--------- ----------------------------------------------------------------------
Page 10 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES 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 (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
OO
--------- ----------------------------------------------------------------------
5 CHECK BOX 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 0 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 1,376,209 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
0 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
1,376,209 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,376,209 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
5.9%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
CO
--------- ----------------------------------------------------------------------
Page 11 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES 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 (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
WC, OO
--------- ----------------------------------------------------------------------
5 CHECK BOX 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 309,316 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 0 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
309,316 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
0 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
309,316 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
1.3%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
PN
--------- ----------------------------------------------------------------------
Page 12 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Brookwood Partners, L.P.
--------- ----------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
WC, OO
--------- ----------------------------------------------------------------------
5 CHECK BOX 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 194,810 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 0 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
194,810 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
0 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
194,810 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.8%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
PN
--------- ----------------------------------------------------------------------
Page 13 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)
Applegreen Partners
--------- ----------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
WC, OO
--------- ----------------------------------------------------------------------
5 CHECK BOX 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 106,809 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 0 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
106,809 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
0 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
106,809 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.5%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
PN
--------- ----------------------------------------------------------------------
Page 14 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES 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 (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
WC, OO
--------- ----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) OR 2(e) |_|
--------- ----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------- ----- ----------------------------------------
7 SOLE VOTING POWER
Number of 0 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 0 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
0 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
0 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
0 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
PN
--------- ----------------------------------------------------------------------
Page 15 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES 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 (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
WC, OO
--------- ----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) OR 2(e) |_|
--------- ----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------- ----- ----------------------------------------
7 SOLE VOTING POWER
Number of 0 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 0 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
0 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
0 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
0 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
PN
--------- ----------------------------------------------------------------------
Page 16 of 22
CUSIP No. 64121N109 13D
--------- ----------------------------------------------------------------------
1 NAMES 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 (SEE INSTRUCTIONS)
(a) |_|
(b) |_|
--------- ----------------------------------------------------------------------
3 SEC USE ONLY
--------- ----------------------------------------------------------------------
4 SOURCE OF FUNDS* (SEE INSTRUCTIONS)
OO
--------- ----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) OR 2(e) |_|
--------- ----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------- ----- ----------------------------------------
7 SOLE VOTING POWER
Number of 0 shares
Shares ----- ----------------------------------------
Beneficially
Owned By 8 SHARED VOTING POWER
Each 0 shares
Reporting ----- ----------------------------------------
Person
With 9 SOLE DISPOSITIVE POWER
0 shares
----- ----------------------------------------
10 SHARED DISPOSITIVE POWER
0 shares
--------- ----------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
0 shares
--------- ----------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(SEE INSTRUCTIONS)
|_|
--------- ----------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0%
--------- ----------------------------------------------------------------------
14 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
OO
--------- ----------------------------------------------------------------------
Page 17 of 22
This statement, dated October 25, 2007, constitutes Amendment No. 7 to
the Schedule 13D, dated November 12, 1998, regarding the reporting persons'
ownership of certain securities of Network-1 Security Solutions, Inc. All
capitalized terms used herein and otherwise undefined shall have the meanings
ascribed in the Schedule.
ITEM 5. Interests in Securities of the Issuer.
Item 5 is hereby amended and restated as follows:
(a) The following list sets forth the aggregate number and
percentage (based on 23,198,057 shares of Common Stock outstanding as reported
in the Issuer's Form 10-QSB for the quarter ended June 30, 2007), of outstanding
shares of Common Stock owned beneficially by each reporting person named in Item
2, as of October 25, 2007:
Percentage of Shares of
Common Stock
Name Shares of Common Stock Beneficially Owned(2) Beneficially Owned
---- -------------------------------------------- ------------------
Wheatley Partners II, L.P. 0 0%
Barry Rubenstein 2,078,896(3), (4), (5), (6), (7), (8), (9) 8.9%
Irwin Lieber 556,983(10) 2.4%
Barry Fingerhut 517,243(11) 2.2%
Seth Lieber 140,945(3), (12), (13) 0.6%
Jonathan Lieber 139,393(3), (13), (14) 0.6%
Woodland Venture Fund 792,726(5) 3.4%
Seneca Ventures 583,483(6) 2.5%
Marilyn Rubenstein 1,881,384(3), (5), (6), (7), (8), (9) 8.1%
Woodland Services Corp. 1,376,209(3), (5), (6) 5.9%
Woodland Partners 309,316(7) 1.3%
Brookwood Partners, L.P. 194,810(9) 0.8%
Applegreen Partners 106,809(13) 0.5%
Wheatley Partners, L.P. 0 0%
Wheatley Foreign Partners, L.P. 0 0%
Wheatley Partners, LLC 0 0%
---------------
(2) Includes shares of Common Stock issuable upon the exercise of the 1998
Directors Option, the June 1999 Directors Option, the October 1999
Directors Option, and the December 1999 Directors Option.
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(3) The reporting person disclaims beneficial ownership of these
securities, except to the extent of his/her/its equity interest
therein.
(4) Includes 150,012 shares of Common Stock owned individually by Barry
Rubenstein, 20,000 shares of Common Stock issuable upon the exercise
of the 1998 Directors Option, 10,000 shares of Common Stock issuable
upon the exercise of the June 1999 Directors Option, 7,500 shares of
Common Stock issuable upon the exercise of the October 1999 Directors
Option and 10,000 shares of Common Stock issuable upon the exercise of
the December 1999 Directors Option.
(5) Includes 792,726 shares of Common Stock owned by Woodland Venture.
(6) Includes 583,483 shares of Common Stock owned by Seneca.
(7) Includes 309,316 shares of Common Stock owned by Woodland Partners.
(8) Includes 1,049 shares of Common Stock owned by Marilyn Rubenstein.
(9) Includes 194,810 shares of Common Stock owned by Brookwood.
(10) Includes 509,483 shares of Common Stock owned individually by Irwin
Lieber, 20,000 shares of Common Stock issuable upon the exercise of
the 1998 Directors Option, 10,000 shares of Common Stock issuable upon
the exercise of the June 1999 Directors Option, 7,500 shares of Common
Stock issuable upon the exercise of the October 1999 Directors Option
and 10,000 shares of Common Stock issuable upon the exercise of the
December 1999 Directors Option.
(11) Includes 517,243 shares of Common Stock owned individually by Barry
Fingerhut.
(12) Includes 34,136 shares of Common Stock owned individually by Seth
Lieber.
(13) Includes 106,809 shares of Common Stock owned by Applegreen Partners.
(14) Includes 32,584 shares of Common Stock owned individually by Jonathan
Lieber.
(b) Barry Rubenstein, by virtue of being a general partner of
Woodland Venture, Seneca, Woodland Partners and Brookwood, and the husband of
Marilyn Rubenstein, may be deemed to have shared power to vote and to dispose of
1,881,384 shares of Common Stock, representing approximately 8.1% of the
outstanding Common Stock. Barry Rubenstein has sole power to vote and to dispose
of 197,512 shares of Common Stock (including shares issuable upon the exercise
of the 1998 Directors Option, the June 1999 Directors Option, the October 1999
Directors Option and the December 1999 Directors Option), representing
approximately 0.8% of the outstanding Common Stock.
Irwin Lieber has sole power to vote and to dispose of 556,983
shares of Common Stock (including shares issuable upon the exercise of the 1998
Directors Option, the June 1999 Directors Option, the October 1999 Directors
Option and the December 1999 Directors Option), representing approximately 2.4%
of the outstanding Common Stock.
Barry Fingerhut has sole power to vote and to dispose of 517,243
shares of Common Stock, representing approximately 2.2% of the outstanding
Common Stock.
Seth Lieber, by virtue of being a general partner of Applegreen,
may be deemed to have shared power to vote and to dispose of 106,809 shares of
Common Stock, representing approximately 0.5% of the outstanding Common Stock.
Seth Lieber has sole power to vote and to dispose of 34,136 shares of Common
Stock, representing approximately 0.1% of the outstanding Common Stock.
Jonathan Lieber, by virtue of being managing general partner of
Applegreen, may be deemed to have shared power to vote and to dispose of 106,809
shares of Common Stock, representing approximately 0.5% of the outstanding
Common Stock. Jonathan Lieber has sole power to vote and to dispose of 32,584
shares of Common Stock, representing approximately 0.1% of the outstanding
Common Stock.
Woodland Venture has sole power to vote and to dispose of 792,726
shares of Common Stock, representing approximately 3.4% of the outstanding
Common Stock.
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Seneca has sole power to vote and to dispose of 583,483 shares of
Common Stock, representing approximately 2.5% of the outstanding Common Stock.
Marilyn Rubenstein has sole power to vote and to dispose of 1,049
shares of Common Stock, representing approximately 0.005% of the outstanding
Common Stock, and by virtue of being an officer of Services and a general
partner of Woodland Partners and Brookwood, may be deemed to have shared power
to vote and to dispose of 1,880,335 shares of Common Stock, representing
approximately 8.1% of the outstanding Common Stock.
Services by virtue of being a general partner of Woodland Venture
and Seneca, may be deemed to have shared power to vote and to dispose of
1,376,209 shares of Common Stock, representing approximately 5.9% of the
outstanding Common Stock.
Woodland Partners has sole power to vote and to dispose of
309,316 shares of Common Stock, representing approximately 1.3% of the
outstanding Common Stock.
Applegreen has sole power to vote and to dispose of 106,809
shares of Common Stock, representing approximately 0.5% of the outstanding
Common Stock.
Brookwood has sole power to vote and to dispose of 194,810 shares
of Common Stock, representing approximately 0.8% of the outstanding Common
Stock.
(c) The following table sets forth the transactions in the
securities of the Issuer by the Reporting Persons identified in Item 2 of this
Schedule 13D which were effected during the prior sixty days from October 25,
2007:
Number Of
Sales Price Per Shares of Common Stock
Name of Shareholder Sale Date Share Sold
------------------- --------- --------------- ----------------------
Wheatley Partners, L.P. 10/25/07 $1.75 194,280
Wheatley Foreign Partners, L.P. 10/25/07 $1.75 16,868
Wheatley Partners II, L.P. 10/25/07 $1.75 1,280,207
Woodland Venture Fund 10/25/07 $1.8717 36,500
Seneca Ventures 10/25/07 $1.8717 36,500
Brookwood Partners 10/25/07 $1.75 100,000
The sales of the shares of Common Stock of the Issuer described above
were sold pursuant to open market sales.
(d) No other person has the right to receive or the power to
direct the receipt of dividends from, or the proceeds from the sale of such
securities.
(e) Not applicable
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SIGNATURE
After reasonable inquiry and to the best of his/her/its knowledge and
belief, each of the undersigned hereby certifies that the information set forth
in this Schedule is true, complete and correct.
Dated: November 9, 2007
WHEATLEY PARTNERS II, L.P.
By: /s/ IRWIN LIEBER
----------------------------------------
Irwin Lieber, a General Partner
SENECA VENTURES
By: /s/ BARRY RUBENSTEIN
----------------------------------------
Barry Rubenstein, a General Partner
WOODLAND VENTURE FUND
By: /S/ BARRY RUBENSTEIN
----------------------------------------
Barry Rubenstein, a General Partner
WOODLAND SERVICES CORP.
By: /s/ BARRY RUBENSTEIN
----------------------------------------
Barry Rubenstein, President
/s/ BARRY RUBENSTEIN
--------------------------------------------
Barry Rubenstein
/s/ IRWIN LIEBER
--------------------------------------------
Irwin Lieber
/s/ BARRY FINGERHUT
--------------------------------------------
Barry Fingerhut
/s/ MARILYN RUBENSTEIN
--------------------------------------------
Marilyn Rubenstein
/s/ SETH LIEBER
--------------------------------------------
Seth Lieber
/s/ JONATHAN LIEBER
--------------------------------------------
Jonathan Lieber
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WOODLAND PARTNERS
By: /s/ BARRY RUBENSTEIN
-----------------------------------------
Barry Rubenstein, a General Partner
APPLEGREEN PARTNERS
By: /s/ JONATHAN LIEBER
-----------------------------------------
Jonathan Lieber, Managing General Partner
BROOKWOOD PARTNERS, L.P.
By: /s/ BARRY RUBENSTEIN
-----------------------------------------
Barry Rubenstein, a General Partner
WHEATLEY PARTNERS, L.P.
By: Wheatley Partners, LLC, the General
Partner
By: /s/ BARRY RUBENSTEIN
-----------------------------------------
Barry Rubenstein, Chief Executive Officer
WHEATLEY FOREIGN PARTNERS, L.P.
By: Wheatley Partners, LLC, the General
Partner
By: /s/ BARRY RUBENSTEIN
-----------------------------------------
Barry Rubenstein, Chief Executive Officer
WHEATLEY PARTNERS, LLC
By: /s/ BARRY RUBENSTEIN
-----------------------------------------
Barry Rubenstein, Chief Executive Officer
ATTENTION: INTENTIONAL MISSTATEMENTS OR OMISSIONS OF FACT CONSTITUTE FEDERAL
CRIMINAL VIOLATIONS (SEE 18 U.S.C. 1001)
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