SEC FORM 4

SEC Form 4

FORM 4

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934
or Section 30(h) of the Investment Company Act of 1940

OMB APPROVAL

OMB Number:			3235-0287
Estimated average burden
hours per response:			0.5

Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

1. Name and Address of Reporting Person^*

TANEJA JUGAL K

(Last)

(First)

(Middle)

6950 BRYAN DAIRY ROAD

(Street)

LARGO

33777

(City)

(State)

(Zip)

2. Issuer Name and Ticker or Trading Symbol
VERTICAL HEALTH SOLUTIONS INC [ VHSL ]

5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)

Director		10% Owner
Officer (give title below)	X	Other (specify below)
		DIRECTOR

3. Date of Earliest Transaction (Month/Day/Year)
02/10/2006

4. If Amendment, Date of Original Filed (Month/Day/Year)

6. Individual or Joint/Group Filing (Check Applicable Line)

X	Form filed by One Reporting Person
	Form filed by More than One Reporting Person

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	3. Transaction Code (Instr. 8)		4. Securities Acquired (A) or Disposed Of (D) (Instr. 3, 4 and 5)			5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4)	6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	Code	V	Amount	(A) or (D)	Price		6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
COMMON STOCK								271,331	D
COMMON STOCK								57,144	I	BY: MANJU TANEJA⁽²⁾
COMMON STOCK								57,144	I	BY: CARNEGIE CAPITAL LTD.⁽³⁾
COMMON STOCK								57,144	I	BY: 21ST CENTURY HEALTHCARE FUND LP.⁽⁴⁾
COMMON STOCK	07/30/2004	07/26/2004	J		165,274⁽⁵⁾	A	$0	450,994	I	BY: MANJU TANEJA⁽²⁾
COMMON STOCK	07/30/2004	07/26/2004	J		268,030⁽⁵⁾	A	$0	553,750	I	BY: 21ST CENTURY HEALTHCARE FUND LP.⁽³⁾
COMMON STOCK	07/30/2004	07/26/2004	J		7,866⁽⁵⁾	A	$0	1,364,521	D
COMMON STOCK	04/18/2005	04/15/2005	J⁽⁶⁾		500,000	A	$0.2	1,864,521	D
COMMON STOCK	02/10/2006	02/10/2006	J⁽⁷⁾		234,857	A	$0	2,099,378	D

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	4. Transaction Code (Instr. 8)		5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5)		6. Date Exercisable and Expiration Date (Month/Day/Year)		7. Title and Amount of Securities Underlying Derivative Security (Instr. 3 and 4)		8. Price of Derivative Security (Instr. 5)	9. Number of derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)	10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	Code	V	(A)	(D)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares	8. Price of Derivative Security (Instr. 5)		10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
OPTIONS ON UNITS⁽¹⁾	$5.1	10/09/2003		A		50,000		10/09/2003	10/09/2008	COMMON STOCK AND WARRANT	50,000	$0	50,000	D
WARRANTS	$3.28							05/28/2001	05/28/2005	COMMON STOCK	85,714		85,714	D
OPTIONS ON UNITS	$5.1	02/10/2006	02/10/2006	J⁽⁸⁾			50,000	02/10/2006	02/10/2006	COMMON STOCK	50,000	$0	0	D
WARRANTS	$3.28	02/10/2006	02/10/2006	J⁽⁸⁾			85,714	02/10/2006	02/10/2006	COMMON STOCK	85,714	$0	0	D

Explanation of Responses:

1. Each unit consists of one share of common stock and one redeemable class A warrant exercisable into one share of common stock at an exercise price of $6.25 per share, subject to adjustment.

2. MANJU TANEJA IS THE REPORTING PERSON'S SPOUSE. THE REPORTING PERSON EXERCISES NO INVESTMENT OR VOTING POWER AND DISCLAIMS BENEFICIAL OWNERSHIP OF THESE SHARES.

3. THE REPORTING PERSON IS THE GENERAL PARTNER OF CARNEGIE CAPITAL, LTD. AS SUCH, HE HOLDS SOLE VOTING AND INVESTMENT POWER WITH RESPECT TO THESE SHARES.

4. THE REPORTING PERSON IS A LIMITED PARTNER OF 21ST CENTURY HEALTHCARE FUND LP. WHOSE FAMILY HAS VOTING AND INVESTMENT POWER WITH RESPECT TO THESE SHARES.

5. SHARES DISTRIBUTED PURSUANT TO DIVIDEND DISTRIBUTION TO SHAREHOLDERS OF DYNAMIC HEALTH PRODUCTS, INC.

6. COMMON STOCK RECEIVED PURSUANT TO CONVERSION OF $100,000 NOTE FROM VERTICAL HEALTH SOLUTIONS, INC.

7. Received 234,857 shares in exchange for retirement of outstanding options and warrants.

8. Retirement of outstanding Warrants and Options for Shares

	/s/ Stephen M. Watters, as attorney in fact for Jugal K. Taneja	05/22/2006
	** Signature of Reporting Person	Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 4 (b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
Note: File three copies of this Form, one of which must be manually signed. If space is insufficient, see Instruction 6 for procedure.
Persons who respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB Number.