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

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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^*

PUSEY GREGORY

(Last)

(First)

(Middle)

106 S. UNIVERSITY BOULEVARD

#14

(Street)

DENVER

80209

(City)

(State)

(Zip)

2. Issuer Name and Ticker or Trading Symbol
PepperBall Technologies, Inc. [ PBAL ]

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

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

3. Date of Earliest Transaction (Month/Day/Year)
09/29/2008

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								5,504⁽¹⁾⁽²⁾⁽¹¹⁾	I	By Cambridge Holdings Ltd⁽³⁾
Common Stock								67,244⁽¹⁾⁽⁵⁾⁽¹¹⁾	I	By spouse
Common Stock	09/29/2008		P		200⁽¹²⁾	A	$0.59	237,143⁽⁴⁾⁽¹¹⁾	D
Common Stock	09/29/2008		P		10,550⁽¹²⁾⁽¹³⁾	A	$0.7	247,693⁽¹¹⁾⁽¹⁴⁾	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)
Option (Right to Buy)	$9.86⁽¹⁶⁾							05/05/2007⁽⁶⁾	05/04/2016	Common Stock	10,000⁽¹⁵⁾		10,000⁽¹⁷⁾	D
Option (Right to Buy)	$7⁽¹⁶⁾							10/29/2005⁽⁶⁾	10/28/2014	Common Stock	27,174⁽¹⁵⁾		27,174⁽¹⁷⁾	D
Option (Right to Buy)	$7⁽¹⁶⁾							03/02/2005⁽⁶⁾	03/01/2015	Common Stock	10,870⁽¹⁵⁾		10,870⁽¹⁷⁾	D
Warrant (Right to Buy)	$18⁽¹⁶⁾							08/25/2005	07/18/2010	Common Stock	500⁽⁷⁾⁽¹⁵⁾		1,000	D
Warrant (Right to Buy)	$18⁽¹⁶⁾							08/25/2005	07/18/2010	Common Stock	2,500⁽¹⁵⁾		5,000⁽¹⁾	I	By Cambridge Holdings Ltd⁽³⁾
Warrant (Right to Buy)	$9.5⁽¹⁶⁾							04/01/2007	10/01/2010	Common Stock	6,000⁽¹⁵⁾		12,000	D
Series B Convertible Preferred Stock	$0⁽¹⁰⁾							09/17/2008⁽¹⁰⁾	⁽⁹⁾	Common Stock	15,000⁽¹⁵⁾		3,000	D
Warrant (Right to Buy)	$18⁽¹⁶⁾							04/01/2007	07/18/2010	Common Stock	3,500⁽¹⁵⁾		7,000⁽¹⁾	I	By spouse
Warrant (Right to Buy)	$9.5⁽¹⁶⁾							04/01/2007	10/01/2010	Common Stock	7,000⁽¹⁵⁾		14,000⁽¹⁾	I	By spouse
Series B Convertible Preferred Stock	$0⁽¹⁰⁾							09/17/2008⁽¹⁰⁾	⁽⁹⁾	Common Stock	5,250⁽¹⁵⁾		1,050⁽¹⁾⁽⁸⁾	I	By spouse
Option (Right to Buy)	$2.42⁽¹⁶⁾							01/16/2009⁽⁶⁾	01/15/2018	Common Stock	25,000⁽¹⁵⁾		25,000⁽¹⁷⁾	D

Explanation of Responses:

1. The Reporting Person disclaims beneficial ownership of these securities, and this report shall not be deemed an admission that the Reporting Person is the beneficial owner of the securities for purposes of Section 16 or for any other purpose.

2. Includes 2,500 shares of Common Stock issuable upon exercise of warrants, whether or not presently exercisable.

3. Reporting Person is President, director and principal shareholder of Cambridge Holdings Ltd.

4. Includes (a) 6,488 shares of Common Stock held by Gregory Pusey IRA, (b) 6,500 shares of Common Stock issuable upon exercise of warrants, whether or not presently exercisable, held by Gregory Pusey IRA, (c) 73,044 shares of Common Stock underlying options to purchase Common Stock, whether or not presently exercisable, and (d) 15,000 shares of Common Stock issuable upon conversion of shares of Series B Convertible Preferred Stock, whether or not presently convertible.

5. Includes (a) 14,630 shares of Common Stock held by Reporting Person's spouse as custodian for child, (b) 4,380 shares of Common Stock held by Jill Pusey, IRA, the investment retirement account of the Reporting Person's spouse, (c) 10,500 shares of Common Stock issuable upon exercise of warrants, whether or not presently exercisable, and (d) 5,250 shares of Common Stock issuable upon conversion of Series B Convertible Preferred Stock, whether or not presently convertible, held by Reporting Person's spouse as custodian for child. Does not include 750 shares of the issuer's Common Stock held jointly by the Reporting Person and the Reporting Person's spouse and reported elsewhere in this Form 4.

6. Option vests annually in three equal annual installments, beginning on this date.

7. Option held by Gregory Pusey IRA.

8. Held by the Reporting Person's spouse as custodian for the Reporting Person's child.

9. No expiration date.

10. Each share of the Series B Convertible Preferred Stock is for no further consideration, convertible into 5 shares of the issuer's Common Stock on this date upon, which is the date the issuer's shareholders approved the conversion of the Series B Convertible Preferred Stock.

11. Pursuant to a reverse split, effective September 29, 2008, every two issued and outstanding shares of the issuer's Common Stock were exchanged for one post-reverse split share of the issuer's Common Stock. The number of shares reported in this column reflects a 50% reduction in ownership resulting from the reverse split.

12. Represents post-reverse split shares.

13. Includes, (a) 9,800 purchased by Gregory Pusey IRA and (b) 750 shares purchased jointly by the Reporting Person and the Reporting Person's spouse.

14. Includes (a) 16,288 shares of Common Stock held by Gregory Pusey IRA, (b) 6,500 shares of Common Stock issuable upon exercise of warrants, whether or not presently exercisable, held by Gregory Pusey IRA, (c) 73,044 shares of Common Stock underlying options to purchase Common Stock, whether or not presently exercisable, and (d) 15,000 shares of Common Stock issuable upon conversion of shares of Series B Convertible Preferred Stock, whether or not presently convertible, and (f) 750 shares held jointly by Reporting Person and Reporting Person's spouse.

15. This derivative security was previously reported as exercisable for twice as many shares, but is adjusted in this Form 4 to reflect the number of shares issuable upon exercise or conversion, as applicable, following the issuer's reverse stock split that occurred on September 29, 2008.

16. This derivative security was previously reported as having an exercise price of half this amount, but is adjusted in this Form 4 to reflect the exercise price following the issuer's reverse stock split that occurred on September 29, 2008.

17. Adjusted to reflect the issuer's reverse stock split that occurred on September 29, 2008.

	/s/ Jill Pusey as attorney-in-fact	09/29/2008
	** 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).
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