SC 13G 1 kl02057_sc13g.txt SCHEUDLE 13G UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ------------- SCHEDULE 13G Under the Securities Exchange Act of 1934 Nephros, Inc. ------------- (Name of Issuer) Common Stock, par value $0.001 per share ---------------------------------------- (Title of Class of Securities) 640671103 --------- (CUSIP Number) December 31, 2005 ----------------------------------------------------- (Date of Event Which Requires Filing of this Statement) Check the appropriate box to designate the rule pursuant to which this Schedule is filed: |_| Rule 13d-1(b) |_| Rule 13d-1(c) |X| Rule 13d-1(d) Page 1 of 5 SCHEDULE 13G CUSIP No. 640671103 1) NAME OF REPORTING PERSON S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON Donald G. Drapkin -------------------------------------------------------------------------------- 2) CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) |_| (b) |_| -------------------------------------------------------------------------------- 3) SEC USE ONLY -------------------------------------------------------------------------------- 4) CITIZENSHIP OR PLACE OF ORGANIZATION United States -------------------------------------------------------------------------------- 5) SOLE VOTING POWER NUMBER 645,759* OF --------------------------------------------------- SHARES 6) SHARED VOTING POWER BENEFICIALLY 0 OWNED BY --------------------------------------------------- EACH 7) SOLE DISPOSITIVE POWER REPORTING 645,759* PERSON --------------------------------------------------- WITH 8) SHARED DISPOSITIVE POWER 0 -------------------------------------------------------------------------------- 9) AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 645,759* -------------------------------------------------------------------------------- 10) CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES |_| -------------------------------------------------------------------------------- 11) PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9) 5.2% -------------------------------------------------------------------------------- 12) TYPE OF REPORTING PERSON IN -------------------------------------------------------------------------------- * Includes 135,837 shares issuable upon exercise of options granted under the Issuer's 2000 and 2004 Equity Incentive Plans, which had vested by December 31, 2005. Page 2 of 5 Schedule 13G ------------ Item 1(a). Name of Issuer: Nephros, Inc. Item 1(b). Address of Issuer's Principal Executive Offices: 3960 Broadway New York, New York 10032 Item 2(a). Name of Person Filing: Donald G. Drapkin Item 2(b). Address of Principal Business Office or, if None, Residence: 35 East 62nd Street New York, New York 10021 Item 2(c). Citizenship: United States Item 2(d). Title of Class of Securities: Common Stock, par value $.001 per share Item 2(e). CUSIP Number: 640671103 Item 3. If this statement is filed pursuant to ss.ss. 240.13d-1(b), or 240.13d-2(b) or (c), check whether the person filing is a: (a) |_| Broker or Dealer Registered Under Section 15 of the Act (15 U.S.C. 78o) (b) |_| Bank as defined in section 3(a)(6) of the Act (15 U.S.C. 78c) (c) |_| Insurance Company as defined in section 3(a)(19) of the Act (15 U.S.C. 78c) (d) |_| Investment Company registered under section 8 of the Investment Company Act of 1940 (15 U.S.C. 80a-8) (e) |_| An investment adviser in accordance with ss. 240.13d-1(b)(1)(ii)(E) (f) |_| An employee benefit plan or endowment fund in accordance with ss. 240.13d-1(b)(1)(ii)(F) (g) |_| A parent holding company or control person in accordance with ss.240.13d-1(b)(ii)(G) (h) |_| A savings association as defined in Section 3(b) of the Federal Deposit Insurance Act (12 U.S.C. 1813) (i) |_| A church plan that is excluded from the definition of an investment company under section 3(c)(14) of the Investment Company Act of 1940 (15 U.S.C. 80a-3) (j) |_| Group, in accordance with ss.240.13d-1(b)(ii)(J) Page 3 of 5 Item 4. Ownership. (a) Amount beneficially owned: 645,759 (b) Percent of class: 5.2% (c) Number of shares as to which such person has: (i) Sole power to vote or to direct the vote: 645,759 (ii) Shared power to vote or to direct the vote: None (iii) Sole power to dispose or to direct the disposition of: 645,759 (iv) Shared power to dispose or to direct the disposition of: None The shares reported as beneficially owned include 135,837 shares issuable upon exercise of options granted under the Issuer's 2000 and 2004 Equity Incentive Plans, which had vested by December 31, 2005. Item 5. Ownership of Five Percent or Less of a Class. Not applicable Item 6. Ownership of More than Five Percent on Behalf of Another Person. Not applicable Item 7. Identification and Classification of the Subsidiary Which Acquired the Security Being Reported on by the Parent Holding Company. Not applicable Item 8. Identification and Classification of Members of the Group. Not applicable Item 9. Notice of Dissolution of Group. Not applicable Item 10. Certification. Not applicable Page 4 of 5 SIGNATURE --------- After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct. February 13, 2006 ---------------------------- Date /s/ Donald G. Drapkin ---------------------------- Donald G. Drapkin Page 5 of 5