Solvency of the company becomes an issue if LaJolla don't keep...

Solvency of the company becomes an issue if LaJolla don't keep paying wages. The ASX will be sending MDV a letter, and MDV will have to respond. As with BNE, MDV will say they live off LaJolla, so all will be well. Despite the value they place on assets, the market determines what the company is worth- in a fire sale, how much will be paid for Metamizers, given they are not being bought now? Also, one has to wonder how much "real" demand there is for MDV shares. If the market just shuts down on MDV, then LJ will not get paid, and nor will Directors. This is how the Auditors view the Accounts:

"Emphasis of Matter - Material Uncertainty Regarding Continuation as a Going Concern

"Without qualification to the conclusion expressed above, we draw attention to Note 1c in the half year financial report which indicates that during the half year ended 31 December 2011, the company incurred a net loss of $876,732 (2010: loss of $925,560) and a net cash outflow from operating activities of $697,066 (2010: outflow of $949,220). These conditions, along with other matters as set forth in Note 1c, indicate the existence of a material uncertainty which may cast significant doubt about the company’s ability to continue as a going concern, and therefore, the company may be unable to realise its assets and discharge its liabilities in the normal course of business."
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Another issue is the following:

"Matters Relating to the Electronic Presentation of the Reviewed Financial Report

This auditor’s review report relates to the half-year financial report of Medivac Limited for the half-year
ended 31 December 2011 included on Medivac Limited’s web site. The company’s directors are responsible for the integrity of the Medivac Limited’s web site. We have not been engaged to report on the integrity of the Medivac Limited’s web site. The auditor’s review report refers only to the half-year financial report. It does not provide an opinion on any other information which may have been hyperlinked to/from these statements. If users of this report are concerned with the inherent risks arising from electronic data communications they are advised to refer to the hard copy of the reviewed half-year financial report to confirm the information included in the reviewed financial report presented on this web site.
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What do the auditors see on the MDV website? What integrity issues are there?