I'm not really sure. Essentially ASX is stating that there were...

I'm not really sure. Essentially ASX is stating that there were material changes between the prospectus and the update, and these weren't released. Delorean is arguing that in isolation, each of them weren't material - and that the results were released once the audit was signed off. That's not quite answering the question the ASX put forward though - why didn't you release to the ASX an update when you knew the revenue would be over $2m short of the prospectus?

I don't think there'll be a fall out from this. I think Delorean will need to be a bit more open with updates, and perhaps this is just a new company trying to work things out still. Definitely do not see this as 'financial shenanigans' or cooking the books, but rather related to volatility in share price and lack of transparency.