It is being proposed that the auditors that have served MGY from the start, Crowe-Horwath, are now too expensive and should be dropped in favor of another firm, William Buck. OK?
This was proposed by a 'shareholder' named Quantum Holdings Pty Ltd, who it seems from Schedule 2 is in fact also one of the directors, Peter Woods.
Directors should provide more information as to what relation if any Peter Woods has with any of the 9 persons listed on the William Buck website as Perth-based; in particular Mark Collins who is a founding partner of the firm and the MD. This is/should be standard disclosure.
Changing auditors now to save some $$ is all well and good, but it is an important decision and needs more info than was given in the AGM notes. MGY's recent and current circumstances make it even more important that this change is checked out properly.
Fees levied for important tasks like company audits are not always in 'proportion' to the client activity level. If that rule truly applied then MGY's audit bill would be effectively zero!
The real anomaly here is the lack of activity by MGY, not the auditors bill. OZ
MGY Price at posting:
2.8¢ Sentiment: Hold Disclosure: Held
