@jonk75 Why would you even consider comparing Harvey Norman/GE...

@jonk75

Why would you even consider comparing Harvey Norman/GE Customer finance transactions/business model with BIG/FCC??? Even comparing the entities is bizarre.

1/ If for one minute you think GE agree with Harvey Norman to “swap out” customer hire purchase agreements if the customer decides they don’t want the product then you are very much mistaken. Sure, there is consumer protection but that is where it ends.

2/ Harvey Norman customers actually take the physical product away with them or arranges delivery after signing agreements for the product in question. They are not signing for an additional, ongoing finance facility to spend elsewhere. Furthermore, the customer has seen the product and actually chooses to buy it before signing.

3/ Harvey Norman would never receive payment from GE without the customer signing for and accepting the product(s).

4/ Harvey Norman would never offer a free TV if you take purely a finance facility from them. They sell physical products using finance to facilitate purchases - not the other way round.

5/ Customers of Harvey Norman are not cold called and given a canned pitch over the phone. Their customers are willing purchasers of the products and have a want, need or desire for the product(s).

6/ Harvey Norman use reputable auditors to audit their accounts who would never sign off on a loan as revenues.

I am not an accountant and I suspect most retail investors are not either, so, like others, I would assume funds reported as “money in the bank” would be revenue from paying customers who have taken delivery of the video and associated ongoing subscription based marketing efforts had been implemented. That clear was not the case.

Finally. If the AFR articles were responsible for the collapse of BIG , then why not in their defence, produce the accounts 5 months ago and dispel all of the innuendo surrounding the management, accounting and reporting. Surely, if all was in order, above board and the stated financial position was inline with their previous ASX releases, the correct course of action to protect the company’s reputation and shareholders value would be to tespond immediately and shoot AFR down in a ball of flames. 5 months later the auditor is on his holidays (clearly he would have lost his $500 deposit if he cancelled), nobody is any the wiser and you pop up.

I could go on but my rags are ready -