There are now serious concerns about the business model and whether the company can continue trading.
A week ago we though this was a very profitable company, with receipts from customers of $22.5m in one quarter and lots of money in the bank. That showed a successful business operation with many customers willing to pay money for their services.
Now we know that most of the reported money in the bank is not theirs.
We know that the reported receipts from customers are 90% withdraws from a loan facility.
We know they have a large loan, not money in the bank.
We dont know the $ value customers are willing to pay for their services.
There is great complexity and doubts about knowing what the company is paying to its suppliers.
I have seen some say that the accounts are OK.
If their accounts are OK we might as well give up on producing accounts completely and get rid of accountants.
The whole point of a company releasing financial reports is to give stake holders a view of the company’s operations and finances.
Here shareholders have been mislead.
Just because a quarterly report is not audited does not give the company the right to mislead.
Some complex wording in a document does not give the company the right to mislead by reclassify withdrawing funds from a loan facility as receipts from customers and subsequently revenue, imo.
The issuing of shares is a minor issue now, as the shares may be worthless.
We need accurate accounts which correctly show how much has been sold unconditionally to customers, what their costs are, including promises issue shares, and what their assets and liabilities are.
BIG Price at posting:
$2.22 Sentiment: Sell Disclosure: Not Held
