I am a former shareholder but do not construe what I am about to...

I am a former shareholder but do not construe what I am about to say as being sour grapes or ramping.
The recent release by AAM on 23/9/11 called "Notice of General Meeting/Proxy form" mentioned that as at 30th June 2011 current Assets were $1.9 m and current liabilities were nearly $19m.
Is this the first time that this has been announced to the shareholders, I can't remember seeing this highlighted before.
I am astounded that the board of directors allowed this situation to reach that pitiful stage. Why have the regulators turned a blind eye to what has happened?
Directors are supposed to be liable for trading when a company is insolvent.
I don't think that ASIC would have to much trouble in proving that this has in fact occured, or don't they care about small shareholders.