Actually, I suspect just the opposite: Frankie picked auditors that were too honest for Cyclone.
Her excuse a while ago was the auditors had issues with derivative accounting and inventory aging. She later complained about Chris Nelson loading Cyclone up with toxic debt that was driving the derivative accounting problems.
Notice on the Cyclone website that Frankie has not updated the number of outstanding shares or the number of authorized shares in two years, while she does update the site to include news of all those great deals Cyclone makes. She and Harry have no intention of telling the world what the true state of CYPW stock is.
While Nelson did sign off on many convertible notes, Harry and Frankie obviously approved at the time, being the controlling shareholders and directors, and spent the money raised. In one message to shareholders Frankie did say the authorized shares were increased from the 2 billion level to cover contractual requirements in convertible notes (although she didn't say what the authorized was increased to) so she and Harry have continued to use toxic debt.
I think a big sticking point is the inventory aging issue. Most of Cyclone's assets were in inventory and IP, priced at the acquisition cost. The auditors, rightly, are asking about aging. They have to sign off that the numbers they put down represent the real value of the inventory. The real value is as scrap metal for the inventory and the price of the picture frames holding the patent certificates for the IP. But with Harry completely delusional about Cyclone engines actually working, there is no chance he will allow an honest value of the inventory to be used.
The land speed car and water speed boat costs were never properly disclosed, but their appearance jumped the equipment asset by about $400K. These toys would only have realizable value as some of the parts. For instance, the trailer is worth more than the boat.
The auditors would be crazy to sign off on Harry and Frankie's valuations of the Cyclone junk. They could lose their licenses and be sued personally if they did.
The holdup on the financials is all about Harry and Frankie trying hard to continue deceiving investors.
