Here's my quandary with this...auditors generally don't get involved in quarterly reports. Quarterly financials ARE NOT audited. They only get deeply involved in year-end financials (10K is audited). However, they can be asked for opinions during the year by a company or its external accountants.
If I remember the timeframes right, the auditor resigned during the bridge loan financing timeframe. We also saw conflicting SEC filings indicating how the loan would be paid back. One said cash or stock, another said unregistered stock has already been sold for the principal only. The latter filing conflicted with an earlier one and was filed way after the date it was supposed to be. I am speculating that the previous auditor wanted no part of that mess and resigned.
My additional speculation is that without an auditor's opinion, the external accountants may be unwilling to sign off on the financials.
But, I make no claim for little birdies, inside information or otherwise.
Being "wrong" has been extremely profitable.
