Blum Holdings Inc (BLMH)

[mfdesigner]

As long as TRTC reports a net loss, its revenue numbers and future guidance cannot be trusted. Too many insiders' independent business entities at play here. I hope this is not shaping up to be another Worldcom accounting scandal.

The fraud was accomplished primarily in two ways:

1. Booking "line costs" (interconnection expenses with other telecommunication companies) as capital expenditures on the balance sheet instead of expenses.
2. Inflating revenues with bogus accounting entries from "corporate unallocated revenue accounts".