Healthcare Integrated Tech Inc (HITC)

[Verado]

HITC CEO Boruff Is In Denial

According to Scott Boruff when things go bad it is not his fault. As CEO of Miller Energy Resources Mr. Boruff led the acquisition and development of Alaskan oil assets. Ultimately after Miller Energy Resources wildly inflated the values of those assets in filings and press releases and SEC charges were filed against the company Mr. Boruff claimed “ignorance” as his defense. From a Knoxville News Sentinel Article (Link Below):

“On Aug. 6, 2015, the SEC filed civil charges of accounting fraud against Miller in federal court. The Alaska property, according to the SEC, had been a petroleum pig in a poke with a value concocted out of supposition, wishful thinking and outright lies. David Hall and Paul Boyd, Miller’s chief financial officer and chief operating officer at the time of the purchase, had double-counted the property’s assets, underrated expenses and relied on unreliable estimates to reach the figures that brought Miller its acclaim, according to court records. Carlton Vogt, an auditor with Sherb & Co., had blessed the findings, according to the SEC.
Boruff insists he had no idea what went on. “I absolutely knew nothing about that,” he said last year. “I didn’t do the accounting, and I didn’t do the legal work.”
Miller Energy paid a $5 million fine to settle the case and agreed to revise its financial reports back to 2015. A month later, the NYSE delisted the company’s stock.
In October 2015, Miller Energy filed for bankruptcy. The resulting reorganization split the company into 11 subsidiaries and voided its stock, handing over control of assets to Miller’s main creditor, Apollo Investment Corp.”

So, Mr. Boruff, you were in charge, you signed off on all filings, the buck stopped with you and yet you knew nothing about that? You were clueless? So, in my opinion either you are point blank not telling the truth or as CEO you didn’t have any idea what was going on with MAJOR accounting and valuation practices in your company. Under your leadership as CEO you allowed an acquisition that cost you less than $10M to be valued on your books for hundreds of millions of dollars and you “absolutely knew nothing about that”? You weren’t even curious at how that valuation was done? You just thought “that’s great” and signed the filings? Unbelievable!!!

But thats not all. After Miller Energy Resources wasted hundreds of millions of dollars of shareholders and investors money all while being led by Mr. Boruff, Boruff still goes out of his way to claim its was not his fault. In a recent filing with the SEC with his new public entity HITC;

“Mr. Boruff served as a member of the Board of Directors of Miller Energy Resources, Inc., a publicly-traded company, from August 2008 until March 2016, serving as Executive Chairman of the Board of Directors from September 2014 until March 2016 and Chief Executive Officer from August 2008 to September 2014. In October 2015, when it was being led by a successor management team, Miller Energy Resources, Inc. filed a voluntary petition for reorganization under chapter 11 of title 11 of the U.S. Code in a pre-packaged bankruptcy. It remained a debtor in possession and emerged from bankruptcy in March 2016.”

In other words, “Miller was not my fault.” Well, apparently Boruff doesn’t consider being Chairman of the Board during the bankruptcy as him being part of the leadership team. He also seems to forget it was apparently his choice to put Carl Giesler in as CEO of the company and he seems to forget that he signed off on an extremely expensive oil well for Miller to drill in Alaska that ultimately hardly produced anything. (Not to mention that it is highly unusual for a small oil and gas operator to risk most of its resources on one well. In most cases small operators form joint ventures to spread the risk.) But then again, in my opinion, as well as the opinion of others (Concerned Miller Shareholders), Boruff had no problems treating Miller as his own personal piggy bank, so why would anyone be surprised that he would risk shareholders money to recklessly roll the dice on a monster well? A monster well that along with other dud wells he signed off on, and in concert with the many other blunders by Boruff as CEO and then Chairman, in my opinion ultimately sunk the company.

https://www.knoxnews.com/story/news/local/2017/02/10/miller-energy-knoxville-would-be-oil-empire/97557876/

Miller Energy Resources SEC filings:
https://www.sec.gov/cgi-bin/browse-edgar?CIK=mill&owner=exclude&action=getcompany&Find=Search

It is beyond me why anyone would invest in a company led by Boruff. But that’s my opinion. For more on the apparent trail of destruction that Scott Boruff leaves in his path in ventures spanning from real estate to him as the previous CEO and Chairman of Miller Energy Resources, simply google him or follow the links on my previous posts. His track record and insights into him are just a click away. You be the judge.

The more I peel this onion the more it smells. The last layer was rancid. This layer is putrid. More soon.

HITC Stock Opinion: This is not going to end well. HARD SELL

The above stated assessments/viewpoints/opinions put forth throughout my posts are based upon details available to anyone and were discovered through simple research and are for informational purposes only. They are simply my opinions, not advice. I encourage you to consult a professional financial advisor and do your own independent due diligence, research and analysis when evaluating company leadership or considering investing or divesting in public companies. Whenever possible, I attempt to do my best to provide links or references from my research to provide you with insight into the details that I formed my opinions from, and also so that you can more easily initiate your own research and perform your own due diligence which I strongly encourage you to do.