Sunset Island Group Inc (SIGO)

[loanranger]

"How do you think retailers pay for their product?"

Good question. (Even if SIGO isn't a retailer.)

"Everybody gets paid in cash, including state and local taxes in many cases."
Do you know that to be true? And withholding taxes? My recollection from having dealt with them long long ago is that they were submitted, along with an employers FICA contribution, on a regular basis. My involvement definitely expired prior to this requirement:
"You must use electronic funds transfer (EFTPS) to make all federal tax deposits."

The idea that a public company can exist without a formal banking relationship boggles my mind. Even if such a thing were possible basic recordkeeping of the movements of the cash would be required of a reporting company, which SIGO purports to be.


I took a brief look at the Canadian (if that makes a difference) public company Medmen's last Annual Report to OTCMKTS and Management's discussion of them.
https://backend.otcmarkets.com/otcapi/company/financial-report/205229/content
https://backend.otcmarkets.com/otcapi/company/financial-report/205230/content
There's a lengthy discussion of the legal issues surrounding the banking problem, yet the filing says this:
"All cash and cash equivalents are placed with major U.S. financial institutions."
As of the filing date that was $79,159,970.

Any "cash only business" explanations for the difficulty in providing current audited financials is pretty weak. It can and has been done. A poster made a visit to the SIGO facility recently and came away with this:
"My spouse is a CPA and has done 100s of audits over a couple decades. And I have heard dear spouse pulling hair out for the reason they gave. So I can relate And I know what they are doing to remedy the issue. It is just a matter of time. I don't think they are hiding anything."

We weren't provided with "the reason they gave" for some reason, even though the visitor and his dear spouse clearly know the explanation that was offered up.

I haven't visited or exchanged communications of any kind with this Company, but that isn't going to stop me from disagreeing with the tight-lipped visitor's conclusion. I think they are hiding a LOT of things. But if they can't provide a more current version of auditable financial statements than those dated 10/31/17 at this point then that's all investors should need to know. They can, they just aren't.