Enzolytics Inc (ENZC)

[foxi]

Changing auditors does suggest there's an issue with the data that's making the earlier firms unwilling to sign off. But ENZC has been saying the 'audit is proceeding without issues' all year in public messaging and SEC filings so there's a big disconnect.

Why would they want to replace Malone Bailey when the audit is 'being finalized'? At a minimum there'd be some time and cost for new auditors to familiarize themselves with ENZC's audit package -- if the new firm didn't have to start from scratch.

If time or quality is a concern, why switch to Gries & Associates which has under 10 employees and less than $5M revenue, instead of keeping Malone Bailey which has close to 200 employees and $21M revenue and is also in the IPA 300 top firms?

OR did ENZC actually finish the audit and has no continuing need for Malone Bailey's services?



EDIT: somebody said that ENZC has been working with Gries & Associates for over a year. I think I'm mistaken that they have changed auditors for their three-year audit, which Malone Bailey was previously handling. I'll leave the original post unedited above so readers can piece the conversation together.

If Malone Bailey is gone from the latest filing, does that mean the audit might be completed?





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