Spongetech Delivery Systems, Inc. (fka SPNGQ)

[Fire Lane]

wadi, thats not what I meant. what I said was its important for anyone on the outside looking in to know where those receivables are coming from and their ability to pay. When its found out that they are shady then it calls into question the entire receivables entry. when you remove the receivables from the financials then you get a much different picture of the companies financial condition. according to USGAAP one can only include in receivables those amounts which are LIKELY to be paid and if you cant even verify the existance of the company owing those receivables then you got a huge red flag.

think about it. if the company is playing paddy cake with their financials by doing straw deals between companies then that is fraud