Yep same old, same old.... nothing done by Cataldo and Co,
New Financing from Cataldo's $ 300,000,000 of available funding? ...Nope
Website back up?.. Nope
CFO replaced?...Nope
Any revenue from anywhere? ... of course not
Any cash in bank? ... Nope
Paid off $ 159 bank overdraft from last financials 3 months ago?.. Nope
What did show up.
Assets down $ 26,000 prepaid ;expenses down $ 9,000 and Deferred Finance cost (whatever that "asset" is) down about $ 17,000.
Liabilities
Current liabilities:
Accounts payable up over $ 62,000 in third quarter
Accrued Expenses up over $ 186,000 in third quarter (and apparently that doesn't include officers salaries as per going concern clause)
GOING CONCERN
As discussed above, the Company is in process of entering the alternative energy segment, focusing primarily on wind energy. In this regard, the Company has obtained land, has had prepared a feasibility study and has commenced raising funds and completing its business plan. The Company will require substantial funding to meet its goal of developing a wind energy farm. It is the Company's intention to raise capital through private placement of its common stock and through debt financing to meet the capital requirements of its business plan. The Company has no current revenues and expects it will require a substantial amount of time to develop its infrastructure and begin selling energy. The Company has discontinued accruing compensation for its officers until it completes a financing.
These conditions raise substantial doubt about the Company's ability to continue as a going concern. The consolidated financial statements do not include any adjustments that may result from the outcome of this uncertainty.
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Also the convertible debenture in long term liability was increased by over $ 100,000
Net result was $ 350,000 in additional liabilities and $ 26,000 less in assets in third quarter. (Not sure whether the interest owed to Dadon on his note paid for land option, currently over $ 900,000 for the year is included in the liabilities column. It does show up in the 1.8 million dollar loss for the year however.)
No subsequent events to report.
One final item caught my eye as well.
The Company’s Chief Executive Officer has reviewed and evaluated the effectiveness of the Company’s disclosure controls and procedures (as defined in Rules 240.13a-15(e) and 15d-15(e) promulgated under the Securities Exchange Act of 1934) as of September 30,2009the CEO concluded that the Company’s current disclosure controls and procedures, as designed and implemented, are not effective due primarily to a lack of segregation of duties, in ensuring that information ..... Based on that review and evaluation, which included inquiries made to certain other employees of the Company, relating to the Company required to be disclosed in the reports the Company files or submits under the Securities Exchange Act of 1934 is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission’s rules and forms, including insuring that such information is accumulated and communicated to the Company’s management, including the CEO, as appropriate, to allow timely decisions regarding required disclosure. As a result of a change in business, the Company was delayed in completing the necessary information to make a timely filing of its report as of March 31, 2009. The Company initiated steps insuring it complied with the SEC filing requirements.
(b) Changes in Internal Controls
In the quarter ended June 30, 2009, the Company hired an accounting consultant to maintain its financial records and another consultant to assist in financial reporting for making required SEC filings. The Company's former CFO left the Company during the first quarter of 2009 and has not yet been replaced. The hiring of the consultants is expected to minimize any significant deficiencies or material weaknesses in internal controls from a financial close and external financial reporting perspective. No additional changes in internal controls were made during the quarter ended September 30, 2009 ( so it didn't appear to help)
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Maybe being the CEO and Chairman of two companies and the the co-chairman of another is too much work even for Tony "I can handle it" Cataldo.
Except for bills mounting up it looks like Tony didn't do ANYTHING at GSTY in third quarter.
For the first time however he may have been paid exactly what he is worth. It appears he didn't draw a salary.
