Hannover House Inc (HHSE)

[Dogfish Head]

But that "hunch" flies in the face of logic, doesn't it? Let's look at the facts, shall we.

Fact 1: TDGI has made a recent public filing of unaudited financials citing H&T still advising them. This is de facto proof that H&T is still on board with TDGI. If H&T is still not on board (or as some suggest never was) then TDGI is committing securities fraud by filing false public information that investors rely on. A company simply cannot do that. EP or FS would be going to jail if they did. And don't you think that H&T would have caught wind of their name being in a filing of a company they're not working with? Would they just be silent and pretend that it doesn't matter? You know the answer to that, H&T would be publicly denouncing that as well as filing civil and criminal charges against TDGI. But they haven't, and you know why. It's because they're still on board with TDGI and still working on the audit as the filing says. From the latest filing:

Management has excluded any titles or libraries acquired during 2010 from inclusion in the Library Valuation, until such time that Hogan Taylor can complete its review of the library.

Fact 2: H&T is a well respected, reputable accounting firm. This is right from their website:

HoganTaylor now has the largest, most experienced SALT Practice in Oklahoma and Arkansas

When you're the largest in anything professionally, it means you have a good reputation and are well known. Now, I'm no rocket scientist, but I would think that H&T wouldn't want their pristine reputation marred by a little pink sheet company if it weren't reputable, right? That could translate into a severely damaged reputation for H&T which could cost them a lot of business. H&T didn't get to where they are today without building a great reputation. It's not like accounting firms generate their business by advertisements. They earn their reputation.

Fact 3: TDGI states that H&T hasn't completed the library valuation in their latest filing. While it is convenient to spout off your "hunch", it's simply nonsense that TDGI is sitting on the audited financials because the library value is too low. I go back to what I said above, and that's that if the library valuation were already completed and were significantly below what the latest filing that references H&T states, then TDGI has filed false information in a public filing and would be facing civil and/or criminal charges for doing so. We'd have heard about it no doubt. But that's not the case at all.

Fact 4: If the library valuation were significantly under the $22 million and change figure that was in the latest filing which references H&T, then H&T would be allowing their client publicly to be making a false statement and H&T could have some legal recourse against it too. There's NO way a reputable accounting firm lets a client they represent willfully, maliciously and knowingly file false information in a public filing. That's professional malpractice at the highest level.

So to recap, we de facto know H&T is still working with TDGI by the latest filing due to the fact that no contrary information has come forward. We also know that the audited financials and library valuation aren't completed yet. The filing says so, and logically we have to believe that for all the reasons I've stated above. You can't dispute that. You can pontificate all you want on your "hunches" and "feelings" and whatever glitzy words you want to use, but at the end of the day you're simply coming across as unbelievable. It's fine to be skeptical about the length of the audited financials. But to insinuate that TDGI and now H&T have knowingly conspired to file false public information is just plain wrong and flies in the face of the actual facts we have (and some we don't). While you, I or anyone else don't like how long it's taking, it's just silly to insinuate that TDGI and H&T are filing materially false information.