Plastic2Oil Inc (PTOI)

[scion]

The effect of this misstatement to the financial statements is a decrease in total assets of approximately $11,507,000, an increase in net loss of approximately $2,178,000 and a decrease in equity o $11,809,000.

Report of Independent Registered Public Accounting Firm

The Board of Directors

JBI, Inc.

We have audited the consolidated balance sheet of JBI Inc. (formerly known as 310 Holdings, Inc.), as of December 31, 2009, and the related consolidated statements of operations, shareholders’ equity, and cash flows for the year then ended. These consolidated financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on these consolidated financial statements based on our audit. The financial statements of JBI, Inc. as of December 31, 2008, were audited by other auditors, whose report dated March 27, 2009, expressed an unqualified opinion on those statements.

We conducted our audit in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the consolidated financial statements are free of material misstatement. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the consolidated financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

In our opinion, the 2009 consolidated financial statements present fairly, in all material respects, the consolidated financial position of JBI, Inc. as of December 31, 2009, and the consolidated results of their operations and their cash flows for the year then ended, in conformity with accounting principles generally accepted in the United States of America.

As discussed in Note 2 to the consolidated financial statements, the Company has restated the 2009 financial statements to correct the accounting for business acquisitions and stock issuances. The effects of this restatement are disclosed in Note 2.
[...]
NOTE 2 – SUMMARY OF ACCOUNTING POLICIES AND RESTATEMENT

Restatement

The Company has determined that there were errors in the original accounting for the acquisitions of Javaco and Pak-It, the valuation of media credits, and equity issuances, causing the Company to restate previously reported financial results as of and for the year ended December 31, 2009. The effect of this misstatement to the financial statements is a decrease in total assets of approximately $11,507,000, an increase in net loss of approximately $2,178,000 and a decrease in equity o $11,809,000.

Reclassifications
Certain reclassifications have been made to the prior years’ financial statements to conform to the current year presentation. These reclassifications had no effect on previously reported results of operations or retained earnings.

Basis of Presentation

These consolidated financial statements include the accounts of the JBI, Inc. and its wholly owned subsidiaries, Javaco, Inc. and Pak-It, LLC. All significant intercompany accounts and transactions have been eliminated in consolidation. Prior to 2008, the Company was in the development stage, and accordingly the financial statements prior to 2008 had been prepared in accordance with the provisions of accounting and reporting by development stage enterprises.
[...]

WithumSmith+Brown, PC
New Brunswick, New Jersey
July 9, 2010

10-K/A 1 f10ka2009_jbi.htm AMENDMENT TO ANNUAL REPORT

http://www.sec.gov/Archives/edgar/data/1381105/000121390010002805/f10ka2009_jbi.htm

So the company bent over backwards to discount those media credits.....however, I maintain that they DO have substantial value.