China Growth Stocks

[tbirdman]

NIVS 8K - Am I reading this incorrectly? This sounds like a good thing: housecleaning. These parties terminated their engagements with the special committee (which was formed for an internal investigation) after their involvement was complete. The company is enacting these recommendations...would love to hear a different take on this, perhaps I am reading this completely wrong.

Resignation of Directors
On June 12, 2011, the special committee of the Board of Directors of NIVS IntelliMedia Technology Group, Inc. (the "Company"), established on March 28, 2011 to investigate certain allegations of the Company's former independent auditors (the "Special Committee"), made certain interim remedial recommendations to the Company, including: the suspension of two employees; the engagement of an outside accounting firm to perform the Company's accounting functions; and the consolidation of the Company's cash in fewer bank accounts, and on June 15, 2011, the Board of Directors formally approved the Special Committee's recommendations.

On July 11, 2011, each of Messrs. Charles Mo and Robert Wasielewski resigned as a Director of the Company, effective immediately. In his resignation letter, Mr. Wasielewski's cited as a reason for his resignation, the Company's delay in implementing the Special Committee's recommendations. Mr. Wasielewski's resignation also noted that concurrent with his resignation, the Special Committee's legal counsel, Sidley Austin LLP, and its accounting advisors, Deloitte Financial Advisory Services LLP, have terminated their engagements with the Special Committee.

The Company is in the process of engaging an outside consulting firm and consolidating the Company's bank accounts.