Bitech Technologies Corp (BTTC)

[iancassel]

Numbers out

Revs: $1.25m
Income: 306k



Of interest, there was an extra $310k in attorney expenses lumped into this quarter.



During the three months ended June 30, 2011, the Company incurred $556,745 of operating, general and administration expenses compared to $150,691 for the same period in 2010. The increase in expenses is attributable in part to an increase in legal fees. On March 10, 2008, Kent Carasquero, Leslie Lounsbury, Riverside Manitoba, Inc. and Tyeee Capital Consultants, Inc. filed suit against the Company, Richard Specht, Rene Hamouth, Hamouth Family Trust, William R. Dunavant, and William R. Dunavant Family Holdings, Inc., which legal proceeding is described in more detail above under “Note 10” of the unaudited condensed financial statements. A law firm jointly represented the Company and certain other defendants in the suit. Management reasonably believed that another defendant to the suit was taking responsibility for the entire legal bill. Recently, however, the law firm notified the Company that it was jointly responsible for the outstanding bill. Based on this new information, the Company has included this liability of approximately $310,000 on the balance sheet at June 30, 2011 and in operating, general and administration expenses for the three months ended June 30, 2011. The Company is evaluating the accuracy and validity of this bill and the Company’s obligations under the bill. Further, in May 2011, the Court awarded the Company $79,477 in attorneys’ fees on the claims that it prevailed on at trial, and Mr. Carasquero’s appeal of the suit was dismissed in June 2011. The Company did not include the $79,477 judgment in the accompanying financial statements for the three month period ended June 30, 2011. The increase in expenses for the period is also attributable to an increase in consulting fees and the issuance of options to officers and directors as executive compensation.

http://www.sec.gov/Archives/edgar/data/1066764/000114420411047256/v231848_10q.htm