Consumer Automotive Finance Inc (CAFI)

[Smith111]

Very good point. But..In order for the asset purchase agreement to be accepted by the SEC, the acquired company has to provide audited statements that would prove legitimacy for public status. Because it is a shell company with insufficient operational consistency, the SEC requires full disclosure of the operations of the aquired company. In order to fulfill these requirements, NowAuto is obligated to submit two years of audited financial statements - balance sheet, income statement, cash flow statment, & OE. Once these statements are reviewed by the SEC audit committee, the asset purchase agreement can be accepted, and the NowAuto Group will become official. SEC approval of NAUG is as if this is an entirely new company...regardless of the fact that a shell company acquired them. Because of Sarbanes-Oxley and GAAP, the SEC is mandated to take precautions that newly "public" companies are legitimately structured for shareholders.