First of all, let me say that I am here, because I was
investigating about 50 different stocks and at first
appearance, this looked like one of the better buys.
That said, I have some concerns that I would like to
ask about. I have tried to call Mr. Tilton, but have
not been successful in getting through to him.
My first concern is not so simple, but I am a CFO of
a fairly large company (not public). Hence, I have
been trained in auditing, but currently participate in
no public audits (when a company presents their financials
to the public as audited). However, as I understand it,
the notes to the financial statements, and the auditors
statement are an integral part of the financials,
and should also be presented. This is not just a
little problem. The auditors opinion, stating that the
company did, or did not comply with GAAP, is ultimately
important. Someone out there might explain my error,
but I believe most accounting firms would be horrified to
see a company's financial statements that they audited
presented as they are on tnrg's web site. So
be it. I would love to find a good explanation for this,
but I also called KPMG in New York and discovered that they,
at least, did not perform this audit. (I am not saying
that some other office of KPMG did not do the audit).
It also concerns me that tnrg initially filed with
the SEC, presenting audited financial statements to them
in 1993 and 1994 (check out edgar), but then stopped reporting.
I fear that this is illegal, though I have heard of other
companies being late in their reporting.
If there are any good explanations for these concerns, I would love
to know, as I will probably buy a chunk of the stock. Otherwise,
I will be surprised not to find the company soon being investigated.
Please be aware that I am not trying to hack anyone off here.
Ask any trained accountant that you know and I believe they
will tell you that audited financials are just not reported
in this manner. They don't even tell you who the auditor is.
But at any rate, I hope I'm wrong, and nothing is irregular here,
as in that case, the company might make a very good investment. |
