Hitsgalore.com Moving Forward to Secure New Auditors
PR Newswire - July 29, 1999 18:00
RANCHO CUCAMONGA, Calif., July 29 /PRNewswire/ -- Hitsgalore.com, Inc., (OTC Bulletin Board: HITT) has
announced that the Company is moving forward to retain a new accounting firm to re-audit the pre-merger, pre-Hitsgalore
1996, 1997 and 1998 accounting and records of System Communication Inc. "This is for work already done by two other
auditing firms, who will not provide an opinion letter on their own work that they performed and for which they were paid."
said Dorian Reed, Chairman of Hitsgalore.com.
The Company disclosed in a recent 8-K filing that Moore Stephens Lovelace P.A., of Orlando, Florida, a firm originally
retained by the old, pre-merger, System Communication Inc., had resigned. Hitsgalore.com paid Moore Stephens Lovelace
for the 1998 audit contained in the Company's Form 10-K, wherein the Company made a full and voluntary disclosure of Mr.
Reed's background, including a 1992 conviction. "The firm accepted the disclosed background information and agreed at the
time to the use of their opinions, agreed to perform the re-audit of Ernst and Young's 1996 audit, and accepted a retainer of
$15,000," according to Reed.
"Since all of these audits were for events occurring before the merger, and even before the existence of Hitsgalore.com, we are
hard pressed to understand what the surprise is all about, since all was disclosed in advance. We plan to move ahead quickly
with retaining another firm, and we are looking forward to moving off of the Bulletin Board as soon as possible," said Reed.
Reed continued, "The Company is taking action to defend its name and plans to fully prosecute all malicious bashers of our
company and its personnel through the $20 million dollar lawsuit already filed. It appears that additional bashers have
appeared, ironically at the same time as the release of negative news, and will be added to the suit."
"Many Internet stocks are losing, or have lost, billions of dollars in market cap and investment dollars, and most have never
made a profit, and yet have not received all the negative press as our relatively small Internet search engine," said Reed. "The
company, according to Reed, is doing well. We feel we have an extremely bright future. Of course we will face challenges
such as these and others, but the facts remain the same: we are a profitable Internet company. My personal issues have all
been disclosed and will not deter the Company from being a success and a force to be reckoned with in the area of search
technology. I just want to encourage all the investors who have hung in there with us by emphasizing that we will not quit or
give up."
Hitsgalore.com generates revenue and profit from its unique business model of giving away free banners, lifetime banner
placement, and other Portal Services. The Company generates revenue from its Keyword Bid & Rank program, sponsorships
of Portal Services, and Local City Editions featuring local content. Hitsgalore.com strives to provide porn-free searching and
does not accept or encourage any porn or adult-content listings on its site.
Financial statements in this press release other than historical facts are "forward-looking" statements within the meaning of
Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in
the Private Securities Litigation Reform Act of 1995. Hitsgalore.com, Inc. intends that such statements about the Company's
future expectations, including future revenues and earnings, and all other forward-looking statements are subject to the safe
harbors created thereby. Since these statements (future operational results and sales) involve risks and uncertainties and are
subject to change at any time, the company's actual results could differ materially from expected results.
SOURCE Hitsgalore.com
/CONTACT: Danny Gavin, Investor Relations of Hitsgalore.com,
800-300-5388, investor@hitsgalore.com/
/Web site: hitsgalore.com
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Yep, you can always see that when the bashing gets heavy HITTs has come out with a new good news release.
Bob |
