Global Telemedia Announces Imminent Finalization of International Audits
NEWPORT BEACH, Calif.--(BUSINESS WIRE)--April 27, 2000--
The Company Has Received All Audits From Subsidiaries and Awaits the Finalization of Audits to US GAAP by KPMG and BDO Seidman and Final Consolidation by Tauber & Balser
Global TeleMedia International, Inc. (OTC: BB: GTMI) President, Jonathon Bentley-Stevens, announced today that the Company has received completed audits from all of its four subsidiaries. The Company's auditors Tauber & Balser have engaged with KPMG which has completed the audits of Bentley House Furniture Company (BHFC) and with BDO Seidman which is completing the auditing and consolidating of the results of the 3 BentleyTel subsidiaries, BentleyTel Australia, BentleyTel Malaysia and BentleyTel Philippines. All reports will comply with US Generally Accepted Accounting Principals (GAAP).
Mr. Bentley-Stevens said, "We were unprepared for the complication that purchasing the subsidiaries late last year would bring to our 1999 10-KSB filing. Even though we purchased the three private companies in November of 1999 our 10-KSB must reflect the purchases and each individual company must be audited for the period November 1, 1999 - December 31, 1999. Though this is a short period audit, firms such as KPMG and BDO Seidman will nevertheless do a full year audit.
The ISP and Telecoms acquired were private companies and have never been audited. Therefore, the books and records, though in excellent order, were not constructed to standards that comply with US GAAP. To add to the challenge, the three companies have years ending in June and July, not December 31, as GTMI does."
He continued, "As the Company plans an IPO for BentleyTel.com this year we decided to contract BDO Seidman to re-audit the subsidiaries and consolidate the audits to US GAAP. This is being done at the moment and we hope to have the consolidated audits to Tauber and Balser by the end of next week. In further preparation of this possible IPO, BDO Seidman will prepare the Company's accounting and financial records so as to enable management to approach first tier financial analysts and underwriters later on this year.
"Recent increased activity of the SEC has brought all companies under higher levels of scrutiny regarding timely filing of financial statements. In the past many companies have gone more than a year in filing delinquencies and have not had an `E' added to their symbol. GTMI has been filing on time since new management took over last year.
"By way of clarification, the `E' stands for eligibility. This means that the company will remain on the OTC bulletin board (OTC BB) for 30-60 days after the appearance of the symbol and must file a complete10-KSB/A during this period in order that the "E" be removed. During the "E" period, the Company is restricted from certain share offerings and clearances of 144 shares. All other operations remain the same."
Mr. Bentley Stevens concluded, "GTMI has already applied for an AMEX listing and the SYMBOL "GLO" has been reserved for the company. The NASD will hold the GTMI symbol for 12 months in the event the Company chooses to return to the NASDAQ during that period of time. With the e-commerce products due for release next month, the Company is anticipating the significant revenue levels that the market research has indicated are probable. We believe these levels of projected revenues should be adequate for the company to qualify for AMEX listing.
"The Company still intends to launch its revolutionary Smart-e-Card in mid May as planned. The card will feature real-time re-valuing using equipment provided by our strategic partner, with whom GTMI has sought an exclusive distributorship for the Pacific Rim Countries, China and Japan. Our EPOS OCV (Online-Credit-Verification) real-time funds clearing platform developed by BentleyTel.com Australia (www.octa4.net.au) has been in use for over six months. It is currently completing "real-time" transactions in Australia, linked on-line via its EFTPOS secure network to large Australian banks such as ANZ and St George/BankSA. Furthermore BentleyTel.com and DataExchange, Inc. are on target for a May Beta Test of MessagePilotTM".
Global TeleMedia International, Inc., located in Newport Beach, California, through its BentleyTel.com subsidiary, (www.bentleytel.com), is a leading developer of interactive software for complex E-commerce solutions, multi-media and high speed Internet and wireless communication systems, including international & long distance Voice over IP, LAN VPN (Virtual Private Network), ISP, Virtual ISP, and PC-PC, PC-Phone transmission of data and voice. It also owns manufacturing and, telecom, ISP, and software development facilities in Australia, Malaysia and the Philippines.
This press release contains forward-looking statements. All such statements involve risks and uncertainties, including, without limitation, the risks detailed in Global TeleMedia's filings and reports with the Securities and Exchange Commission. Such statements are only predictions and actual events or results may differ materially.
This release and prior releases are available on the KCSA Public Relations Worldwide Web site at www.kcsa.com.
CONTACT: Global Telemedia International, Inc.
KCSA CONTACT:
Robert Giordano/Daniel Stepanek,(212) 896-1289/1202
rgiordano@kcsa.com / dstepanek@kcsa.com
www.kcsa.com |
