E3 says it's healthy, pleads for patience

 

CEO, Jonathan Ow says oil refinery could net US$11.3m; receivables auditor is of good repute ,,

 

By CHEW XIANG  , 21 Oct 2008

All E3 small investors, please open your eye big big to see the result promised by the CEO , if he can turn the E3 profitbale by end of 2008, he is never wrong to sack Liau Beng Chye as Liau Beng Chye led the E3 into " ho lang ", losing $$,  in red, deluted shares, small investors bleedings  since E3 IPO till now. 

$22.2 million, representing 'funds remitted to a PRC bank account of a PRC established entity alleged to be controlled by a brother of a director/ shareholder'.

How can ? A brother of a Director / Shareholder, a JP , operating E3 like your own family business. You breached the trust as a JP ,, ,, all investors call for investigation

knightrider      ( Date: 20-Oct-2008 10:43) Posted: Deloitte refuses to clear accounts of E3 Holdings Auditors unable to get enough evidence to give audit opinion   By CHEW XIANG   (SINGAPORE) Deloitte & Touche are refusing to sign off on the accounts of listed E3 Holdings, saying that it has been unable to obtain sufficient evidence to provide an audit opinion.   Deloitte said there was a 'significant doubt' on E3's ability to continue as a going concern, after audited accounts showed its net loss for the year to June widened to $6.3m compared to $4.5m reported in the unaudited figures. In a report to the company's board released on Saturday, Deloitte also said that there was a 'significant doubt' on the company's ability to continue as a going concern, after audited accounts showed E3's net loss for the year to June widened to $6.3 million, compared to the $4.5 million reported in the unaudited figures. In its audited accounts, E3 showed net cash from operating activities of negative $5.9 million for the year. It held cash and cash equivalents of $1.8 million, with net asset value of 1.36 cent per share. Earlier this year, E3 announced, in partnership with Jade Technologies, another Catalist listed company, a massive investment into an oil refinery and real estate project in China's Jilin province. Jade subsequently pulled out of the venture, and E3 has also decided not to proceed with the oil refinery project and is now focusing on developing a 3 sq km plot of land there into an oil and chemical production complex. But the deals appear to have run foul of the auditors as well as others. The announcement comes just a day after the company said it had received seven poison pen letters alleging certain irregularities with its businesses, as well as the personal affairs of a third party. E3 has appointed Deloitte to investigate the letters. The company has also had to push back its annual general meeting, now slated for Nov 4. It is not known if the delay was linked to the poison letters or the auditor's report. Deloitte also flagged a number of accounts that it could not verify to its satisfaction. Its report said it had not been 'provided with adequate documentary evidence and explanations' as to a receivable account of $22.2 million, representing 'funds remitted to a PRC bank account of a PRC established entity alleged to be controlled by a brother of a director/ shareholder'. There were also other receivables totalling over $4 million for which Deloitte said they were not provided with sufficient evidence for audit purposes. This sum includes receivables of a China incorporated E3 subsidiary whose accounts had been audited by a another firm to Chinese standards. 'We have not been able to carry out a review of the audit work ... accordingly we were unable to obtain sufficient appropriate audit evidence that the work of the other auditors is adequate for our purposes,' Deloitte said, meaning it could not determine the proper adjustments for consolidation into E3's group accounts. Expenses totalling $392,000 to two Singapore entities, included in operating expenses, were also not properly accounted for, Deloitte said. It added that the company's withdrawal from its oil refinery deal may constitute a potential breach of contract 'from which legal liabilities may be incurred'. Deloitte said that because of the significance of these matters, it was not in a position to express an opinion as to whether E3's accounts have been properly kept. The board of E3 said that while it understood the auditor's reasons, it has reviewed with management the records required to be kept and that nothing has come to the board's knowledge that accounting and other records were not kept in compliance with the Companies Act and Singapore's financial reporting standards.

"" $22.2 million, representing 'funds remitted to a PRC bank account of a PRC established entity alleged to be controlled by a brother of a director/ shareholder'. ""

Sucked all our fellow investors bloods and put in PRC ,, how can like that ,, fellow investors must be united and insist the $22.2 million to be recovered

knightrider      ( Date: 20-Oct-2008 10:43) Posted: Deloitte refuses to clear accounts of E3 Holdings Auditors unable to get enough evidence to give audit opinion   By CHEW XIANG   (SINGAPORE) Deloitte & Touche are refusing to sign off on the accounts of listed E3 Holdings, saying that it has been unable to obtain sufficient evidence to provide an audit opinion.   Deloitte said there was a 'significant doubt' on E3's ability to continue as a going concern, after audited accounts showed its net loss for the year to June widened to $6.3m compared to $4.5m reported in the unaudited figures. In a report to the company's board released on Saturday, Deloitte also said that there was a 'significant doubt' on the company's ability to continue as a going concern, after audited accounts showed E3's net loss for the year to June widened to $6.3 million, compared to the $4.5 million reported in the unaudited figures. In its audited accounts, E3 showed net cash from operating activities of negative $5.9 million for the year. It held cash and cash equivalents of $1.8 million, with net asset value of 1.36 cent per share. Earlier this year, E3 announced, in partnership with Jade Technologies, another Catalist listed company, a massive investment into an oil refinery and real estate project in China's Jilin province. Jade subsequently pulled out of the venture, and E3 has also decided not to proceed with the oil refinery project and is now focusing on developing a 3 sq km plot of land there into an oil and chemical production complex. But the deals appear to have run foul of the auditors as well as others. The announcement comes just a day after the company said it had received seven poison pen letters alleging certain irregularities with its businesses, as well as the personal affairs of a third party. E3 has appointed Deloitte to investigate the letters. The company has also had to push back its annual general meeting, now slated for Nov 4. It is not known if the delay was linked to the poison letters or the auditor's report. Deloitte also flagged a number of accounts that it could not verify to its satisfaction. Its report said it had not been 'provided with adequate documentary evidence and explanations' as to a receivable account of $22.2 million, representing 'funds remitted to a PRC bank account of a PRC established entity alleged to be controlled by a brother of a director/ shareholder'. There were also other receivables totalling over $4 million for which Deloitte said they were not provided with sufficient evidence for audit purposes. This sum includes receivables of a China incorporated E3 subsidiary whose accounts had been audited by a another firm to Chinese standards. 'We have not been able to carry out a review of the audit work ... accordingly we were unable to obtain sufficient appropriate audit evidence that the work of the other auditors is adequate for our purposes,' Deloitte said, meaning it could not determine the proper adjustments for consolidation into E3's group accounts. Expenses totalling $392,000 to two Singapore entities, included in operating expenses, were also not properly accounted for, Deloitte said. It added that the company's withdrawal from its oil refinery deal may constitute a potential breach of contract 'from which legal liabilities may be incurred'. Deloitte said that because of the significance of these matters, it was not in a position to express an opinion as to whether E3's accounts have been properly kept. The board of E3 said that while it understood the auditor's reasons, it has reviewed with management the records required to be kept and that nothing has come to the board's knowledge that accounting and other records were not kept in compliance with the Companies Act and Singapore's financial reporting standards.