Live Current Media Restates Finances
Problems continue at once high-flying domain name firm.
The problems keep mounting at domain development firm Live Current Media (OTCbb: LIVC.ob).
The firm disclosed that its auditor found that a slew of its noted financial statements are incorrect. In a filing with the Securities and Exchange Commission, the firm wrote:
…C. Geoffrey Hampson, our Chief Executive Officer and Chief Financial Officer, concluded that the previously filed consolidated financial statements contained in our Quarterly Note on Form 10-Q for the nine months ended September 30, 2008, which was filed with the Securities and Exchange Commission on November 14, 2008, our Annual Note on Form 10-K for the year ended December 31, 2008, which was filed with the Securities and Exchange Commission on March 31, 2009, and our Quarterly Note on Form 10-Q for the three months ended March 31, 2009, which was filed with the Securities and Exchange Commission on May 15, 2009, ought to no longer be relied upon due to errors in the consolidated financial statements…
Most of the mistakes seem minor yet basic accounting:
-The firm classified warrants issued in its November financing as equity rather than a liability
-Not accounting for the pro-rated fair value of shares to be issued to founders of Auctomatic Inc. based on its buyout agreement
-Not accruing a guaranteed bonus as a liability. Instead, the firm expensed it when it was paid.
Just another diversion at a firm in serious trouble.
