SOUND SOURCE AUDITORS BAIL OUT.Byline: Jason Z. Cohen cohen or kohen (Hebrew: “priest”) Jewish priest descended from Zadok (a descendant of Aaron), priest at the First Temple of Jerusalem. The biblical priesthood was hereditary and male. Staff Writer Accounting firm Deloitte and Touche resigned this week as auditor auditor n. an accountant who conducts an audit to verify the accuracy of the financial records and accounting practices of a business or government. A proper audit will point out deficiencies in accounting and other financial operations. for Calabasas-based video game maker Sound Source Interactive, citing doubts the company will be able to continue as a going concern. But the company's chief executive officer said that while Sound Source's financial picture has suffered during its conversion from the crowded CD-ROM CD-ROM: see compact disc. CD-ROM in full compact disc read-only memory Type of computer storage medium that is read optically (e.g., by a laser). market to the burgeoning game console See video game console. niche, he believes the company will survive and thrive, all with a new auditor. ``The company is going through a major transition from CD-ROM products to game console products. We lost $4 million last year,'' Vincent Bitetti said. ``We really do not need the expense of a big ... auditing firm.'' Bitetti said the company is looking at several smaller accounting firms. ``Our transition is going to take us six months before we even hit the market,'' Bitetti said. ``They don't know Don't know (DK, DKed) "Don't know the trade." A Street expression used whenever one party lacks knowledge of a trade or receives conflicting instructions from the other party. if our transition will work. We fully anticipate that we will begin shipping these products in April or May 2000.'' Deloitte & Touche spokeswoman Suzanne Thompson Thompson, city, Canada Thompson, city (1991 pop. 14,977), central Man., Canada, on the Burntwood River. A mining town, it developed after large nickel deposits were discovered in the area in 1956. said the firm does not comment on client matters. In a letter to Sound Source Interactive, to which the company referred in a recent Securities and Exchange Commission filing, the accounting firm said it was concerned about material weaknesses in some of Sound Source's procedures. The accounting firm said weaknesses in the company's internal controls could allow error or fraud to occur undetected by employees conducting their routine business, the company said in its filing, citing the Deloitte & Touche letter. In its filing, Sound Source said it has no disagreement with Deloitte & Touche's assessment of its controls. The company said it has instructed Deloitte & Touche to assist a successor in addressing the control systems. The company's shares lost 40 percent of their value Wednesday, closing at a price of 18.75 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. . |
|
||||||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion