HONGLI CLEAN ENERGY TECHNOLOGIES CORP. (NASDAQ:CETC) Files An 8-K Changes in Registrant’s Certifying AccountantITEM 4.01
(a) Effective April 18, 2017, the registrant dismissed KSP GROUP, INC. (“KSP”) as its independent auditors. This action was approved by the Audit Committee of the registrant’s Board of Directors (the “Board”), and ratified by the Board. This decision was made by the registrant because it fears that KSP may be viewed as a successor to the firm Kabani & Kabani, whose registration was recently revoked by the PCAOB. KSP apparently does not hold itself out as a successor organization, and remains in good standing with the PCAOB, but the registrant decided to find a new auditor nonetheless.
KSP has not issued an audit or other opinion on any of the financial statements of the registrant, and there have been (i) no disagreements between the registrant and KSP on any matters of accounting principles or practices, financial statement disclosure, or auditing scope or procedures, which disagreements, if not resolved to the satisfaction of KSP, would have caused KSP to make reference to the subject matter of the disagreement in its reports on the registrant’s financial statements for such periods, and (ii) no adverse opinions, qualifications, disagreements or reportable events within the meaning set forth in Item 304(a)(1)(ii), (iv) or (v) of Regulation S-K.
The registrant provided KSP with a copy of the disclosures contained herein and requested that KSP furnish it with a letter addressed to the Securities and Exchange Commission stating whether or not KSP agrees with its statements in this Item 4.01. A copy of the letter, if any, furnished by KSP in response to such request, will be filed as Exhibit 16 to an amendment to this Form 8-K filed promptly after receipt thereof.
(b) Effective April 19, 2017, the registrant engaged Wei Wei & Co., LLP, Certified Public Accountants (“Wei”), as its independent auditors to audit the registrant’s financial statements for the year ended June 30, 2016 and to review the registrant’s financial statements for the quarters ended September 30, 2016, December 31, 2016 and March 31, 2017. The decision to engage Wei was recommended by the Audit Committee of the registrant’s Board of Directors.
During the registrant’s two most recent fiscal years and through the date of the engagement of Wei, the registrant did not consult with Wei regarding either (1) the application of accounting principles to a specified transaction, either completed or proposed, or the type of audit opinion that might be rendered on the registrant’s financial statements, or (2) any matter that was either the subject of a disagreement (as defined in Item 304(a)(1)(iv) of Regulation S-K) or a reportable event (as defined in Item 304(a)(1)(v) of Regulation S-K).
Prior to the engagement of Wei, Wei did not provide the registrant with any written or oral advice that Wei concluded was an important factor considered by the registrant in reaching any decision as to any accounting, auditing or financial reporting issue.
About HONGLI CLEAN ENERGY TECHNOLOGIES CORP. (NASDAQ:CETC)
Hongli Clean Energy Technologies Corp., formerly SinoCoking Coal and Coke Chemical Industries, Inc., is an energy production company. The Company focuses on providing clean burning energy located in the People Republic of China. The Company primarily generates synthetic gas. The Company’s business operations are conducted by a variable interest entity (VIE), Henan Pingdingshan Hongli Coal & Coking Co., Ltd., (Hongli). The Company generates synthetic gas (Syngas), which is converted from coke using the coke gasification facility. The Company’s Stage I facility has a designed annual coke gasification capacity of 438,000,000 cubic meters of syngas or 50,000 cubic meters of syngas per hour. HONGLI CLEAN ENERGY TECHNOLOGIES CORP. (NASDAQ:CETC) Recent Trading Information
HONGLI CLEAN ENERGY TECHNOLOGIES CORP. (NASDAQ:CETC) closed its last trading session 00.00 at 4.63 with 4,022,690 shares trading hands.