Kiwa Bio-Tech Products Group Corporation (OTCMKTS:KWBT) Files An 8-K Non-Reliance on Previously Issued Financial Statements or a Related Audit Report or Completed Interim Review

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Kiwa Bio-Tech Products Group Corporation (OTCMKTS:KWBT) Files An 8-K Non-Reliance on Previously Issued Financial Statements or a Related Audit Report or Completed Interim Review
Item 4.02. Non-Reliance on Previously Issued Financial Statements or a Related Audit Report or Completed Interim Review.

On or about October 5, 2017, the Company’s previous registered independent accounting firm advised the Company that it believed that the Company did not properly disclose certain related party transactions between the Company and Kangtan Gerui (Beijing) Bio-Tech Co., Ltd. in the financial statements as of and for the year ended December 31, 2016, and elsewhere in the Form 10-K and the subsequent interim financial information in the Form 10-Q’s for the periods ended March 31, 2017 and June 30, 2017. Specifically, the Company’s previous registered independent accounting firm has suggested that the Company failed to disclose that Ms. Feng Li, a member of the Company’s board of directors and shareholder of the Company (Ms. Li held approximately 20% of the Company’s Common Stock and 50% of the Company’s Series A Preferred Stock), is also a 23% shareholder of Kangtan Gerui (Beijing) Bio-Tech Co., Ltd. For the year ended December 31, 2016, the Company reported Other Receivable due from Kangtan Gerui (Beijing) Bio-Tech Co., Ltd. of $1,522,435, and recognized License Revenue of $786,329 from Kangtan Gerui (Beijing) Bio-Tech Co., Ltd.

The Company’s Board of Directors intends to carefully review these issues with its new certifying accountant and determine appropriate action going forward, which could include a re-audit of the Company’s December 31, 2016 financial statements. The Company will promptly announce any action it intends to take in this regard.

As a result, on October 11, 2017, the Company’s board of directors concluded that the Company’s previously issued consolidated financial statements: (i) for the year ended December 31, 2016 (the “Annual Financial Statement”) included in the Company’s Annual Report on Form 10-K for the year then ended (the “Annual Report”); and (ii) for the three months ended March 31, 2017 and the three and six months ended June 30, 2017 (collectively, the “Quarterly Financial Statements”) included in the Company’s Quarterly Reports on Form 10-Q for the quarters ended March 31, 2017 and June 30, 2017, respectively (the “Quarterly Reports”) should not be relied upon until the conclusion of the review being conducted by the Company’s board of directors. As soon as practicable following the completion of such review, the Company will file with the Securities and Exchange Commission a Form 8-K announcing action to be taken by the Company, if any, as a result of such review, including but not limited to the potential re-audit of its financial statements for the fiscal year ended December 31, 2016.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits.

None.


About Kiwa Bio-Tech Products Group Corporation (OTCMKTS:KWBT)

Kiwa Bio-Tech Products Group Corporation develops, manufactures, distributes and markets bio-technological products for agriculture. The Company has acquired technologies to produce and market bio-fertilizer. The Company has developed over six bio-fertilizer products with bacillus spp and/or photosynthetic bacteria as its ingredients. The Company’s products contain ingredients of both photosynthesis and bacillus bacteria. The Company’s products include KiwaBiological Organic Fertilizer, Kiwa Yi Mu Ling, Kiwa Di Fu Kang, Kiwa Microbial Specific Fertilizer For Rice, Kiwa Microbial Specific Fertilizer For Corn, Kiwa Microbial Specific Fertilizer For Potato, Kiwa Microbial Specific Fertilizer For Soybean, Kiwa Microbial Specific Fertilizer For Tea Tree, Kiwa Microbial Specific Fertilizer For Tobacco, Kiwa Microbial Specific Fertilizer For Fruit Trees, Kiwa Microbial Specific Fertilizer For Vegetables and Kiwa Full Effect Type Foliar For Golf Turf.

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