Business
Creatd, Inc. Announces Change of Auditors and is Expected to File its 2023 Financials Tomorrow with the OTC
Creatd, Inc. Announces Change of Auditors and is Expected to File its 2023 Financials Tomorrow with the OTC.
About this update from Creatd Inc.
[{"type":"text","content":"Creatd, Inc. today announced the termination of its relationship with Turner Stone & Company, LLP (“Turner Stone”) as the Company’s auditors. After a thorough search, the Company has engaged new auditors who will complete the 10-K filing. This change is expected to delay the Company’s plans and communicated strategy by approximately 3-4 months.CEO Jeremy Frommer’s Statement“We understand the difficult general auditing environment and under SEC regulatory guidelines, had to be committed to Turner Stone for at least three quarters, equating to twelve months of work irrespective of our company and shareholders’ wants or needs. With no way out, finally at the end of the regulatory period, we had no choice but to seek new auditors. This decision was driven by significant issues, including the permanent industryban of Turner Stone’s founding partner, the change of the senior partner assigned to our account, and Turner Stone’s general difficulties, as related to Part I.A deficiency score. In addition, the individual auditor we anticipated to work with at Turner Stone left the firm a few months after we signed on, due to his irreconcilable issues that were coming to light at the firm. Despite these challenges being publicly known, regulatory requirements required us to stay with them. I believe the impact of BF Borgers is rippling through the auditor space. The minute I could escape them and publicly disclose, I ran from them.Consequently, Creatd will temporarily transition to the OTC alternative reporting status, until these audits are completed. The Company has filed eight years’ worth of audited financials, with multiple auditors, and never had an issue. Our records are strong and as a tech company, we understand data. The inability to work with Turner Stone to complete this audit is not reflective of any issues within Creatd.We estimate the audit process for our 10-Ks and Qs will take approximately 90 days, with a targeted return to the OTCQB market in late Q3 2024.Upon completing the Q1 and Q2 filings, we anticipate building a more robust balance sheet, and continuing our well-defined strategy and business model, even as we await the filings. We are thankful to the OTCQB for their support of Creatd through this difficult process. This technical situation does not and will not impact the company’s crown jewels, Vocal Inc. (...