By Tom Winnifrith, The Sheriff of AIM | Tuesday 20 September 2016
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.
The FRC is already looking at the grossly misleading way that Avanti Communications (AVN) bodged its June 2015 annual results. I reckon Avanti is trying to commit an even bigger crime against prudent accounting with its 2016 numbers and they key is a satellite which is now on the move. But Avanti and its ghastly and morally bankrupt Nomad Cenkos, of Quindell infamy, are trying not to reveal the truth. So have five critical questions for Avanti and the shamed Cenkos.
It is now publicly known that 1 of Avanti's 3 satellites is on manoeuvres and has left its original location some weeks ago. It's being discussed on bulletin boards and you can track it's location yourself HERE
It's now approaching the Far East. A long way from Avanti's core markets. With Avanti desperately seeking cash, the movements of such an important asset are very important to shareholders. It's public knowledge that the satellite is moving so why hasn't Avanti told us:
(1) why it's moving
(2) how much it's being paid and for how long. The satellite only has a year or two left of its life.
(3) whether this was part of the jump in revenue in Q4.
(4) how much the increase in capacity utilisation would have been without this bit of handy short term revenue?
(5) While we are at it, why won't Avanti they release its 2016 and Q1 results like normal?
Over to you, disgraced Cenkos and bombastic uber-Welsh David Williams of Avanti. Answers please.
It goes without saying that the shares remain a stonking sell at almost any price.
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