AXM Pharma Receives Notification from Securities and Exchange Commission
05 1월 2006 - 11:00PM
Business Wire
AXM Pharma, Inc. (Amex: AXJ) ("AXM"), a manufacturer of proprietary
and generic pharmaceutical and nutraceutical products for the
Chinese and other Asian markets, announced today that it has
received notification from The Securities and Exchange Commission
("SEC") that it has commenced a formal investigation to determine
if AXM Pharma, Inc., and unnamed persons formerly and currently
associated with the Company, violated the federal securities laws.
Pursuant to a Formal Order of Investigation issued on December 8,
2005 and made available to the Company on December 29, 2005, the
SEC staff is seeking to determine if SEC filings and press releases
issued by AXM, including for the period from April 2005 through
October 2005, contained false and misleading statements of material
fact regarding the Company's revenues, expenses, earnings and
losses. In addition, the SEC staff is investigating, among other
things, whether or not, for the relevant time period, AXM failed to
keep required books and records, failed to devise and maintain
sufficient internal accounting controls, falsified books and
records and made false and misleading statements to its independent
accountants. The Company has received a subpoena to produce
documents in connection with the investigation. Based upon the
subpoena, AXM believes that the investigation relates in
significant part to the matters which caused the Company to restate
its financial statements for the period ended June 30, 2005. On
October 31, 2005, AXM announced that it was restating its second
quarter results due to new management's determination that the
Company had improperly recognized approximately $2.8 million of
revenues related to the distribution of Sunkist-branded products in
Hong Kong, China and Taiwan. "We welcome the SEC investigation as
we believe it is important to determine and address why revenues
were improperly recognized in the second quarter by the previous
management team," said Weishi Wang, Chairman and CEO of AXM Pharma.
AXM intends to cooperate fully with the SEC staff in connection
with the investigation. At this time, it is not possible to predict
the outcome of the investigation nor is it possible to assess its
impact on the Company. About AXM Pharma, Inc. AXM Pharma, Inc.,
through its wholly owned subsidiary, AXM Pharma Shenyang, Inc.
("AXM Shenyang"), is a manufacturer of proprietary and generic
pharmaceutical products, which include injectables, capsules,
tablets, liquids and medicated skin products for export and
domestic Chinese sales. AXM Shenyang is located in the City of
Shenyang, in the Province of Liaoning, China. AXM Shenyang has an
operating history of approximately 10 years. For additional
information on AXM Pharma Inc., please visit
http://www.axmpharma.com Safe Harbor Statement under the Private
Securities Litigation Reform Act of 1995: The statements contained
in this news release include certain predictions and projections
that may be considered forward-looking statements under securities
law, including the statements regarding the Company's opportunities
for future growth. These statements involve a number of important
risks and uncertainties that could cause actual results to differ
materially including, but not limited to, the performance of joint
venture partners, obtaining regulatory approvals to market the
Company's products, the uncertainties associated with distributing
products in a developing country such as China, the availability of
cash to meet near term requirements as well as other economic,
competitive and technological factors involving the Company's
operations, markets, services, products and prices. With respect to
AXM, except for the historical information contained herein, the
matters discussed in this news release are forward-looking
statements involving risks and uncertainties that could cause
actual results to differ materially from those in such
forward-looking statements. Potential risks and uncertainties
include, but are not limited to, AXM's extremely limited operating
history, uncertainties related to the Company's access to
additional capital, competition and dependence on key management.
Axm (AMEX:AXJ)
과거 데이터 주식 차트
부터 5월(5) 2024 으로 6월(6) 2024
Axm (AMEX:AXJ)
과거 데이터 주식 차트
부터 6월(6) 2023 으로 6월(6) 2024