As we noted on May 7, 2003, Core Solutions, Inc. has morphed into Sunshine Ventures, Inc. (OTCBB: SSHV) – leaving behind a trail of inflated revenue projections and failed business ventures. Update: Core Solutions, Inc – Where’s The Sunshine?
It is not yet clear what business Sunshine Ventures plans to pursue, but the Company’s financial picture is none too appealing. A Form 10-Q for the quarter ended March 30, 2003 (filed on June 3, 2003 under the name Core Solutions) showed the Company with current assets of zero and current liabilities of $549,701. The Company had no revenues for the first three months of 2003 – despite those lofty projections – but did incur $1,178,551 in consulting fees. The absence of revenues is particularly disturbing since the Company had projected that it was aiming to land $1 million in new accounts each week during 2003 - and claimed in a January 9, 2003 press release that it had met that goal for the first week of January.
The Form 10-Q was notable for two other reasons. First, it did not include a certification from the Company’s chief executive officer attesting to the accuracy of the financial statements. Second, and of infinitely more concern to shareholders, the “Legal Proceedings” section of the Form 10-Q indicates that the Company is the subject of an “informal inquiry from Los Angeles Securities and Exchange Commission – Enforcement Division.”
The Company did not elaborate on the nature or status of that inquiry. Could the SEC be questioning the Company’s inflated projections?
Stay tuned.
IF YOU HAVE QUESTIONS OR COMMENTS FOR STOCKPATROL.COM, CONTACT US AT editor@stockpatrol.com