11. In the 2007 accounts of Swiss Hawk ...

07/05/09 00:17
In the 2007 accounts of Swiss Hawk the tangible 4,5 Mio EUR loan is balanced. But this loan is not included in the accounts 31.3.2008 of the Motion Network balance. What is the reason, that Motion Network is the opinion, that there is no liability and Swiss Hawk still thinks there is? Why did the auditor accept this not included loan?
Answer:

The convertible loan note was directly linked with the “Dotlight Project”, the concept which was sold by Swiss Hawk AG and its 50% partner to the company. The concept was to be developed after Swiss Hawk AG provided the relevant development monies amounting to €850,000. Swiss Hawk AG failed to deliver the development monies of €850,000 and therefore the concept was never developed, the concept cancelled and thereby the convertible loan note cancelled.
As Swiss Hawk AG is currently under the Swiss Banking commission investigation, no documentation could be officially signed and delivered to the company’s auditor. Swiss Hawk AG is expected to finalise the relevant documentation once the investigation is completed.
In order to finalise the audit and exclude the convertible loan form the 31 March 2008 accounts, the directors took the responsibilities personally.