This item is part of Stockwatch's value added news feed and is only available to Stockwatch subscribers.

Here is a sample of this item:

by Mike Caswell

Plantx Life Inc. has filed a lawsuit in the Supreme Court of British Columbia against its former auditor, Dale Matheson Carr-Hilton Labonte LLP, over the mishandling of $4-million in revenue. Plantx claims that the auditor failed to detect a "material misstatement" in the company's 2021 financial statements. The failure led to a trading suspension and to Plantx suffering losses that the company claims were substantial.

The allegations are contained in a notice of claim that Plantx filed at the Vancouver courthouse on Thursday, May 9. The sole defendant is Dale Matheson Carr-Hilton Labonte, which is better known as DMCL. The case arises from Plantx's financials from 2021, which DMCL was hired to audit on June 8, 2021. According to the suit, DMCL was to do all the things an auditor would normally do, including obtaining assurance that the financial statements were "free of material misstatement due to fraud or error" and to identify any "internal control deficiencies."

The remainder is available to Stockwatch subscribers.
Sign-up for a FREE 30-day Stockwatch subscription and SEE NO ADS