DETROIT, MI - (NewMediaWire) - October 16, 2015 - Nano Labs Corp. (OTC PINK: CTLE). The company would like to report the following update to shareholders regarding corporate developments over the past two weeks.
We would like to inform our shareholders that the Company received written notice October 6th, 2015 from the US Securities and Exchange Commission that the Commission has taken action to suspend our current auditor's privilege of appearing or practicing before the Commission. You can find a copy of the Commission's action on the SEC's website at http://www.sec.gov/litigation/admin/2015/33-9915.pdf.
Effective May 7, 2015, the Company's certifying accountant, Terry L. Johnson, CPA ("Johnson"), was dismissed as the Company's independent registered public accounting firm. The reason for the dismissal by the Company of Johnson was based on the fact that the Securities and Exchange Commission took action to suspend Johnson from appearing or practicing before the Securities and Exchange Commission and from practicing as an accountant on behalf of any publicly traded company or other entity regulated by the Securities and Exchange Commission. Therefore, the Company is not allowed to include Johnson's audit report for fiscal year ended June 30, 2014 in the Company's Annual Report on Form 10-K for fiscal year ended June 30, 2015. The Company would need to re-audit fiscal year ended June 30, 2014 and year ending June 30, 2013.
The Company previously announced that it had engaged Malone Bailey LLP ("MB") as its principal independent registered public accounting firm effective May 7, 2015. The decision to change its principal independent registered public accounting firm was approved by the Company's board of directors.
The Company's Board of Directors has subsequently determined that the suspension of Johnson and the necessity of re-auditing the financial statements for fiscal year ended June 30, 2014 and fiscal year ending June 30, 2013 has caused disastrous economic and financial consequences for the Company. It has also presented insurmountable issues in obtaining working papers and financial data from Johnson pertaining to its prior financial statements for fiscal year ended June 30, 2014 as prepared by Johnson, which are being requested by the Company's current auditors. Therefore, the Board of Directors has determined that it is in the best interests of the Company and its shareholders to de-register its securities and cease becoming a fully reporting company under the Securities Exchange Act of 1934, as amended.
The Board of Directors has determined that it will proceed with the requirements for listing as a pink sheet company with the OTC Markets while working to correct the accounting issues in order to comply with United States Security Exchange Commissions reporting requirements.
Pol-Ec International Corp
The company would like to inform our shareholders that the company remains focused on completing and starting production by the end of November of 2015. We have leased the location located in Ciudad Sahagun in Hidalgo State and received the equipment to commence production; the first production line will produce 3,000 pieces per day of pavers and cinder blocks for the local market in Mexico City and Mexico State. This plant will produce precast construction materials by recycling and using materials considered as industrial waste currently on site to manufacture prefabricated decorative high value added building materials using industrial waste such as mining tailings, smelting dross, slags and sludge that today are being stored or contained.
Pol-Ec International has presented this new technology to the International Marble Institute and also demonstrated these new results at the International Stone Summit, the Marmomacc conference in Verona, Italy on September 30th to October 3rd, 2015. Pol-Ec International is currently pursuing new opportunities as a result of these presentations to commercialize this tremendous potential for precast construction pieces to be made in a very cost-effective way and representing an irreplaceable alternative to recycling and using pollutant waste materials, turning them into pieces of high aesthetic and commercial value.
We are dealing with this unforeseen accounting set back; we will deal with it and continue to pursue our business development regarding our opportunities with the New Mexico City Airport, monstrous road and highway infrastructure applications, and the major retail markets for our product.
We would like to thank our shareholders for their continuing support as we move forward to commercialization of our technologies.
Mr. Bernardo Camacho Chavarria
President of Nano Labs
About Nano Labs
Nano Labs Corp. (the "Company") (OTC PINK: CTLE) is a nanotechnology research and development company which began during October 2012. The Company's research and development team and engineers are focused on creating a portfolio of advanced products that could provide benefits to a variety of industries including: (i) consumer products, (ii) energy, (iii) materials, and (iv) healthcare. Through the use and integration of proprietary Nano compounds, our goal is to evolve common products into new, revolutionary products, in order to make the world a better place. Nano Labs shares are traded on the OTC Bulletin Board in the United States under the ticker CTLE. For more information, please visit www.Nanolabs.us.
Forward looking statements
This press release contains forward-looking information within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1993 and Section 21E of the Securities Exchange Act of 1934 and is subject to the safe harbor created by those laws. These forward-looking statements are based upon a number of assumptions and estimates that are subject to significant uncertainties that involve known and unknown risks, many of which are beyond our control and are not guarantees of future performance. Actual outcomes and results could materially differ from what is expressed, implied, or forecasted in any such forward-looking statements and any such difference may be caused by risk factors listed from time to time in the Company's news releases and/or its filings with the OTC Bulletin Board or as a result of other factors.