UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K/A
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
May 3, 1999
(Date of earliest event reported)
UNIDYNE CORPORATION
(Exact name of small business issuer
as specified in its charter)
DELAWARE 0-10372 23-2154902
(State or other jurisdiction (Commission File No.) (IRS Employer
of incorporation or organization) Identification No.)
118 PICKERING WAY, SUITE 104, EXTON, PENNSYLVANIA 19341
(Address of principal executive offices)
(610) 363-8237
(Issuer's telephone number)
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ITEM 4. CHANGE IN REGISTRANT'S CERTIFYING ACCOUNTANT.
Arthur Andersen LLP took issue with the quality of some of the Company's
internal controls over payroll and inter-company transfer of funds. Arthur
Andersen resigned on March 26, 1999, reporting to management that certain
internal controls were deemed not adequate to permit reliance for purposes of
completing an audit.
For the years ended December 31, 1996 and December 31, 1997, the Company's
Accountant's Report and accompanying financial statements did not contain any
adverse opinion or disclaimer of opinion. Arthur Andersen's opinion for the
December 31, 1997, financial statement was modified for an uncertainty as to
going concern. There have been no disagreements regarding accounting issues
between Arthur Andersen and the Company in the past two years or in any interim
period through the date of resignation. The Board of Directors has not discussed
the issues that Arthur Andersen has raised regarding internal controls with
Arthur Andersen.
The Company differs in its view of the concerns raised regarding internal
controls and funds transfers at the Company. Further, the Company has instituted
measures to correct the perceived failures. The company has hired Strouss, Hui &
Ellis, P.C. of Jenkintown, Pennsylvania, as of April 14, 1999 and will file its
Form 10-KSB Annual Report for calendar year 1998 as promptly as possible. The
Company has authorized Arthur Andersen to respond fully to the inquiries of the
successor accountant regarding this matter.
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
UNIDYNE Corporation
May 3, 1999 /s/ C. Eugene Hutcheson
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C. Eugene Hutcheson, Chairman
and Chief Executive Officer
