SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 8-K
CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED): August 23, 2000
Aura Systems, Inc..
(Exact Name of Registrant as Specified in its Charter)
DELAWARE 0-17249 95-4106894
(State or other Jurisdiction (Commission (I.R.S. Employer
of Incorporation or Organization) File Number) Identification No.)
2335 Alaska Avenue
El Segundo, California 90245
(Address of principal executive offices)
REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE: (310) 643-5300
FORMER NAME OR FORMER ADDRESS, IF CHANGED SINCE LAST REPORT:
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Item 4. Changes in Registrant's Certifying Accountant.
Aura Systems Inc. (the "Registrant" or "Company") has received a notice of
resignation from its independent auditors, Pannell Kerr Forster, Certified
Public Accountants, A Professional Corporation ("PKF"). Having served as the
independent auditors of the Company since 1992, PKF has never had nor does it
currently have any disagreements with the Company on any matter of accounting
principles or practices, financial statement disclosure, auditing scope or
procedure or any reportable events. The auditors reports on the financial
statements for the past eight years during its entire engagement period have not
contained any adverse opinion or disclaimer of opinion and have not been
qualified or modified as to uncertainty, audit scope or accounting principles
except for fiscal years 1999 and 2000 when the audit reports were modified with
a going concern uncertainty. The Company has been informed that PKF's decision
was due to business reasons.
PKF is fully cooperating with the auditor selection and transition
process, which the audit committee expects to complete as soon as possible. The
Company as part of its restructuring strategy and focus on the AuraGen, will now
seek to reduce its costs associated with its audits. The Company's next audited
financial report for the year ending February 28, 2001 is due to be filed on May
31, 2001.
Unrelated to its decision and pursuant to SEC rules, under Item
304(a)(1)(v)(C)(1)(i) of Regulation S-K, PKF advised that information had come
to its attention which, if further investigated, may materially impact the
fairness or reliability of previously issued audit reports or the underlying
financial statements of Aura Systems Inc. and Subsidiaries. The information was
contained in court filings of the SEC in regards to the Staff's response to
motions to quash subpoenas. These motions were filed in connection with a
pending SEC investigation, reported publicly by the Company in a press release
dated January 20, 1999.
The Staff of the SEC has advised the Company that the investigation is
confidential and should not be construed as an indication that any violation of
law has occurred or as a reflection upon any person, entity or security. The
Company is cooperating fully with the inquiry. The Company does not believe that
the matters referred to in the SEC Staff's requests will have a material effect
on the Company's future financial condition or results of operations.
The Company has requested that PKF furnish it with a letter addressed to
the SEC stating whether it agrees with the above statements. A copy of PKF's
letter to the SEC, dated August 30, 2000 is filed as Exhibit "1" to this Form
8-K.
This report contains forward looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended, which represent the Company's
expectations or beliefs concerning future events, including those relating to
the Company's belief concerning the SEC investigation. Of course, there can be
no assurance as to how the SEC investigation will be resolved or its ultimate
impact on the Company. The Company does not intend to update the status of the
SEC investigation.
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Exhibit 1
August 30, 2000
Securities and Exchange Commission
Washington, D.C. 20549
Dear Sir/Madam:
We have read Item 4 included in the Form 8-K dated August 30, 2000 of Aura
Systems, Inc. filed with the Securities and Exchange Commission and are in
agreement with the statements contained therein, except that we are not in a
position to comment as to the statement in the second paragraph that the Company
will now seek to reduce its costs associated with its audits, and the statements
in the fourth paragraph that the Company is cooperating fully with the SEC
inquiry and does not believe that the matters referred to in the SEC Staff's
requests will have a material effect on the Company's future financial condition
or results of operations..
Sincerely,
Pannell Kerr Forster
Certified Public Accountants
A Professional Corporation
Los Angeles, California
