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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
DATE OF EARLIEST EVENT REPORTED: SEPTEMBER 7, 1998
ABLE TELCOM HOLDING CORP.
(EXACT NAME OF REGISTRANT AS SPECIFIED IN CHARTER)
FLORIDA 0-21986 65-0013218
(STATE OR OTHER JURISDICTION OF (COMMISSION (IRS EMPLOYER
INCORPORATION OR ORGANIZATION) FILE NO.) IDENTIFICATION NO.)
1601 FORUM PLACE
SUITE 1110
WEST PALM BEACH, FLORIDA 33401
(ADDRESS OF PRINCIPAL EXECUTIVE OFFICES) (ZIP CODE)
(561) 688-0400
(REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE)
NOT APPLICABLE
(FORMER NAME OR FORMER ADDRESS, IF CHANGED SINCE LAST REPORT)
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ITEM 4. CHANGES IN REGISTRANT'S CERTIFYING ACCOUNTANTS
Ernst & Young LLP resigned as auditors of Able Telcom Holding Corp. (the
"Company") effective September 7, 1998. On September 2, 1998, prior to the
resignation by Ernst & Young LLP, the Company sent out a request for proposal
for the audit of the consolidated financial statements of the Company for the
year ending October 31, 1998 to several national accounting firms, including
Ernst & Young LLP. The final selection of an accounting firm is anticipated to
be finalized by the Company in fourth quarter of fiscal 1998.
The reports of Ernst & Young LLP on the Company's financial statements for the
past two fiscal years ended October 31, 1997 and 1996 did not contain an adverse
opinion or a disclaimer of opinion and were not qualified or modified as to
uncertainty, audit scope, or accounting principles. In connection with the
audits of the Company's financial statements for each of the two fiscal years
ended October 31, 1997 and 1996, and in the subsequent interim periods, there
were no disagreements with Ernst & Young LLP on any matters of accounting
principles or practices, financial statement disclosure, or auditing scope and
procedures which, if not resolved to the satisfaction of Ernst & Young LLP,
would have caused Ernst & Young LLP to make reference to the matter in their
reports.
Ernst & Young LLP informed the Company of the existence of the following
reportable events, as defined in Item 304(a)(1)(v) of Regulation S-K:
/bullet/ In their Report to the Audit Committee for the year ended October
31,1997, Ernst & Young LLP advised the Company as to the existence of
reportable conditions in the Company's system of internal controls.
These reportable conditions related to (i) the lack of segregation of
duties over the cash disbursements function, (ii) the failure to
provide adequate documentation to support the business purpose of
certain significant transactions with related parties, and (iii) the
lack of monitoring controls over operations of its foreign
subsidiaries.
The Company has requested Ernst & Young LLP to furnish it a letter addressed to
the Commission stating whether it agrees with the above statements. A copy of
that letter, dated September 14, 1998, is filed as Exhibit 1 to this Form 8-K.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
Exhibit 1. Letter from Ernst & Young LLP
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SIGNATURES
Pursuant to the requirements of the Securities and Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
ABLE TELCOM HOLDING CORP.
(REGISTRANT)
September 14, 1998 /S/ MARK A. SHAIN
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Mark A. Shain
Chief Financial Officer
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EXHIBIT INDEX
1. Letter from Ernst & Young LLP
EXHIBIT 1
ERNST & YOUNG LLP LETTERHEAD
September 14, 1998
Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, DC 20549
Gentlemen:
We have read Item 4 of Form 8-K dated September 7, 1998, of Able Telcom
Holding Corp. and are in agreement with the statements contained in paragraphs
1 through 4 on page 2 therein. We have no basis to agree or disagree with other
statements of the registrant contained therein.
/s/ Ernst & Young LLP
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Ernst & Young LLP
