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 : March 26, 1997
CML CHURCH MORTGAGE, INC.
(Exact name of registrant as specified in its charter)
Wisconsin
(State or Other Jurisdiction of Incorporation)
33-27664
(Commission File Number)
02-0430692
(IRS Employee Identification No.)
Wortham Tower, 6th Floor, 2727 Allen Parkway, Houston, Texas 77019-2115
(Address of principal executive offices)
(713) 529-0045
(Registrant's telephone number)
ITEM 4:
On December 15, 1996, the Board of Directors of CML Church Mortgage, Inc.
(the
Registrant"), determined to dismiss Ernst & Young LLP ("Ernst & Young") as its
principal accountant and to retain KPMG Peat Marwick LLP ("KPMG") in that
capacity.
The Board of Directors determined that it was in the best interest of the
Registrant to retain the same firm as the Parent company to provide this
service. This decision was also made based upon the purchase of the Parent
company by a Texas domiciled life insurance company and the subsequent
relocation of the Parents operation from New Hampshire to Texas.
The audit report of Ernst & Young on the Registrant's financial statement
as
of December 31, 1995 did not contain an adverse opinion or a disclaimer of
opinion, nor was such opinion qualified or modified as to uncertainty, audit
scope or accounting principles. During the Registrant's most recent fiscal
year and subsequent interim periods the Registrant had no disagreements with
Ernst & Young on any matter of accounting principles or practices, financial
statement disclosure or auditing scope or procedure. The financial statements
of the Company for the years ended December 31, 1994 and 1993 were audited by
other auditors whose reports expressed unqualified opinions on those statements.
The Registrant has provided Ernst & Young a copy of the disclosures made
under
this Item 4 of this Report, and Ernst & Young has furnished the Registrant
with a letter addressed to the Commission stating that it agrees with the
statements made by the Registrant in response to this Item. Such letter is
filed as an exhibit to this report.
ITEM 7.
The following exhibits are filed with this report on Form 8-K:
1.1 - Letter dated March 26, 1997, from Ernst & Young LLP to the Commission.
SIGNATURES
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.
CML CHURCH MORTGAGE, INC.
By:
Jane Sy, President
Ernst & Young LLP
200 Clarendon Street
Boston Massachusetts 02116-5072
March 26, 1997
Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, DC 20549
Gentlemen:
We have read Item 4 of Form 8-K dated March 26, 1997 of CML Church Mortgage Inc.
and are in agreement with the statements contained on Page 1 therein. We have
no basis to agree or disagree with the other statements of the registrant
contained therein.
Ernst & Young LLP
