Hello,

For the record of the owners corporation.

Chairperson's comments that the books were "audited" by Hayes Knight are
therefore good, are unsubstantiated without cross-check by any owner who
wishes it.

Hayes Knight, who merged with Bamfield & Co (SP52948 auditors for several years),
failed to respond to my direct challenges why their accounting figures were
wrong for 2013 and now 2014. For 12 months now, no reply or correction
of any figure.

Reputable company would immediately address the customers' concerns
and prove they were either right, or apologise and correct errors if they
were wrong.

Instead, silence is the mode of operation, well-known in Strata Plan 52948.

Hayes Knight had previous brushes with law. Here is an example in New Zealand:

http://www.nbr.co.nz/article/international-yachting-companies-taken-ride-fudging-accountant-mb-118380

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=10804436

And another one:

http://www.justanswer.com/australian-law/6n7xc-hayes-knight-accounting-tax-returns-years-2005.html

The point of this is simple: the value of auditor's reports is worthless if they cannot
answer questions for obviously incorrect and dubious figures.

Just for utility expenses (water, gas, electricity), Hayes Knight made an error
of around $22,000. That is $22,000 mistake for what accountants call "cooked books".

Further action against Hayes Knight will follow.