stock ticker: HSOA

Home Solutions of America: Update July 17

Last month, Home Solutions of America (NASDAQ:HSOA) rocked the world with rapid-fire news that it had entered into two $100 million dollar construction contracts — the largest in its history – one in Tampa and one in New York.The bloom quickly came off the rose as HSOA scrambled to “correct” the New York story – on June 11, it had to re-write history – excising counterparty “SD Consulting” out of the picture because of the revelation that its principal was David Goldwasser, a recently released felon convicted of financial fraud. HSOA inserted “Blue Diamond Group” as the counterparty in the story.Last week, Citron Research suggested that the Tampa project was likely a related party transaction, arranged with a Jeff Craft, an employee of Fireline Restoration, a subsidiary of HSOA. Meanwhile, the status of the New York project, contracted from Blue Diamond, has remained unclear, especially as to its ability to finance or fund a “$100 million dollar contract”. (more…)