stock ticker: HSOA

Citron Research’s skepticism about the viability of Home Solutions of America (NASDAQ:HSOA) has only deepened over the recent weeks and we now believe that the company is on the brink of bankruptcy.

The company’s cash position, as reported in its June 30 10-Q, was down to $4.6 million. Meanwhile payables were at historic highs at $31.17 mil and that does not include the $40 million owed to the bank….tick tock tick tock. Receivables continue to expand, with a total lack of transparency as to their collectability. The situation has become so dire that the company admitted on the conference call that they will have to raise money to continue their operations. (more…)

On August 6, 2007, Citron Research hosted a conference call on HSOA. Below is the audio recording of the event.

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stock ticker: HSOA

“Fraud and falsehood only dread examination. Truth invites it.”    Samuel Johnson

As this week marks the 5 year anniversary of Sarbanes Oxley, it is interesting to watch the executives at Home Solutions commit fraud on the investing public on a daily basis. This fraud is being perpetuated by the naïve and incestuous group at Sanders Morris Harris. This report will bring to light some new revelations about Home Solutions and put forth some suggestions as to what is happening to this mysterious company. (more…)