TORONTO, Sept. 8, 2014 /CNW/ - Sumtra Diversified Inc. (NEX:SDV.H) ("Sumtra" or the "Company") announces today that it has refiled interim financial statements and related management's discussion and analysis for the quarters ending February 28, 2014 and May 31, 2014 to correct deficiencies identified in a disclosure review conducted by the Ontario Securities Commission ("OSC"). The deficiencies relate to the pre-mature recognition of revenue relating to the sale of two parcels of vacant land in the City of Guelph to the Ministry of Transportation (Ontario) first announced in February 2014, which sale has been completed on September 3, 2014. As a result of subsequent events that occurred resulting in delays to the completion of the property sale, the Company is now of the view that it was inappropriate to recognize the revenue from the sale at the time of the original filings as all revenue recognition criteria in IAS 18 Revenue under IFRS had not been met. Accordingly, the original interim filings can no longer be relied upon.
The Company also announced that it has filed a material change report it omitted to previously file in connection with the property sale. As a result of the OSC review, the board of directors of Sumtra has conducted a review of the Company's disclosure practices and intends to use its best efforts to ensure that the Company meets all its disclosure obligations under applicable securities legislation in the future.
Neither TSX Venture Exchange nor its regulation services provider ( as the term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Sumtra Diversified Inc.
For further information: Mr. Philip Hampson (CFO) at 905 591 2833 or at [email protected]