Basanite Terminates Auditor After Firm Withdraws from PCAOB
BASA sits 41% above its 52-week low of $0.01.
Summary
Basanite, Inc. has terminated its independent auditor, Hudgens CPA, PLLC, after discovering the firm withdrew from the PCAOB and ceased operations without notification.
Key Events · Corporate Governance and Compliance · BASA
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Auditor Termination
Basanite, Inc. terminated Hudgens CPA, PLLC as its independent registered public accounting firm on June 2, 2026.
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Reason for Termination
The termination occurred because Hudgens CPA, PLLC withdrew from the PCAOB and ceased operations as of November/December 2025, failing to notify the company.
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No Disagreements Reported
The company reported no disagreements on accounting principles or practices, financial statement disclosure, or auditing scope with Hudgens CPA, PLLC during the past two fiscal years and interim period.
Analysis · BASA · Manufacturing
The termination of the independent auditor is a critical compliance event for Basanite, Inc. While the change was prompted by the auditor's withdrawal from the PCAOB and not by disagreements with the company's financial reporting, it necessitates finding a new auditor to ensure continued regulatory compliance and investor confidence, especially for a micro-cap company.
At the time of this filing, BASA was trading at $0.01 on OTC in the Manufacturing sector, with a market capitalization of approximately $3.6M. The 52-week trading range was $0.01 to $0.07. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.