(RTTNews) -  Overstock.com Inc. (OSTK: News ) announced the filing of a Form 8-K/A which included a November 20 letter from its former auditor Grant Thornton to the SEC. The company also issued a letter from Patrick Byrne, its Chairman and Chief Executive Officer, commenting on former auditor's statements. It is to be noted that Overstock.com announced on November 16 that it had dismissed Grant Thornton as its independent registered public accounting firm.

Responding to Grant Thornton's claims, Overstock.com stated that Grant Thornton has reviewed its filed 2008 Form 10-K and told that it was comfortable with past accounting practices, before accepting audit engagement in first quarter 2009.

The company said Grant Thornton had reviewed first and second quarter 2009 financial statements before company filed Form 10-Q's for those quarters, and did not question or object to accounting for the overpayment recovery.
Overstock.com specified that it that was only after it received the SEC's November 3 letter, which questioned its accounting treatment for the overpayment recovery and asked whether it had consulted with auditors' national offices, that its local Grant Thornton engagement partner Tom Eldredge took the position that company had incorrectly accounted for the partner overpayment recovery.

Overstock.com Chairman and CEO Patrick Byrne, stated that, "We are surprised by these inconsistencies and inaccurate statements in Grant Thornton's November 20 letter to the SEC"

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by RTT Staff Writer

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