I am confused by the Annual Information Form ("AIF") for the fiscal year ended October 31, 2012.
On page 50 the AIF says: "Revised, updated and adopted by the Board of Directors, October 25, 2012."
But the AIF refers to the January 11, 2013 settlement agreement with Signal Genetics on page 2, page 5, page 13 and page 15. For example, page 2 says: "On January 11, 2013, all rights and licenses under the license agreement were reverted back to Diagnocure, which intends to explore other commercial opportunities for the test."
So how could the Board of Directors approve a document on October 25, 2012 which discusses an agreement which was only "entered into" on January 11, 2013? (The Material Change Report dated January 11, 2013 and filed on Sedar says: "On January 11, 2013, DiagnoCure entered into a settlement agreement ...")
And how was Diagnocure able to produce an audited set of financial statements on January 11, 2013, hours after reaching the settlement? And why did Diagnocure record the settlement in their accounts for the year ended October 31, 2012, instead of treating it as a subsequent event?
The only explanation I can think of is that the agreement was reached prior to October 25 and formally signed by both parties on January 11. Either that or the AIF (page 50) needs to be corrected to disclose the date that the Board of Directors actually approved the AIF, which would be some date in 2013.