April 10, 2002

Dear Sir,

There has been a perception that you can fake cash flow so that investors are reassured if they only look at cash flow they would be safe. Yet, it appears that accountants have found ways to borrow money and report the cash as if it were a real operating cash flow.

Just like it appears they can use depreciation to create a deficit balance for shareholders to accept as a loss.

The accountants, it appears, have found clever ways around accounting rules to mislead members of organisations who do not know how unreal a cash flow could be, apparently there could be outright manipulations of income statements with fictitious income and hiding actual losses of organisations... `even in Bermuda'.

RAYMOND RUSSELL

Pembroke