UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of report (Date of earliest event reported):
April 13, 2011
HARTMAN SHORT TERM INCOME PROPERTIES XX, INC.
(Exact name of registrant as specified in its charter)
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Maryland
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333-154750
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26-3455189
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|
(State of Organization)
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(Commission File Number)
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(I.R.S. Employer Identification Number)
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2909 Hillcroft, Suite 420
Houston, Texas
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77057
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(Address of principal executive offices)
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(Zip Code)
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(713) 467-2222
(Registrant’s telephone number, including area code)
Check appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 4.02 – Non-Reliance on Previously Issued Financial Statements or a Related Audit Report or Completed Interim Review.
On April 13, 2011, Hartman Short Term Income Properties XX, Inc.’s (the “Company”) management, after discussion with their independent accountants determined that the financial statements included in the Company’s previously filed Quarterly Report on Form 10-Q for the nine months ended September 30, 2010 should no longer be relied upon. The Company has identified an incorrect accounting for selling commissions in connection with our recent offering and subscriptions for purchase of our common shares as general and administrative expenses, incorrectly accounted for accrued expenses and due to an affiliated entity as they related to advanced payments by our Advisor, which should not be recognized as liabilities until the Company had achieved its minimum offering of $2,000,000 and issued the subscribed common shares as the Company is not legally obligated for such advanced payments by our Advisor.
The following tables reflect the impact of the errors on the previously filed financial statements for the quarter ended September 30, 2010:
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As Previously
Reported
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Adjustments/
Corrections
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As Restated
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|||
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Balance Sheet
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||||||||||||
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September 30, 2010
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||||||||||||
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Accrued expenses
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|
$
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10,486
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|
|
$
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(2,267
|
)
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|
$
|
8,219
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|
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Due to an affiliated entity
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|
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266,991
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|
|
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(51,360
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)
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|
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215,631
|
|
|
Deficit accumulated during development stage
|
|
|
(476,377
|
)
|
|
|
(53,627
|
)
|
|
|
(422,750
|
|
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Statements of Operation
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||||||||||||
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Three Months ended September 30, 2010
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||||||||||||
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General and administrative expenses
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|
$
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69,682
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|
|
$
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(53,627
|
)
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|
$
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16,055
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|
|
|
|
|
|
|
|
|
|
|
|
|
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Nine Months ended September 30,2010
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|
|
|
|
|
|
|
|
|
|
|
|
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General and administrative expenses
|
|
$
|
144,391
|
|
|
$
|
(53,627
|
)
|
|
$
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90,764
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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For the Period from February 5, 2009 (Date of Inception) through September 30, 2010
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|
|
|
|
|
|
|
|
|
|
|
|
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General and administrative expenses
|
|
$
|
476,377
|
|
|
$
|
(53,627
|
)
|
|
$
|
422,750
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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Statements of Shareholders’ Deficit
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|
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|
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September 30, 2010
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|
|
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|
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Net loss
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$
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(144,391
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)
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$
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53,627
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|
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$
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(90,764
|
)
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|
|
|
|
|
|
|
|
|
|
|
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|
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Statements of Cash Flows
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|
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Nine Months ended September 30, 2010
|
|
|
|
|
|
|
|
|
|
|
|
|
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Net loss
|
|
$
|
(144,391
|
)
|
|
$
|
53,627
|
|
|
$
|
(90,764
|
)
|
|
Accrued expenses
|
|
|
5,879
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|
|
|
(2,267
|
)
|
|
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3,612
|
|
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Due to an affiliated entity
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|
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138,512
|
|
|
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(51,360
|
)
|
|
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87,152
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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For the Period from February 5, 2009 (Date of Inception) through September 30, 2010
|
|
|
|
|
|
|
|
|
|
|
|
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Net loss
|
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$
|
(476,377
|
)
|
|
$
|
53,627
|
|
|
$
|
(422,750
|
)
|
|
Accrued expenses
|
|
|
10,486
|
|
|
|
(2,267
|
)
|
|
|
8,219
|
|
|
Due to an affiliated entity
|
|
|
465,891
|
|
|
|
(51,360
|
)
|
|
|
414,531
|
|
The Company intends to include the necessary restatements to correct the error within the above-referenced reports, which the Company intends to file on or about April 13, 2011.
The Company has discussed these matters with RBSM LLP, the Company’s independent registered public accounting firm.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: April 13, 2011
| HARTMAN SHORT TERM INCOME PROPERTIES XX, INC. | |||
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By:
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/s/ Louis T. Fox, III | |
| Name: | Louis T. Fox, III | ||
| Title: | Chief Financial Officer | ||