NORMAN A. ELIOT & CO.
Certified Public Accountants
Norman A. Eliot, C.P.A. 9400 South Dadeland Boulevard
Florence L. Krantz, C.P.A. Miami, Florida 33156
John Blumenthal, C.P.A. Phone: (305) 670-4444
Fax: (305) 670-0105
May 7, 1998
Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, D.C. 20549
Re: Jetborne International, Inc.
(Commission File #0-16039)
Gentlepeople:
We were previously principal accountants and independent auditors
for Jetborne International, Inc. (the "Company) and resigned on
February 27, 1998 prior to issuing our Independent Auditor's Report
on the Company financial statements at April 30, 1996 and April 30,
1997.
Subsequently, on April 9, 1998, we were re-engaged to complete our
audit and issue our Independent Auditor's Report on the financial
statements at April 30, 1996; we were not re-engaged for the
subsequent periods. Our Independent Auditor's Report was issued
under the date of August 16, 1996, extended October 14, 1997, as to
certain matters that took place during December 1996, March, 1997
and September 1997 and as described in Note 16.
We have read Jetborne's statements included under item 4 of its
Form 8-K dated April 9, 1998 and April 13, 1998 and we do not agree
with several of the statements as noted below:
1. Form 8-K April 9, 1998:
A. The 5th paragraph of item 4 states "During the two most
recent fiscal years and the subsequent interim period
preceding the Auditor's resignation and/or dismissal,
there were not disagreements with the Auditor on any
matter of accounting principles or practices, financial
statement disclosure or auditing scope or procedure which
if not resolved to the satisfaction of the Auditor would
have caused it to make a reference in connection with its
report. The Registrant has authorized Norman A. Eliot &
Co. to respond fully to the inquiries of its successor
accountant concerning any matter without limitation of
any sort".
We disagree with the aforementioned statement as there
were disagreements primarily revolving around a scope
limitation, imposed by the Company, on auditing
procedures that were established by this firm in
connection with an inventory purchase from a subsidiary
of Rada Electronics Industries Limited (the Company's
present parent company) which only affected disclosures
in the April 30, 1996 financial statements but would have
significantly affected the financial statements at April
30, 1997.
Securities and Exchange Commission
Page 2
May 7, 1998
1. Form 8-K April 9, 1998 (continued):
B. The 2nd paragraph of item 4 indicates that this firm
noticed resignation and withdrawal from its engagements
for both years ended April 30, 1996 and April 30, 1997.
As indicated above, the resignation was dated February
27, 1998 and the re-confirmation of the re-engagement was
dated April 9, 1998. The confirmation of the re-
engagement also referred to data required in connection
with the finalization of the April 30, 1996 financial
statements (received) and a commitment from Jetborne with
confirmation of the re-engagement, and a guarantee, from
the parent corporation, of the payment of the
indebtedness, for the payment of agreed-to unpaid fees.
As of this date, the commitment has not been met even
though the Independent Auditor's Report at April 30, 1996
was issued and full responses to the inquiries of the
successor was provided at a meeting held on April 9, 1998
with requested portions of our files submitted to the
successor on April 16, 1998.
2. Form 8-K April 13, 1998:
The 4th paragraph states "There was no disagreement or
any reportable event in connection with the Registrant's
change of accountants for the fiscal year ended April 30,
1997 or for the newly determined "stub" period ended
December 31, 1997".
We disagree with the aforementioned statement as there
were disagreements primarily revolving around a scope
limitation, imposed by the Company, on auditing
procedures that were established by this firm in
connection with an inventory purchase from a subsidiary
of Rada Electronics Industries Limited (the Company's
present parent company) which only affected disclosures
in the April 30, 1996 financial statements but would have
significantly affected the financial statements at April
30, 1997.
Very truly yours,
NORMAN A. ELIOT & CO.
/s/Norman A. Eliot
Norman A. Eliot, CPA
NAE/pr