Summary of INNOTRAC CORP - Yahoo! Finance

Changes in Registrant's Certifying Accountant, Regulation FD Disclosure, Financial

Item 4.01 Changes in Registrant's Certifying Accountant

(a) On August 27, 2009, BDO Seidman, LLP ("BDO") was dismissed as the independent registered public accounting firm engaged to audit the financial statements of Innotrac Corporation (the "Company"). The Audit Committee of the Board of Directors of the Company approved the change. BDO performed the audit of the Company's financial statements for the fiscal years ended December 31, 2007 and December 31, 2008. During these periods and the subsequent interim period prior to their dismissal, there were no disagreements with BDO on any matter of accounting principles or practices, financial statement disclosure or auditing scope or procedure, which disagreements, if not resolved to BDO's satisfaction, would have caused BDO to make reference to the subject matter of the disagreements in connection with BDO's reports, nor were there any "reportable events," as such term is defined in Item 304(a)(1)(v) of Regulation S-K, promulgated under the Securities Exchange Act of 1934, as amended ("Regulation S-K") except that, in connection with the completion of its audit of the Company's consolidated financial statements for the fiscal years ended December 31, 2007 and 2008, BDO communicated to the Company's management and Audit Committee that a certain matter involving the Company's internal controls was considered to be a "material weakness", as defined under the standards established by the Public Company Accounting Oversight Board, or PCAOB. The Audit Committee discussed with BDO the subject matter of the material weakness which is described in Item 9A of the Company's annual report on Form 10-K for each of the fiscal years ended December 31, 2007 and 2008. The Company has authorized BDO to respond fully to any inquiries by Grant Thornton LLP, including those with respect to the material weakness.

The audit reports of BDO for the Company's fiscal years ended December 31, 2007 and December 31, 2008 did not contain an adverse opinion, or a disclaimer of opinion, or qualification or modification as to uncertainty, audit scope, or accounting principles.

The Company has provided BDO with a copy of this Current Report on Form 8-K and requested BDO to furnish it with a letter addressed to the Securities and Exchange Commission stating whether it agrees with the statements made above by the Company. A copy of such letter, dated August 31, 2009 is filed as Exhibit 16.1 to this Form 8-K.

(b) On September 2, 2009, the Audit Committee of the Board of Directors of the Company engaged Grant Thornton LLP as its independent registered public accounting firm to audit the Company's financial statements. During the two most recent fiscal years and through September 2, 2009 the Company had not consulted with Grant Thornton LLP with respect to: (i) the application of accounting principles to a specified transaction, either completed or proposed;
(ii) the type of audit opinion that might be rendered on the Company's financial statements; or (iii) any matter that was either the subject of a disagreement (as defined in Item 304(a)(1)(v) of Regulation S-K) or a reportable event (as described in Item 304(a)(1)(v) of Regulation S-K).