Two items happened here.....one a going concern was required from nasdaq...typical...2 an art. was pulblished staing it could be a goner.....gnbt's lawer responded immediately as did the board....here are some of the ongoings.

http://collectivestock.com/generex/

also their lawerys comments

Thanks for pointing out the comments made by Generex VP lawyer counsel, Mark Fletcher to the Fool's article "Don't go for the goners". It's nice to see that the company is vigorously defending itself. Can we expect a retraction from the fools? Here is the rebuttal from Mark Fletcher:

Dear Ms. Lomax…

I am contacting you regarding the article you authored that appears in today’s online edition (Oct 30 09) of The Motley Fool and, in particular, your comments about Generex Biotechnology Corporation (NasdaqCM : GNBT).

Your comments betray a fundamental misunderstanding of basis accounting concepts in general and GNBT in particular.

GNBT is a development-stage biotechnology corporation (“development-stage” has a specific accounting connotation). As such, GNBT has minimal revenue and its funds are expended in respect of research and development initiatives. Accordingly, and as mandated by basic GAAP, GNBT’s financial statements are prepared (and have been since its inception in 1998) on a “going concern” basis (as are the financial statements of any development-stage company in any industry). That basis of presentation is an accounting methodology and that approach does not necessarily reflect financial ill-health; and, as one who purports to make informed public comment on such matters, you ought to know that.

The press release and Form 8-K Current Report filed by GNBT in respect of the so-called “going concern qualification” in the auditor’s report accompanying the July 31, 2009 annual financial statements included in GNBT’s Form 10-K Annual Report filed with the Securities and Exchange Commission earlier this month is merely a mandate of a Nasdaq rule. Regrettably, many people, like you, misapprehend that.

As our press releases and filings with the SEC indicate, between May 15 09 and Sep 14 09 GNBT raised almost $34,000,000. Of that amount, $17,900,000 was raised subsequent to the Jul 31 09 fiscal year end to which the auditor’s report relates. As of today, GNBT has in excess of $28,000,000 in cash-on-hand. Furthermore, the Jul 31 09 financial statements indicate nominal indebtedness. Clearly, you made public comment on the financial health of GNBT (implying that it is a “goner”) without undertaking even a basic review of publicly available information on that subject and without contacting GNBT management for comment. That was inappropriate and irresponsible. Your comments have conveyed the erroneous impression that GNBT is in a precarious financial condition when, on the contrary, GNBT’s financial condition is robust.

We request that you forthwith publish a retraction of your comments insofar as they were directed at GNBT to correct the misrepresentations you have made to the general public and capital markets participants in particular.

Regards,

Mark Fletcher