An investigation into possible fraud at Sheffield-based WANdisco has found that the “irregularities are as a result of the actions of one senior sales employee only.”
The Sheffield firm ordered the independent investigation after discovering that $15m of purchase orders and sales bookings of $115m were false.
FRP Advisory said it had carried out a detailed review of the identified evidence and drawn its conclusions regarding the scope, scale and limits of the irregularities associated with received purchase orders and related revenue and sales bookings as represented by one senior sales employee.
A statement to the Stock Exchange read:
“It remains the case that the evidence identified supports the initial view that the irregularities are as a result of the actions of one senior sales employee only.”
It said that the findings would be sent to WANdisco’s auditors.
Last week the Financial Conduct Authority confirmed that it was also starting an investigation into the company
“We are pleased to receive these findings, which confirm the limits of the impact of the identified irregularities in line with our announcement of April 3,” said Kenneth Lever, Executive Chairman of Wandisco plc.
“The Board remains squarely focused on workstreams to lift the suspension of our shares as soon as is practicable and position WANdisco for long-term growth and success.”
Ijoma Maluza has now started work as Interim Chief Financial Officer after being appointed earlier this month. WANdisco said it was continuing “to advance its process to secure a new Chief Executive Officer” following co-founder, Dave Richard’s decision to step down on April 3rd. The board said that this was “not connected to the independent investigation.”
