Priya Patel
TLDR: A leading commodity trader is investigating its own accounts after discovering irregularities in its finance department. The company has placed its finance chief on indefinite leave pending the outcome of the investigation.
A commodity trader has launched an internal investigation after discovering irregularities in its finance department. The company has put its finance chief Johanna Sandberg on indefinite leave pending the outcome of the investigation, with the head of legal and compliance taking over her responsibilities in the interim. The company stated that it is fully cooperating with regulatory authorities.
The investigation is being conducted by EY and Allen & Overy, who were hired as external auditors to conduct a full review of the company’s accounts. The company has stated that it has not found any evidence of fraud or manipulation, but the investigation is ongoing.
One of the key issues being investigated is the bookkeeping of the company’s commodity trades. The company has stated that it has discovered discrepancies in the reported volumes and prices of some trades, which could have a material impact on its financial statements. The company has stated that it is working to resolve these discrepancies, and will restate its financial statements if necessary.
The investigation is also looking into the company’s risk management processes and controls. The company has stated that it has identified deficiencies in its risk management system, and is taking steps to address these issues and strengthen its control environment.
The company’s share price has fallen sharply following the announcement of the investigation, as investors are concerned about the potential impact on the company’s financial position. However, the company has stated that it remains financially strong and is confident in its ability to weather the current challenges.
The investigation is a blow to the company’s reputation, as it has previously prided itself on its strong risk management practices and controls. The company will need to work hard to rebuild investor confidence and demonstrate that it has taken the necessary steps to address the issues identified in the investigation.
In conclusion, a leading commodity trader is investigating irregularities in its finance department and has placed its finance chief on indefinite leave. The investigation is being conducted by external auditors, who are reviewing the company’s accounts and risk management processes. The company has stated that it has not found any evidence of fraud or manipulation, but the investigation is ongoing. The company’s share price has fallen sharply following the announcement of the investigation, and it will need to work hard to rebuild investor confidence.
