Getty Images
The owner of Patisserie Valerie has said an accounting scandal it revealed in October was worse than it thought.
Its probe has found found “extensive” misstatement of its accounts and “very significant manipulation of the balance sheet and profit and loss accounts”.
This includes thousands of false entries in its ledgers, it said in a statement.
Profitability and cash flow had been overstated and were “materially below” figures announced in October, it said.
In October it said those figures were likely to be £120m revenue for the year and earnings of £12m.
At that time it revealed it had uncovered “significant, and potentially fraudulent, accounting irregularities”.
Finance director Chris Marsh was arrested after having been suspended, and is still being investigated by the Serious Fraud Office and the Financial Reporting Council (FRC).
Also under investigation by the FRC are former Patisserie Valerie auditors Grant Thornton.
The Patisserie Valerie owners said on Wednesday that RSM had been appointed as auditors and KMPG had been taken on to help it “recover from the devastating effects” of the scandal.
Source by [author_name]
TEST... If it is alright with you, would it not be better to make it…
TEST... Would it be okay with you if selling was just easy? Would you be…
TEST... Adding music to your videos can help to increase engagement, sales and more. We…
TEST... This is very rarely discussed. And it is one of the most powerful things…
TEST... In this video, I show you (Watch Over My Shoulder Style) how you can…
TEST... More times than not, you may find that the thing holding you back has…