Wirecard stocks fall 14% after police raid

Company has been rocked by allegations of accounting fraud

Wirecard chief executive officer Markus Braun on Monday told investors and analysts he expects an investigation by an outside law firm to resolve allegations of compliance breaches and validate conclusions already made by an internal inquiry.

Wirecard chief executive officer Markus Braun on Monday told investors and analysts he expects an investigation by an outside law firm to resolve allegations of compliance breaches and validate conclusions already made by an internal inquiry.

 

Wirecard fell as much as 14 per cent in Frankfurt after Singapore police said they raided the company’s offices .

Wirecard said in an emailed statement that it met with law enforcement officials at the company’s headquarters in Singapore on Friday, and “provided the police with comprehensive supporting material in regards to their inquiry.”

The latest allegations add to concerns over Wirecard’s accounting practices, which the company has repeatedly sought to dismiss.

Chief executive officer Markus Braun on Monday told investors and analysts he expects an investigation by an outside law firm to resolve allegations of compliance breaches and validate conclusions already made by an internal inquiry. Wirecard also said it “actively approached the authorities yesterday and pledged our full cooperation in the investigation activities.”

The start of an investigation is “a normal procedure” because of the media coverage of the past week, the company said. Wirecard traded 12 per cent lower at lunchtime.

The company has been rocked by allegations of accounting fraud over the past week. – Bloomberg