Cosalt takes £17m hit after alleged fraud

Cosalt takes £17m hit after alleged fraud - Telegraph: "The company also for the first time formally accused former directors Calum Melville and his brother Stuart Melville of perpetrating the alleged fraud, first revealed in October last year.<br /> Cosalt said that following a review by KPMG it would take a £4.5m charge related to fees and a stock and work in progress shortfall. The shares fell 1.63 to 4.38p.<br /> 'The group is pursuing a claim through the Scottish courts against the parties responsible for part of the shortfall,' Cosalt said. 'Currently, the group is seeking damages against Calum Melville and Stuart Melville and companies associated with them.'<br /> Cosalt said the alleged fraud and difficult economy had hit trading in the year to October, leading to revenues below expectations.<br /> The group also said it would take a £2.5m hit for reorganisation costs and was 'considering' a non-cash impairment charge of £10m for goodwill and intangible asset writedowns in the offshore business."

Cosalt takes £17m hit after alleged fraud

Cosalt takes £17m hit after alleged fraud - Telegraph: "The company also for the first time formally accused former directors Calum Mel...

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