The accounting practices of Australia’s second biggest shopping centre
operator Centro Properties
Group are being questioned after revelations a
discovered the company failed to properly account for $A1.1bn (?476m) in debt.
While the Australian mortgage market has been largely untouched by the
subprime chaos, the Australian stock market was in turmoil this week when Centro
shares, popular among institutional shareholders, went into freefall after a
Centro announcement it was unable to refinance $3.9bn worth of debt, causing a
$A54bn stockmarket meltdown.
Centro’s failure to properly disclose the $A1.1bn may result in legal action
from Australia’s corporate regulator and the company could also be sued by
investors who bought stock in the company between the August 9 release of
Centro’s full-year accounts and September 18, when the correction of the
accounting error was reported to the Australian Stock Exchange.
Plaintiff law firms Maurice Blackburn Cashman and Slater & Gordon said
this week they were in talks with institutional shareholders to see if
litigation over lack of disclosure was viable, according to the Australian
national daily newspaper The Australian.
Mark McMullen joins the private client services team from Smith & Williamson
Merger between Clear & Lane Chartered Accountants and Magma Chartered Accountants was finalised on 3 February
BDO has taken its new partner intake to 23 during the first half of its financial year, including the appointment of five partners in five weeks
The firm reports 7.6% global fee income growth for the year ending 31 December 2016