Sub-prime lender Cattles suspends group FD
Group FD, James Corr, is among the three executives suspended by the struggling sub-prime lender
Sub-prime lender Cattles has suspended another three executives, including
its group finance director, James Corr.
The suspensions come during a review of the company’s ‘impairment provisions’
– the extent of its bad debts – by internal auditor Deloitte.
In the past few months Cattles has made a number of profit warnings and
suspended lending to new customers in its Welcome Finance division to preserve
liquidity.
The company today announced the suspension of group finance director James
Corr, chief operating officer Ian Cummine and compliance and risk director
Adrian Cummings.
The suspensions come a week after Cattle suspended three other executives,
including divisional finance director, Peter Miller.
Only last month, Cattles said that James Corr, who was due to retire at the
end of February, would remain finance director until the review was completed.
Cattles today said that it is in breach of covenants under its borrowing
arrangements and will therefore be seeking appropriate waivers from relevant
debt providers.
Further reading:
Cattles’
FD stays on until Deloitte finishes review