Analysts are speculating that Cadbury Schweppes’ accounting issues at its
Nigerian subsidiary could
hit the company with a £10m bill.
The confectionery giant announced this week that it had called in a team from
PwC to investigate an overstatement on the books of its separately listed
‘We’re predicting the overstatement will be in the region of £10m,’ one
analyst said, stressing that the suggestion was a ‘ball-park figure.’
Cadbury called in PwC after the new FD of the Nigerian arm, which made net
profits of £6m in 2005, discovered overstatements in respect of current and
prior years, with the company declining to put a figure on how much it expected
the problem to cost it. It is not known what the problems relate to.
A Cadbury spokesperson told Accountancy Age that its announcement
had been vague because the investigation was ongoing.
Colin responds to the call for 'Darwinism' in accountancy
Does Darwin's theory apply to taxation? Colin ponders...
Colin comments on the effect of Brexit on the influx of partners at KPMG
Colin provides insight into the Tesco and Unilever scandal over Marmite