Accounting entries at Findel falsely boosted profits

New managers at Findel, the home shopping and educational supplies group,
claim accounting entries bolstered last years profits at the company.

The management of the educational arm made the discovery this week and said
the entries “appeared not to be properly substantiated”,

The company said it would restate last year’s results as a consequence of the
discovery, which has led the company to wipe off £5m from profits before tax and
£14m from net assets for the year ending 3 April 2009.

Findel owns brands such as Kleeneze, Kitbag, Confetti and online gadget store
I Want One of Those.

Further details will be released in the company’s year end trading statement
due at the end of April.

The company was forced to close various divisions last year and reduce its
workforce by 60 people.

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