JOHANNESBURG (miningweekly.com) – Following its decision to remove its CEO and FD over alleged financial irregularities, Aim-listed ASA Resources on Wednesday revealed that $4.3-million has been unaccounted for.
The miner on Tuesday said it had removed its CEO Yat Hoi Ning and FD Yim Kwan after an investigation initiated by the board found that funds had allegedly been transferred from the accounts of its 85%-owned Freda Rebecca Gold Mine (FRGM) to entities in China, without full value being received by FRGM.
Of the $4.3-million, $2.7-million related to the year ended March 31, 2016, while $1.6-million related to the financial year ended March 31, 2017.
The $1.6-million was traced to two group companies administered from Hong Kong, but the board has yet to confirm whether any part of this sum remains within the two companies.
However, the company assured shareholders that it still has adequate funding for the normal working capital requirements at FRGM, as well as its Bindura Nickel Corporation subsidiary, owing to continuing cash flows from operations at each mine.