London- and Toronto-listed Serabi Gold on Tuesday announced that it would terminate the employment contracts of two of its Brazil-based senior managers, after it had uncovered unsubstantiated cash withdraws amounting to $200 000.
The company previously advised that audit work in Brazil had highlighted cash withdraws of about $80 000 that were made last year lacked documentary support. Ongoing enquiries have now identified unsupported cash withdraws dating back to 2015 of about $120 000.
A number of other potential irregularities relating to expense claims and other minor items have also been identified.
Serabi said that it had started proceedings to terminate the employment contracts of two of its Brazil-based senior managers.
The company also retained the services of local forensic accountants to assist its UK auditors in order that the auditors could conclude, as quickly as possible, their audit procedures, allowing for the 2020 financial statements to be published before the end of June.