Tech Data suspends four amid accountancy probe
Channel shocked as auditors rummage through books
Four middle managers in the finance function at Computer 2000 have been suspended as the distributor continues to investigate improprieties into vendor accounting errors.
Back in March Tech Data, parent of UK arm C2000, revealed it would restate results for fiscal 2011, '12 and some or all of '13 that could wipe out between $25m to $33m in profits for those years.
Auditors flooded into the firm's Basingstoke offices and took over a boardroom as they picked through the books to ascertain the nature of the improprieties.
Industry sources have told The Channel that Marco Preda, veep for finance operations Europe and acting interim UK FD has brought in his own people to fill the four slots of the personnel that were suspended.
It is understood that two peeps in the finance function were put on short term leave nearly a fortnight ago and two more last week.
Phil James, group FD at C2000 resigned back in February and his right hand man Kevin Silverwood, finance controller, followed him out of the business several weeks later, say our sources.
Preda and Co are rebuilding vendor invoice and rebates processes to make sure they are "in line with where they should be," said another individual.
The revelation of vendor accounting errors sent a shock across the distribution channel because C2000 are considered to be one of the "best run, tightest managed organisations in the UK [channel]", according to a source at a rival firm.
The investigation is reckoned to be nearing some sort of conclusion, The Channel understands.
As yet no lawsuit has been issued against Tech Data or its directors but more than ten
ambulance chasers lawyers have tried to drum up support for litigation among shareholders, as revealed here.
C2000 refused to comment on the affair. ®