New | Solar equipment maker Trony in the dark
A forensic review of energy equipment maker Trony's accounts uncovers three sets of books with different figures and many unanswered questions
Having spent a year on field investigative work and 15 months to compile its findings, PricewaterhouseCoopers found three sets of accounting books with significantly different figures, the solar equipment maker said in a recent stock exchange filing on the findings of the forensic accounting review looking into possible discrepancies in its financial records.
But PwC was unable to conclude which set contained the real figures as the supporting documents for transactions had gone missing, electronic data had been deleted and top managers claimed they did not know anything.
Still, Trony said PwC's findings suggested that Sung Goji, an assistant to independent non-executive director Che Shujian, was a director of a company buying its products as well as owner of a supplier that allegedly provided fictitious information about its dealings with Trony.
The allegations were contained in anonymous e-mails and a letter sent in March and April 2012 to Trony's auditor Deloitte Touche Tohmatsu. They also alleged that Trony's financial statements published before and after its initial public offering in October 2010 were doctored, as were the tax payment records provided to Deloitte.
Trony's board later found "possible discrepancies" in its books and decided in June 2012 to halt its shares from trading and conduct a forensic review of its books.