Claims against Steinhoff uncover revolving tangle of dodgy deals
The Steinhoff International management stands accused of cooking the books to hide losses and inflate earnings. But what exactly might it have done and how? A report by Viceroy Research – published on the same day Steinhoff admitted to financial wrongdoing and its longtime CEO, Markus Jooste, resigned – provides some indication as to how the financial engineering apparently took place. The mystery authors admit the report is opinion based on "publicly available facts, field research, information and analysis through our due diligence process". They also had a short position in Steinhoff, meaning they would profit from the company’s share price falling. They say their anonymity is related to the fact that there have been past issues "that go beyond the realm of legality", where short sellers had been targeted. "Viceroy spends its time researching companies with signs of questionable accounting practices and serious fraud. Steinhoff has been on the radar for months, however, we really...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.