ROB ROSE: Lessons from the collapse of Wirecard
SA’s regulators should see the collapse of payments company Wirecard as evidence of how short sellers help, not harm, markets
Almost an exact replica of Steinhoff — that’s how Wirecard is described by Cy Jacobs, co-founder of 36One Asset Management. "For years, Wirecard’s CEO kept saying all was fine, even as red flags were being raised all over the place by the media and analysts. And ultimately, it all fell over when its auditors refused to sign the books, as happened with Steinhoff."
There are other superficial echoes too: the mastermind was CEO Markus Braun, a former KPMG management consultant who happens to share a first name with Steinhoff’s former leader, while Wirecard’s head of compliance was, wait for it, a man by the name of Daniel Steinhoff...