3.3M Pound Accounting Error at Air Charter Firm Leads Finance Chief to Resign

By:
Chris Gaetano
Published Date:
Apr 13, 2018
Oops

And you thought your mistake was bad. The finance chief of UK-based plane charter company Air Partner has resigned after the discovery of a 3.3 million pound accounting error that has sent shares tumbling, according to the London Telegraph. The error, which is being further investigated by PwC, had to do with how the company booked receivables starting from 2010. Specifically, uncollected receivables should have been expensed to the income statement in the appropriate financial year but were, instead, inappropriately offset against deferred income, leading to the 3.3 million pound hole that has caused all this trouble. Since the problems were first uncovered at the beginning of this month, shares have lost approximately 20 percent of their value. In response to the problem, the company will push back its annual report to 26 so it can fully account for the error. 

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