Ann: Long Term Suspended Entities, page-11

A couple of interesting articles I came across in a publication called CFO Magazine relating to Phoslock published earlier this year. Well worth the read!

"This was a gross failure on so many fronts. Whilst I am not suggesting that the Managing Director and Chairman had anything to do with the above, these two Directors also took vast sums of money off the table before the irregularities were announced. (Laurence Freedman took over $20m from share sales during this period). The Managing Director resigned on 25 May 2020 and the Chairman resigned on 30 September 2020."

https://cfomagazine.com.au/the-relationship-between-the-chair-of-the-audit-risk-committee-cfo-when-things-go-wrong/

"Is anyone ever held responsible, or is it the poor shareholders who always bear the pain whilst overpaid CFOs and CEOs literally sail into the sunset on their yachts?

So, what is the role of the CFO, and what is the responsibility of regulatory bodies such as the ASX or ASIC in the above, and what should be done? Should legislation be enacted that when egregious accounting errors are discovered, all those in any way responsible, whether they are still with the company or not, including the CEO and CFO, are fined with an amount commensurate with the bonuses and salary they earned during this period.And what about the proceeds of share sales during this period? There is no doubt that in the case of Phoslock, Laurence Freedman, the Ex-Executive Chair of Phoslock, should not be allowed to keep the $25.9m he reaped from share sales and similarly, the Managing Director should not be allowed to keep the $4.3m he reaped from his share sales during Aug 2019."

https://cfomagazine.com.au/the-rise-and-rise-of-accounting-irregularities/