WANdisco PLC's co-founder has stepped down as an ongoing probe into the company's finances showed revenue had been vastly overstated.
However, the data activation platform firm stressed the departure of David Richards, who is also chief executive, was not connected to the findings to date of the independent investigation. WANDisco said CFO, Erik Miller, was also leaving the business effective today.
WANdisco reported the investigation is progressing well concentrating on purchase orders and related revenue and sales bookings reported by one senior sales employee.
Initial findings show recognised revenue of US$14.9 million for the financial year 2022 are false and that sales bookings of US$115.5 million are also false.
As a result, revenue for the year to 31 December 2022 should have been US$9.7mln as compared with not less than US$24mln guided in January and bookings should have been US$11.4mln compared with US$127mln.
Ken Lever will become executive chairman pending the appointment of a new chief executive, which will commence shortly. WANdisco has named Ijoma Maluza as interim CFO.
WANdisco said the results of the independent investigation to date continue to support the initial view that the irregularities are as a result of the actions of one senior sales employee.