Goals Soccer Centres PLC (LON:GOAL) looks certain to be de-listed from AIM after admitting the accounting crisis that led to its share suspension runs far deeper than initially thought.
In a stock market statement, it said there had been “improper behaviour” involving a number of individuals dating back to 2010.
As a result, work on the current audit has been suspended until clarification of the historic financial results has been obtained.
The audit was a prerequisite of relisting the business. The accountancy work was to be completed by September 30.
“The directors do not now believe this timeframe for the audit is achievable and, coupled with the findings above, no longer expect the ordinary shares in the company to resume trading,” investors were told.
No further forward with HMRC
In the statement, Goals said it remains in talks with HMRC over a £12mln VAT liability.
However, there have been “no material developments in the ongoing dialogue”, it added.
In fact the two sides are yet to establish a timetable to resolve the issue and haven’t yet agreed how much in back-dated VAT the five-a-side pitches owner owes.
Goals said its talks with debt providers had been “positive” as it revealed the business itself was performing strongly.
Year-to-date underlying revenues from its 45 UK sites were up 11.5%. US turnover advanced 14.5%.
Sports Direct tycoon Mike Ashley owns 19% of the company.