(Alliance News) - Finablr PLC said Monday that Co-Chair and Director Bavaguthu Raghuram Shetty has resigned with immediate effect.
The financial services provider separately announced that the UK's HM Revenue & Customs has proposed the suspension of subsidiary UAE Exchange UK Ltd and has already suspended Xpress Money Services Ltd.
The suspension of business registration will lead to the cessation of business unless and until the suspension is lifted.
In early April, Finablr had chosen Houlihan Lokey to act as its independent financial adviser to determine its debt position.
Results of this exercise revealed debt of around USD1.30 billion, excluding Travelex liabilities, far in excess of the interim results figure of USD334.1 million as at June 30.
"The board cannot exclude the possibility that some of the proceeds of these borrowings may have been used for purposes outside of the Finablr group," the company had said.
In late April, Shetty claimed to have "no knowledge" of transactions made under his name. He explained that bank accounts were fraudulently created under his name, something he said he was unaware of and had not consented to.
Shetty had undertaken legal and forensic investigations, the preliminary findings of which indicated "serious fraud and wrongdoing" both at Finablr and at UAE-focused healthcare firm NMC Health PLC, where he was previously chair.
Finablr's shares were suspended from trading in London since March.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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