KEY FINDINGS OF PWC INVESTIGATION
29 Nov 2019
Following the appointment of Mr Gavin Hudson as new CEO of THL in February 2019, the THL board of directors (Board) gave the new CEO the mandate to conduct an immediate and comprehensive strategic and financial review with the objective of stabilising the business, addressing the debt levels and setting the path towards acceptable returns for shareholders.
The strategic and financial review, as well as an initial investigation of allegations that came through the whistleblowing line, revealed certain business, accounting and other practices which were of concern to the Board and required further examination. It soon became clear that, over and above the operational difficulties facing THL, there was insufficient internal accountability, governance and financial oversight.
To prepare for litigation by and against THL, to facilitate a comprehensive review of these practices and the necessary corrective action and to allow executive management to focus on the strategic and financial review and the repositioning of the business, Bowman Gilfillan Inc., at the instance of the Board, appointed PricewaterhouseCoopers Advisory Services Proprietary Limited on 13 March 2019 to:
- assist with a legally privileged investigation into alleged irregularities and
- submit a report to a committee of the Board appointed to consider the PwC Report. The Board Committee currently comprises Mr Louis von Zeuner, Mr Gavin Hudson and Ms Linda de Beer.