14th Jul 2014 09:41
LONDON (Alliance News) - Sweett Group PLC Monday said that the UK's Serious Fraud Office has decided to investigate allegations of deception by a former employee of its subsidiary Cyril Sweett International Ltd.
In April, Sweett Group said it is investigating further after evidence came to light suggesting that "material instances of deception" may have been perpetrated by one or more former employees between 2009 and 2011.
The company had been talking with the UK's Serious Fraud Office and the US Department of Justice since allegations were made in the Wall Street Journal in June last year about improper business conduct by a former employee.
The Wall Street Journal article last year alleged that a former employee of Cyril Sweett International Ltd in 2010 had offered to award a hospital design contract in Morocco to an architecture firm as long as that firm agreed to pay 3.5% of the contract value to an official inside the United Arab Emirates president's personal foundation, which was funding the project.
In January, the construction and property consultancy said an independent investigation into the allegation, which the company initiated, had ended after failing to prove the allegation. It said at that time that the investigators had been unable to speak with the former employee, who operated from an office Dubai.
The company then started a further independent investigation which is currently being undertaken on its behalf by Mayer Brown LLP. On Monday, it said the SFO is regularly informed as the investigation progresses.
Sweett Group shares were down 6.0% to 36.20 pence on Monday.
By Tom McIvor; [email protected]; @TomMcIvor1
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