Rok shares tank as audit finds big financial failures

 
Marion Dakers
HOUSING repair firm Rok shed nearly half its share value yesterday after it said “serious failings” were found in parts of the business, resulting in the suspension of its finance director.

Ashley Martin has been immediately suspended due to a need for “new financial leadership”. The firm said he is not suspected of fraud, but that a further review will be carried out.

Rok warned full-year profits would significantly undershoot market forecasts of about £20m because of financial mismanagement in its plumbing division.

The profit warning followed an independent review by accountants BDO, who found “serious failings in financial controls”.

The firm said its interim results due on Tuesday will still be in line with expectations. Shares closed down 45 per cent at 16p.