JSE fines Steinhoff for breaching listing requirements
The JSE has fined Steinhoff R13.5 million for disseminating false and misleading information.
The Johannesburg Stock Exchange (JSE) has announced that it will issue fines amounting to R13.5 million to Steinhoff International for breaching listing requirements.
The retailer was found to have published false and misleading information in its financial reports during 2016, 2015 and some prior financial periods. It was found that the reports did not meet international financial reporting standards and were “incorrect, false and misleading in material aspects”.
Steinhoff has faced lawsuits and massive losses since revealing fraud in its accounts in December 2017.
The JSE said that it would impose three fines to the tune of R1 million, R5 million and R7.5 million respectively for individual breaches, as well as a “public censure”.
The JSE said in a statement that:
“The accuracy and reliability of financial information published by companies are of critical importance in ensuring a fair, efficient and transparent market.”
Steinhoff CEO Louis du Preez (pictured) said in a statement that the company noted the JSE’s decision, which relates to the period predating the discovery of accounting regularities. “We are pleased that this concludes the JSE’s process in respect of the company.”
The JSE indicated that the matter was not fully closed and that an investigation into the conduct of individuals at the company is in progress.