Lend Lease stands down execs over reporting errors
Senior executives at construction company Abigroup have stood aside while investigations into discrepancies in profit reporting.
Abigroup's owner, development firm Lend Lease, today said the misreporting of profits and costs in two Abigroup projects would not impact its financial position or its outlook.
"We take seriously any potential reporting and compliance issues, and are committed to resolving this matter fully and as quickly as possible," Lend Lease chief executive Steve McCann said in a statement.
Executives responsible for oversight and management of Abigroup have stood aside while Lend Lease investigates the matter.
Lend Lease, said Abigroup's full share of profits from a joint venture carrying out an upgrade of the Ipswich Motorway in Queensland was not reported in the year to June 30, potentially leading to the under-reporting of Abigroup's profit for the period.
Certain costs from Abigroup's Peninsula Link freeway project in Victoria were also not reported in the year to June 30, potentially leading to an over-reporting of Abigroup's profit for the period, Lend Lease said in the statement.
Lend Lease has appointed an interim chief operating officer and group financial controller of its Australian construction division, of which Abigroup is a part, while the investigations are carried out.