Australia's K2Fly sees worst day in two months on funds fraud

K2FLY

31/08/2022 03:00

** Shares of K2Fly  K2F.AX  slump as much as 12% to A$0.185,
seeing their worst day since Jun 23 - if losses hold 
    ** The software and services provider concludes its
investigation on a confirmed fraud that was identified on Feb 28
in its South African unit, which was committed by a former
employee  urn:newsml:reuters.com:*:nASM000P3T
    ** Co has confirmed that the value of misappropriated funds
is estimated to be around A$0.84 million ($576,324.00), before
any potential recovery via insurance 
    ** Says co has reported incident to South African police;
criminal investigation is ongoing
    ** Adds that it has started a process to review and
strengthen internal procedures to prevent this risk again 
    ** Stock has fallen ~31.2% this year, as of last close


($1 = 1.4575 Australian dollars)

 (Reporting by Archishma Iyer)
 ((Archishma.Iyer@thomsonreuters.com;))