What does Goals Soccer accounting scandal mean for Norwich site?
- Credit: Archant © 2011
Five-a-side football pitch operators Goals Soccer Centres has put itself up for sale in the wake of a major accounting scandal.
The firm is under investigation for a £12m VAT accounting fraud and has appointed Deloitte to find a buyer.
As things stand Sport Direct owner Mike Ashley is seen as the favourite to take over the firm, having already bought up a 19% stake in the business.
However, the billionaire will need a strong stomach to undertake the challenge as Goals has already admitted it will not have full-year accounts signed off by the end of September, meaning it will de-list from the stock market.
Shares were suspended in March after bosses uncovered the fraud, which involved avoiding VAT payments to HM Revenue and Customs.
You may also want to watch:
The company employs around 700 people and operates 45 centres across the UK, including a location at Hewett School, Norwich.
Deloitte is now set to send out sales documents to interested parties, and is expected to use revenues data and booking information to show it remains a viable business.
- 1 When can I go to the beach? Lockdown travel questions answered
- 2 Photos show RAF centre being visited by ‘beast’ of an aircraft
- 3 Driver fined after leaving queue before entering Co-Op
- 4 Chef to reopen major hotel that closed amid financial woes
- 5 Family of missing man informed after body found near lake
- 6 New mass vaccination centre opening in Norfolk
- 7 Cottage project that is a 'step back in time' coming under hammer
- 8 Revealed: Adult vaccination rates are lower in some areas of Norfolk
- 9 Mum sets up sideline selling jewellery made from breast milk
- 10 Police fine 39 second-homers and day-trippers in resort crackdown
As it stands there is no suggestion the firm will be looking to close centres rather it is putting its efforts into finding a buyer as quickly as possible.
Earlier this month, the company confirmed that its former chief executive and finance chief are under investigation over historic financial irregularities.
Keith Rogers and Bill Gow's behaviour while at Goals is part of an investigation and reports suggest the Financial Conduct Authority is also looking into the issue.
According to reports, forensic accountants at BDO allege that Mr Gow emailed Mr Rogers asking him to "work your usual magic" to create fake invoices.
Allegations were also made that Mr Gow deleted old emails to "purge" records and the pair were manipulating numbers to avoid VAT payments and breaching banking rules with its lender, Bank of Scotland.