Deutsche Voestalpine Subsidiary: Balance Sheet Manipulations of 100 Million Euros
The Austrian steel company Voestalpine has identified balance sheet manipulations totaling 100 million euros at a German subsidiary. Towards the end of the fourth quarter of 2023/24, deliberate misbookings improving results in terms of the balance sheet and valuation of assets and liabilities were identified at a company within the Metal Forming Division. This information is from the annual report for 2023/24.
The misbookings had been occurring for over a decade, according to a company spokesperson. A former manager of the division, who left the company in the autumn of 2023, as well as another individual, are suspected. The misbookings did not impact cash flow, and there was no outflow of funds. However, as of March 31, 2024, the equity had decreased to 7.5 billion euros from 7.6 billion euros. The 2022/23 balance sheet had to be corrected.
The Metal Forming Division supplies nearly all European car manufacturers, producing high-strength and ultra-lightweight automotive components ranging from special tubes and profiles to ready-to-install high-bay warehouses. Motives UnknownThe irregularities in the balance sheet were identified in February as part of internal corporate control. “We can rule out that at any point a member of the Voestalpine management board was aware or involved in the matter,” the company stated. “We do not know what the motives are,” the spokesperson added.
