Financial services group Trust Company (Trust) has been forced to undertake a full review of all client accounts managed by its Townsville office, after a number of irregularities were discovered.
Deloitte has been appointed as an independent forensic accountant to perform a full investigation.
“Initial investigations indicate the irregularities could total several million dollars over a number of years,” a company statement to the Australian Securities Exchange said.
“Trust is continuing to work through the accounts. Like all major financial institutions, Trust carries significant insurance for these types of unfortunate circumstances. Trust is keeping its insurer fully informed of any issues arising from the investigation.”
Trust has also contacted the police, with the authorities undertaking their own investigation.
Commenting on the situation, Trust managing director Jonathan Sweeney said it was an isolated incident.
“First and foremost, our valued clients should rest assured that Trust will honour all its obligations to them. This isolated incident is regrettable, and the first of its kind in our long history of serving the Townsville community,” Sweeney said.
“Our ongoing commitment to this market remains steadfast, and we are making significant resources available to complete our investigation.”
The irregularities only involve clients of Trust’s Townsville office, the company said.
Trust has begun meeting with affected clients, with the firm planning to keep in close contact with them, the company said.
