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RSA fires executives after financial scandal

The company said today that its chief financial officer in Ireland, Rory O’Connor, and clai...
Newstalk
Newstalk

08.37 9 Jan 2014


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RSA fires executives after fin...

RSA fires executives after financial scandal

Newstalk
Newstalk

08.37 9 Jan 2014


Share this article


The company said today that its chief financial officer in Ireland, Rory O’Connor, and claims director Peter Burke were dismissed for their roles in relation to accounting irregularities.

Last November RSA suspended the pair and the chief executive of its Irish operations Philip Smith, pending the outcome of an investigation.

Smith has since resigned claiming he is being made the fall guy for the financial crisis that has rocked the company.

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RSA, which owns the 123.ie brand, has released the findings of a report carried out by PWC into the irregularities.

The report found that RSA had appropriate controls in place but there was a weakness at local level in Ireland.

It said local management did not apply the appropriate standards for accounting for insurance claims and recognising sales income properly.

The company has said the issues were isolated to Ireland and that the cost of it hasn’t exceeded its previous estimates.

RSA also said today that trading it has been hit by the poor weather, though didn't provide an estimate of the cost.

The scandal has cost RSA Group its top executive Simon Lee who left in December.

Its shares have plunged following the scandal.


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