Home Archive Dutch court says Steinhoff must amend its 2016 accounts

Dutch court says Steinhoff must amend its 2016 accounts

846
0

A Dutch court has ordered Steinhoff to amend its 2016 accounts in what has been described as a victory for one-time business partner Andreas Seifert. The ruling by the court may also have implications for Steinhoff’s accounting treatment of Conforama in which Seifert, who owns German furniture chain XXXLutz, claims to have a 26.5% stake.

This is according to an article in Business Day

Ann Crotty writes that as recently as November 20 2017, the Steinhoff board said it remained confident that a Dutch court would dismiss the action brought by a former joint-venture partner, but on 21 February 2018 the court ordered Steinhoff to amend its 2016 accounts in what has been described as a victory for one-time business partner Andreas Seifert.

The Dutch court ruling will force Steinhoff to restate its 2016 accounts from a 100% controlled interest in Poco to a 50% controlling interest. It must also record that Seifert holds a 50% non-controlling interest. The Dutch court also requires Steinhoff to revise the payable liability included in its 2016 accounts to cover payment to Seifert for the disputed 50% stake.

The dispute with Seifert dates back to September 2016 when Steinhoff acquired Poco.