Finance chief quits over TUI accounts

TUI Travel said its finance chief will go and restated 2009 accounts after stumbling across £117m owed by customers that will now have to be written off.
By The Newsroom
Published 21st Oct 2010, 22:15 BST
Updated 21st Oct 2010, 22:15 BST

Europe's largest travel company said that having plugged a 29m hole in August, an audit had uncovered a further 88m of irrecoverable balances.

"As a result, TUI Travel now believes it is appropriate to restate its results for the year ended September 30, 2009," TUI Travel said yesterday.

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The company said it had been integrating IT systems and uncovered weaknesses that meant outstanding balances were not being reconciled properly.

Chief financial officer Paul Botwell has resigned over the incident and will leave at the end of 2010 after more than three years on the TUI Travel board. He had previously worked at companies such as First Choice Holidays, British Gas and retailer WH Smith.

"Paul is behaving honourably and I am disappointed that he will be leaving the group. He is one of the most capable chief financial officers I know," chief executive Peter Long said. "I have specifically asked Paul to remain with the business to see through the full year audit."

Related topics:TuiIT systemsEuropeBritish Gas