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Saudi Paper Manufacturing Co. (SPM) announced today, Sept. 16, that a preliminary court ruling was issued by Riyadh Court, in the case of suspected manipulation of the company's financial statements in 2017.
The suspected manipulation is related to the sale of the company's land. The court ordered the defendant (buyer) to pay SAR 17.30 million to SPM, according to a bourse filing.
The company also noted that this amount was adjusted in 2017. It added that it will have a positive impact on its financial statements, which will show an additional profit of SAR 17.30 million when the amount is collected.
In August 2020, SPM said that it had uncovered a suspicious manipulation of its accounting journal entries in 2017 by the management and financial affairs department, according to the preliminary investigations, Argaam earlier reported. The manipulation was represented by creating fake accounting entries to write off previous receivables of SAR 25.55 million related to the sale of company-owned lands.
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