Skybet League 1: Preston North End director resigns after ban
A Financial Reporting Council tribunal made 35 findings of misconduct against Paul Newsham – who was also chairman of the Sir Tom Finney Foundation – in relation to the financial statements he prepared for the Worthington Nicholls Group.
The case related to Sixonethreeone Limited, formerly known as HWCA Limited, which has also been ordered to pay £450,000 in fines and costs.
Former Hutton Grammar School pupil Mr Newsham was managing director of the Preston office of HWCA Ltd’s Haines Watts at the time of the breaches and is now described as a consultant. The tribunal found that the true financial position of WNG had been “materially mis-stated” in the accounts.
The Tribunal made 35 findings of misconduct against Mr Newsham in relation to the audit of the financial statements of Worthington Nicholls Group plc and its predecessor businesses for the financial years ended September 30 2005 and 2006, and the audit of the interim financial statements for the six months ended March 31 2006, prior to its admission to AIM in June 2006.
The tribunal found that Mr Newsham’s conduct fell “significantly short of the standards reasonably to be expected” of a member of the Institute of Chartered Accountants in England and Wales).
It said he failed to act in accordance with the ICAEW’s code of ethics principle of professional competence and due care, and that he “acted recklessly” with regard to the interim audit.THE FRC investigated 51 separate allegations relating to the audit of Wimslow-based WNG.
The tribunal heard that Mr Newsham had co-operated fully with the financial investigation.
He did not stand to gain financially from the irregularities and he had a clean disciplinary record.
A spokesman for Haines Watts in Preston declined to comment.
A spokesman for Preston North End said: “Paul Newsham is no longer a director of Preston North End, having resigned for personal reasons.”