Annual reports queried

AUSTRALIA’S corporate watchdog made formal queries about almost one-in-five company financial reports it scrutinised over the past six months.

And some of the companies asked to explain their accounts were forced to adjust their profits, with the total adjustments topping $750 million.

The Australian Securities and Investments Commission revealed yesterday that it had reviewed 90 financial reports lodged by listed companies and other organisations for the period to last December 31.

As a result of the review, 17 companies were queried about 20 issues in their accounts.

Companies asked to restate their profits included Genworth Mortgage Insurance Australia, Medusa Mining, Intrepid Mines, Sequoia Financial, Pacific Current, Myer and Orica.

“The total adjustments to profit for these changes exceeds $750 million,” ASIC said in a statement yesterday.