Whistleblowers Allege Accounting Fraud at Swiss Chemicals Group Clariant

On September 10, 2021, whistleblowers at Swiss specialty chemicals group Clariant alleged financial misconduct. According to a February 14 Reuters article, whistleblowers alleged “some staff manipulated accounts in 2020 and 2021 to help meet financial targets.” Their allegations have caused the company to delay “the release of its 2021 results” as investigators examine the claims.

“The investigation is not entirely concluded but suggests that there was a limited group of people globally who may have attempted a profit steering to build some performance buffer,” Peter Steiner, head of the Clariant board’s audit committee, said in a conference call with reporters. Steiner said that thus far, “there is no indication whatsoever that anyone has had any personal gains from this.” According to Steiner, Clariant “has suspended an unspecified number of staff but has not reported the case to prosecutors.”

The whistleblowers’ allegations spurred an investigation that Reuters reports stopped the auditor PWC from “sign[ing] off on results that had been due on Wednesday.” Thus, “[t]he board decided on Sunday to postpone the release of results and the annual general meeting.”

According to the article, the company “has appointed independent advisers and external counsel Deloitte and Gibson, Dunn & Crutcher to investigate.”