Renaissance Says Only One Topaz Manager Dismissed Over Fraud

Renaissance Services SAOG (RNSS) said today that only one of the management changes at its unit Topaz Group, which in March delayed a share sale in London, was linked to a financial fraud.

The official suspended was a junior level finance manager in an overseas subsidiary of Topaz, and the departure of senior Topaz managers was due to business considerations and cost saving, the company said in an e-mailed statement. The amount that appears to be linked to the fraud investigation is a portion of a total of $2.9 million over 6-1/2 years, Renaissance said.

The company had said in a statement yesterday that top management left after it “uncovered some serious issues” at the unit. Topaz Chief Executive Officer Fazel Fazelbhoy stepped down in May after Renaissance, its finance director and the chief operating officer of Topaz Engineering also resigned, and the entire corporate human resources department was removed, Renaissance said in a statement to the Muscat, Oman stock market yesterday.

The company’s shares slumped 10 percent today to close at 0.559 rial in Muscat, having also lost 10 percent yesterday.

To contact the reporter on this story: Ola Galal at ogalal@bloomberg.net

To contact the editor responsible for this story: Stephen Voss at sev@bloomberg.net

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