Spanish Wi-Fi Operator Went BankruptAdded: Monday, July 21st, 2014
Category: Recent Headlines Involving File Sharing > Current Events
Tags:ET, p2p, Torrent, Piracy, Peer To Peer, Network, Hackers, Internet, BitTorrent, Google, utorrent, bitcomet, extratorrent, 2013, www.extratorrent.cc
Gowex, Spanish wireless networks provider, has recently filed for bankruptcy. This happened a week after the authorities revealed an accounting fraud at the company. According to the Spanish High Court, the firm founder could face a jail sentence of over 10 years.
The company claimed that it decided to file for bankruptcy because it found itself in a state of “imminent insolvency” and faced a financial standstill due to a high number of contracts being ended and new projects being cancelled.
Now the company’s former CEO and chairman is in trouble after he admitted having misrepresented the financial accounts of Gowex for at least the last 4 years. He was charged with numerous felonies, including false accounting, distortion of economic and financial data, and insider trading. The CEO made the admission before the High Court a few days ago and had his passport seized and banned from leaving the country. In addition, he was obliged to report to a court every week. Finally, he was given 15 days to pay a 600,000-euro bail or go to jail.
High Court examining judge was worried that the former CEO of the Wi-Fi operator might attempt to flee, because he faced a jail sentence of over 10 years. In addition, it is known that he had 3 million euros in a Luxembourg bank.
Spanish wireless networks provider has already started insolvency proceedings and is given a maximum of 4 months to reach a deal with his creditors or enter into administration. Now the judge has to decide whether the company had the right to file for bankruptcy.
The company hired PricewaterhouseCoopers (PwC) to carry out a forensic audit of its accounts, who replied that they couldn’t carry out the audit simply because they failed to find authorized representatives of Gowex and obtain access to the required information.
Posted by: Date:
Monday, July 21st, 2014
|Spanish court will squeeze every euro possible from that bank in Luxembourg.||
Most Popular Stories