JJB sports to hand dossiers to FSA
JJB Sports directors will this week hand a dossier to the FSA (Financial Services Authority) citing evidence of various untrue allegations made against chairman Sir David Jones. The company believes that this is tantamount to "market abuse" and it could soon turn into a criminal investigation into what has been apparently an ongoing campaign.
Aside from the fact the company is on the verge of handing various evidence to the FSA, it also appears that the £100 million rights issue will go ahead as expected with the company desperately in need of the cash. There is a feeling within the market that the "hoax allegations" were purely and simply aimed at destabilising the company and destabilising the £100 million rights issue. So far no names have been mentioned with regards to the misleading information which appeared in the Sunday press although no doubt we will hear further details in due course.
This is the latest in a flurry of controversies associated with JJB Sports which has led to a massive drop in the share price. Many people had hoped that the fundraising would draw a line under the difficult short term history of the company but unfortunately the situation looks set to drag on for some time yet.
Share this..
Related stories
HBOS Set To Announce Worst Right Issue Take-up Ever Seen
Rumours that HBOS will be forced to announce that existing shareholders took up just 10% of the groups recent £4 billion rights issue are growing stronger in the City. If this is correct then the fund raising would be one of the worst ever seen in the City and severely dent the reputation of this once great banking institution. Underwriters will be left with £3.6 billion of stock between them,...
Read MoreFinancial Services Authority to hit banks for more cash
At a time when the UK banking industry is still struggling it has been revealed that the Financial Services Authority (FSA) is looking to increase financial company contributions towards the cost of regulation and associated expenses. However, as we saw over the last few weeks, building societies amongst others have been very vocal in their calls for a reduction in regulatory premiums at this poin...
Read MoreWatchdog concerned at insider trading
Incidents of insider trading on the London Stock Exchange are giving the country's financial watchdog serious cause for concern.According to the Financial Services Authority (FSA) suspicious share price movements preceded 23.7 per cent of takeover announcements in 2004/05.Although this represents a fall from the peak of 32.4 per cent in the previous year, the FSA says the level is still too high;...
Read MoreWoolworths returns in all but name
While the original Woolworths may have disappeared forever from the high street, reborn in cyberspace, former Woolworths boss Tony Page has teamed up a former UBS banker to launch a similar chain selling the infamous pick and mix sweets. The pair are looking to raise up to £10 million in order to acquire many of the old Woolworths stores which are currently lying vacant in high streets across the...
Read MoreBritish Gas to reduce bills by 7%
Centrica, the owner of British Gas, has today released plans to reduce the average gas bill by 7% which will save UK households on average £55 a year. The company has confirmed the reduction will be implemented immediately and will benefit nearly 8,000,000 families in the UK who have seen their monthly budgets stretched of late. So why has British Gas chosen now to reduce its bills? This annou...
Read More