Shares in Sportingbet (LSE: SBT.L - news) have plunged for the second day running after the online bookie was ordered by an Australian court to repay £1.3 million placed by a customer at the centre of a theft allegation.
The company, which joined the London Stock Exchange (LSE: LSE.L - news) 's AIM market for smaller companies in January 2001, said in October it was party to litigation relating to bets placed by a high-rolling telephone customer.
Sportingbet inherited the customer upon its acquisition of Australian firm Number One Betting Shop in 2001.
The customer is understood to be a company executive who is alleged to have stolen the cash from his employer.
Sportingbet, which yesterday issued a profits warning after a disastrous horse racing programme at Cheltenham and poor results from US basketball betting, has been ordered by the court to hand back the money to the company.
Sportingbet said today it would be lodging an appeal against the court's decision within the 42 day time limit.
During the current financial year, the £1.3 million will be treated as an exceptional charge in Sportingbet's accounts.
In a statement the company said there was no further cash impact as a result of the decision.
Today Sportingbet's share slipped another 12%, or 3p, to 23p after losing a quarter of their Value in the previous session. A year ago the company was trading at 122p.
The company, which joined the London Stock Exchange (LSE: LSE.L - news) 's AIM market for smaller companies in January 2001, said in October it was party to litigation relating to bets placed by a high-rolling telephone customer.
Sportingbet inherited the customer upon its acquisition of Australian firm Number One Betting Shop in 2001.
The customer is understood to be a company executive who is alleged to have stolen the cash from his employer.
Sportingbet, which yesterday issued a profits warning after a disastrous horse racing programme at Cheltenham and poor results from US basketball betting, has been ordered by the court to hand back the money to the company.
Sportingbet said today it would be lodging an appeal against the court's decision within the 42 day time limit.
During the current financial year, the £1.3 million will be treated as an exceptional charge in Sportingbet's accounts.
In a statement the company said there was no further cash impact as a result of the decision.
Today Sportingbet's share slipped another 12%, or 3p, to 23p after losing a quarter of their Value in the previous session. A year ago the company was trading at 122p.
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