| 13.2°C Dublin

Betting firm Worldspreads' €15m shortfall

DUBLIN-HEADQUARTERED financial betting company Worldspreads has a £13m (€15.65m) hole in its accounts which will result in serious losses for clients of the firm.

Special administrators Jane Moriarty and Samantha Bewick of KPMG were appointed under the Special Administration Regime.

Worldspreads Limited is a wholly owned subsidiary of Worldspreads plc, incorporated in Dublin.

KPMG said the group's 15,000 customers were owed £29.7m (€35.6m) but the group has only £16.6m (€19.9) in cash, leaving them facing a large shortfall. Worldspreads founder Conor Foley resigned as chief executive last Wednesday.

Mr Foley said yesterday that his decision to step down was "completely unrelated" to the financial irregularities, which he said he had only learned of on Friday morning at the same time as the rest of the Worldspreads board. The firm has about 15,000 client accounts and 66 employees, who will be initially kept on to support the "orderly wind down" of the company, KMPG said.