An exterior audit of the
Kazakhstani diversified monetary providers firm, Freedom Holding Corp.
(NASDAQ: FRHC), initiated by the impartial members of its board of administrators,
has been accomplished.
The auditors had been tasked with analyzing all accusations
made in a brief vendor report launched by Hindenburg Analysis in August 2023,
in opposition to Freedom Holding Corp.
The brief vendor report accused Freedom Holding Corp. of allegedly
breaching U.S. sanctions in opposition to sure Russian residents, market manipulation,
making false stories and different wrongdoings – a story primarily based mostly on
statements by an nameless supply pretending to be a former worker of the
firm.
On the heels of the report, impartial members of the
board engaged the providers of, Morgan, Lewis & Bockius LLP (Morgan Lewis)
and Forensic Danger Alliance (FRA) to undertake a complete evaluate of all
allegations and supply their findings.
Over the previous 4 months, FRA scrutinized paperwork, company knowledge,
inspected Freedom’s workplaces in Kazakhstan and Cyprus, in addition to interviewed
the corporate’s senior executives, workers, and exterior consultants.
Conclusions
Audit findings revealed that allegations in opposition to Freedom had been extremely
selective, ignored vital contextual data, and had been with out proof,
in line with the holding’s press launch.
For example, the auditors confirmed
that the expansion of the corporate’s core enterprise has been natural, based mostly on the
precise improve in its consumer base vs. an alleged manipulation of transaction
quantity knowledge.
Freedom maintains that it’s strictly adherent to all
worldwide sanction regimes and follows guidelines designed to counter cash
laundering.
The exterior auditors additionally didn’t discover indicators of market manipulation by
the corporate, whether or not or not it’s its personal shares and belongings or bonds issued by the
Kazakhstan Sustainability Fund, which is a part of Freedom’s funding technique.
As well as, as part of its ongoing course of and process enchancment
initiative, the corporate requested the group of exterior auditors to share any
suggestions that they had, a lot of that are already being carried out by the
Freedom’s administration.
An exterior audit of the
Kazakhstani diversified monetary providers firm, Freedom Holding Corp.
(NASDAQ: FRHC), initiated by the impartial members of its board of administrators,
has been accomplished.
The auditors had been tasked with analyzing all accusations
made in a brief vendor report launched by Hindenburg Analysis in August 2023,
in opposition to Freedom Holding Corp.
The brief vendor report accused Freedom Holding Corp. of allegedly
breaching U.S. sanctions in opposition to sure Russian residents, market manipulation,
making false stories and different wrongdoings – a story primarily based mostly on
statements by an nameless supply pretending to be a former worker of the
firm.
On the heels of the report, impartial members of the
board engaged the providers of, Morgan, Lewis & Bockius LLP (Morgan Lewis)
and Forensic Danger Alliance (FRA) to undertake a complete evaluate of all
allegations and supply their findings.
Over the previous 4 months, FRA scrutinized paperwork, company knowledge,
inspected Freedom’s workplaces in Kazakhstan and Cyprus, in addition to interviewed
the corporate’s senior executives, workers, and exterior consultants.
Conclusions
Audit findings revealed that allegations in opposition to Freedom had been extremely
selective, ignored vital contextual data, and had been with out proof,
in line with the holding’s press launch.
For example, the auditors confirmed
that the expansion of the corporate’s core enterprise has been natural, based mostly on the
precise improve in its consumer base vs. an alleged manipulation of transaction
quantity knowledge.
Freedom maintains that it’s strictly adherent to all
worldwide sanction regimes and follows guidelines designed to counter cash
laundering.
The exterior auditors additionally didn’t discover indicators of market manipulation by
the corporate, whether or not or not it’s its personal shares and belongings or bonds issued by the
Kazakhstan Sustainability Fund, which is a part of Freedom’s funding technique.
As well as, as part of its ongoing course of and process enchancment
initiative, the corporate requested the group of exterior auditors to share any
suggestions that they had, a lot of that are already being carried out by the
Freedom’s administration.
