BDO has resigned as auditor of Birmingham City Football Club with immediate effect due to "reservations" about the company.
In a Hong Kong Stock Exchange announcement, parent company of the club, announced BDO's resignation due to being unable to obtain "consistent, reliable and complete" audit evidence.
Birmingham City FC's accounts were delayed for the sixth time this year, released today, a day overdue.
Their parent company, Birmingham International Holdings Ltd (BIHL) is listed in Hong Kong. In a statement, they said the company is now actively seeking a new auditor after receiving a letter of resignation from BDO.
BIHL chief executive Peter Pannu said: "The letter states that BDO resigns with immediate effect due to the auditor being unable to obtain consistent, reliable and complete audit evidence and due to the auditor having reservations on the effectiveness of corporate governance and the system of internal controls of the company."
"Since the appointment of the new managing director on 19 September, immediate attempts were made to take the audit forward and a meeting with BDO and the audit committee was called in September to address in detail the audit issues raised by BDO in their letter," he added.
An attempt by BIHL to bridge the gap and narrow down the issues was unsuccessful, leading to BDO's resignation.
Trading in the company has been suspended since 2011.
