Page 672 - The Case Lab Book

Ashgates appear to have simply accepted the word of

Wrekin’s management that the stone was truly valued at £11

million. The question is – would a national/international
accountancy firm have been so ready to accept such

assurances? The answer is probably - No! and this may be

the reason that the auditors were replaced.

The timing of the Wrekin acquisition could not have been

worse, occurring just as the financial crisis began to take

effect. Contracts dried up as construction was put on hold or

abandoned. The result was that instead of being a potential