Boohoo shares crashed on Monday after it was confirmed accounting giant PWC is to step down as auditor of the fast-fashion giant hit by supply chain scandal.
Shares in the £4bn retailer, which is owned by British billionaires the Kamani family, plunged 43.30p to 272.30p in a drop of nearly 14 per cent.
The company has come under scrutiny in recent months over allegations some Leicester-based Boohoo suppliers paid workers below the minimum wage.
The Financial Times reported that PWC resigned as auditor last week over concerns about the risks of continuing to work for the online group. Boohoo has denied the auditor resigned, but has confirmed “a process has recently commenced to tender for a new provider of audit services”.
It comes as the National Crime Agency (NCA) continues to investigate Leicester’s textiles industry over allegations of exploitation.
The inquiry came after it was revealed earlier this summer that Boohoo suppliers paid workers in the city as little as £3.50 an hour to pack clothes later sold on the site.
Boohoo launched an internal review into its supply chain practices led by Alison Levitt QC, with a report published in September.
It found life-threatening fire safety breaches and evidence that staff had been earning less than the minimum wage in the company’s supply chain in the city.
