Chairperson of Steinhoff Holdings International, Christo Wiese will temporarily manage the company after former CEO Marcus Jooste's resignation. Jooste resigned ith immediate effect after the company reported discrepancies in its accounts and announced an external inquiry.
Steinhoff Holdings has since acquired the services of auditing giant Price Waterhouse Cooper to investigate the issue according to a statement from Tuesday.
Steinhoff previously rebuffed claims made in a report by German magazine, Manager-Magazin, of its former CEO being amongst employees investigated by German prosecutors in a 2015 possibly linked to accounting fraud.
The Steinhoff shares have since declined by 18% in the last two days, the most since the company was first listed in Frankfurt back in 2015.
The holdings company has undergone a transformation in the last four years and has moved from being an retailer aimed at Africa to an acquisitive force that now owns Mattress Firm and Poundland in the United States and the United Kingdom respectively.
Steinhoff's current CEO, Christo Wiese is a South African billionaire with a net worth of $3,8 billion according to a recent Forbes list. He is listed as the 269th billionaire in 2017 and the 4th richest billionaire within the Africa.