Hydes takes hit on ‘irregularities’

THE Manchester brewer Hydes was forced to write down £675,000 last year after discovering “significant” accounting irregularities.

In the company’s latest filed accounts it said certain debts had not been collected due to the irregularities.

“We are vigorously pursuing the recovery of debts due from customers and are taking legal action where appropriate but we have found it prudent to make a provision of £675,000”.

Hydes said it had conducted a thorough review of its internal control procedures to assess whether the accounting issues were down to fraud or error.

“We shall look, as a matter of urgency, to strengthen our finance team,” it added.

The figures which cover the year to March 30 2008, show pre-tax profits at the group dropped 28% to £1.38m after a “challenging year”.

In common with other brewing and pub groups the business was hit by higher raw material costs, the smoking ban and a wet summer.