Fuji Xerox will be returning as a provider of print technology and logistic services to New Zealand government customers from next month, 18 months after the agreement was suspended over an accounting scandal that's still under investigation by the Serious Fraud Office (SFO).
“The Ministry of Business, Innovation and Employment announced it is lifting Fuji Xerox’s suspension from the All off Government Print Technology and Associated Services (PTAS Agreement) from 1 May, on a probationary basis,” Fuji Xerox NZ said in a statement.
“Fuji Xerox was suspended from the agreement on September 29, 2017, after an inappropriate accounting practice came to light.”
Fuji Xerox NZ’s Managing Director, Peter Thomas, says: “The reinstatement reflects the company’s work to remedying past issues, and new processes put in place to ensure they don’t happen again. We have made significant changes to the business including implementing a new governance structure, a new leadership team and stronger management practices.
“We’ve learnt some difficult lessons and are grateful for the opportunity to return as a supplier to Government. Fuji Xerox looks forward to offering all customers the high quality services and products we are known for.”
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| The current FXNZ board of directors (l-r): Graham Ford, Takaya Mogaki, Nobuhiko Koshimizu, Mutsuki Tomono, Peter Thomas and Katsumi Kizaki |
The SFO began looking into Fuji Xerox New Zealand (FXNZ) in October 2016, after the company reported a pre-tax loss of $51 million for the year. Two months later, the office closed its inquiry saying it would take no action.
The investigation was relaunched a year later after parent company Fujifilm released a report revealing that “inappropriate accounting” at its FXNZ and Fuji Xerox Australia subsidiaries had overstated revenues by a total of about $A450 million between 2011 and 2016.
The SFO recently told a parliamentary committee that the investigation is “ongoing.”
In September 2017, Fuji Xerox NZ, Fuji Xerox Finance and Fuji Xerox Asia Pacific also filed joint civil proceedings against three former senior executives – former FXNZ managing directors Neil Whittaker and Gavin Pollard and former chief financial officer Mark Allright. The case is continuing in New Zealand’s High Court.
