Betex face police investigation
Betex, the AIM-listed lottery specialist, has seen two if its senior executives arrested in China in the province of Jilin and as a result has ceased trading in its shares.
A third employee is still on the run. The identity is the three men is unknown.
Betex, who became the first foreign investor in China’s sports lottery, has seen its shares slump by 59 per cent to 32.5p as its business is almost entirelt dependant on the Chinese market.
However, in a statement to the London Stock Exchange, Betex believes that the arrests are the result of actions by the individuals rather than the company.
"The company believes that the alleged illegal activity relates to conduct by these individuals and does not call into question the legality of the company's software product, or the conduct of the company," a Betex spokesman said.
It is believed that the three individuals were attempting to defraud the company.
Betex is currently aiding China authorities with their investigation and expects to release a statement as soon as more information becomes available.
Editor, Jackpot.co.uk - 2007-04-19 11:19:30