Aussie Web developer comes under the microscope

Melbourne-based Web developer CBD Online has been forced to provide further information on the financial status of the company, following action by the Australian Securities and Investment Commission (ASIC) and the Australian Stock Exchange (ASX).

CBD Online recently announced a loss of AU$22.5 million (US$11.6 million). It was mostly attributed to the collapse of subsidiary Halescom Limited, which went into voluntary administration in April.

The action by ASIC and ASX addressed concerns that following the lodgement of the first quarter financial statements in March, the company had not been keeping the market fully informed of its current status.

CBD Online was not intending to disclose the extent of its loss for the financial year until after a full accounting review had been completed, the company said in a statement.