Parexel files with SEC following 'misappropriation of corporate funds'

The Notification of Late Filing was submitted​ to the SEC yesterday. The filing pertains to the company’s Annual Report on Form 10-K for the year ending June 30, 2016.

According to the SEC filing, “On August 29, 2016, the due date for the 2016 Form 10-K, the Company received a report of an incident of misappropriation of corporate funds by an employee in one of the Company’s international operations​.”

In the SEC filing, Parexel said it would be unable to file the 2016 Form 10-K by the set due date “without unreasonable effort or expense​.”

The company is currently reviewing the issue and expects to file the 2016 Form 10-K “as soon as reasonably practicable.​” It expects to file within the extension period of 15 calendar days.

The filing states: “Based on the information currently available, the Company does not believe the amount of funds misappropriated to be material, but there can be no assurance in this regard until the Company completes its review​.”

Parexel could not be reached for comment as of press time.