The Insurance Regulatory Authority has launched an independent probe into the operations of Xplico following a fallout among shareholders and mounting concerns over its financial position.
The IRA told the Star yesterday the authority is aware of shareholder differences at the company, adding the matter is being addressed.
This follows an exposé
published yesterday by the Star based on a report by the Directorate of Criminal Investigations, which has accused the insurer's current managers of misappropriation and mismanagement.
"There has been a board and management restructuring at the company to enhance its service delivery. The operations of the company continue to run normally," IRA said.
"On a separate matter, the commissioner, under Section 9 of the Insurance Act commissioned an independent investigation into the company to assess its position. The findings will be used to inform any directions to be taken."
The report was based on the scrutiny of an audit by the IRA and a complaint by an investor Rajeshwar Sahi. The CID report accuses IRA of failing to resolve issues concerning the directorship of the company.
Xplico's chairman Shukri Adan yesterday denied mismanagement and misappropriation allegations made in the CID report questioning why the public investigators would be involved in the affairs of a private firm.
Adan said the company is unaware of any probe being conducted by the CID.
"If such a probe were being conducted, the company is certainly unaware of it," Adan said.
Xplico added it was unaware of any investor who is dissatisfied with its operations.
He said the existing board of directors was duly appointed.