Shares in Indonesia’s Bumi Resources, Asia’s biggest thermal coal exporter, dropped as much as 13.23 percent on Tuesday after parent company Bumi Plc launched an investigation into alleged financial irregularities at its subsidiaries.
Bumi said on Monday it had commissioned an independent investigation after allegations over the use of company funds at its affiliates, including 29 percent-owned PT Bumi Resources, which is controlled by Indonesia’s influential Bakrie family.
Bumi Resources CEO Ari Hudaya stepped down from the London-listed parent company’s board hours after the probe was announced.
The stock was down 5.88 percent at 640 rupiah with 179.7 million shares traded, the highest turnover on the Indonesian stock exchange. The Jakarta Composite Index was up 0.10 percent.