Alliance Trust in £100,000 bonus error

/u/w/k/FW_KatherineGarrettCox440w.jpgAlliance Trust misstated the pay of former chief executive Katherine Garrett-Cox and former finance director Alan Trotter to the tune of £100,000.

The investment trust has warned its auditors Deloitte over the mistake on bonus payments, with long-term incentive plans for the duo thought to be overstated by 10 per cent, reports the Sunday Times.

The error saw the remuneration of the two executives incorrectly stated in the annual report. However, neither is thought to have been paid the incorrect sum.

The Courier reports that Lord Smith of Kelvin, chairman of Alliance Trust, told shareholders it was an investor who spotted the error, rather than Deloitte or anyone at Alliance Trust.

At an annual meeting shareholders questioned whether Deloitte was doing its job properly, with a similar issue having occurred three years ago.

Speaking after the meeting, Lord Smith said: “It is not life-threatening to the company, but it shouldn’t happen. The auditors know that three strikes and they are out. Absolutely, it is being dealt with.

“To think there is something of an overpayment of £100,000 is not something that investors want to hear. We take it very seriously.”

In the previous error in 2013, a long-term incentive plan was stated as being worth 53.1 per cent, when it was actually worth 51.7 per cent.