Breaking News

Allou Overstates Results; Fires Execs

April 24, 2003

Allou Healthcare Inc., a distributor of prescription drugs and consumer personal care products, on Thursday said it discovered that inventory and accounts receivable were substantially overstated and fired its senior executives.

The company, which had four units forced into bankruptcy earlier this month, also said its lenders had filed additional involuntary bankruptcy petitions this week, seeking to place the parent company and two more operating units into Chapter 11.

Allou said the total overstatement may range from $110 million to $115 million. It said it has hired a forensic accounting firm to determine the full scope of the accounting overstatements.

The fired executives include: Chairman Victor Jacobs; Chief Executive Herman Jacobs; Chief Financial Officer David Shamilzadeh; and Executive Vice President Jacob Jacobs, the company said. The four are retaining their seats on the board.

Chief Restructuring Officer Richard Sebastiao will assume the responsibilities of the dismissed executives, the company said.
  • Care for Your Hair

    Care for Your Hair

    Melissa Meisel, Associate Editor||February 27, 2017
    Salon expert Richard Jay talks about protecting tresses.

  • Fit for Fitness

    Fit for Fitness

    Christine Esposito, Associate Editor||February 21, 2017
    Kinx Active is a new brand targeting women who want beauty products that can stand up to their fitness routines.

  • Cargo Says Aloha To Spring/Summer

    Cargo Says Aloha To Spring/Summer

    Christine Esposito, Associate Editor||February 13, 2017
    Cargo Cosmetics has rolled out its new Spring/Summer collection with Hawiianan singer Anuhea.

  • Trade Association Directory 2017

    February 2, 2017
    Contact details of trade associations that serve various segments of our industry and are mentioned frequently in Happi.

  • What the Halal  Is Going On?

    What the Halal Is Going On?

    Imogen Matthews , In-Cosmetics||February 2, 2017
    Demand for these beauty products is surging thanks to a fastgrowing Muslim population.

  • Relief for Sensitive Scalps

    Relief for Sensitive Scalps

    Guadalupe Pellon and Annette Mehling , BASF||February 2, 2017
    BASF researchers detail the attributes of the company’s highly effective hair care system focusing on scalp sensitivity.