Finablr PLC (LON: FIN), a Payments and foreign Exchange platform, has received a notice from the HM Revenue and Customs (HMRC) regarding the suspension of the business registration of two of its subsidiaries: UAE Exchange UK Limited (UAEExUKL) and Xpress Money Services Limited (XMSL).

The non-ministerial UK government department warned that if the suspension of the two entities is not lifted, then it would result in the “cessation of business by the relevant entities.”

“The Company intends to work with HMRC to attempt to restore the registrations,” the announcement stated.

Finablr also announced the resignation of BR Shetty, its billionaire founder, as its co-chairman and director with immediate effect.

Another Billion-Dollar Scandal in the Payments Industry

Originally, Finablr was accused of potential misconduct with the misappropriation of the Group’s asset as it revealed in April that its net indebtedness might be around $1.3 billion.

This followed on from the Board of Finablr discovering cheques that were written by Group companies before its initial public offering (IPO), which may have been used as financial security for the benefit of third parties.

Additionally, the ongoing pandemic further dented the business of the payments giant.

All of these actions resulted in the stepping down of the Group’s chief executive officer and the chief financial officer.

In July, the company appointed Skadden Arps Slate Meagher & Flom (UK) LLP as lead counsel to investigate the financial wrongdoings.

Following the revelation of the misconduct, Finablr also prepared itself for insolvency, but it did not proceed with that move. Finance Magnates reported earlier that Abu Dhabi’s state investor Mubadala’s fund took a 3.4 percent stake in the troubled company.