HOUSTON—Orian S.A. reported approximately $60 million in losses as a result of fraudulent activity.
The carbon black company determined on Aug. 10 that an employee was targeted by scammers, which "resulted in multiple fraudulently induced outbound wire transfers to accounts controlled by unknown third parties," according to its Aug. 12 SEC filing.
The employee was not a named executive.
"As a result of this incident, and if no further recoveries of transferred funds occur, the company expects to record a one-time pre-tax charge of approximately $60 million for the unrecovered fraudulent wire transfers," Orion said, noting it is cooperating with law enforcement and intends to pursue the recovery of these funds "through all legally available means."
Investigations into the incident's impacts on the company and its internal controls are ongoing, Orion said, noting the company has not yet found any evidence of additional fraudulent activity or unauthorized access to its data or systems.
