Datalex CEO Aidan Brogan quits as financial probe continues

Troubled airline retail technology specialist Datalex has installed a temporary boss after the sudden resignation of CEO Aidan Brogan.

Deputy chairman Sean Corkery is acting CEO of the company and will oversee the search for a replacement for Brogan.

The former boss resigned with immediate effect just a day after Datalex's shares were suspended from the Irish Stock Exchange, Euronext Dublin.

The departure of Brogan, who had been with the company for 24 years, is the latest development at Datalex after it emerged in January this year that it had a “shortfall in anticipated services revenue and changes in the timing of recognition by the Datalex Group of certain other contracted revenue."

It also disclosed that financial reporting for first half of 2018 "may have been misstated."

The company says it is completing a 2018 audit and transitioning to the "IFRS 15 accounting standard."

It is also attempting to unravel the fallout from the completion time of a fixed-fee contract for a large customer.

A statement in March this year says this was “significantly underestimated, with estimates of time to completion significantly increased over the period.”

Around $2.9 million of revenue was incorrectly recognized for the first half of 2018.

It also blames “significant accounting irregularities” over the period for Datalex having overstated its revenue.

Brogan joined Datalex in 1994 as senior vice president of sales and was promoted to CEO in 2012.