Investing.com-- Shares of Wisetech Global (ASX:WTC) fell sharply on Monday after local media reports said Australian federal police were investigating billionaire founder Richard White over allegations linked to human trafficking and visa fraud.
The stock dropped as much as 16% to A$31 by 05:45 GMT -- reaching its lowest since August 2021.
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The Australian Financial Review reported that the Australian Federal Police's human exploitation taskforce had launched an investigation following a complaint alleging White exploited a woman's immigration status and financial vulnerability for sex and provided false information in support of a visa application.
White has not been charged with any offence, according to the report.
The report said the investigation stemmed from allegations involving Caroline Heidemann, a former cleaner at WiseTech, and claims made by former Kyckr chief executive Kathy Phelan regarding a visa sponsorship arrangement.
The latest development adds to scrutiny surrounding White, who returned as executive chairman earlier this year after previously stepping back from executive duties amid reviews of his conduct.
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