Nutritional supplement manufacturer and seller Herbalife Ltd. (NYSE:HLF) said that its auditor, accounting firm KPMG, has resigned in a statement released Tuesday.
Trading in shares of the Cayman Islands company have been halted.
KPMG disclosed that a senior Los Angeles partner was fired for disclosing inside information to an unidentified individual who went on to trade stocks with several West Coast companies, which have not been made known, according to the New York Times. The firm said that the partner acted "with deliberate disregard for KPMG's long-standing culture of professionalism and integrity."
KPMG noted in a statement Monday that they “have no reason to believe that the financial statements of these companies have been materially misstated.”