Two former executives of WANdisco, the data software group whose value has collapsed after the exposure of an apparent fraud, have snubbed the company’s request to hand back nearly £650,000 in bonuses.

Sky News understands that David Richards, the company’s co-founder and former CEO, and former finance chief Erik Miller are resisting a request from WANdisco’s board to repay the $832,000 (£647,000) they were awarded for last year.

Neither man could be reached for comment on Wednesday, although a spokesman for the company said: “Whilst the former executives have so far robustly rejected our request for repayment, the board firmly believes this should be the right and fair outcome for shareholders and remains committed to pursuing it.”

The annual bonuses took the respective pay packages of Mr Richards and Mr Miller to $1.14m (£886,100) and $551,000 (£428,300) respectively.

The bonuses have sparked anger among shareholders who have seen the value of their holdings plunge since the discovery of a sales and accounting scam in March.

WANdisco’s shares were suspended and the board parachuted in Stephen Kelly, the former chief executive of Sage Group, as its interim boss.

Earlier this month, Mr Kelly and his boardroom colleagues secured $30m (£23.3m) in new funding to rescue the company, with the interim chief’s appointment since made permanent.

Gatwick strikes: Holidaymakers warned of ‘severe disruption’ as fresh walkouts announced

Hollywood strikes: How much of a threat is AI to actors and writers?

Water firms facing legal action over claims of pollution and customer overcharging

It is unclear whether WANdisco has any legal powers to force Mr Richards and Mr Miller to repay the money.

The company’s annual report revealed in a section on related party transactions that during the course of last year, WANdisco agreed to pay more than $360,000 (£280,000) to sponsor Sheffield Wednesday FC next season.

The agreement was struck on behalf of EyUp Skills Limited, a company owned by Mr Richards and his wife, Jane.

A further identical sum is payable “contingent on certain post-year end outcomes”, the annual report said.

The suspension of WANdisco’s shares came just days after Sky News had revealed that Mr Richards was working with bankers on plans to list its shares in the US.

Be the first to get Breaking News

Install the Sky News app for free

Mr Richards, then the company’s chairman, president, chief executive and co-founder, had first talked publicly about the possibility of its shares trading on an American exchange in 2017.

Based in Sheffield and Silicon Valley, WANdisco describes itself as a data activation platform which uses cloud-based analytics technology to aid corporate clients’ decision-making.

In early March, the company had a market capitalisation of more than £890m and had seen its shares rise more than fivefold over the last year.

Since the resumption of trading in its stock, its value has fallen sharply.

On Wednesday, the shares closed at 83.2p, giving WANdisco a market capitalisation of just under £100m.

Related posts:

Co-op Group risks row by retaining part of state COVID funds The economy needs some luck given huge uncertainty clouding COVID recovery Poultry, pork and bakery products could disappear from supermarkets ‘within days’ due to CO2 shortage High street giants demand chancellor ‘cuts the shops tax’ British edtech Bibliu secures funding boost with $15m injection Domino’s falls in Italy after failing to win over ancestral home of pizza Royal Mail says union strike move is an ‘abdication of responsibility’ Ministers ask Hunt for £300m to avert mass British Steel job losses Stationery chain Paperchase on brink of collapse as hopes of solvent rescue fade Why does the UK fare so poorly in the latest IMF forecast? Predictions for the UK economy, digital investing and Veganuary ends Founders of education provider Twinkl study £500m Vitruvian deal