The share price of FTSE 250 oil explorer Afren plummeted on Thursday after the company said that it was suspending its chief executive officer (CEO) and chief operating officer (COO).

CEO Osman Shahenshah and COO Shahid Ullah have both been temporarily suspended pending the result of an investigation related to "unauthorised payments".

With the probe still ongoing, the company said it would be forced to postpone the release of its interim results, originally due on 4 August.

The company said that after an independent review on the board's behalf by law firm Willkie Farr & Gallagher, "evidence has been identified of the receipt of unauthorised payments potentially for the benefit of the CEO and COO".

"These payments were not made by the company. The investigation has not found any evidence that any other board members were involved."

In the meantime, the company said that founder Egbert Imomoh, previously managing director and chairman of Afren Energy Resources, has agreed to step in as executive chairman. Senior independent director Toby Hayward has been appointed interim CEO while the investigation continues.

"Whilst the board has no reason to believe that this will negatively affect the company's stated financial and operational position, the publication of the company's half-year results due on 4 August 2014 will be postponed."

The stock was down 32% at 101.09p by 09:51.

BC

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