Provectus boots its interim CEO following expense probe, 10 months after founder left under the same cloud
Ten months after Provectus Biopharmaceuticals $PVCT co- founder and CEO Craig Dees left the biotech and was then cited for finagling his expense account, interim CEO Peter Culpepper is getting the boot for the exact same reason.
The Knoxville, TN-based biotech said that Culpepper was fired after an investigation into “improper expense reimbursements.”
Provectus President Tim Scott will assume the CEO’s job while the company looks for a new chief.
Provectus’ board blasted ex-CEO Dees a month after his exit back in February, saying that he had apparently been claiming reimbursements based on altered receipts.
Dr. Dees did not produce receipts for most of the travel expense advances he received, and some receipts produced by Dr. Dees appear to have been altered. Documentation of Dr. Dees’ travel related expenses, in general, have not been sufficient to prevent abuse, misconduct, the appearance thereof, or may not satisfy IRS requirements.
Their statement on the issue noted that the company would be using stricter internal controls to prevent this from happening again, citing Culpepper as a company contact on the issue.
Provectus doesn’t have much cash left to squander. The company ended the last quarter with about $5 million on the books and its stock trades at 2 cents after failing to make much progress past Phase II.
Provectus surfaced back in 2014 when its stock plunged after the company decided to announce that its application for a breakthrough drug designation on its cancer therapy PV-10 had been rejected. The drug has been the subject of years of back-and-forth with regulators.