Criminal charges were not filed. The loss was uncovered after the company found accounting irregularities, Crippen said.
Initial findings indicate one person was involved.
The company has started an investigation, which is being directed by two nonemployee board members and assisted by an outside auditing firm, the company said Wednesday. It is expected to take a few weeks. The company also cited its recent headquarters relocation, efforts to raise capital and a change in chief financial officers for its delay in submitting its annual financial report to the Securities and Exchange Commission. N.J. The company operates under the Digital Fusion name, but its stock is traded under IBS Interactive. The stock closed at 45 cents Wednesday.