Huntway Partners Fires CFO Over ‘Irregularities’

Huntway Partners L.P., the Valencia-based maker of liquid asphalt for road construction, last week said it fired its chief financial officer, Douglas C. Hansen, because of “financial irregularities” uncovered in the firm’s books.

Hansen, 44, had been on paid leave of absence since Dec. 5 pending the partnership’s investigation, which is continuing. In a release, Huntway said: “There continues to be no current evidence that suggest any funds have been improperly diverted from Huntway for personal benefit of any officers or employees.” But the firm said it was still looking into that and other matters.

Hansen, a Valencia resident, could not be reached for comment. He had been with Huntway since the company was founded in 1979 and was its chief financial officer for the last five years.

Huntway, which has been struggling this year because of rising crude oil prices, said recently that it believes Hansen may have written checks on company accounts for which there were insufficient funds. As a result, the company said its 1992 financial statements may have been misrepresented.

The company is looking for a replacement for Hansen.

Separately, Huntway said it failed to make an interest payment due to holders of Huntway’s First Mortgage notes and is in default under the First Mortgage Note indenture. Huntway said it has contacted representatives of the mortgage noteholders to discuss the problem.