Hat Pin has requested the suspension of trading of it shares on AIM pending clarification of the company's financial position.

Hat Pin chief executive Angela Campbell-Noe (pictured) and finance director Paul Billett have indicated their intention to resign on the date of the announcement of the preliminary results.

Hat Pin's board announced on 21 January that group profits for the financial year ended 31 December 2007 were anticipated to be around 25% below market expectations. The company sold the poorly performing Talent Business.

"Since then various accounting errors have come to light in one subsidiary, which are likely to cause the 2007 results to be materially worse than previously indicated," it said in a statement released this morning.

It added: "There is no suggestion or evidence of fraud, or wilful deceit.

"The exact outcome for 2007 will not be known until completion of the ongoing audit. It is envisaged that trading on AIM in the ordinary shares will re-commence on the date of the announcement of the preliminary results."

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