Monash IVF CEO Michael Knaap resigns days after | Australian Markets

The chief government of Monash IVF has sensationally give up, days after the embattled Australian fertility company revealed it was investigating a mix-up that led to a girl being impregnated with the mistaken embryo.

It was the second such bungle to engulf the $236 million ASX-listed company in current month.

Monash confirmed on Thursday that CEO and managing director Michael Knaap would exit, with present finance boss Malik Jainudeen to take over as interim CEO.

“The board has today accepted Michael Knaap’s resignation,” a assertion stated.

“Mr Knaap also resigned as a director of Monash IVF. The board acknowledges and respects his decision.

“Since his appointment in 2019, Michael has led the organisation through a period of significant growth and transformation, and we thank him for his years of dedicated service.”

The company on Tuesday disclosed to traders that an incident had occurred involving the switch of a affected person’s own embryo to her, as a substitute of the embryo of her same-sex associate.

The Melbourne-based girl is now being supported by the company.

“Monash IVF has extended its sincere apologies to the affected couple, and we continue to support them,” it stated.

Its shares had been hammered 25 per cent decrease to a close to five-year low of 55.5¢ after news of the bungle broke. They have since rallied and had been up nearly 7 per cent in early trade on Thursday to 64.5¢.

Monash stated the incident was being investigated and safeguards had been being launched.

“Commencing immediately, Monash IVF will implement interim additional verification processes and patient confirmation safeguards over and above normal practice,” the company stated.

Two months in the past, the fertility specialist admitted it had combined up the supply of embryos at its Brisbane clinic and a girl had given start to a stranger’s child.

“Monash IVF is conducting an internal investigation into the incident. It has also extended the scope of the independent review being conducted by Fiona McLeod AO SC in relation to the Brisbane incident, noting that the different incidents occurred some years apart.,” the assertion stated.

“Whilst industry-leading electronic witness systems have and are being rolled out across Monash IVF, there remain instances and circumstances whereby manual witnessing is required.

“Monash IVF has disclosed the incident to the relevant assisted reproductive technology ART regulators, namely the Reproduction Technology Accreditation Committee certifying body and Victorian Health Regulator.

“In addition, Monash IVF has notified its insurers and expects the incident to fall within the scope of its insurance coverage.”