Cemex Latam Holdings SA Chairman, Jaime Muguiro, will take over CEO duties in coming days after the unit said it found about US$20m in irregular payments in the construction of its new Colombian cement plant, prompting its chief executive officer to resign.

Cemex SAB de CV is down more than one per cent on the stock exchange. The company terminated two senior officials and its CEO resigned to “facilitate investigations” after an internal probe found payments related to a cement plant being built in Antioquia province in Colombia didn’t adhere to company policy. Around US$20m had been paid to a non-government individual for land and mining rights and benefits related to a tax-free area where the cement works is being built, according to a regulatory filing on the Colombian financial regular's website.

The stock decreased 2.33 per cent or US$0.18 during the last trading session, hitting US$7.55. About 10.19 million shares traded hands.

Cemex SAB de CV has risen 47.59 per cent since 23 February 2016 and is uptrending.