“Scandal-prone beancounter KPMG fined £40m after staff cheat on ethics exams and get illegal tip-offs about inspections”

Perhaps one of the TiggerTories first scrutiny and audit and governance efforts should be to check on its own auditors, Grant Thornton, who have also had their share of scandals!

https://eastdevonwatch.org/2018/10/14/eddcs-auditors-grant-thornton-in-the-bad-news-spotlight-again/

https://eastdevonwatch.org/2018/08/29/grant-thornton-eddcs-past-and-present-auditor-in-record-fine-as-auditing-scandal-spreads/

“Tainted KPMG has been fined £40million because staff cheated on ethics exams and were given illegal tip-offs about inspections by regulators.

The accountancy firm was hit with the penalty in the US after the Securities and Exchange Commission uncovered a host of bad behaviour. Accountants at the firm shared the answers to internal training exams, the SEC said, including papers meant to grill them on ethics and integrity.

Staff also hacked the websites used to carry out the tests to make the pass score lower, allowing them to get through even if less than 25 per cent of answers were correct.

And senior employees at KPMG obtained confidential lists of audits being inspected by the American Public Company Accounting Oversight Board.

This information allowed them to secretly alter reports so that the firm was less likely to be found to have carried out poor-quality work.

Jay Clayton, SEC chairman, said: ‘KPMG’s ethical failures are simply unacceptable.’

Steven Peikin, of the SEC’s enforcement division, said: ‘The breadth and seriousness of the misconduct at issue here is, frankly, astonishing.

‘This settlement reflects the need to severely punish this sort of wrongdoing while putting in place measures designed to prevent its recurrence.’ “

https://www.thisismoney.co.uk/money/markets/article-7151099/KPMG-fined-40m-staff-cheat-ethics-exams-illegal-tip-offs-inspections.html

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.