KPMG’s chief executive has apologised for the firm’s “serious breach of trust” after an Allens investigation confirmed allegations that client information was inappropriately retained in a locker by former chief operating officer Eileen Hoggett.
Newly appointed KPMG chief executive John Sams has written to the Parliamentary Joint Committee on Corporations and Financial Services, informing the Committee of a significant development relating to the allegations of misconduct raised by a whistleblower against the firm.
In the letter, Sams stated that the investigation by Allens had identified new evidence which substantiated an allegation made by the whistleblower that client information relating to the Lenders audit was retained in a locker at KPMG’s Sydney office by Eileen Hoggett, KPMG Australia’s former chief operating officer.
“This allegation had previously been denied by Ms Hoggett. However, based on the evidence now obtained, KPMG accepts that the allegation has been substantiated,” Sams said.
KPMG said it had disclosed the matter to ASIC, Chartered Accountants ANZ, the Tax Practitioners Board, and the Department of Finance.
Sams said KPMG had also informed Lendlease of the new evidence, and apologised again for the “serious breach of trust”.
He also acknowledged the role played by the whistleblower in bringing the matter to light.
“The substantiation of this allegation reflects the importance of ensuring concerns are thoroughly and objectively investigated. KPMG...
MOSCOW, Sept 1 (Reuters) – Russia’s embassy in Germany said on Tuesday that German allegations that Russia was responsible for an attempted drone attack at Leipzig/Halle airport last month were an...