KPMG

KPMG settles with Carillion liquidators over £1.3bn audit negligence claim

The views expressed in this article are those of its author and not necessarily those of ShareSoc. Another fudge. No-one is going to jail for this disaster. Examples need to be set to deter, to stop this happening again.  I am appalled at the lack of transparency on the size of the settlement. The article mentions the contingent liabilities already disclosed in the KPMG accounts. We will eventually find out the size of the settlement when KPMG publishes its accounts for 2023, but ...

KPMG fined again: but not the audit function this time!

This is a personal blog by Cliff Weight, ShareSoc Director and does not necessarily reflect the views of ShareSoc. This is so shocking that I am simply blogging the FRC announcement. My only comment is to highlight the glacial speed of such investigations. It has taken 10 years to get this far. The deterrent value of the £13 million fine would have had far more impact if the case had been concluded in two years! ShareSoc continues to lobby the FRC, FCA, ...

Burford Capital, Goals Soccer Centres, Carillion, and Why Numbers Are Not Important

To follow on from my previous comments this morning on Burford Capital (BUR), this is a typical “shorting” attack where the shorter (Muddy Waters) and their supporters make a lot of allegations which investors are unable to verify in any useful time frame. I certainly questioned the accounting approach used by Burford and other litigation finance firms as I commented on it back in June, but disentangling the factual accusations in the Muddy Waters dossier from innuendo and comment is not ...

Carillion and FRC investigation

I know that some members are taking a very active interest in what went wrong at Carillion. The email below from the FRC contains a link to a document which you may find both useful and interesting to support your own research and in helping to reach some initial conclusions. "From: FRC Sent: 29 January 2018 09:54 To: Various Subject: News Alert - Accounting and reporting framework for the construction and business support services sectors In the light of the collapse of Carillion, the Financial Reporting Council ...

Carillion, EMIS and KPMG

Now that the dust has settled somewhat after the demise of Carillion (CLLN), it’s worth adding some more comments to my previous blog post on the subject. Ultimately it went bust for the same reason most companies do - it simply ran out of cash and could not pay its debts as they became due. As I said before, it collapsed eventually because of ballooning debt, poor cash collection and risky contracts. Unfortunately it seems that private investors were some of the ...