KPMG is being investigated by the UK’s accountancy watchdog over its audits of Rolls-Royce’s accounts during a period in which the British engineering company has admitted it committed a string of bribery and corruption offences.
The UK Financial Reporting Council probe into KPMG’s audits of Rolls-Royce’s financial statements from 2010 to 2013 is the latest reputational blow to one of the “Big Four” professional services firms.
It comes shortly after KPMG fired six employees in the US, including its head of US audit practice, for having improperly received advance warnings about forthcoming inspections by the US accounting watchdog.
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