When accounting goes unaccounted for
If you guessed, "A kid doctor needed help with his taxes," you would be wrong.
No turning back: Dropped off my official #Oscars predictions to the two people in charge of the ballots at @pwc_llp. pic.twitter.com/WXawVsDcbu
— Neil Patrick Harris (@ActuallyNPH) February 19, 2015
This is the latest development in the Satyscam that P. Dubs hasn’t been able to wish away.
Ramesh Rajan still had a ways to go in his current four year term as the India Chair which might suggest that someone told Ram that his services were no longer needed:
Rajan, who was at the helm of affairs when the Satyam scam broke early this year, had about one-and-a-half years remaining of his four-year tenure as the chairman of PricewaterhouseCoopers India network of entities (PwC India). When contacted, he refused to divulge exact reasons behind his sudden exit, and said he wanted time to “look at other things” within the firm and “allow someone else to take charge of the operations.”
Gosh, that’s a little mysterio. Apparently he was having such a good time that he wanted someone else to experience the fun? Okay then. The new lucky duck is Gautam Banerjee, and he is coming over from Singapore pronto to take the wheel.
We’re confident he’ll do a bang-up job but we’ll take this opportunity to remind him that he’s still got some auditors in jail and a lot of pissed investors that want PwC to pony up. Probably should get crackin’.
Satyam effect? Chairman of PwC India steps down [Times of India]
From the Financial Times, the National Bank of Ukraine “announced it had pulled [PwC’s] domestic […]
Now £15.7 billion may not seem like much to you if you are, say, Bill Gates or Ben Bernanke but for PwC UK, it may be the magic number that gets them into a whole steaming shitpile of trouble.
UK regulators allege that from 2002 – 2009, PwC client JP Morgan shuffled client money from its futures and options business into its own accounts, which is obviously illegal. Whether or not JP Morgan played with client money illegally is not the issue here, the issue is: will PwC be liable for signing off on JPM’s activities and failing to catch such significant shenanigans in a timely manner?
PwC did not simply audit the firm, they were hired to provide annual client reports that certified client money was safe in the event of a problem with the bank. Obviously that wasn’t the case.
The Financial Reporting Council and the Institute of Chartered Accountants of England are investigating the matter, and the Financial Services Authority has already fined P-dubs £33.3 million for co-mingling client money and bank money. That’s $48.8 million in Dirty Fed Notes if you are playing along at home.
Good luck with that, PwC. We genuinely mean that.
Inquiries mount after PwC ‘failed to notice’ mistakes [Times UK]