September 20, 2019

Big 4

Layoff Watch ’19: Looks Like a Few People Got Disconnected From Deloitte Digital

Fresh from the rumor mill (and by the rumor mill we mean Fishbowl) comes word that 90 people got the chop at Deloitte Digital. We haven’t gotten any official confirmation on this so if anyone would care to confirm, feel free to give us a shout using the contact information at the bottom of this […]

PwC Equity Partner Pay Isn’t Too Shabby In the U.K.

Equity partners at PwC in the U.K. didn’t quite get the haul that their fellow equity partners at Deloitte U.K. got recently, but let’s just say they aren’t going hungry anytime soon. From the Financial Times: More than 900 equity partners, who share in PwC UK’s profits, will receive an average £765,000 for the year […]

Layoff Watch ’19: A Bunch of KPMG U.K. Administrative Assistants Will Soon Have a Lot of Time on Their Hands

So sayeth the Financial Times: KPMG UK plans to make redundant about a third of its 630 administrative assistants in a wave of cost-cutting. Between 200 and 250 administrative support staff are expected to leave in the savings drive at the Big Four accounting firm. Those who are lucky enough to remain at the House […]

Mazars USA Poaches Someone From KPMG and Issues a Press Release, Part I

When Mazars USA isn’t getting subpoenaed for Donald Trump’s tax returns, it’s snagging people away from the Big 4, in particular, KPMG. Olga Blyweiss is one of the newest members of Club M, recently joining the firm as a tax partner in its Fort Washington, PA, office. In a previous life, Blyweiss was the managing […]

Ex-Cop Who Killed PwC Accountant Botham Jean *Will* Stand Trial In Dallas County

District Judge Tammy Kemp made her decision a short time ago, rejecting the request from the attorneys of Amber Guyger, the former Dallas police officer who shot and killed PwC accountant Botham Jean last September, to move her murder trial out of Dallas County. #BREAKING: Judge rules Amber Guyger's murder trial will remain in Dallas, […]

Hiring Watch ’19: Working at EY In Louisville Could Be NEAT

Add Louisville, KY, to the list of cities where EY is hiring en masse. Louisville Business First reported on Sept. 6: Ernst & Young LLP is making another investment in Louisville after spending $4.3 million to open its National Executive Assistant Team facility downtown early last year. The company said in a news release Friday […]

RIP Kaustubh Nirmal, EY Senior Advisor Who Died In California Dive Boat Fire

Two of the 34 victims of the horrible California dive boat fire on Labor Day were Kaustubh Nirmal, a senior advisor at EY, and his wife, Sanjeeri Deopujari, a dentist. The couple, who married in 2016, were from Stamford, CT, the New York Post reported. Authorities confirmed that Nirmal and Deopujari were aboard Conception during […]

Ex-KPMG Partner David Middendorf Was Spared a Lengthy Prison Sentence

A second member of the “KPMG 5” will serve jail time for his involvement in an information-stealing scheme to cheat the PCAOB inspection process. David Middendorf, former national managing partner for audit quality and professional practice at KPMG, was sentenced this morning in Manhattan federal court to one year and one day in federal prison, […]

With $46.2 Billion In Fiscal 2019 Global Revenue, Deloitte Should Continue to Rule the Big 4

Unless PwC’s global revenue for fiscal year 2019 increases 11.9% from last year, which likely won’t happen, Deloitte will remain No. 1 among the Big 4 firms in revenue for the fourth consecutive year. Deloitte announced today that revenue for FY 2019 was $46.2 billion, a 9.4% increase using the magical “local currency” terms and […]

Ex-KPMG Partner’s Request to Have His Wire Fraud Conviction Thrown Out Gets Shot Down, Crashes, Burns

Welp, so much for that. David Middendorf, former national managing partner for audit quality and professional practice at KPMG, is scheduled to be sentenced in Manhattan federal court tomorrow, according to Law360, for his role in an information-stealing scheme in which PCAOB insiders fed KPMG executives secret plans on which of the Big 4 firm’s […]

KPMG U.K.’s WhatsApp Fiasco Claims Two More Partners

Let’s take a look and see how things are going in KPMG U.K.’s financial services consulting business now that two more partners are leaving the firm after their boss was fired last month over messages he apparently sent on WhatsApp: The KPMG financial services consulting practice is now “a bit of a disaster zone,” a […]

Arthur Andersen & Co.

Andersen Poaches Someone From Deloitte and Issues a Press Release, Part I

Did you guys see that Andersen has rebranded? Yep, the firm dropped “Tax” from its name and is just going by Andersen from now on, or until Mark Vorsatz tries to sneak in an “A.” so the firm becomes A. Andersen. And did the press release just say, “Hearkening the legacy and values of the […]

One Year After PwC Accountant Botham Jean Was Murdered, Jury Selection Has Begun In Trial of Cop Who Killed Him

A year ago this evening, PwC Dallas accountant Botham Jean was chillin on a couch in his apartment watching a college football game when the front door to his unit opened, and there stood Dallas Police officer Amber Guyger, still wearing her uniform. Guyger had just come home to the South Side Flats apartment complex […]

EY Congratulates EY for Achieving Record Global Revenue of $36.4 Billion In FY 2019

Big 4 revenue bragging season has begun in earnest, or should I say in Ernst, as EY put out a congratulatory press release this morning stating that its global revenue for fiscal year 2019 reached $36.4 billion, the ninth-straight year the firm has posted record numbers. In actuality, that represents a 4.7% increase over FY […]

Rhode Island Is Still Holding a Grudge Against Deloitte

A better title might be, “Rhode Island Tells Feds to Send All Fines Related to State’s Shitty Benefits Computer System to Deloitte.” From the Associated Press: The federal government is fining Rhode Island about $2 million for problems with the state’s benefits system. WPRI-TV reports the problems stem from the botched rollout of a computer system for […]

Ex-KPMG U.K. Partners Start Consulting Firm Devoid of Any Big 4 Bullsh*t

Remember Maggie Brereton and Ina Kjaer, the two KPMG U.K. partners who quit earlier this year because the firm protected a male partner who was accused of being a bully? Well, the two women have launched their own consulting firm that they say will be everything the Big 4 is not. The name of their […]

Meanwhile, In Canada: Rich Guys Are Still Fighting the Tax Man Over Their KPMG Offshore Tax Shelter

KPMG is in the news again this week, and again it’s for something they probably wish would go away. Now, I combed our extensive archive going back 10 years (read: spent five minutes Googling) and wasn’t able to find any coverage of this case save for an ANR link here and there, which means either […]

EY Global CEO: Recession? What Recession?

Have no fear, a recession in the U.S. is not near, EY Global Chairman and CEO Carmine Di Sibio said on CNBC this morning. Carmine Di Sibio, who runs consulting powerhouse EY Global, told CNBC on Thursday he does not see a recession as an imminent threat in the United States. “We had a lot […]

It’s Good Being a Deloitte U.K. Equity Partner These Days

The big news out of the Queen’s Big 4 yesterday wasn’t that Deloitte U.K.’s 2019 revenue (which also includes income from Switzerland) increased 10.9% from £3.58 billion in 2018 to £3.97 billion. Nope. The big news (or good news if you’re an equity partner at Deloitte) was: Hundreds of partners at the UK arm of […]

Let’s Speculate About Why Lynne Doughtie Is Leaving KPMG

When we got a tip Friday mid-morning that Lynne Doughtie had told KPMG U.S. staff in a video message that she wouldn’t seek another term as chairman and CEO, I wasn’t all that surprised. I figured she’d be one and done. Doughtie seems like a nice, hardworking, intelligent woman. I don’t think KPMG would have […]

Exclusive: Lynne Doughtie Is Not Seeking a Second Term as KPMG Chairman and CEO

Another Big 4 firm will soon have a new person residing in the corner office. First, Cathy Engelbert was not renominated late last year for a second four-year term as Deloitte CEO. She was succeeded by Joe Ucuzoglu and took over as the new commish of the WNBA. Then Mark Weinberger announced last December that […]

Vault 50: Big 4 Among the Most Prestigious Consulting Firms (2020)

While you guys were wasting billable hours yesterday still debating which fast-food restaurant has the best fried chicken sandwich, we posted an article about the latest Vault Consulting 50 rankings and how the Big 4 did pretty well. If you missed it because you were trying to hunt down a Popeyes fried chicken sandwich, all […]

Deloitte Gets Big 4 Bragging Rights In 2020 Vault Consulting 50

For the fifth consecutive year, Deloitte Consulting has been ranked the fourth-best consulting firm in the United States (although the governor of Rhode Island might beg to differ), according to the latest Vault Consulting 50. So once again, Green Dotters of the consulting variety have bragging rights over P. Dubsteppers, Uncle Ernie’s nieces and nephews, […]

Ex-EY CEO Mark Weinberger Joined a Board

Since his last day as global chairman and CEO of EY on June 30, Mark Weinberger has probably spent a lot of time at home working on his tan and sitting in his favorite recliner, wearing just BVDs and a stained white undershirt, slamming Yuenglings. Maybe his wife finally got sick and tired of seeing […]

Ex-KPMG Partner’s Broker Probably Won’t Be Doing Any Insider Trading For a While

The last man standing in the KPMG insider trading case (the one not involving Scott London) has finally fallen. From the SEC: Today [Aug. 14], jurors in Atlanta federal court returned a verdict finding New Jersey securities broker Raymond J. Pirrello, Jr. liable for insider trading in advance of three merger and acquisition transactions. Pirrello […]

Auditor Swap: Bubble Popped On EY’s Engagement with Sealed Air Corp.

Bubble Wrap maker Sealed Air Corp. disclosed in a securities filing earlier this week that it dumped EY as its external auditor and hired PwC, the Wall Street Journal reported yesterday. Now, EY losing an audit client isn’t all that shocking. According to Audit Anaytics’ recent analysis of auditor changes in the second quarter of […]

KPMG master's accounting data analysis

It Looks Like KPMG Is Being Sued By Shareholders of CannTrust Holdings

A press release sent today by Toronto-based law firms Thornton Grout Finnigan and Rochon Genova caught our attention: Thornton Grout Finnigan LLP and Rochon Genova LLP have together commenced a class action in Ontario on behalf of shareholders of CannTrust Holdings Inc. who acquired their CannTrust common shares between October 1, 2018 up to and including July 8, 2019. The […]

WhatsApp, KPMG? U.K. Partner Given the Heave-Ho Over Messages He Sent

More hijinks going on at KPMG U.K., as reported yesterday by the Financial Times: KPMG has forced out the head of one of its core businesses in Britain after an investigation into his conduct involving messages sent on WhatsApp. Tim Howarth, head of financial services consulting at KPMG, is the third senior partner to be […]

Can the Big 4 Survive the U.K. Regulators?

Ed. note: Jim Peterson, a 19-year veteran of Arthur Andersen’s internal legal group, has been writing since 2002 about the issues and challenges confronting the Big Audit model, including as an occasional guest here. Since last winter, Jim has been covering the intense public criticism in the U.K. of the performance and business model of […]

Ex-KPMG Executive Director Who Was Major Player In PCAOB Cheating Scandal Sentenced to Eight Months In Jail

The first prison sentence was handed out today in Manhattan federal court to one of the five former KPMG executives indicted in a scheme to steal confidential audit inspection information from the PCAOB. Cynthia Holder, a former PCAOB inspections leader who later worked as an executive director at KPMG, was sentenced to eight months in […]

DHG Poaches Someone From a Top 6 Firm and Issues a Press Release, Part II

It’s been quite the summer for Dixon Hughes Goodman. The firm promoted seven individuals who oozed out the most DHGness to the partnership in early June, joined some lame alliance with Mazars in July, and was recently named the 17th top accounting firm in the U.S. by both Accounting Today and INSIDE Public Accounting. The […]

Ex-KPMG Partner Will Be Giving the SEC a Bag Full of Money

We have an update on one of the members of Caleb’s fantasy KPMG insider trading golf team. From Law360: With a trial looming, a Georgia federal judge has granted approval of the U.S. Securities and Exchange Commission’s settlement with a former KPMG LLP partner accused of tipping off a stockbroker about the upcoming acquisitions of […]

EY’s Response to N.Y. Lawmakers’ Letter About Sexual Harassment and Forced Arbitration Is As Bad As You’d Expect

Last week, Adrienne wrote about a letter 67 New York state legislators recently signed and sent to new EY Global Chairman and CEO Carmine Di Sibio denouncing the firm’s practice of forced arbitration agreements, especially in cases of sexual harassment and discrimination. The lawmakers wrote that EY’s forced arbitration policy silences victims of harassment and […]

PwC Mexico Partners Must Have Thought Auditor Independence Rules Did Not Apply to Them

A friendly reminder to audit firms: an auditor must maintain independence in both fact and appearance. Maybe PwC Mexico forgot this when it took over in fiscal year 2016 as the auditor of one of the largest financial services holding companies in Mexico. It just so happened that at the time the engagement letter was […]

Here’s Your Scorecard For KPMG U.K. Fines So Far In 2019

While I was vacationing in South Carolina last week, word officially came down from across the pond about the highly anticipated fine KPMG U.K. would be receiving from a Financial Reporting Council disciplinary tribunal for bungling reports on Bank of New York Mellon Corp. The tribunal let KPMG off the hook, deciding on a fine […]

New York Lawmakers Call Out EY’s ‘Culture of Harassment and Discrimination’

It’s rare, especially these days, that bipartisan lawmakers can agree on an issue, but in the case of EY sexual harassment lawsuits they’ve managed to do just that. In a letter to new EY Chairman and CEO Carmine Di Sibio, 67 New York State Legislators, led by Senators Liz Krueger and Alessandra Biaggi, and Assemblymembers […]

Will Deloitte’s Work With Customs and Border Patrol Drive Employees From the Firm?

Our friends over at Fishbowl recently surveyed their users to find out if Green Dotters might be driven away due to Deloitte’s work on behalf of Customs and Border Patrol (CBP) and we’d like to share it with you. First, let’s get you caught up on the sitch if you’re out of the loop. As […]

EY Threatens to Raise Audit Fees ‘Cause the Mean Ole Government Keeps Busting Their Balls

I buried this story in Footnotes last Friday but thought it deserved its own post because A) it’s interesting and B) Bramwell is on vacation this week, leaving me to run the show and find enough crap to write about. So here we are. Sky News reported last week that they obtained a letter from […]

KPMG: Where Former College Athletes Go to Die

And a two-time Winter Olympic gold medalist too. From the Wall Street Journal: Accounting firm KPMG hires 3,500 college students each year in the U.S., and although the firm doesn’t target or track specific sports in its hiring, James Powell, national partner in charge of campus recruiting, says that he’s noticed that baseball, softball, swimming and diving […]

RSM Did a Little Talent Shopping At the Big 4

And Adams & Co. came away with a new tax principal and a new risk consulting leader. First up is Brad Collins: In his role as a principal with the firm’s national tax team, Collins leads the firm’s efforts to identify opportunities where RSM can eliminate tax data management challenges for private equity and hedge […]

This Big 4 Firm Had the Most IPO Audit Clients In Q2 2019

After a reeeeal slow start to 2019 due to the government shutdown, initial public offerings picked up the pace in the second quarter, nearly doubling the number of IPOs in the first quarter and including two of the top 10 largest IPOs since 2000. An Audit Analytics analysis revealed that between April 1 and June […]

Attorneys For Ex-Cop Who Killed PwC Accountant Want Her Murder Trial Moved Out of Dallas, Obviously

Citing “prejudicial” and “inflammatory” media coverage as the reason, the attorneys for Amber Guyger, the former Dallas police officer who killed PwC accountant Botham Jean in his apartment last September, recently filed a change of venue motion to move her murder trial out of Dallas County, saying she can’t get a fair trial there. But […]

Blumshapiro Poaches Someone From PwC and Issues a Press Release, Part I

Blumshapiro’s newest tax partner in Beantown has a great deal of experience in the Big 4 trenches. blumshapiro, the largest regional business advisory firm based in New England with offices in Massachusetts, Connecticut, and Rhode Island, recently announced that Joe Feehan has joined the firm as a Tax Partner in the Boston office. Feehan has […]

Dedicated EY Employees Did Not Let a Little Blackout Deter Them From Providing Exceptional Client Service Last Weekend

I honestly don’t know whether to laugh or cry. To the employees of EY NYC working right now from r/Accounting OP didn’t really deliver with pics so if anyone managed to snag proof, let us know. As we understand it, only parts of Times Square were affected by last Saturday’s blackout, but that’s not nearly […]

Peeping PwC Pervert Busted With a Huge Collection of Upskirt Pics on His iPhone

In this day and age, most of us wander the world assuming our likeness is captured around every corner. Between run-of-the-mill Big Brother surveillance, red light cams, and modern humans’ propensity to broadcast nearly every moment of their waking lives to the internet, getting photographed in public is nothing out of the ordinary (if still […]

Arbitration Costs Mounting For Ex-EY Partner Who Claims She Was Sexually Harassed

A declaratory judgment complaint filed on July 17 is asking a Manhattan federal court to invalidate the arbitration agreement that has prevented former EY partner Karen Ward, who alleges she was a victim of sexual harassment and pay discrimination, from taking the firm to court. According to the complaint, to have Ward’s sexual harassment claims […]

Cathy Engelbert’s Best (and Worst) Moments as Deloitte CEO, Ranked

A couple weeks ago we acknowledged exiting EY Chairman and CEO Mark Weinberger with a look back on some of his best moments as Benevolent Overlord of the Black and Yellow. Not sure if you heard but former Deloitte CEO Cathy Engelbert starts her new gig as WNBA commissioner today, giving us the perfect opportunity […]

Apparently PwC and Wesley Bricker Just Can’t Get Enough of One Another

PwC rolled out the red carpet on July 1 welcoming Wesley Bricker’s triumphant return from the dingy dungeons of the SEC, with trumpets blaring, a large feast being served, and red wine flowing like water—at least that’s how it happened in my mind. Bricker, who stepped down as SEC chief accountant in late May, has […]

Which Big 4 Firm Audits the Most Insurance Companies?

I know you guys are just dying to know the answer to this question, so let’s get right to it. Audit Analytics recently came out with its breakdown of the top 20 audit firms that had the most insurance clients in 2018. Yes, the Big 4 firms took the top four spots, combining for 2,300 […]

New Analysis of Public Company Auditors Reveals the Same Old Sh*t, Different Year

Our friends over at Audit Analytics just came out with its 2019 analysis of public company auditors in the U.S., and the results are exactly what you would expect: the Big 4 firms audit just under half of all public companies, and EY audits the most by a pretty wide margin. If you add up […]

What Price Wrong-Doing? Sanctions Against KPMG Are Complicated

“Sell in May and go away” was an investors’ adage invoked as vacation strategy in a more genteel era. Returns in the summer were said to lag the rest of the year—and in any event, that’s how brokers justified their holiday cottages on the eastern seaboard. This year the maxim has twice failed my attempt […]

Deloitte, EisnerAmper, 5 Others to Pay $235 Million to Settle Aequitas Investors’ Lawsuit

Why go through a lengthy, expensive trial, not knowing whether you’ll win or lose, when you can pay a shit-ton of money to make it all go away? That’s what the seven defendants, including Deloitte and EisnerAmper, did to settle a class-action lawsuit filed three years ago by investors of Aequitas accusing the accounting firms, […]

Promotion Watch ’19: EY Admits 733 New Partners Worldwide

Because July 1 kicks off a new fiscal year at EY, we figured a new partners announcement would be forthcoming. And it came today, via the new leader of the Black and Yellow, Carmine Di Sibio: Our Global Chairman and CEO, Carmine Di Sibio congratulates our new partners around the world. Their contributions have helped […]

Ex-KPMG Australia Senior Partner Avoids Prison For Being Too Stabby with a Campaign Volunteer

Even though he was convicted of two counts of common assault in court on July 4, former KPMG Australia partner Stavros “Steven” Economides was given a get-out-of-jail-free card. Economides, 62, who spent more than 30 years as a partner at KPMG, was sentenced to a 12-month good behavior bond after admitting to thrusting a corkscrew […]

Deloitte U.K. Hit with Large Fine Over Its Incompetent Auditing of Serco Geografix

It was Deloitte’s turn on the Financial Reporting Council’s dunk tank today, as the U.K. regulator fined the firm and one of its partners over the audits of the 2011 and 2012 financial statements of Serco Geografix Ltd., a subsidiary of outsourcing firm Serco Group PLC, which were found to be complete rubbish. The FRC […]

Mark Weinberger’s Best Moments as EY CEO, Ranked

Y’all remember back in the day when we used to do Ranked posts? Yeah, me neither. Mostly all I remember is Caleb saying he saw something similar on a far more popular blog than ours and was like “we should do that but with accounting stuff!” At least that’s how I recall the conversation in […]

What Do Deloitte and Robbie Van Winkle Have In Common?

Ice, ICE, baby. Professional services and consulting giants Deloitte and Booz Allen Hamilton have collectively started $66,721,241 worth in contracts with the U.S. Immigration and Customs Enforcement agency (ICE) since President Donald Trump took office, according to the U.S. government’s federal spending website. According to the U.S. spending database, Deloitte has started $51,017,363 worth of […]

Exclusive: We Know What Mark Weinberger Will Be Doing That He’s Officially Out at EY

No one was as surprised as we were when the news broke late last year that Mark Weinberger was stepping down as global chairman and CEO of EY. Adding to the mystique of his unexpected departure, our source — who helped us break the story — hinted that Weinberger’s exit was prompted in part by […]

Survey Finds That Nearly a Third of KPMG Employees Aren’t Surprised by Latest Cheating Scandal

In the competitive world of Big 4 recruiting, sometimes reputation is everything. Oh who are we kidding, the firms are all mostly the same — from work-life balance, pay, and even prestige — regardless of what PwC recruiters may tell you. At the end of the day, Big 4 firms are in a constant race […]

Auditor Swap: KPMG No Longer a Smash Hit with Movie Theater Chain Cineworld

Sometimes relationships outlive their usefulness, especially when one partner takes the beer goggles off and realizes that the other partner has been acting kinda shady lately, become too expensive to be with, and the old adage, “You can’t put lipstick on a pig,” seems more fitting each day. That expensive pig with lipstick on is […]

The Lovefest For Ex-Deloitte CEO Cathy Engelbert Continues

Former Deloitte CEO Cathy Engelbert has been getting a lot of love lately. Last week, Glassdoor released its 2019 ranking of the top 100 CEOs in the U.S. based on anonymous employee reviews, and Engelbert was ranked 15th—the highest among the Big 4 CEOs and the second highest among women chief executives. This week, career […]

Which KPMG Scandal Is Worse: PCAOB ‘Steal the Exam’ or CPE Training Exam Cheating?

Since Monday when the SEC announced it had fined KPMG $50 million for not one but two scandals involving auditor misconduct at the firm, I’ve been thinking about which scandal is worse. Is it KPMG audit partners stealing confidential information from rogue PCAOB employees in order to better the firm’s audit inspection scores OR is […]

No Auditor Swapping For International Olympic Committee

The IOC announced today that it will keep rolling with P. Dubs. The International Olympic Committee (IOC) has reappointed PricewaterhouseCoopers (PwC), the international professional services firm, as its external auditor for a six-year term. Pierre-Olivier Beckers-Vieujant, the IOC’s audit committee chair, told members that the six-year appointment, which followed an auditor selection process that began […]

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KPMG U.K. Doesn’t Really Care If You Don’t Like How It Handled Complaints Against Partner Accused of Bullying

We were so busy trying to wrap our heads around the $50 million fine the SEC gave KPMG last week for its auditors’ involvement in two separate scandals and which of the two might be more damaging to the firm’s reputation that we missed a new article about the bullying allegations made against KPMG U.K. […]

Top Big 4 CEO In Glassdoor’s CEO Rankings Is No Longer a Big 4 CEO

Glassdoor came out yesterday with its 2019 ranking of the top 100 CEOs in the U.S. based on anonymous employee reviews and feedback, and the results indicate that Cathy Engelbert must have been beloved by legions of Green Dotters across the nation. Engelbert, the first woman CEO of a Big 4 firm in the U.S. […]

College Students Would Rather Work at Walt Disney World Than at the Big 4

There was a time when the Big 4 used to dominate the top 10 companies in the business category of Universum’s list of the 100 most attractive employers for U.S. college students. But not so much anymore. In 2017’s ranking, only two Big 4 firms made the top 10 (EY at No. 8 and Deloitte […]

Auditor Swap: Papa John’s Dumps KPMG For Its Ex, Ernst & Young

Sometimes the grass isn’t always greener on the other side. Pizza chain Papa John’s must have realized this as it’s dropping KPMG as its independent auditor in favor of EY, which audited the company’s financial statements from 1990 to 2017. EY will take over Papa John’s external auditing duties for the fiscal year ending Dec. […]

SEC Says $50 Million Fine For KPMG Is ‘Significant’ and ‘Appropriate’ For All That Cheating Going On

The SEC made official today the news that Dave Michaels of the Wall Street Journal broke late last week, announcing that KPMG will pay $50 million to settle allegations that former partners “stole the test” by using confidential information that was being fed to them by a PCAOB insider to improve the firm’s performance on […]

$50 Million Fine SEC Is Reportedly Giving KPMG Over PCAOB Scandal Isn’t Big Enough

Dave Michaels of the Wall Street Journal broke some huge news late last night about a huge fine the SEC could levy against KPMG later this month because of several former partners’ involvement in one of the biggest U.S. accounting scandals in recent years—stealing secret audit inspection information from the PCAOB. KPMG LLP is preparing […]

PwC In the U.K. Got a Big Fine For Doing a Crappy Job Auditing Redcentric

Oh look, a Big 4 firm other than KPMG got in trouble earlier today with the audit overseer across the pond. The Wall Street Journal reported: The Financial Reporting Council, Britain’s regulator for accounting and audit, on Thursday penalized PwC and partners Jaskamal Sarai and Arif Ahmad in relation to audits of the 2015 and […]

Ex-EY Audit Partner’s Lousy Audit Judgment Landed Him a $25,000 Fine From the PCAOB

Earlier today, we talked about audit quality or the lack thereof in Australia, the U.S., and, for that matter, all over the world. Well, this latest enforcement order from the PCAOB doesn’t help make a case that audit quality at the biggest accounting firms in the U.S. is getting any better. Compliance Week reported: The […]

Gambling Addict Accountant Who Expensed Fake Uber Receipts Thought He Could Pull a Fast One on Deloitte

A former Deloitte accountant in the U.K. pulled a Houdini and somehow escaped prison time after he tried to screw the firm out of £95,540 ($121,202) by expensing bogus ride-share receipts over a three-year period to fund a secret gambling addiction. Gurgyan Singh Kaley pleaded guilty to two charges of fraud by abuse of position. […]

Deloitte Australia Told to Stop Bitching About Regulator and Do Better at Auditing

Last week, the Australian Financial Review reported that a regulator’s inspections of a small risk-based sample of public company audits found that Deloitte’s audit quality was the worst of the Big 4 accounting firms, with 14 of 44 (32%) key audit areas examined having deficiencies. But instead of owning it, Deloitte played the blame game, […]

KPMG Australia Partner Pleaded Guilty to Stabbing a Dude with a Corkscrew Outside of a School

What’s with accountants stabbing people lately? First, we had the BDO Los Angeles guy who stabbed a hiker with a knife in California late last month. Now we have a KPMG Australia senior partner who used a corkscrew to stab a man putting up election campaign banners near a school. A man who stabbed a Tony […]

Jury Selection In Amber Guyger Murder Trial to Begin Exactly One Year After She Killed PwC Accountant Botham Jean

Two noteworthy things came out of former Dallas police officer Amber Guyger’s first court appearance on June 6 before the judge who will preside over her murder trial in the slaying of PwC accountant Botham Jean: 1. Jury selection to begin Sept. 6. That is the one-year anniversary of when Guyger came home to the […]

PCAOB Doesn’t Take Kindly to Auditors Who Alter Audit Documentation Prior to an Inspection

For years, the PCAOB has pleaded with auditors to quit altering audit workpapers after being notified of an inspection, and some auditors continue to thumb their noses at the PCAOB. Like Humayoun Khan, a former PwC auditor, who was accused of improperly altering a previously archived workpaper in anticipation of a PCAOB inspection. A PCAOB […]

Mother Nature Vandalized a Bunch of Windows at KPMG Building In Dallas

A powerful storm with high winds hit the Dallas area during the afternoon on June 9, blowing out the windows of some downtown skyscrapers, including the building where KPMG is located. The NBC affiliate in Dallas-Fort Worth reported: At the KPMG building downtown, nearly a dozen windows were broken when construction debris from another building […]

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Deloitte’s Giving Spirit Is Almost Old Enough to Drink

What I’m about to say may come as a shock to you, dear reader, if you’re at all familiar with the comings and goings of this here website over the years. Believe it or not, there are people out there who accuse Going Concern of being too cynical about the profession as a whole. Crazy, […]

Here’s More Proof That KPMG U.K. Totally F*cked Up the Way It Handled Bullying Allegations Against Partner

The Financial Times reported today that three—THREE—senior executives at KPMG U.K. were aware of and ignored concerns from staff as early as 2017 alleging senior partner Sanjay Thakkar was acting like a bully before they finally got around to launching an investigation about the complaints last October. KPMG employees approached the firm’s UK managing partner Philip […]

KPMG U.K. Partner Accused of Being a Bully Decides He Probably Shouldn’t Be a Partner Anymore

Remember that KPMG U.K. male senior partner we told you about last week, the one who was accused of being a bully and was found by the firm to have acted like a jerk but not a bully when he was probably acting like a bully, and then two well-respected female partners quit in protest? […]

Hiring Watch ’19: Hey Auditors, PwC U.K. Now Has 500 Job Openings For You to Fill

Whoa, if you haven’t seen by now, the Queen’s PwC announced some pretty big news earlier today. The Wall Street Journal reported: Professional-services firm PricewaterhouseCoopers LLP on Wednesday announced various measures aimed at overhauling its U.K. audit business, amid growing regulatory concerns about the quality of the country’s audit sector. PwC, one of the Big […]

When It Comes to Audit Quality, Deloitte Is the KPMG U.S. of Australia

And that’s not a compliment. The Australian Financial Review reports: Deloitte has attacked the way the corporate regulator assesses audit quality as inaccurate, “not fit for purpose” and too volatile, after revealing its latest inspection findings were the poorest of the big four consulting firms. The Australian Securities and Investments Commission found that in 14 […]

PwC South Africa Executive Learns That Being a Racist D-Bag In an Airport Will Get You Fired

Protip: If you’re an entitled, old, racist white guy, it’s not wise to go on a rant against black people in an airport when the whole world can whip out their smartphones and record you being a douchebag. That’s what happened last Thursday evening at Cape Town International Airport in South Africa, when a PwC […]

Promotion Watch ’19: PwC Admits 249 New Partners and Principals

The most prestigiest firm in all the land unveiled its 2019 class of new partners and principals on May 31, and it’s another big one: I am thrilled to welcome 249 new partners to our @PwCUS family! These leaders have led by example and I'm excited to see what the future holds for them and […]

Punit Renjen Gets Another Four Years as Deloitte Global CEO

Because June 1 is always New Year’s Day in the Deloitte universe, I woke up this morning to a shit-ton of Deloitte personnel news, so let’s get right to it. First, Deloitte Global CEO Punit Renjen was elected to sit in the big chair for four more years. His second term began today. It has […]

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Two KPMG U.K. Female Partners Had Enough Of Working At a Firm That Protected An Alleged Bully

Last December we learned that the Big 4 firms across the pond sacked nearly 40 partners (probably all men, although we don’t know for sure) within the past four years for inappropriate conduct, such as sexual harassment and bullying, seven of whom had worked at KPMG. But KPMG evidently sided with a male partner who […]

Let’s Try to Come Up with a Hockey Nickname for Each Big 4 CEO

Anyone who is a fan of the NHL knows that hockey players rarely call each other by their first or last names. They call each other by their hockey nicknames. There’s really no rhyme or reason for how hockey players get their nicknames. But usually, you get your hockey nickname by either adding “-er,” “-y,” […]

Deloitte Is Apparently Going to Help the Other SEC with Its Zebra Problem

From the Associated Press yesterday: The Southeastern Conference hired international accounting firm Deloitte to conduct a review of its football officiating, reacting in part to what Commissioner Greg Sankey called the intense, often opinionated view of referees by the public and media. Sankey said conversations began in September about ways to examine officiating and find […]

KPMG Can Now Say It Has a Canada’s Sports Hall of Famer Among Its Ranks

Two-time Olympic gold medal-winning freestyle skier-turned-KPMGer Alex Bilodeau is one of eight people who will be inducted into Canada’s Sports Hall of Fame this year. He’s with some pretty impressive company, as the 2019 class also includes three-time Stanley Cup champion goalie Martin “Uncle Daddy” Brodeur and four-time Olympic gold medal-winning Canadian women’s hockey player […]

Ex-KPMG Partner David Middendorf Believes He’s Been Done Wrong, Wants a Crack At a New Trial

Don’t get out those orange prison jumpsuits just yet for former KPMG partner David Middendorf and former PCAOB inspections leader Jeffrey Wada. The two men are asking a Manhattan federal court to throw out their wire fraud convictions or grant them a new trial, saying the government didn’t provide enough evidence to support the guilty […]

KPMG Doesn’t Think It Should Have to Pay a $16 Million Fine For Screwing Up BNY Mellon Compliance Reports

Our favorite four-letter Big 4 firm is in danger of having to pay an eight-digit fine in the U.K. for dropping the ball on making sure Bank of New York Mellon complied with rules on keeping client assets safe. From Bloomberg: Accounting giant KPMG should be fined 12.5 million pounds ($15.9 million) or more for […]

DHG Poaches Someone From a Top 6 Firm and Issues a Press Release, Part I

Whoa, look at Dixon Hughes Goodman, picking off a transfer pricing executive from EY. And he’s a former KPMGer. And he used to be an auditor at the IRS. Dixon Hughes Goodman, a U.S. top 20 public accounting and advisory firm, is pleased to announce that Samit Shah has joined the firm as a Principal in the […]

Auditor Swap: Mazars Wins Goldman Sachs International Audit Firm Sweepstakes

For weeks, the rags in the U.K. have speculated about which midtier firm would win the battle to audit Goldman Sachs’ London-based European operations, a job PwC has held for what seems like a gazillion years. Would it be Grant Thornton? Would it be BDO, which became the fifth-largest firm in the U.K. earlier this […]

Which Big 4 Firm Is Paying Its Interns the Most?

Summer internship season is fast approaching, as thousands of bright-eyed young men and women will soon flood accounting firms all over the country, hoping to not have their wills crushed and not screw up too badly so they receive a full-time offer of employment. But what are these eager ladies and gents getting paid to […]

KPMG Gets Another Award For Being the Big 4 Firm That Is the Least Old, Male, and Pale

Did you guys see DiversityInc’s 2019 ranking of the top 50 companies for diversity? In past years, there’s been most, if not all, of the Big 4 represented. But not recently. Only one Big 4 firm made the list in 2018 and 2019, and that firm is KPMG. Maybe KPMG nearly sweeping Vault’s 2020 accounting […]

Outgoing Deloitte CEO Cathy Engelbert Is Going to Be Commissioner of the WNBA

For those of us wondering what Cathy Engelbert is going to do next once her term as Deloitte CEO ends next month, it looks like we have our answer. The WNBA announced today that it has hired Engelbert to be the league’s first-ever commissioner. She will take over on July 17, NBA Commissioner Adam Silver […]

Big 4 Shut Out of Working Mother’s List of the Top 10 Companies For Multicultural Women

The Working Mother list of the top 50 companies for multicultural women came out last week, and I honestly didn’t realize this was a thing until I saw this self-congratulatory tweet from PwC while scrolling through Twitter this morning: PwC is proud to be named a 2019 @_WorkingMother_ Best Company for Multicultural Women! Learn more […]

Grant Thornton Poaches Someone From KPMG and Issues a Press Release, Part II

In the comment section of an article we posted on May 10 about a managing director and a partner recently fleeing KPMG to join Grant Thornton’s Corporate Value Consulting practice, we got a tip that the Purple Rose of Chicago recently poached KPMG again—Candice Turner left the HoK to join GT as a principal in […]

Grant Thornton Poaches Two People From KPMG and Issues a Press Release, Part I

A couple of months ago, we reported that a partner and a principal bolted Grant Thornton earlier this year for the blue-and-white confines of KPMG, one of whom actually left and came back to the House of Klynveld. Well, it looks like the Purple Rose of Chicago has turned the tables on KPMG. Grant Thornton […]

Another Day, Another Fine for KPMG

Here we go again … A U.K. regulator on Wednesday fined KPMG LLP and a partner at the firm after they admitted to misconduct in relation to the audit of financial statements of Co-operative Bank PLC. The Financial Reporting Council, Britain’s watchdog for accounting and audit, handed KPMG a fine of £5 million ($6.51 million) […]