KPMG hopes its changes will restore trust
KPMG released a statement saying it has made dramatic changes to governance, quality and risk management and it remains resolute to regain trust.
JOHANNESBURG – KPMG says it has implemented far-reaching changes over the past seven months to all aspects of the firm and will continue to restore trust in the auditing firm.
It comes after an announcement by Absa on Thursday morning that it was cutting ties with KPMG, joining a host of other companies who dropped the firm in light of its own investigation that found flaws in work done for Sars and the Gupta family.
On the same day that KPMG lost Absa bank as a client, Nedbank announced that it has decided to keep the auditing firm for the current financial year.
Nedbank says it is required to have the same auditors as Old Mutual, whose shareholders supported the re-appointment of the embattled KPMG for 2018.
The firm released a statement saying it has made dramatic changes to governance, quality and risk management and it remains resolute to regain trust.
However, KPMG also lost the Auditor-General as a client recently, with Kimi Makwetu saying that the termination extends to all branches of government.
It's the first time that the Auditor-General has cut ties with one of the big four auditing firms.