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Tag: audit

KPMG fined £5m over Co-operative Bank audit

KPMG fined £5m over Co-operative Bank audit

Business
KPMG has been fined £5m and "severely reprimanded" after admitting misconduct in its 2009 audit of Co-operative Bank.The Financial Reporting Council (FRC) said KPMG's bad auditing came in the wake of Co-operative Bank's merger with building society Britannia.It said the firm's deficiencies included "failures to exercise sufficient professional scepticism".KPMG said it regretted that some of its audit work "did not meet the appropriate standards".The accountancy giant had also failed to tell Co-op Bank that a number of loans it acquired through the Britannia merger were riskier than thought and failed "to obtain sufficient appropriate audit evidence", the FRC said. KPMG will pay £4m after agreeing to a settlement. Audit partner Andrew Walker was also fined
CMA considers exemption to joint audit rule

CMA considers exemption to joint audit rule

Business
By Mark Kleinman, City editor  Britain's competition watchdog is drawing up plans to exclude some major companies from a controversial new rule that would require many businesses to appoint joint auditors.Sky News has learnt that the Competition and Markets Authority (CMA) has been weighing whether to offer an exemption as part of its heavily scrutinised inquiry into the audit market. The CMA is expected to publish its final report this week, but has been stung by a backlash from corporate Britain to proposals outlined in December that would force FTSE-100 companies to employ two audit firms.Sources close to the regulator's probe say it has floated the idea of offering a "carve-out" from the joint audit rule for "the biggest, most complex companies".That ...
To check fraud, CVC starts examining audit reports of state-run banks, insurance companies

To check fraud, CVC starts examining audit reports of state-run banks, insurance companies

Finance
Probity watchdog Central Vigilance Commission (CVC) has started examining audit reports of state-run banks and insurance companies to check incidents of fraud and suggest corrective measures, officials said Wednesday. The move assumes significance with banks reporting large scale fraud cases and the high number of bad loans or non-performing assets, they said. Vigilance Commissioner T M Bhasin told PTI the CVC is getting a review done of central statutory reports, concurrent auditors' reports and other auditor reports through chief vigilance officers of all public sector banks and insurance companies. "The same (audit reports) are analysed in the Commission and a corrective action plan is advised for time-bound implementation," he said. Chief vigilance officers act as a distant arm of the ...
CBDT extends deadline for filing ITRs with audit reports to Oct 31, 2018

CBDT extends deadline for filing ITRs with audit reports to Oct 31, 2018

Finance
NEW DELHI: The government today extended by a fortnight till October 31 the deadline for filing Income Tax return (ITR) and audit report for financial year 2017-18. This is the second extension within a fortnight of the Central Board of Direct Taxes (CBDT), earlier extending the deadline for tax payers whose accounts have to be audited from September 30 to October 15. Tax audit is a review of accounts of taxpayers with business or profession from an income tax point of view such as incomes, deduction, compliance with tax laws, etc. Taxpayers with turnover exceeding Rs 1 crore in business (not opted for presumptive taxation scheme) or whose gross professional income is over Rs 50 lakh need to get a tax audit done. Tax audit report needs to be filed on or before the 30 September of the subse...
Conflicts leave Lloyds audit heading for Deloitte

Conflicts leave Lloyds audit heading for Deloitte

Business
Britain's biggest high street lender faces being severely curtailed in its selection of a new auditor, intensifying pressure on regulators to deliver reforms aimed at strengthening competition. Sky News has learnt that Lloyds Banking Group‎ is preparing to ask Deloitte to put itself in a position to take on its audit from 2021, with a formal tender process expected to get underway in the coming months.While Deloitte has not been guaranteed the role, conflicts involving the other so-called 'big four' accountancy firms have left it as the only viable option for Lloyds, according to insiders.The situation is expected to pile fresh pressure on regulators to tackle the structure of Britain's audit market, with talks scheduled to take place next Tuesday between the Competit...