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KPMG’s audit scandal could be worse than PwC’s tax leaks. Here’s why
The fundamental question is existential: does leaking sensitive client data destroy the foundational trust required to run a professional services firm?
If companies cannot trust their auditors with their innermost secrets, the entire business model of a multidisciplinary firm collapses. Bethany Rae
When KPMG’s predecessor firm signed off on its first Lendlease audit in 1959, television was black and white, pubs closed at 6pm and Robert Menzies was in the 10th year of his second stint as prime minister.
In fact, the global firm known today as KPMG would not be formed for another 28 years, barely the halfway point of an extraordinary 68-year relationship that has generated an estimated quarter of a billion dollars in lifetime fees.
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