KPMG fined $1.9M by FRC over M&C Saatchi audit lapses


KPMG agreed to pay a reduced penalty of nearly 1.5 million pounds (U.S. $1.9 million) assessed by the U.K. Financial Reporting Council (FRC) addressing admitted failings in the Big Four audit firm’s financial year 2018 work at advertising services company M&C Saatchi.

The firm earned a discount from an original penalty of £2.25 million (U.S. $2.9 million) for admissions and early disposal, the FRC announced in a press release Monday. KPMG received further leniency from the agency by improving its audit procedures to “reduce the risk of the failings identified during the M&C Saatchi audit recurring.”

Adrian Wilcox, the KPMG engagement partner on the audit, was ordered to pay a reduced £48,750 (U.S. $62,000).

lock iconTHIS IS MEMBERS-ONLY CONTENT. To continue reading, choose one of the options below.