KPMG could face investigation by the Financial Reporting Council over its role in the collapse of Conviviality. The firm is already under investigation by the auditing ombudsman, having previously drawn fierce criticism from Members of Parliament for its role as internal auditor of liquidated construction firm Carillion.
The Financial Reporting Council (FRC) is understood to be “looking closely” at KPMG after a litany of accounting bungles led to the collapse of Conviviality in March 2018. KPMG had acted as the alcohol retailer’s auditor since 2015, and according to an FRC spokesperson, “If the relevant threshold tests are met in relation to accountants at the company and/or its auditors a formal investigation may be opened.”
Conviviality, which included the budget…
