KPMG Fined a Record £21 Million Over Carillion Audit Scandal
- Audit firm’s failings were “exceptional,” FRC says in notice
- Carillion collapsed in 2018 costing £2 billion in unpaid bills
Carillion’s collapse was one of the biggest corporate casualties in British history.
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KPMG LLP was fined a record £21 million ($25.9 million) over its failings in the audit of defunct construction and facilities management firm Carillion Plc by the UK’s watchdog.
The Financial Reporting Council said Thursday said that the number of errors in the reporting were “exceptional” and “failed to adhere to the most basic and fundamental audit concepts.” It’s the largest penally ever imposed by the regulator.