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Sources: 08.08.20; 10:00 Isaan News, and some confidential sources |
Drafts for the report that KPMG's auditors prepared between October 2019 and April 2020 about the technology group Wirecard were rewritten several times Wirecard scandal: investigations against EY since October!It was a tough struggle for words and numbers: Drafts for the report that KPMG's auditors prepared between October 2019 and April 2020 about the technology group Wirecard were rewritten several times. The inspectors were drilling, Wirecard fended off. And even brought lawyers from US law firm Gibson Dunn against KPMG in order to mitigate the report and the doubts it expressed about the balance sheet. There are different statements about whether the report was ultimately milder, but KPMG and Wirecard do not comment. In any case, the last version, released on April 28th, was bad enough. Liquid funds of one billion euros could not be proven, it said. Two months later, KPMG competitor EY, who is responsible for the annual review of the balance sheet, stated that receipts for account balances of 1.9 billion euros were not available. Shortly thereafter, Wirecard went bankrupt.! Since then, a storm has swept over the auditors, and especially EY, like the influential and secretive industry of number servants has not seen for a long time. Along with KPMG, PwC and Deloitte, EY is one of the so-called Big Four of auditors; they are global corporations that turned over a total of 140 billion euros last year; in turn, they test the balance sheets of almost all large corporations in the USA, Great Britain and Germany. They also advise companies on tax issues or takeovers and work for governments and their supervisory authorities. In the accounting scandal at Wirecard, the auditing company EY is also criticized. This had checked the books of the payment processor since 2009 - and apparently found no evidence of air bookings in the billions. The Federal Ministry of Economics is now also interested in how that can be. As the ministry confirmed on Monday, the independent auditor oversight body (APAS) is underway in connection with the final audit at Wirecard. Apas checks compliance with the professional obligations of auditors at companies of public interest - this also includes Wirecard AG, according to the ministry. The process has been running since October - and is ongoing
In the specific case, a preliminary investigation had already been initiated
in October 2019. In May 2020, after the report on the special audit by KPMG was
published, it was transferred to a formal professional inspection process. These
continued. The now insolvent payment service provider had admitted air bookings of 1.9 billion euros in June. However, the damage could be significantly higher. The Munich public prosecutor's office is now assuming a “commercial gang fraud” at the DAX company.Follow ISAAN NEWS , we will follow up all developments in this scandal and we will uncover everything |
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