Corporate News
Watchdog refers Deloitte to disciplinary team
Audit firm Deloitte’s Westlands base. Deloitte is accused of misstating the auto dealer’s accounts by abetting the booking of undelivered vehicle sales as revenues and not capturing interest payments for cars sold on credit, thereby inflating its earnings. Photo/FILE
Posted Thursday, June 21 2012 at 21:10
Besides Deloitte, the former CMC finance director Shashi Shah will also be grilled over the breaches and the understatement of overdrafts by classifying bank borrowings as cash owed to suppliers. The Business Daily failed to establish whether Mr Shah was investigated by ICPAK.
In Kenya, Deloitte is the second largest audit firm after PwC, with blue chip clients like Kenya Airways, ScanGroup, NIC Bank and Centum Investment, and the probe is set to shake the core of its customer base.
Of the top 45 firms listed on the mains investment market at the Nairobi Securities Exchange (NSE), Deloitte controlled 26 per cent of audit fees in the year ended December 2010, PwC (43 per cent), Ernst & Young (15 per cent) and KPMG (14 per cent).
mmichira@ke.nationmedia.com
RSS