E&Y cleared in Lehman Brothers investigation
Financial Reporting Council announces no action taken against Ernst & Young as auditors of Lehman Brothers International Europe
Financial Reporting Council announces no action taken against Ernst & Young as auditors of Lehman Brothers International Europe
ACCOUNTANCY’S WATCHDOG has announced that no action will be taken against Ernst & Young or any individuals in connection with the audit of Lehman Brothers International Europe (LBIE).
The disciplinary arm of the Financial Reporting Council, the Accountancy and Actuarial Discipline Board (AADB), said: “There is no realistic prospect that a tribunal would make an adverse finding against Ernst & Young in the UK or members within that firm.
“The investigation will therefore be closed and no further action taken.”
Audit files, information from E&Y UK staff members’ laptops, and emails and data from other regulators were investigated. E&Y UK’s audit team staff and former members of LBIE were also interviewed.
The AADB began the investigation of E&Y’s role in reporting to the FSA on audit client LBIE’s compliance with the authority’s client asset rules, which governed the protection of client money in mid-2010.
Tony Lomas, Steven Pearson, Dan Schwarzmann and Mike Jervis, partners at PwC, were appointed joint administrators to LBIE on 15 September 2008 – the US arm filed for bankruptcy in early September 2008.
More about:
The numbers you crunch tell a story. Your expertis...
12yEmbracing user-friendly AP systems can turn the tide, streamlining workflows, enhancing compliance, and opening doors to early payment discounts. Read...
View articleOrganisations can enhance their financial operations' efficiency, accuracy, and responsiveness by adopting platforms that offer them self-service cust...
View articleIn a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...
View resourceDiscover how AP dashboards can transform your business by enhancing efficiency and accuracy in tracking key metrics, as revealed by the latest insight...
View articleEY has been BG auditor since 2013, while it was recently appointed Royal Dutch Shell auditor Read More...
View articleThe FRC's new disciplinary regime for public interest entities could see could see more frequent enforcement on more minor matters, write Taylor Wessi...
View articleAuditors are facing deepening concerns from FTSE 350 businesses over the cost of transition to the new EU audit regulatory regime Read More...
View articleFTSE 250 engineer to appoint PwC as auditor, ending EY's tenure Read More...
View articleClaims audit rotation reinforces the Big Four's market position are premature, according to senior Top Ten audit partners Read More...
View articleMandatory audit rotation could force Big Four firms further down the market rather than open top audits up to other providers, claims EY audit partner...
View articleEY set to take on Stagecoach audit from April Read More...
View articleLondon-listed Vedanta appoints EY as auditors after Deloitte ends tenure stretching back to 2003 Read More...
View article