KPMG in dispute over TV cartoon
Senior partners involved in accusations over insolvency of animation group
Two senior KPMG partners are embroiled in a bitter court battle in which they
are accused of criminal breach of trust, perverting the course of justice and
perjury.
Mick McLoughlin,
head of global restructuring and recovery at the Big Four firm, and
Allan Graham, partner,
are facing the charges over their administration of EDI Realisation Limited,
part of an animation group which owned rights to television cartoon characters
the Butt Ugly Martians.
The charges have been levelled in court papers filed last month by Mark
Hardy, currently in charge of Think Entertainment, the new name for the group of
companies.
The firm told Accountancy Age in a statement: ”We are already aware
of certain allegations made by Mark Hardy periodically about various parties
including KPMG. These have been responded to, and we do not consider it
appropriate to comment further.’
The dispute arose over money raised by shareholders to revive the troubled
group, of which EDI was one subsidiary. Hardy alleges £500,000 was transferred
to EDI in breach of an agreement over the purpose of the rescue fund.
KPMG went to court last month to hammer out issues over the disputed payment.
Hardy alleges the new proceeding is an attempt to obstruct justice and further
claims Graham has perjured himself in his witness statement.
The case is expected to come to court later this year.
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