PwC to help Versailles.
PricewaterhouseCoopers has been called in by the banks behind troubled trading financier Versailles in an attempt to safeguard loans believed to total £65m. The move follows last week’s withdrawal by Big Five rival KPMG, which was investigating Versailles’ accounting irregularities. PwC’s involvement makes it the fifth firm in two months linked with Versailles. NatWest, Royal Bank of Scotland and Barclays – which provide credit lines for the financier – called in the firm to examine the company’s books after originally appointing KPMG in December following the suspension of Versailles’ stock exchange listing. Baker Tilly is also undertaking an investigation of Versailles’ accounting procedures after a DTI inquiry uncovered the possible problems last August. Baker Tilly’s draft findings – into apparent breaches of accounting rules governing off-balance sheet financing under FRS5 along with other irregularities – backed an earlier report by Levy Gee.