KPMG accountants fined over failed dotcom

Two KPMG accountants have been fined £2,000 by an ICAEW tribunal for their
role in failed dotcom business, and ordered to pay £40,000 each in
costs towards the investigation committee.

Philip Wallace and Michael McLoughlin served as liquidators at the business,
but KPMG had earlier provided the company with a CFO.

The tribunal found these actions to be a conflict of interest.

KPMG said that it disagreed with the verdict but was not appealing for
‘practical reasons’.

‘Limited amounts of reasoning and information were made by the tribunal,’
said a spokesman. ‘There wasn’t any evidence the work was compromised.’

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