Shareholder pressure is believed to be the reason why Compass Group has
appointed Ernst & Young to probe allegations of corrupt buying practices at
a group subsidiary, rather than registered auditors Deloitte.
The FTSE100 caterer hired E&Y to review the accounts of Eurest Support
Services (ESS), a subsidiary that supplies UN peacekeepers in eight countries.
The Big Four firm is assisting law firm Freshfields Bruckhaus Deringer in the
investigation into allegations that ESS executives Peter Harris and Andy Seiwert
purchased IHC Services, a company suspected of leaking UN tender details to ESS.
Analysts believe that Compass brought in E&Y in favour of Deloitte in the
wake of shareholder dissatisfaction over the appointment of Freshfields to look
into the ESS matter.
‘Compass came under a great deal of pressure when it appointed Freshfields
because they were already acting as the group’s lawyers. The decision to go with
E&Y instead of Deloitte was prompted by this,’ a City analyst said.
Compass has valued its UN contracts at £35m. The group said the appointment
of both Freshfields Bruckhaus Deringer and Ernst & Young showed how
seriously it took the matter.
Brian Burke, business development director, has moved within the firm to 'develop Quantuma’s networks with Sussex professional firms'
Stephen Mills joins the Manchester office from IBM, where he spent 12 years as an associate partner in the data, analytics and cognitive consulting group
Rupert Guppy will be responsible for capital allowances in the southern region, and joins the firm from specialist consultancy E3 Consulting
Richard Lewis has been appointed to the firm's restructuring and recovery services team