E&Y limits services to audit clients
Ernst & Young has swiftly followed Andersen in its pledge to stop selling certain consulting services to companies it audits.
The move to limit services offered to audit clients is seen as reaction to the Enron scandal currently battering the profession’s image. In the past, E&Y and other Big Five firm had vehemently fought against such an idea.
Andersen in the US said on Sunday it was creating a special oversight board to tighten controls within the firm. KPMG and PricewaterhouseCoopers broadly backed the proposals saying they would support similar changes.
Deloitte & Touche is now the only Big Five firm that continues to fight against moves to separate its consulting and audit arms.