PracticeAccounting FirmsBDO International distances itself from $521m claim

BDO International distances itself from $521m claim

BDO International confident that appeals court will keep them out of a massive law suit brought by Banco Espirito Santo

BDO International lawyers are confident that a US jury will not plunge it
back into a $521m (£255m) court battle.

Member firm BDO Seidman was found negligent and hit with damages last year in
a lawsuit by Portuguese bank Banco Espirito Santo, but the case is now under
appeal.

Early in the trial, the judge dismissed BDO International from the case, but
the network must now go in front of an appeals court jury to set out why they
should not be held culpable.

‘We’re confident that when [BDO International] go in front of a jury they
will see that there’s no connection here,’ said Mark Raymond of law firm Broad
and Cassel. The audits [conducted by member firms]are done independently. We
have no control over it’s audits and we should therefore not be held
responsible.’

Earlier today, Banco Espirito Santo attorney Steven Thomas said: ‘The victory
means that ultimately BDO International, along with all the BDO member firms and
offices worldwide, will be jointly liable for the $521m judgment against BDO
Seidman.’

‘That’s a heck of a jump,’ said a BDO Seidman spokesperson. ‘The case is
curently under appeal.’

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