The New Millennium Experience Company, operator of the Dome, has passed details of the fraud to Scotland Yard’s fraud squad after contract procurement irregularities came to light earlier in the year.
In a statement, the NMEC said: ‘The Dome’s rigorous internal control systems identified a possible irregularity relating to one contractor. The police have been kept informed since June.’
However, a leaked report from PricewaterhouseCoopers cast serious doubts over financial controls at the NMEC. The PwC report also revealed that the Dome would technically have been insolvent without the new injection of cash, questioning the role of its directors.
E&Y sought to defend its role at the Dome, saying that there was a ‘fundamental misconception of our role as external auditor, which primarily is to provide an opinion of the truth and fairness of its historic accounts.’
The firm highlighted the last audit report for December 1999 which questioned the ability of the company to be able to continue its operations within the then currently agreed funding.
The National Audit Office is due to publish a report at the end of October on the operation of the Dome over the year. A spokesman for the NAO said that the role of the external auditors would not form a major focus of the investigation.
Seperately, the NMEC confirmed there were no plans for its FD Neil Spence to leave following the appointment of trouble-shooter David James.
Just one half of UK practices have implemented a pricing structure around auto enrolment implementation and advice - with many suffering increased costs
Deloitte's north-west Europe foray; BDO, Smith & Williamson investment paths; Shelley Stock Hutter; and Wilkins Kennedy discussed by editor Kevin Reed on our Friday Afternoon Live broadcast
Accountants should alter their perspective on auto-enrolment to maximise business opportunities, according to Eric Clapton.
Kevin Reed discusses whether new accountancy group Cogital can rival the Big Four...and its likely direction of travel