PwC faces probe over Greencore’s €21m fraud

Big four firm
(PwC) is facing a probe by the
Institute of Chartered accountants
of Ireland
(ICAI) after its failure to spot a €21m (?16.5m) fraud at
Greencore’ Scottish mineral water
subsidiary during its two years as auditor of the company.

The chartered accountants’ body has written to interested parties, asking for
comments on the behaviour of PwC, the Irish Independent

Greencore is reviewing its auditors’ contract which probably will be put out
to tender and PwC’s chances of winning the contest are seen as slim.

In addition to changing auditors, Greencore is expected to seek legal redress
as well as the return of some of PwC’s huge audit fees. In the two-year period
of the fraud, PwC charged Greencore fees of more than €1.6m.

Further reading:

Fraud costs to UK business soar above £705m

Greencore sacks senior managers over accounting fraud

the Irish Independent story

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