Judge retires to consider Equitable decision
Ernst & Young's attempt to have the £2.6bn Equitable Life negligence action against it struck out at the High Court, finished yesterday with the judge retiring to make his decision.
Ernst & Young's attempt to have the £2.6bn Equitable Life negligence action against it struck out at the High Court, finished yesterday with the judge retiring to make his decision.
Link: E&Y: don’t blame us over Equitable
Mr Justice Langley is expected to deliver his ruling in the next few weeks. Whatever the outcome, experts expect the losing party to appeal.
It followed a summing up from Mark Hapgood, QC, the barrister acting for the Big Four firm, who attempted to prove the case has no reasonable prospect of success.
Delivering his summing up to a packed court room, Hapgood said there was a ‘formidable catalogue of indisputable facts’ in favour of E&Y and that the basis of the Equitable Life claim ‘rests wholly on opinion.’
Iain Milligan, QC, the lawyer acting on behalf of Equitable Life, had previously accused E&Y of signing off its accounts without insisting on the inclusion of a £1.6bn provision to plug a black hole in its finances. If the board of directors had known, Milligan argued, they could have sold the business as early as 1998.
Hapgood said it was important to note that an auditors ‘scope of duty’ did not extend to determining the goodwill value of a business. Hapgood also revealed that Equitable turned down the chance of a merger with rival Scottish Widows in 1998.
The numbers you crunch tell a story. Your expertis...
21yEmbracing user-friendly AP systems can turn the tide, streamlining workflows, enhancing compliance, and opening doors to early payment discounts. Read...
View articleOrganisations can enhance their financial operations' efficiency, accuracy, and responsiveness by adopting platforms that offer them self-service cust...
View articleIn a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...
View resourceDiscover how AP dashboards can transform your business by enhancing efficiency and accuracy in tracking key metrics, as revealed by the latest insight...
View articleThree years after accountancy group DJH Mitten Clarke launched, they have announced that they have rebranded to DJH. The DJH Mitten Clarke name reflec...
View articleStatic budgets outdated. Embrace agile budgeting for a smooth year-end close and adapt to changing markets. Read More...
View articleSaffery Champness's strategic rebrand to "Saffery" reflects a bold step towards aligning its historic values with a modern, innovative ethos, fosterin...
View articleSumer’s CEO Warren Mead believes accountants have a responsibility to champion smaller and medium-sized businesses and that successful entrepreneurs a...
View articleMid-market firms experience largest percentage increase in fee income in 2023, as consultancy services start to become leading income streams for the ...
View articleBaker Tilly International has today announced record global revenues of US$5.2bn for the financial year ended 31 December 2023, up 11% on the previous...
View articleWhilst Small and Medium Enterprises (SMEs) account for around half of the turnover in the UK private sector[1], our own AAT research shows that over a...
View articleGrant Thornton UK as confirmed the appointment of Malcolm Gomersall as its new Chief Executive Officer. Gomersall, who has been with the firm for over...
View article