PwC moves to quell Japan crisis

PwC moves to quell Japan crisis

Firm's global head rushes to control damage from Japanese audit suspension

Samuel DiPiazza, the global chief executive of PwC, has called on partners
around the world to ‘reach out’ to clients affected by the ban on the firm’s
Japanese business.

The firm’s Japanese arm, Chuo Aoyama PwC, was suspended for two months this
week for it involvement in an accounting fraud at cosmetics company Kanebo.

PwC, the world’s largest accounting firm, said it would support its
beleaguered Japanese arm, but has already suggested that it may build up a new
firm in Japan.

According to the FT, DiPiazza has emailed clients with Japanese
operations, including Axa, Unilever, Xerox, Reuters and Ford, assuring them that
the Japan ban does not apply to audit work done to meet overseas reporting
requirements of clients.

In Japan, meanwhile, the country’s accounting institute called on members to
help Chuo Aoyama PwC, and warned that it would take strict measures against
rival firms attempting to poach clients and staff from the embattled firm.

‘We remind firms that they should not poach accountants and, if they breach
the rules, we will take firm steps,’ said Tsuguoki Fujinuma, chairman of the
Japanese Institute of Certified Public Accountants.

Chuo Aoyama PwC has 2,300 clients who will now have to rethink their audit
contracts.

Related Articles

CogitalGroup announces acquisition of Wilkins Kennedy

Accounting Firms CogitalGroup announces acquisition of Wilkins Kennedy

6d Emma Smith, Managing Editor
Blick Rothenberg acquires Westleton Drake

Accounting Firms Blick Rothenberg acquires Westleton Drake

2w Emma Smith, Managing Editor
IR35 in 2018: what do accountants need to know?

Accounting Firms IR35 in 2018: what do accountants need to know?

2w SJD Accountancy | Sponsored
Top 50+50 UK Accountancy Firms 2018 – entries now open!

Accounting Firms Top 50+50 UK Accountancy Firms 2018 – entries now open!

2w Emma Smith, Managing Editor
It’s not just the potential of women at stake, it’s the potential of accountancy

Accounting Firms It’s not just the potential of women at stake, it’s the potential of accountancy

4w Jean Stephens, RSM International
PwC to net £50m from Carillion insolvency

Accounting Firms PwC to net £50m from Carillion insolvency

1m Alia Shoaib, Reporter
Mercer & Hole makes two new appointments

Accounting Firms Mercer & Hole makes two new appointments

2m Emma Smith, Managing Editor
Sexual harassment – is accountancy next for #MeToo?

Accounting Firms Sexual harassment – is accountancy next for #MeToo?

2m Karen Baxter, Lewis Silkin