BusinessBusiness RecoveryAndersen’s insolvency team goes to E&Y

Andersen's insolvency team goes to E&Y

Cracks emerged today in Andersen's rescue deal with Deloitte & Touche as the firm's corporate recovery practice jumped ship to join Ernst & Young.

Andersen announced that 10 partners and 200 staff would be joining E&Y in the UK instead of moving with the rest of the firm to Deloitte.

John Ormerod, Andersen’s senior partner, played down the move, saying: ‘This in no way affects our agreement with Deloitte & Touche in which partners and staff across Andersen’s UK practice will join Deloitte.’

A spokesperson for Deloitte said Andersen’s corporate recovery team did not provide a ‘strategic fit’ with its own business.

‘We concluded that the strategic objectives for our business would be maximised by excluding this element of Andersen’s business from the deal,’ she said.

E&Y’s insolvency team has been involved in a number of high profile corporate collapses, including Railtrack, Barings and Canary Wharf, while Deloitte is currently running the ITV Digital administration.

Andersen is currently working on the Photobition and Bioglan collapses.

Last month, Andersen announced it would axe 1,500 staff from the UK firm, and it is believed that up to 70 partners face a similar fate.

Related Articles

Carillion CFO blew whistle over 'sloppy accounting' months before collapse

Business Recovery Carillion CFO blew whistle over 'sloppy accounting' months before collapse

3m Alia Shoaib, Reporter
Toys R Us UK and Maplin enter into administration after failing to secure buyers

Business Recovery Toys R Us UK and Maplin enter into administration after failing to secure buyers

3m Alia Shoaib, Reporter
How to avoid a Carillion collapse

Business Recovery How to avoid a Carillion collapse

4m Russell-Cooke
Carillion collapse: The week so far and industry reaction

Business Recovery Carillion collapse: The week so far and industry reaction

4m Emma Smith, Managing Editor
Kingston Smith & Partners appointed trustees in bankruptcy of ex-Newcastle United footballer

Business Recovery Kingston Smith & Partners appointed trustees in bankruptcy of ex-Newcastle United footballer

4m Emma Smith, Managing Editor
Carillion: PwC appointed as special managers – what happens now?

Business Recovery Carillion: PwC appointed as special managers – what happens now?

4m Emma Smith, Managing Editor
Investment firm acquires Avon Steel Company Limited

Business Recovery Investment firm acquires Avon Steel Company Limited

6m Emma Smith, Managing Editor
Manchester law firm enters into administration

Business Recovery Manchester law firm enters into administration

6m Emma Smith, Managing Editor