The UK instrument maker and music publisher this month called in an unnamed Big Five firm after auditor E&Y completed its report into the US subsidiary’s loss of control, which forced the group to make a £11.9m write-down on top of a £3.5m bad debt provision in September’s interim results.
Now both E&Y and PwC – which lost its audit work to its rival in 1998 – could face the prospect of legal action for failing to spot ‘fundamentally incorrect and highly misleading accounting entries over several years’.
Irregularities included errors in stock entries, pre-payments and the need for provisioning further debt.
Boosey, who published 40 works performed at this year’s BBC proms, is also considering taking legal action against the dismissed president and chief financial officer.
Chartered accountant group and chief executive Richard Holland said investigators had been called in ‘to review the group’s means of redress against all parties involved’.
Peter Austen resigned as group FD in May, and was replaced in September by John Christmas, described by Holland as an appointment ‘to improve controls within the group’ that now faces end of year losses.
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