E&Y handed Iraq investigation work
It is understood that Ernst & Young has been awarded the contract to investigate the missing £5.6bn from the Iraqi oil-for-food programme, following a public tender.
KPMG had been appointed to the contract by the Iraqi Governing Council at the beginning of March, but Paul Bremer, head of the Coalition Provisional Authority halted the firm’s efforts at the end of March because he insisted there should be a public tender process for the contract.
Yesterday, in a statement, KPMG said negotiations with the CPA in relation to the tender process had ended on Wednesday (12 May) because an agreement could not be reached on how the firm could receive legal protection appropriate to investigations of this nature.
‘KPMG is disappointed that it is currently unable to continue this important work,’ the firm added.
KPMG was originally awarded the work by the governing council on the advice of Claude Hankes-Drielsma, a London-based consultant and former chairman of Price Waterhouse.