Deloitte backs its audit of Autonomy

Deloitte backs its audit of Autonomy

Deloitte defends Autonomy audit following details of accounting misrepresentations and improprieties at the technology company that have come to light

DELOITTE HAS DEFENDED its audit of Autonomy following allegations of accounting misrepresentations and improprieties by management at the UK technology company.

Hewlett Packard announced it planned to write off more than $5bn (£3.1bn) from its acquisition of Autonomy, which was audited by Deloitte, due to accounting misrepresentations and improprieties it alleges were committed by senior Autonomy management.

However, a spokesman for Deloitte said: “Deloitte categorically denies that it had any knowledge of any accounting improprieties or misrepresentations in Autonomy’s financial statements. We conducted our audit work in full compliance with regulation and professional standards. We are unable to discuss our audit work further due to client confidentiality. We will cooperate with the relevant authorities with any investigations into these allegations.

“Deloitte UK was auditor to Autonomy at the time of its acquisition by HP. Deloitte’s most recent audit opinion on Autonomy’s financial statements was for the year ended 31 December 2010 and was signed in February 2011.”

In a call to analysts yesterday, HP CEO Meg Whitman (pictured) said the HP board relied heavily on the financial data audited by Deloitte and, in a due diligence exercise, brought in KPMG to audit Deloitte’s work.

Hewlett Packard has referred the matter to the US Securities and Exchange Commission’s enforcement division and the UK’s Serious Fraud Office.

 

 

Whitepaper

The Future of Finance is in the CFO's Hands

Business The Future of Finance is in the CFO's Hands

3m
Save a Week a Month Consolidating Accounts

Accounting Software Save a Week a Month Consolidating Accounts

4m
Mitigating Risk Through Internal Control

Legal Mitigating Risk Through Internal Control

4m
Could tax season have run more efficiently?

Corporate Tax Could tax season have run more efficiently?

5m

Related Articles

KPMG slapped with $50m fine over past audit work

Audit KPMG slapped with $50m fine over past audit work

4w Tom Lemmon
Will Deloitte get 5-year ban in India?

Audit Will Deloitte get 5-year ban in India?

2m Tom Lemmon
Top accounting scandals in 2018

Audit Top accounting scandals in 2018

4m Virginia Blackburn
Patisserie Valerie rescued in management buyout backed by Causeway Capital Partners

Audit Patisserie Valerie rescued in management buyout backed by Causeway Capital Partners

5m Lucy Skoulding, Reporter
Patisserie Valerie receiving multiple bids despite being shrouded in fraud

Audit Patisserie Valerie receiving multiple bids despite being shrouded in fraud

5m Lucy Skoulding, Reporter
KPMG, Deloitte and the audit dilemma

Audit KPMG, Deloitte and the audit dilemma

8m Emanuela Hawker, Reporter
What is the future of audit?

Audit What is the future of audit?

8m Beth McLoughlin, Managing Editor
Fined by FRC: Grant Thornton next in the firing line

Audit Fined by FRC: Grant Thornton next in the firing line

10m Emanuela Hawker, Reporter