FRC scraps investigation into PwC’s audit of Barclays

THE FRC has closed its investigation into PwC’s conduct as auditors of Barclays Capital Securities after it deemed it unlikely that it would win a tribunal against the firm.

Launched in 2011, the investigation was concerned with the role of PwC in relation to the preparation of reports to the FSA in respect of Barclays Capital Securities’ compliance with the FSA’s Client Asset Rules for the periods from 1 December 2001 to 29 December 2009.

“It has been decided that there is no realistic prospect that a tribunal would make an adverse finding against the member and member firm concerned. Consequently, no further action will be taken and the case will be closed,” the FRC said in a statement.

PwC said in a statement: “We cooperated fully with the FRC in its investigation and are pleased that, having investigated the matter, the FRC has closed it without any action. This confirms our view that there was no case to answer.”

Barclays Capital Securities was fined £1.2m by the FSA in January 2011 for failing to provide adequate protection for client money.

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