The well documented collapse of Carillion in 2018 is an example of the failure to provide adequate financial oversight and assurance.

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The well documented collapse of Carillion in 2018 is an example of the failure to provide adequate financial oversight and assurance. The directors of Carillion have faced fines and board room bans, in a scathing report on the company’s corporate governance, the Commons business select committee said: As a large company and competitive bidder, Carillion was well-placed to win contracts. Its failings in subsequently managing them to generate profit was masked for a long time by a continuing stream of new work and… accounting practices that precluded an accurate assessment of the state of contracts.

Its auditor KMPG has faced fines and oversight from the Financial Reporting Council(FRC), and settled a £1.3bn claim on behalf of Carillion’s creditors. One wonders if KPMG are in for a tough time in the U.S, with their involvement in Silicon Valley Bank and Signature Bank? (https://lnkd.in/eRWPCWRQ).

Given the challenges that some of the ‘Big Four’ have faced over the past 2-3 years one wonders how they will move ahead to gain the trust and confidence of their clients?

Ted Dziekanowski Brian D. McCarthy

#cybersecurity #cyberriskmanagement #cyberregulation #audit

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