Daily Management Review

PwC being investigated for involvement in leaked Australian government plans


PricewaterhouseCoopers (PwC), a global consulting and auditing firm, is at the center of a significant scandal in Australia.

Bjørn Erik Pedersen
Bjørn Erik Pedersen
The local PwC office probe may involve the federal police, the nation's Ministry of Finance stated on May 11. The probe focuses on disclosures of private preparations for increased tax enforcement measures from the Australian government, one of the auditor's customers.

The day prior, it was discovered that one of PwC's now-retired partners had discussed this matter with the company's staff members and other partners. Three senior PwC Australia workers, including CEO Tom Seymour, resigned as a result of an immediate internal inquiry by PwC.

The internal probe and resignations at the local office did not, however, put a stop to the controversy. The disclosure of secret government plans through the auditor was described by the Australian Finance Minister Jim Chalmers as "a shocking malfeasance in office," and several members of the Australian Parliament have urged for the auditor to lose all of his or her contracts with the government.

source: reuters.com