KPMG to pay $8.2mn to settle SEC charges

Washington: The big accounting firm KPMG has agreed to pay $8.2 million to settle US regulators’ charges of compromising its independence by providing non-audit services to companies whose books it audited.

The Securities and Exchange Commission announced the settlement Friday with Montvale, New Jersey-based KPMG.

The SEC says KPMG violated auditor independence rules by providing prohibited non-audit services like bookkeeping to the companies involved. The companies weren’t named. In addition, the SEC says some KPMG employees owned stock in companies that were KPMG audit clients.

[caption id=“attachment_1358717” align=“alignleft” width=“380”]  The SEC says KPMG violated auditor independence rules by providing prohibited non-audit services like bookkeeping to the companies involved. AP[/caption]

KPMG neither admitted nor denied the allegations. KPMG agreed to hire an independent consultant to monitor its compliance with rules.

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In a statement, the company said “KPMG has implemented internal changes that are designed to ensure its ability to comply with restrictions on providing non-audit services.”

AP