As controversy continues to follow auditing firm, KPMG South Africa, a number of some of South Africa’s biggest companies are currently reviewing their relationship with the firm.
Investment bank, Sasfin has already acted and on Tuesday announced that it had terminated its relationship with KPMG.
This is after KPMG South Africa revealed that there was no political motivation behind its report on the controversial South African Revenue Service (SARS) intelligence unit.
The auditing firm made an about-turn on its 2016 report. It said some of its findings regarding the intelligence unit were incorrectly interpreted.
Meanwhile, a number of executives from KPMG have resigned over audits involving Gupta family businesses. identified 6 multi-million rand companies that have contracts with KPMG.
Here’s what they had to say.
“We note the statement issued by KPMG on 15 September 2017. The group's audit committee will consider the statement and make a recommendation to the board on how the group should proceed. The committee will be convening this week,” said Investec spokesperson, Ursula Nobrega.
Standard Bank:
“Standard Bank is committed to doing business ethically and in accordance with all applicable laws and expects all of its counter parties to be similarly committed. We exit relationships where that commitment is lacking. Unless it is required by law, we don't comment on individual cases when this occurs,” said Standard Bank spokesperson, Ross Linstrom.
Sibanye Stillwater:
Sibanye's spokesperson, James Wellsted said: “It is a bit premature for us to make comment. We are aware of the unfolding story and that an investigative report has been produced, but wish to make sure we are fully briefed and aware of all of the relevant facts before making any decisions.”
Growthpoint Properties:
“The Growthpoint Audit Committee is considering the new public information, revealed on Friday and over the weekend, as part of its continuing assessment to determine the appropriate action regarding Growthpoint’s ongoing professional relationship with Auditors KPMG. It will make a recommendation to the Board in due course,” Growthpooint said in a statement.
“Absa has noted the KPMG statement released on 15 September 2017. The review by Absa of its relationship with KPMG is going through Absa's internal processes and no decision has yet been made,” an Absa spokesperson said.
Old Mutual:
“We have maintained a dialogue with the highest levels at KPMG throughout this process. We note KPMG’s announcement and will continue to engage with them on this matter.”