Negotiations are continuing between federal prosecutors and KPMG, and an indictment of the firm for its role in selling tax shelters appears to have been ruled out, according to published reports.
The Big Four firm may avoid the sort of criminal charges that led to the demise of Arthur Andersen, Enron's auditor, but KPMG could still face fines up to $500 million. Reports out of Washington have said in recent weeks that the Bush administration is leery of the demise of another major accounting firm. An independent monitor of the firm's conduct would likely be put in place as part of any deal, and the firm would have to admit guilt publicly.
Register or login for access to this item and much more
All Accounting Today content is archived after seven days.
Community members receive:
- All recent and archived articles
- Conference offers and updates
- A full menu of enewsletter options
- Web seminars, white papers, ebooks
Already have an account? Log In
Don't have an account? Register for Free Unlimited Access