{"text":[[{"start":8.1,"text":"The chief executive and audit leader of KPMG’s Australian arm have resigned after the Big Four firm admitted a probe into whistleblowing allegations had fallen short of its standards."}],[{"start":20.45,"text":"KPMG’s audit work in Australia has been under scrutiny since March, when a senator used parliamentary privilege to air allegations made by a whistleblower that the firm had accessed and shared confidential audit information to win contracts when bidding for work."}],[{"start":37,"text":"It is the second major scandal at a Big Four consultancy in Australia in recent years after PwC’s global arm took control of its local operation in 2023. That was the result of one of its partners using confidential information gleaned from advisory work with the government to feed back into the firm, which used it to tailor tax avoidance advice for global clients."}],[{"start":59.75,"text":"KPMG has previously argued the whistleblower accusations were “unsubstantiated”, but it had imposed sanctions on some of its staff in April."}],[{"start":67.85,"text":"However on Friday, Andrew Yates, chief executive of KPMG Australia, resigned with immediate effect after the firm said investigations into the whistleblower’s claims had fallen short. Julian McPherson, national managing partner for audit and assurance, also resigned. "}],[{"start":84.85,"text":"“KPMG Australia confirms its treatment of a whistleblower and investigation into their allegations fell short of the firm’s expectations, those of the whistleblower and the broader community,” the firm said."}],[{"start":96.05,"text":"Yates, who had previously declared his support for whistleblowers in light of the PwC situation, and McPherson said they would “take accountability”."}],[{"start":105.39999999999999,"text":"“I have been committed to a speak-up culture in our firm, it is clear that in this case we have let ourselves down,” Yates said."}],[{"start":113.89999999999999,"text":"The allegations aired by senator Deborah O’Neill, who was central to the PwC investigation, claimed KPMG staff had accessed confidential board papers from property developer Lendlease, an audit client, to pursue contracts with other companies. These included bank Westpac, which it won in 2024 from PwC."}],[{"start":133.39999999999998,"text":"Further allegations included “serious concerns” over the integrity of KPMG’s pursuit of Macquarie’s audit contract — which was also won from PwC — and other allegations of inappropriate sharing of data between KPMG staff in pursuit of other work."}],[{"start":150.29999999999998,"text":"The whistleblower, a former KPMG audit partner, first reported concerns in 2024."}],[{"start":157.04999999999998,"text":"KPMG launched an internal investigation, which did not substantiate the allegations. It said on Friday the probe “was in hindsight not conducted with the necessary rigour required”."}],[{"start":168.99999999999997,"text":"An external legal review supported those internal findings, but further contact from the whistleblower with independent board members prompted a third, ongoing investigation by another external law firm."}],[{"start":181.24999999999997,"text":"O’Neill said the whistleblower had also approached KPMG International’s chair and global counsel, as well as the Australian Securities and Investments Commission, before contacting her."}],[{"start":192.74999999999997,"text":"Asic said on Friday it had opened an investigation into the situation."}],[{"start":205.49999999999997,"text":""}]],"url":"https://audio.ftcn.net.cn/album/a_1780031717_3773.mp3"}