Eight senior executives at KPMG have resigned over the Sars rogue unit report and relations with the Gupta family.
KPMG CEO Trevor Hoole, chief operating officer Steven Louw, chairperson Ahmed Jaffer and five senior executives have resigned and the auditor has withdrawn its South African Revenue Service (SARS) "rogue unit" report.
This follows an investigation by KPMG International that was launched following the #GuptaLeaks emails that emerged earlier this year.
Craig Mckune, Reporter at Amabhungane Centre For Investigative Journalism says the resignations signal an attempt by KPMG to manage their reputation. McKune adds this is the route the firm had to take to avoid ending up like defamed PR firm, Bell Pottinger.
You can't have the Guptas as we know them without much wider spread of criminality and corruption.— Craig Mckune, Reporter at Amabhungane Centre For Investigative Journalism
As allegations of corruption continue to swirl, Corruption Watch has approached US Justice Department to probe US consultancy firm McKinsey & Company's Eskom dealings.
This comes after Bell Pottinger was expelled from the PR Association and Communications Association over business relations with the Guptas. And now KPMG International has taken action after conducting its own investigation.
David Lewis, Executive Director at Corruption Watch says because authorities in South Africa have failed to act on the KPMG allegations they felt compelled to refer the firm to US authorities.
When corruption reaches the scale of illicit financial flows of money across borders then you need facilitators as was shown for example with the famous Panama papers.— David Lewis, Executive Director at Corruption Watch
This about KPMG International, this is about KPMG South Africa. You don't employ any entire senior management that is willing to engage and cover up these practices.— David Lewis, Executive Director at Corruption Watch
When KPMG made that statement that they are not politically motivated i accepted that. They are motivated by sheer greed.— David Lewis, Executive Director at Corruption Watch
Heads are going to continue to roll at KPMG and elsewhere.— David Lewis, Executive Director at Corruption Watch
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This article first appeared on 702 : Heads are going to continue to roll at KPMG and elsewhere - Corruption Watch