SEL halts automatic reappointment of KPMG
Although it could be argued that the Swaziland KPMG office is not linked to the negative events involving KPMG South Africa, it appears that the scandal could dent the image of the local auditing firm.
KPMG in South Africa has been the subject of media and regulatory scrutiny in relation to professional services provided to the Oakbay Group and work performed for the South African Revenue Service (SARS).During the recent Swaziland Empowerment Limited (SEL) annual general meeting (AGM) held on Friday, some of the company’s shareholders felt that these were serious allegations that could not be taken for granted in as far as corporate governance was concerned.
The meeting agreed to halt auto- matic reappointment of KPMG from next year.
Meanwhile, the meeting advised the board to prepare to tender.
“The board will take up the tender, evaluate and continue engaging them if they win,” said SEL Board Chairperson Cleopas Dlamini.
Responding to the Sunday Observer when the KPMG scandal was still a hot issue in South Africa, KPMG Managing Partner Robert Sithebe said though there was an in-depth investigation in South Africa, led by KPMG International, with the help of independent legal advisers, it was important to note that while the events in South Africa impact the KPMG brand, they do not affect any other KPMG network member firm because they relate to specific South African client activities.
SEL Chairman Cleopas Dlamini.