Deloitte man is fined over Serco scan­dal

Scottish Daily Mail - - City & Finance -

AN­OTHER ac­coun­tant at Big Four firm Deloitte has been fined over the au­dit of Serco dur­ing the out­sourcer’s elec­tronic tag­ging scan­dal.

Ross Howard, 49, was slapped with a £78,000 penalty by the Fi­nan­cial Re­port­ing Coun­cil, re­duced from £120,000 for ad­mit­ting mis­con­duct early and ‘ex­press­ing con­tri­tion’.

Al­ready this year the watch­dog has or­dered Deloitte to pay £4.2m in a set­tle­ment, while He­len Ge­orge, who was the se­nior mem­ber of the au­dit team, was fined £97,500.

This takes Deloitte’s to­tal fines over the Serco scan­dal to al­most £4.4m.

Serco Geografix, a di­vi­sion of out­sourc­ing gi­ant Serco, dis­hon­estly mis­led the Min­istry of Jus­tice from 2010-13 about the prof­itabil­ity of its con­tracts to elec­tron­i­cally tag peo­ple re­leased from jail.

Deloitte was pe­nalised for sign­ing off Serco Geografix’s au­dit in 2011 and 2012. Ge­orge and Howard con­tinue to work for Deloitte. The watch­dog said that though they did not com­ply with au­dit stan­dards, nei­ther acted dis­hon­estly, de­lib­er­ately or reck­lessly.

Newspapers in English

Newspapers from UK

© PressReader. All rights reserved.