The Reserve Bank would meet representatives of SA’s banks on Thursday to raise concerns over possible negative consequences should auditing firm KPMG be forced to close its doors over the South African Revenue Service (SARS) scandal it was embroiled in, people familiar with the matter said on Wednesday. As banks are required by regulations to have two auditing firms, their ability to rotate auditors and to secure the auditing services required by large and complex institutions could be at risk should one of the big four auditing firms such as KPMG go out of business. KPMG is the joint auditor of four of SA’s largest banks. The meeting comes as concerns grow in government and business circles that KPMG is on the brink of implosion and that this could have a range of negative effects — from disruption of banks to job losses and an enhanced perception of the risk of doing business in SA. KPMG is the employer of 3,500 people. The Reserve Bank would not comment on the scheduled meeting, ...
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