KPMG’s ‘incomplete’ data stalls probe into alleged wrongdoing in report on ‘rogue unit’
In October, Irba announced that it was extending the scope of its investigation to include auditor Johan van der Walt’s individual conduct
An investigation into possible wrongdoing by KPMG in its report on the South African Revenue Service (SARS) "rogue unit", and into Johan van der Walt, the auditor responsible for it, has ground to a halt.
The Independent Regulatory Body of Auditors (Irba) announced in September that it would investigate if KPMG broke any regulations in its dealings with SARS and in compiling the report.
In October, Irba announced that it was extending the scope of its investigation to include Van der Walt’s individual conduct.
This week‚ Irba said the investigation was still in the "first phase" and that KPMG had provided "incomplete information", citing reasons of confidentiality.
This is despite an undertaking by KPMG international chairperson Bill Thomas and KPMG SA CEO Nhlamu Dlomu given to Irba CEO Bernard Agulhas, that the auditor would co-operate and provide all the necessary information.
In response to questions, KPMG spokesperson Nqubeko Sibiya said the firm remained committed to co-operating with Irba.
"Irba has asked for certain information that legal restrictions prevent us from providing. However‚ we are actively working with Irba to find a way for Irba to have access to this information in a manner that allows Irba to complete its inquiry‚" he said.
"To this end‚ we have made a number of suggestions which we understand Irba is considering."
Agulhas also told Parliament’s finance committee that Irba had held a special board meeting to discuss the KPMG matter and to ask that the investigation be fast tracked.
Irba has not been able to give any indication of the time frame for the completion of the probe but Agulhas has indicated that he wanted to finalise it quickly as it was a "matter of public interest".