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The Markets
by Proactive
Proactive UK has moved.
Coverage of London’s small caps continues on proactiveinvestors.com
Go to Proactive UK
The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Finance

Accounting giants fined for £237 million bond firm collapse 

Two of the big four accountancy firms have been hit with multimillion-pound fines for their audits for collapse minibonds group London Capital & Financial (LC&F).

LC&F collapsed before the pandemic after failing to have enough funds to pay back bondholders, leaving around £237 million owed to as many as 12,000 people.

PwC and Ernst & Young were fined by the Financial Reporting Council (FRC) for their involvement in the failed firm's finances.

E&Y will pay £4.4 million, while its auditor Neil Parker was fined close to £47,000 for the group's involvement in LC&F's 2017 accounts.

Meanwhile, PwC was given a £4.9 million sanction for its 2016 audit, with Jessica Miller, an auditor at the firm, receiving a £105,000 fine.

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