Auditors fined £25m as Financial Reporting Council gets tough in wake of a string of bean counting scandals
The FRC has been keen to demonstrate a tougher stance towards auditors in the wake of a string of scandals
Bungling audit firms were hit with £25million in fines last year, an increase of almost half from 2018.
The Financial Reporting Council (FRC) has been keen to demonstrate a tougher stance in the wake of a string of scandals – the collapse of outsourcer Carillion and cafe chain Patisserie Valerie brought shame on the bean counting profession.
The penalties dished out rose from £16.8million to £24.9million.
According to City law firm RPC, the FRC is trying to shake off criticism that it is too soft, after it was branded ‘useless’ by MPs.
Robert Morris, a partner at the law firm, said: ‘Fines are of the scale where they are now causing real financial pain.’