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KPMG fined £3.4m over ‘serious failures’ in Rolls-Royce audit
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KPMG has been fined £3.4m and issued a severe reprimand by its regulator for “serious failures” in its audits of aerospace and defence company Rolls-Royce.
KPMG and its lead partner Anthony Sykes failed to address potential bribery and corruption on the part of Rolls-Royce in their 2010 audit, despite knowledge of two sets of suspect payments to agents in India, according to the Financial Reporting Council.
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