KPMG is the kingpin in ANOTHER big corruption scandal; this time VBS

EDINBURGH — There are bank robberies in which the villain is obviously armed and dangerous, there is white collar crime, involving fraud like fake signatures and other deceit – and then there is the great bank heist done the KPMG way. The latter entails accountants turning a blind eye to corruption and irregularities, while milking fees out of the transgressors in exchange for papering over the plundering in auditing formalities. The KPMG method was revealed in the Gupta-Zuma state capture scandal, with KPMG helping to siphon taxpayers' funds out of state departments while cheekily evading tax at the same time. The KPMG heist method has been demonstrated yet again in the collapse of VBS Mutual Bank, which we now know was a hive of corruption at a time when KPMG personnel gave it a bill of clean health. Unlike bank robbers, who routinely do time in jail and are shunned by society, KPMG auditors seem to get away with their nefarious deeds. So much so that KPMG is still in that club of Big Four auditors that investors around the world are reliant on for checking the books of listed entities. KPMG professionals and bosses are still welcome at golf clubs and, last time we looked, at gatherings like the World Economic Forum, too. – Jackie Cameron

By Thulasizwe Sithole

KPMG South Africa has come under new criticism after a report was released last week looking into lender VBS Mutual Bank, reports Accountancy Age.

The firm's South Africa operation has already had a tough year after the corruption surrounding the billionaire Gupta family came to light, says the industry body publication.

"Now, after a report came out last week from Terry Motau, an investigator hired by the South African Reserve Bank, the level of corruption surrounding VBS has become apparent."

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