The cited record supports the material proposition.
A disciplinary tribunal found in July 2022 that KPMG gave false or misleading documents and information to FRC inspectors reviewing its Carillion and Regenersis audits.
- About
- KPMG LLP
- Claim made by
- Financial Reporting Council, regulator statement
- Published
- 25 July 2022
- Evidence score
- 91 How it was scored
- Last reviewed
- 25 October 2026
Why this label
The FRC release reports the tribunal's finding of misconduct for giving false or misleading documents and information during Audit Quality Reviews of the Regenersis 2014 audit and the Carillion 2016 auditS2. KPMG admitted liability for the acts of the individuals involvedS2. The fine was cut from GBP 20 million to GBP 14.4 million for self reporting, cooperation and admissions, and the firm was severely reprimandedS2. The finding concerns conduct toward the regulator during inspections, not the underlying audit opinions, which were the subject of the separate 2023 caseS1.
Current procedural position
Tribunal decision with admissions, announced on 25 July 2022S2. Final.
Record supporting the assessment
deliberately misleading anyone, but especially a regulator, is at least incompatible with integrity
Misconduct that deliberately undermines the FRC's ability to monitor and inspect the effectiveness of audits
Conflicting or limiting record
No record located that conflicts with this assessment.
Evidence score: 91 of 100
The score grades how well the record establishes this assessment. It is not a score of KPMG LLP. Score = source authority + directness + corroboration + procedural accuracy + currency + reproducibility.
| Component | Points | Max | Reason |
|---|---|---|---|
| Source authorityIs the source competent to establish the proposition? | 29 | 30 | The FRC reports the decision of its own disciplinary tribunal. |
| DirectnessDoes the source state the proposition or only discuss adjacent facts? | 18 | 20 | The release states the misconduct finding directly. |
| CorroborationDo independent records support the same material point? | 10 | 15 | KPMG's admission supports it, but no other independent record was read. |
| Procedural accuracyDoes the record settle the procedural state the claim describes? | 15 | 15 | A final tribunal decision with admissions. |
| CurrencyHas the record been checked against later developments? | 9 | 10 | No later change was found as of October 2026. |
| ReproducibilityCan a reader locate the passage and repeat the assessment? | 10 | 10 | The release is public on the FRC site. |
| Total | 91 | 100 |
Timeline
- FRC announces tribunal sanctions on KPMG and former staffS2
Related cases
- Executive Counsel to the FRC v. KPMG LLP and former partner and employeesIndependent Disciplinary Tribunal under the FRC Accountancy Scheme. Audit. Not published.Stage: Final tribunal decision.
- KPMG fined GBP 14.4 million and severely reprimanded for false or misleading information to inspectorsS2
Revision history
- Assessment first published with label Supported.
Have a record that changes this assessment? See corrections and responses.
Sources
- S2Tier A Sanctions against KPMG and others in connection with Regenersis & Carillion auditsFinancial Reporting Council. Regulator press release. 25 July 2022.Supports the tribunal's misconduct finding on false or misleading information to inspectors. It does not judge the audit opinions themselves.Link working, checked 25 October 2026
- S1Tier A Sanctions against KPMG LLP, KPMG Audit plc and two former partnersFinancial Reporting Council. Regulator press release. 12 October 2023.Supports the fines, the admitted breaches in the 2013 to 2016 Carillion audits and the finding that some breaches were not dishonest. The full decision documents were not read.Link working, checked 25 October 2026
Other claims about KPMG LLP
- Supported94The Financial Reporting Council said in October 2023 that KPMG failed to gather sufficient appropriate audit evidence in its audits of Carillion's 2014 to 2016 financial statements.Regulator statement, 12 October 20233 records citedAccounting
- Opinion73A May 2018 joint report of two House of Commons committees said KPMG was complicit in Carillion's aggressive accounting judgements.Official report, 16 May 20183 records citedAccounting