KPMG Fined a Record £21 Million Over Carillion Audit Scandal (1)

KPMG LLP was fined a record £21 million ($25.9 million) over its failings in the audit of defunct construction and facilities management firm Carillion Plc by the UK’s watchdog.

The Financial Reporting Council said Thursday said that the number of errors in the reporting were “exceptional” and “failed to adhere to the most basic and fundamental audit concepts.” It’s the largest penalty ever imposed by the regulator.

Carillion’s collapse was one of the biggest corporate casualties in British history. It fell into liquidation in 2018 after the UK government refused to bail it out, costing almost 3,000 jobs and leaving ...