PCAOB fines KPMG units $3.4M, PwC Singapore $1.5M for audit, independence violations

Nine affiliates of KPMG agreed to pay a total of nearly $3.4 million for alleged violations of audit and quality control standards, while PwC Singapore will pay $1.5 million to settle separate allegation that the firm manipulated independence compliance reporting.

KPMG subsidiaries in Brazil, Canada, Italy, Israel, the U.K., Mexico, South Korea, Switzerland, and Australia agreed to pay the collective penalty for failing to “accurately disclose who performed audits” and other alleged misconduct, the Public Company Accounting Oversight Board (PCAOB) said in a press release Tuesday.

In a separate enforcement action, PwC Singapore agreed to pay $1.5 million for its alleged failure to have appropriate policies and procedures related to its Personal Independence Compliance Testing (PICT) process and to foster an appropriate ethical culture within its independence office.