Deloitte Slams Leaked Report, Says Has Found No Evidence of Audit Infractions(Yicai Global) Feb. 5 -- Deloitte Touche Tohmatsu has already concluded an investigation into a report sent by a Beijing employee through internal channels alerting the multinational professional services network to possible irregularities in its auditing services and has found no evidence to support these claims, the firm said today after the report went viral.
London-based Deloitte reserves the right to take legal action against those who spread false information about the company, it added.
A 50-page PowerPoint document was sent from the firm’s group email on Feb. 3 mentioning several of its high-profile clients including logistics platform Sinotrans, pre-school educator RYB Education and air pollutant control and environmental protection firm China Boqi Environmental Holding.
A Deloitte representative accepted gift vouchers worth tens of thousands of Chinese yuan, or thousands of US dollars, from Beijing-based RYB Education to cover up problems found in its accounts, the report said. The company also did not follow proper procedure when auditing Beijing-based Sinotrans and Boqi for the year 2016
RYB Education’s stock price [NYSE:RYB] closed up 5.47 percent at USD2.70 per share yesterday and rose 23 percent in after-hours trading. Sinotrans’ shares [SHA:601598] closed down 2.99 percent today at CNY3.89 (USD0.60) and Boqi Environmental Holding [HKG:2377] fell 5.33 percent to finish at HKD1.42 (USD0.18).
Editor: Kim Taylor
