The Financial Reporting Council’s executive counsel has delivered a disciplinary formal complaint against KPMG and one of its partners, David Costley-Wood after it believes its professional judgement was “compromised”. The alleged misconduct saw 1,300 employees of mattress maker Silentnight without their promised pensions.
The formal complaint also alleges that KPMG and Costley-Wood either knowingly or recklessly assisted with the provision of untrue and/or misleading and/or materially incomplete explanations to the Pension Protection Fund, the Pensions Regulator, Silentnight and the trustees of the Silentnight Pension Scheme.
A disciplinary tribunal will be convened to hear the complaint and determine whether KPMG and Costley-Wood have committed misconduct.
KPMG’s spokesman says: “We believe the FRC’s allegations to be wholly without merit. Given the matter is now subject to formal consideration by a tribunal, we will not be commenting further.”