After a scandal over the misuse of confidential government tax plans, the Australian accounting giant had announced that it is selling it’s government business for a mere one Australian dollar, or 50p.
The scandal has been going on since January
The scandal has been going on since January, when it was revealed that a former partner of the company leaked the information. This partner had been sharing corporate tax evasion laws with colleagues in order to pitch to potential clients. While the company said that no confidential information had been used in this process, public demand soon morphed into banning PwC Australia from being given government contracts until it addressed the situation adequately.
This it did, by announcing that it had identified 76 current and former employees and partners linked to the scandal, and reported their names to Australian authorities. The chief executive of the company on Monday, Kristin Stubbins, that employees found guilty would face severe consequences and that:
“We have failed the standards we set for ourselves as an organisation, and I apologise on behalf of our firm.”
Despite this, she was replaced by Kevin Burrowes as chief executive the next day on Sunday. The firm also announced the sale of its government business, consisting of 1750 employees and bringing in 20% of the revenue. It said in a statement that the sale will allow the firm “to move forward with predictability and focus.”