JOHANNESBURG – The Foschini Group has replaced KPMG as their auditor, following the scandal involving the President Jacob Zuma and the infamous Gupta family.
This followed other local companies such as Telkom SA SOC Ltd in reconsidering having work done for them by the accounting and auditing firm.
TFG have replaced KPMG with Deloitte and Touche LLP as their new auditors, they stated on their report on Monday. The change is effective and immediate and was made following the concerns of recent incidents by KPMG.
KPMG’s South African units is under investigation y the independent regulator board for Auditors into work for the politically connected Gupta family.
Telkom along with other local companies said they won’t ward any new business to KPMG pending the outcome of the ongoing investigation.
The results of the investigation are due to be announced on Thursday and the findings will be made public.
Although the Gupta family along with Jacob Zuma have denied doing any illegal business with the firm, they are still investigating the issue due to the fallout of the accounting and auditing firm as well as the economy fail faced by the country.
The big four banks have been advised to leave the firm due to their corruption but no news have been reported on their decisions as they affect more than just companies.