Macquarie Group Drops KPMG as Auditor Amid Ongoing Scandal
Synopsis
Macquarie Group has decided to replace KPMG with PwC as its auditor, adding pressure on KPMG Australia as a parliamentary inquiry examines allegations over confidential information and whistleblower complaints.
Macquarie Group has moved to drop KPMG as its auditor, citing ongoing concerns about the firm’s audit practices as scrutiny intensifies over its handling of confidential client information.
Macquarie announced the decision on Wednesday, saying its board had considered the issues surrounding KPMG Australia and formally questioned the firm about its ability to continue delivering the audit.
The board will instead recommend that shareholders appoint PwC as auditor at Macquarie’s annual general meeting.
“The decision follows continued scrutiny of KPMG Australia's audit practice,” Macquarie said, pointing to information exposed through the Parliamentary Joint Committee on Corporations and Financial Services.
The company added that the decision followed its enquiries into “the nature and impact of ongoing issues at KPMG Australia.”
KPMG Faces Mounting Pressure Over Whistleblower Claims
KPMG acknowledged Macquarie’s decision, with CEO John Sams describing it as a reminder that the consequences of the firm’s past failings were continuing to affect its business. “Rebuilding trust will require sustained action, transparency and time,” Sams said, adding that he was committed to leading the change.
KPMG has faced heightened scrutiny since a whistleblower raised concerns in 2024 about alleged misconduct and the handling of confidential information.
Public documents released by the parliamentary committee, with the whistleblower’s consent, have since detailed allegations concerning how the complaints were handled internally.
The whistleblower told the committee that concerns were raised with KPMG partners, its head of audit, senior leadership and independent directors before the matter was escalated to KPMG International’s whistleblower hotline and global leadership.
The whistleblower eventually contacted the Australian Securities and Investments Commission and Senator Deborah O’Neill, contributing to the parliamentary inquiry.
Parliamentary Inquiry Continues
Among the allegations examined by the committee are claims that KPMG stored confidential board papers and used them while pursuing major audit tenders.
The whistleblower also alleged that, in one instance, partners offered access to clients’ internal audit papers alongside a Telstra-issued laptop.
KPMG has been under sustained public and regulatory scrutiny over the allegations, although claims made during the inquiry remain subject to the parliamentary process.
The committee’s next public hearing is scheduled for September 4, 2026, in Sydney as lawmakers continue examining the firm’s handling of confidential information and whistleblower complaints.
Macquarie’s decision adds another significant corporate consequence for KPMG as it attempts to rebuild confidence in its Australian audit practice.
Source: ABC News
Vishal is an experienced Editor at Inspirepreneur Magazine with key interests in artificial intelligence, eCommerce, entrepreneurship, lifestyle and startup sector. Prior to joining Inspirepreneur, he was a Content Writer cum Correspondent at Siliconindia Magazine, where he worked on Company Profiles, Cover Stories, Executive Profiles, Feature Articles and Thought Leadership content.
