EY fraud case | Harsh HR lessons as firm faces potential collapse

EY has been making headlines recently after the Financial Times (FT) reported that a whistleblower had highlighted issues of potential fraud back in 2016, revealed the Daily Mail.

EY had previously audited Wirecard’s books for over ten years until the German financial business went bust after admitting that £1.7billion had disappeared.

Following the claims that the whistleblower flagged fraudulent activity but was supposedly not acted upon was branded ‘just unbelievable’ by a Wirecard investor. They went on to tell the FT that if the allegations are true, it would allow the firm to sue EY for massive losses.

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The claims, which also include a bribery attempt of an EY employee based in India, allegedly came to light in a special audit into Wirecard by rival accountancy firm KPMG, which the FT has also seen.