August 27, 2005

KPMG Fined

The corporate world dodged a bullet with KPMG agreeing to a fine and an outside monitor instead of an indictment. The accounting firm sold questionable tax shelters a Senate subcommittee said cost the federal treasury $1.4 billion. If KPMG would have been indicted it might have dissolved like Arthur Andersen did. Corporations were worried since that would have reduced competition in accounting services when compliance regulations have increased so much in recent years.

"KPMG Agrees to Fine"