KPMG announces plan to donate R40 million after Gupta controversy

KPMG announces plan to donate R40 million after Gupta controversy

KPMG said that it has made a decision to take disciplinary action seeking dismissal in relation to Jaques Wessels, the lead partner on the non-listed Gupta businesses.

Cranston said KPMG worldwide would work actively with the South African business to improve audit quality and risk management processes.

Cape Town - On Friday KPMG South Africa CEO Trevor Hoole, chief operating officer Steven Louw, chairperson Ahmed Jaffer and five senior executives resigned over the work the firm had done for the Gupta family.

KPMG said that the evidence in the documentation provided did not support the interpretation that Gordhan knew, or ought to have known, of the "rogue" nature of this unit.

KPMG said it was donating the equivalent of 40m South African Rand (£2.2m) - the total fees earned from Gupta company work from 2002 - to not-for-profit groups working in education and the anti-corruption sector.

"One can sort of half welcome the statement but it falls short when so many honest employees have been cast aside and went through whole lot of trauma and for which KPMG says we don't take responsibility", says Gordhan.

"While the investigation did not identify any evidence of illegal behaviour or corruption by KPMG partners or staff, this investigation did find work that fell considerably short of KPMG's standards", said KPMG International, which published a 10-page report on its investigation into the South African arm.

Iceland PM calls snap election after a coalition party quits
Speaking to reporters, Mr Benediktsson said: "We have lost the majority and I don't see anything that indicates we can regain that".

Nhlamu Dlomu is the new KPMG SA CEO, while Cranston will be interim chief operating officer for the next three to six months.

KPMG is one of four global firms which have launched major investigations into their work with the Guptas.

"Whilst there have been personal consequences, the real issue that confronts us is the significant damage to our hard-won democracy, to our state institutions and ultimately to the South African people", he said in a statement.

The three Gupta brothers, Atul, Ajay and Rajesh, came to South Africa in the early 1990s and built a commercial empire stretching from computers to mining and media. The brothers have rejected the public watchdog's accusations of corruptly influencing Zuma.

The firm's worldwide network launched an internal investigation after leaked emails showed a Gupta-owned company, Linkway trading had used laundered money from the state to pay for a family wedding.

The Gupta scandals have piled pressure on Zuma and opened rifts in the African National Congress, the party that has ruled since the end of apartheid in 1994.