The Australian competition regulator has chosen not to pursue a Labor-backed probe into possible illegal collusion between the big four consulting firms Deloitte, EY, KPMG, and PwC, stating that “conflicts alone” were not enough to be considered a breach of competition law.
“On the information before it, the ACCC has not found evidence that provides a basis to take further investigative action with respect to the allegations at this time,” wrote Rod Sims, the chairman of the Australian Competition and Consumer Commission (ACCC), in a letter sent on Tuesday, April 2, to the two Labor members who made the original written request.
“As you are aware, such evidence is necessary to put matters before a court.”
The ACCC’s decision to end the preliminary probe comes as the UK Parliament heard separate allegations this week that the British arms of the big four firms operate in an “anti-competitive” manner by deliberately underpricing audit work to make it “very difficult for challenger firms to compete.”
Full Content: Financial Review
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