LISTEN: Munich Re on its decision to boot KPMG

Munich Re Africa becomes the latest business to dump KPMG as its auditor. The audit firm has been entangled in a scandal involving friends of President Jacob Zuma, the Gupta family.

CEO of Munich Re South Africa Nico Conradie says this was not a random decision but a thoroughly deliberated matter with the board.

He says it was the board's decision to wait for the outcome of KPMG's internal investigation prior to making any decisions.

KPMG released a report on the 15th of September. With this new information at hand, the board took it to account. After deliberations, we decided to resolve to appoint new auditors as of 2018.

Nico Conradie, CEO of Munich Re South Africa

Munich Re South Africa's decision to drop KPMG comes weeks after economist, Dr Iraj Abedian, took the decision to resign as a director, protesting the board's decision to wait for the outcome of KPMG's internal investigation.

Speaking to CapeTalk's Kieno Kammies, Dr Abedian says he had no doubt in his mind that KPMG was in the wrong and had nothing to wait for before making a decision.

I understand the fact that corporate South Africa had to follow a process but what I do not understand is to wait for KPMG's own report.

Iraj Abidian, Executive Chairman at Pan-African Capital Holdings

If we had a credible external team doing the investigation I could've said well let's wait but you cannot have KPMG judging it's own conduct. That was my problem and I decided to follow my own values.

Iraj Abidian, Executive Chairman at Pan-African Capital Holdings

Abedian says he applauds Munich Re South Africa for making a right decision but he has taken a decision not to go back to the board.

To hear the rest of the interview, listen below:


This article first appeared on CapeTalk : LISTEN: Munich Re on its decision to boot KPMG


Recommended

by NEWSROOM AI

702 welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

  • Racism (including offensive comments based on ethnicity and nationality)
  • Sexism
  • Homophobia
  • Religious intolerance
  • Cyber bullying
  • Hate speech
  • Derogatory language
  • Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the 702 community a safe and welcoming space for all.

702 reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

702 is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

Read More
Yunus Carrim: Parly committee on KPMG not equipped to carry out investigation

Yunus Carrim: Parly committee on KPMG not equipped to carry out investigation

Yunus Carrim, chairperson of Parliament’s Standing Committee on Finance says, the KPMG matter is very complex.

KPMG must die, says Dr Iraj Abedian (after Munich Re dumps it)

KPMG must die, says Dr Iraj Abedian (after Munich Re dumps it)

The Money Show’s Bruce Whitfield interviews Pan-African Investments and Research Services CEO Dr Iraj Abedian.

Sygnia offers Gupta whistle-blower Bianca Goodson a job

Sygnia offers Gupta whistle-blower Bianca Goodson a job

The Money Show’s Bruce Whitfield interviews Sygnia Asset Management CEO Magda Wierzycka.

IRBA to fast track probe into KPMG's Gupta firm audit

IRBA to fast track probe into KPMG's Gupta firm audit

The focus will be on audit of a Gupta-owned company allegedly involved in using public Free State funds to pay for Gupta wedding.

Trevor Manuel talks corporate responsibility in the era of state capture

Trevor Manuel talks corporate responsibility in the era of state capture

Former finance minister Trevor Manuel has asked where the governance is when everybody is involved in the corruption cesspool.

SA loses number 1 ranking (out of 138 countries) for auditing standards

SA loses number 1 ranking (out of 138 countries) for auditing standards

We’re now 30th. Bruce Whitfield interviews Lindie Engelbrecht of South African Institute of Chartered Accountants.

KPMG shunned by some clients after Gupta ties emerge

KPMG shunned by some clients after Gupta ties emerge

CEO of Pan-African Investment, Dr Iraj Abedian, resigned from the board of Munich Re Africa because it would not fire KPMG.

KPMG bosses in denial about damage caused to credibility and trust - economist

KPMG bosses in denial about damage caused to credibility and trust - economist

Economist Dr Iraj Abedian says it is problematic for companies to associate with auditors who face reputational risk.

Popular articles
I was not introduced to Ajay Gupta - Grootes

I was not introduced to Ajay Gupta - Grootes

Stephen Grootes says he believes former Eskom CEO Brian Dames when said he was not formally introduced to the Gupta family.

Vavi: I can't sleep at night for making Zuma the president

Vavi: I can't sleep at night for making Zuma the president

Zwelinzima Vavi says South Africa is paying dearly for choices they've made in being angry with Mbeki and not thinking logically.

Why the PAC wants South Africa renamed Azania

Why the PAC wants South Africa renamed Azania

Pan Africanist Congress's Narius Moloto explains why it supports the name Azania, a word which he says has Arabic origins.

WATCH: Zuma denies crisis at Sassa, won't evaluate isiphithiphithi (chaos)

WATCH: Zuma denies crisis at Sassa, won't evaluate isiphithiphithi (chaos)

Zuma says he cannot be expected to act against Minister Bathabile Dlamini on social grants matter now before the ConCourt.

Who is Advocate Tembeka Ngcukaitobi?

Who is Advocate Tembeka Ngcukaitobi?

The EFF lawyer stole the show during the state capture report court battle.

3 easy questions could bag you R2000!

3 easy questions could bag you R2000!

WIN R2000! But only if you can prove you're a whiz of the MTN Biz Quiz by answering the following three questions...

What in the World Happened To ... Felicia Mabuza-Suttle

What in the World Happened To ... Felicia Mabuza-Suttle

The #Afternoondrive team located entreprenuer and talk show host, Felicia Mabuza-Suttle to find out what she's been up to since she left our screens.