Australian ban on new KPMG contracts still leaves room for $38.5M to flow to consulting firm

The Australian government has banned new contracts with KPMG, a consulting firm embroiled in a whistleblower scandal. According to Politico, this ban still leaves room for $38.5M to flow to the firm. The ban was reportedly announced in response to the scandal, which has been unfolding over the past year. Politico notes that the government's decision to allow existing contracts to continue is significant, as it means that KPMG will still receive millions of dollars in payments.

Politico's report is consistent with statements from the Chartered Accountants of Australia and New Zealand, who have been investigating KPMG's conduct. The CA ANZ has stated that it is still reviewing the firm's Quality Practice Review and ongoing conduct investigations. In contrast, The Mandarin notes that the ban on new contracts may not be enough to prevent KPMG from continuing to operate in Australia.

The current state of the scandal is that KPMG is still facing investigations and reviews, and it remains to be seen how the firm will ultimately be affected. The government's decision to allow existing contracts to continue has been criticized by some as a 'free pass' for the firm. Politico's report highlights the complexity of the situation and the need for further investigation into KPMG's conduct.