"Serious and repeated failures". Deloitte fined with record value in the UK

The consultant was condemned for the failed audit of a British software company, where financial statements wrongly inflated its value.

Deloitte was punished with a record fine for "serious and repeated failures" in the audit of software company Autonomy, reports Reuters. The £ 15 million (€ 16,4 million) fine was imposed this Thursday by the UK Financial Reporting Council.

At issue were Autonomy's financial statements in 2009 and 2010, before being purchased by Hewlett Packard (HP) in 2011. After this acquisition, which was made for 11 billion dollars (9,3 billion euros), HP would reduce the company's value by three quarters, claiming it was defrauded in Autonomy's finances.

The British regulator has now come to uphold HP's complaint, having also sanctioned two of Deloitte's partners involved in the audit. The company and its employees defend themselves saying that their practices "have evolved significantly since this audit was carried out more than a decade ago", quotes Reuters.

The decision comes after a lengthy process, including an appeal brought by the consultant to the courts in July.

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