The Institute of Chartered Accountants in England and Wales (ICAEW) has published a Consent Order, which settles professional disciplinary proceedings brought by ICAEW against Deloitte LLP, Mr Neville Kahn, Mr Christopher Farrington and Mr Nicholas Edwards, arising out of their roles as Joint Administrators (and subsequently, Joint Liquidators) of Comet Group Ltd, the high street retailer which went into administration in 2012.
Under the Consent Order:
- Deloitte, Mr Kahn and Mr Farrington have accepted liability to disciplinary action under Disciplinary Bye-laws 4.1b and 5.1b for their conduct in relation to the Comet administration;
- Deloitte and Mr Kahn have agreed to accept a severe reprimand, while Mr Farrington has agreed to accept a reprimand;
- Proceedings against Mr Edwards have been discontinued without disciplinary action;
- Deloitte, Mr Kahn and Mr Farrington have agreed to pay fines of £925,000, £50,000 and £25,000 respectively (£1 million in total);
- Deloitte has agreed to pay the Institute’s legal costs.
The Institute was advised and represented by Monica Carrs-Frisk QC and Catherine Callaghan QC.
Deloitte and the Joint Administrators were represented by Javan Herberg QC.
A link to the Consent Order can be found here: https://www.icaew.com/-/media/corporate/files/about-icaew/what-we-do/protecting-the-public/disciplinary-orders/30-january-2020.ashx.