High Court Battle Looms Over Retail Giant’s Collapse
- Sir Philip Green seeks judicial review of FRC’s report on PwC’s handling of BHS audit
- PwC fined £6.5m, Denison barred from audit work for 15 years over BHS collapse
- Labour MP Frank Field calls for full disclosure of report drafts and amendments
Sir Philip Green, the former owner of BHS and current Topshop and Arcadia owner, is seeking a judicial review of the Financial Reporting Council’s (FRC) report into PwC’s handling of the retailer’s audit. The High Court hearing is set for Thursday 21 June as Taveta Investments, BHS’s parent company, demands changes to the FRC report. Green is reportedly concerned that it may reveal details about his business dealings related to BHS. In June 2016, the FRC launched an investigation into PwC’s handling of BHS’s audit, two months before its collapse. The regulator fined PwC £6.5m and banned its audit partner, Steve Denison, from any audit work for 15 years. However, the penalties were reduced to £325,000 and a 15-year ban for early settlement. Labour MP Frank Field has called for full disclosure of all report drafts and amendments. Retail Sector reached out to PwC but received no response.
Factuality Level: 8
Factuality Justification: The article provides accurate and objective information about Sir Philip Green’s request for a judicial review of the FRC report and includes relevant details about the investigation into PwC’s handling of BHS’s audit. It also mentions the fines imposed on PwC and its partner, Steve Denison. However, it could provide more context about the reasons behind the investigation and the specific aspects Green is concerned about.
Noise Level: 4
Noise Justification: The article provides relevant information about Sir Philip Green’s request for a judicial review of the FRC report and the consequences of PwC’s handling of BHS audit, but it could benefit from more in-depth analysis or context on the implications of the case and potential lessons learned.
Financial Relevance: Yes
Financial Markets Impacted: PwC, BHS, Topshop and Arcadia
Financial Rating Justification: The article discusses financial matters related to the audit of BHS by PwC, which led to fines for PwC and its partner Steve Denison. It also mentions Sir Philip Green’s ownership of Topshop and Arcadia, making it financially relevant.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Extreme Rating Justification: There is no extreme event mentioned in the text.
www.retailsector.co.uk