April 20, 2001
* KPMG Consulting Inc. said it will fire as many as 550 people in the U.S. and Canada, or about 5% of its work force, as demand for its consulting services declines. The company said the weakness predominated in the financial services market during the end of the first quarter. KPMG Consulting, which went public in February, said the layoffs will result in a charge of $20 million for the current quarter. * * Starbucks Corp.
June 27, 2002 |
KPMG Consulting Inc. agreed to bring on board 140 partners and 1,400 workers from the U.S. consulting arm of troubled rival Arthur Andersen in a deal worth about $63 million. KPMG, based in McLean, Va., said it expects the latest deal to add $65 million to revenue in the first quarter of fiscal 2003. KPMG posted revenue of $2.9 billion in fiscal 2001, which ended last June 30. The move falls under a plan KPMG announced in May to acquire up to 23 independent Andersen consulting units.
November 28, 2000 |
KPMG Consulting Inc. knowingly misled CarsDirect.com about untested customer-tracking software that has cost the online auto store more than $50 million, CarsDirect.com said in a lawsuit. The suit, filed in Los Angeles Superior Court, offers a look at closely held CarsDirect.com, which dismissed 90 of its 750 employees two weeks ago. CarsDirect said KPMG's actions have "substantially impaired" its ability to meet customer demand and have caused "significant operating losses."
July 13, 2006 |
Former KPMG partners accused of creating bogus tax shelters are suing the firm for legal fees, after a judge ruled that prosecutors wrongly pressured the firm to cut off those fees. In a civil complaint, the 16 former partners are asking U.S. District Judge Lewis Kaplan in Manhattan to direct KPMG to pay their past and future legal bills in the case.
December 12, 2003 |
U.S. regulators have accused accounting firm KPMG of stalling an Internal Revenue Service probe by hiding the full extent of its role in creating dubious tax shelters for clients. The Justice Department said in a filing in federal court in Washington that KPMG delayed handing over documents and hid its tax shelter activities by refusing to register potentially abusive tax shelters with the IRS.
January 4, 2007 |
A criminal case against KPMG relating to alleged tax fraud has been dropped because the accounting firm complied with terms of an agreement with the government, federal prosecutors said Wednesday. KPMG had agreed in August 2005 to pay $456 million, accept an outside monitor and admit to wrongdoing in resolving a federal investigation into questionable tax shelters. The deferred prosecution agreement expired Dec. 31. U.S.