KPMG Nets £2.3 Million for Patisserie Valerie Despite Conflict of Interest

KPMG has been paid about £2.3m for its work on winding down Patisserie Valerie, despite being replaced as administrator to the failed bakery chain due to a conflict of interest, the Financial Times reported. The Big Four accounting firm, whose insolvency partners earned £875 an hour for the work according to its latest disclosure to creditors, will cease to be administrator as it cannot pursue legal claims against Patisserie Valerie’s auditor, which is expected to be the next stage in attempting to recoup money for creditors. It is unable to take action against Grant Thornton as it is its own auditor. The collapsed business will instead be taken over by restructuring firm FRP Advisory, which will put the company into liquidation. Read more