Thursday, July 22, 2004

Royal Dutch Shell

Dear all,

Quoted from article "£150m bonanza for Shell's auditors" page 09 Internal Auditing & Business Risk, July 2004:

KPMG and PwC face questioning by the Securities & Exchange Commission, the US financial regulator, over their role at Shell. A damning report into the reserves fiasco by the American law firm Davis Polk & Wardwell found that "aggressive" booking arose because Shell's internal reserves audit department was "understaffed and undertrained". The report added: "The function was performed by a single, part-time former Shell employee", with almost no training in regulatory issues.