Accountancy giant KPMG is being investigated by the industry watchdog over its auditing of Ladbrokes and Coral betting giant Entain.
The Financial Reporting Council (FRC) said it had launched an investigation into KPMG’s work on Entain’s 2022 accounts.
A KPMG spokesman said: “We will cooperate fully with the FRC to conclude this matter as quickly as possible.”
KPMG has been Entain’s auditor since 2018.
It comes as a blow to KPMG after it has invested heavily to improve quality across its audit division following a number of fines and scandals.
We will cooperate fully with the FRC to conclude this matter as quickly as possible
KPMG was fined £21 million over its work on Carillion’s books ahead of the firm’s high profile demise.
Entain declined to comment on the investigation into KPMG.
It comes after Entain last year appointed a new chief executive, Gavin Isaacs, following the sudden departure of former boss Jette Nygaard-Andersen at the end of 2023 in the wake of a £615 million settlement to resolve a probe into alleged bribery at a former Turkish subsidiary.
The group reached an agreement with HM Revenue & Customs (HMRC) to settle an investigation into the group over activities at the Turkish-facing business that it sold in 2017.
The Crown Prosecution Service last October invited individual suspects to enter plea discussions involved in its investigation centred on Entain’s former Turkish subsidiary.
