Ashurst denies role in investigation tied to KPMG Australia scandal

Ashurst has denied claims that it investigated whistleblower allegations at the centre of a widening scandal over the alleged misuse of confidential client data at KPMG Australia.

The allegations, first revealed in March under parliamentary privilege by an Australian senator, concern claims that confidential audit client information was shared inside KPMG to help the firm win new work.

The controversy has already led to major fallout at the Big Four firm. KPMG Australia chief executive Andrew Yates and audit head Julian McPherson both stood down in May after a separate investigation by law firm Allens found evidence supporting some of the whistleblower’s claims, the Australian Financial Review reported.

KPMG said that Ashurst was brought in to investigate the allegations and found no wrongdoing, according to AFR.

At an Australian Senate hearing last Friday, Melbourne-based Ashurst partner Jane Harvey and global CEO Paul Jenkins said the firm had never been engaged to investigate the whistleblower’s allegations.

Ashurst said it had been engaged to advise on a related employment matter in January 2025, but not the claims themselves.

Deborah O'Neill, the Australian senator leading the inquiry, said KPMG had thrown Ashurst and Allens "under the bus".

Audit leaks scandal

The whistleblower raised concerns about the conduct of senior KPMG audit partners in Sydney, and claimed the firm moved to terminate his employment within a month of raising the alarm, AFR reported separately.

Incoming global chief executive Gary Wingrove, who was previously head of KPMG Australia, apologised to the whistleblower at the hearing.

Another Big Four firm, PwC, found itself caught up in a similar scandal in 2023 after a partner, who was advising the Australian government, shared confidential government tax plans with colleagues, who then used it to pitch new business.