PwC referred to newly opened anti-corruption commission

Troubled accounting and consultancy giant PwC has been referred to the new National Anti-Corruption Commission after revelations that staff at the firm leaked confidential government information to clients.

The firm is one of the first issues to be referred to the new independent agency, led by former NSW judge and war crimes investigator Paul Brereton, when it opened operations on Saturday.

Greens senator Barbara Pocock made a formal referral of the consulting firm to the commission over the weekend.

Greens senator Barbara Pocock made the formal referral to the NACC, which opened its doors on Saturday. Credit: Martin Ollman.

The PwC scandal has been high on the Greens’ list of issues the party says should be investigated by the national corruption watchdog, which has been set up to detect and investigate corrupt conduct in the Australian government sector with the power to compel witnesses. However, the NACC does not have to investigate a referral that has been made to it. Attorney-General Mark Dreyfus has stressed the independence of the agency, saying that while any Australian can refer any matter they believed may have constituted serious or systemic corruption, “only the commission can determine what matters it investigates”.

Senator Pocock said the watchdog would be able to shed further light on PwC’s use of confidential government information. The Australian Federal Police are investigating.

“The PwC tax leaks scandal has been airing in public for the past five months and so far we know too little about who was at fault, who benefited and what consequences there will be,” she said.

“While we welcome the AFP investigation to prosecute appropriate criminal charges, there are wider issues that need to be addressed to ensure that our systems of government are not open to corruption.”

Greens Senator Barbara Pocock. Credit: Alex Ellinghausen

The senator shared details of her referral of PwC on Saturday, by posting a photo of her request on Twitter.

“The investigation should include consideration of the actions of Commonwealth entities in response to the knowledge of this corrupt behaviour: were they robust, timely and did they utilise the full capability of tools available to them in response?” the document shared to the social media platform says.

“Events since the initial monetisation of the confidential information bear investigation, specifically investigation of who benefited, who was involved in covering up these events and helped in any way to ensure they did not receive public scrutiny or consequences.”

The Australian Federal Police began a criminal investigation into the consulting firm and its former partner Peter Collins in May.

A joint report from Labor, Coalition and Greens senators released last month accuses PwC of “a calculated breach of trust” over the scandal and the group’s attempts to minimise the seriousness of the situation.

The firm last week said its global clients and industries leader Kevin Burrowes would become the new chief executive of its Australian business. It also confirmed the sale of its government business to private equity group Allegro Funds for $1.

There were also 47 roles made redundant at PwC last week, in the lead-up to the end of the financial year.

“At the end of each financial year, we have partners leave the firm and retire from the partnership. We have had a slightly higher number than average of departures and retirements during the year, but our partnership has also grown during that time,” A PwC spokesperson said.

“In a small number of areas across the firm, we have also made some roles redundant where our business focus has changed.”

- with AAP

The Business Briefing newsletter delivers major stories, exclusive coverage and expert opinion. Sign up to get it every weekday morning.