Former PwC boss Luke Sayers responds to parliamentary claims of links to PwC tax scandal

Luke Sayers has rejected attempts to connect him to a tax scandal engulfing the firm, noting a parliamentary report only mentions him once.

Senators have questioned denials from former PwC Australia chief executive Luke Sayers who has rejected attempts to connect him to a tax scandal engulfing the firm, noting a parliamentary report tabled into the fracas only mentioned him once.

A spokesman for Mr Sayers, who is out of the country and no longer a partner at PwC after launching his own consulting group, said the report only noted he was “the former CEO of PwC”.

“Mr Sayers, who was elected Australian CEO by his fellow partners, was not aware of the confidentiality issues that have since emerged within the international tax practice at PwC,” the spokesman said.

“Mr Sayers, as he has already stated publicly, will of course co-operate with and assist any inquiry into PwC.”

The scathing report published by the inquiry into management and assurance of integrity by consulting services notes Mr Sayers was CEO of PwC during the period in which its former head of international tax, Peter Collins, took confidential information from government briefings and supplied it to partners and staff who monetised the information.

Luke Sayers. Picture: Ian Currie

The report, titled PwC: A calculated breach of trust, lashes the firm over its handling of the scandal and its reluctance to assist with investigations into its conduct by the Australian Taxation Office and the Tax Practitioners Board and takes issue with its engagement with the Senate.

The TPB hit Mr Collins with a two-year ban on practising and deregistered him as a tax agent.

However, PwC is now facing further investigations from the TPB and the Australian Federal Police, after Treasury referred the matter.

Despite the single mention in the report, Mr Sayers also faced criticism before the Senate on Wednesday night.

Labor Senator Deb O’Neill told the Senate the “profoundly unethical behaviour” from PwC “occurred under the watch of Luke Sayers”.

Senator O’Neill told The Australian it was “quite implausible” Mr Sayers was not informed about confidentiality issues at PwC given earlier evidence from the ATO of its clashes with the firm over claims of legal professional privilege as it attempted to investigate the issue.

“It is extremely surprising if that strategy was ticked off by anybody other than Mr Sayers,” she said.

The Senate criticised PwC over its engagement with the inquiry investigating the firm’s conduct, with Ms O’Neill taking aim over the professional services giant’s “swiftie” in handing over a list of names of staff and partners but warning they not be published.

PwC has faced calls to name the 63 staff and partners it has assembled in internal lists as it seeks to clarify who used or received confidential information.

PwC has assembled a colour coded list of staff as part of these efforts, however this information was not included on the list provided to parliament.

PwC has faced weeks of criticism over its use of confidential government information to shape tax strategies for clients Picture: Damian Shaw/NCA NewsWire

Greens Senator Barbara Pocock warned publishing the names would risk exposing PwC staff who may have inadvertently received information, but also took aim at Mr Sayers and former PwC leaders who “have taken no responsibility”.

Senator Pocock told The Australian while she welcomed Mr Sayers’ “willingness to assist” she questioned his statement that she said “merely continues the denial and obfuscation that has become a trademark response from PwC throughout this scandal”.

“If Mr Sayers wants to plead ignorance of the corrupt practices that took place over many years right under his nose while he was the person in charge at PwC, then he will face a very sceptical group of Senators and a very sceptical Australian public,” she said.

“Mr Sayers is known to have had a very close relationship with former CEO Tom Seymour who recently stood down from the role and who was the head of the PwC tax division while the tax scandal unfolded.”

Senator Pocock said PwC’s attempts to lodge tens of thousands of legal professional privilege claims during the period it faced investigation “would have involved PwC’s most senior legal counsel”.

“That kind of strategy would have to involve the CEO or at least be brought to their attention,” she said.

The scathing senate report comes as PwC prepares to face NSW parliament next week, with the firm’s acting chief executive Kristin Stubbins listed to appear before an inquiry scrutinising the state’s use of consultants.