Today's parliamentary hearing into the ethics and professional accountability of KPMG revealed damning evidence of KPMG's whistleblower mistreatment and a culture of profit above all else.
Federal parliamentarians across the political spectrum united in grilling KPMG over its multiple scandals and established patterns of unethical behaviour. KPMG is accused of sharing confidential client information to rig audit tenders, using AI to cheat on internal exams, breaching audit independence, and mistreating the whistleblower who raised concerns. KPMG's sins are multiple.
Meanwhile, the Labor Government has 297 active contracts with KPMG totalling $653 million of public money. The Greens say KPMG have lost the confidence of the Australian public and they should not have the confidence of any government.
Evidence to the committee today showed:
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KPMG's refusal to cooperate with the Parliament hiding behind 'legal professional privilege'.
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KPMG's refusal to provide Lendlease copies of investigations in relation to Lendlease' own information on the basis of legal professional privilege.
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Criticism from KPMG's own independent directors over KPMG's decision to withhold crucial documents from the Parliament.
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KPMG breathes a toxic culture where its thirst for profits is prioritised at all costs.
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Senior members of KPMG committed a 'fundamental breach' of trust and 'grave misuse' of their access privileges to Lendlease's information, with a 'piecemeal and sporadic' response from KPMG.
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KPMG confirmed that staff leaked Optus' confidential and unredacted information to colleagues bidding for an audit contract with Telstra, yet could not confirm whether those involved had self-referred themselves for investigation.
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KPMG chairman Martin Sheppard denied that the sharing of confidential client information between the firm's teams was for financial gain.
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Former KPMG Mr Yates was paid $3.2 remuneration in 2025 and received a retirement payment of $2.4 million when he resigned as result of the multiple scandals, along with additional large payments.
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The KPMG whistleblower was threatened and retaliated against for speaking up, whose claims were treated as an 'employment' HR problem.
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KPMG has admitted to accessing the whistleblower's laptop without their knowledge on multiple occasions, including to ensure that KPMG's information was not shared outside the firm.
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KPMG is providing legal advice to the now resigned KPMG CEO Mr Yates while no legal advice has been offered to the whistleblower.
As stated by Greens finance and public service spokesperson Senator Barbara Pocock:
"The Parliament heard evidence of KPMG's toxic culture of retaliation, fear and retribution, and profit at all costs. We heard how the whistleblower 'was threatened' and 'retaliated against' for speaking up against KPMG.
"KPMG is hiding behind 'legal professional privilege' to avoid accountability. KPMG's lack of transparency is an insult to the Parliament and to the Australian people.
"KPMG do not deserve to be receiving $653 million of Commonwealth public money when they are systemically dishonest.
"KPMG's M.O. is to run towards the pot of money while dropping their ethics at the first hurdle.
"Yates has left KPMG carrying big cheques. $2.4 million is an enormous amount of money for someone who was in charge of the KPMG disasters. Meanwhile, the brave whistleblower has walked away with the loss of their reputation, loss of their employment, and enormous damage to them as an individual.
"Two of the Big 4 - PwC and KPMG - have shown us they are not fit for government work. They have had the dubious honour of uniting the Australian Parliament in the face of their flagrant ethical breaches and misuse of confidential client information.
How can the Government continue to justify using KPMG's services?
"Australian taxpayers are being taken for a ride yet again. KPMG have placed greed over ethics and lost the confidence of the Australian people.
"This is our third parliamentary inquiry into the Big 4 firms. We already know what the recommendations are. It's now time for the Labor Government to implement them so we can properly regulate a sector gone rogue.
"Until they do, Big 4 firms like KPMG are working the system, mistreating anyone who blows the whistle and laughing all the way to massive profits as they hold the Parliament in contempt.
"We need to properly regulate the Big 4 firms. They need to be governed and taxed by the Corporations Act, prevented from donating to political parties, and held to account for their behaviour.
"KPMG's governance is nothing short of a train wreck and Mr Sheppard, Chairman of the Board, needs to share responsibility with the past CEO Mr Yates, and resign."
