It has been proven, time and time again, that the Big 4 accounting firms (Deloitte, EY, KPMG, and PWC) which "audit" ASX company accounts are equivalent to the ratings agencies which rated US banks as AAA prior to the Global Financial Crisis in 2007-2009, in order words they don't properly and substantively read or audit any reports.
The Big 4 accounting firms CAN'T audit company accounts, as that would actually cause a large percentage of companies on the ASX to disclose serious issues, and it would also result in the Big 4 accounting firm that actually starts doing its job to lose most of its clients. ASX companies don't want to hear bad news from their auditor, all they want to receive from their auditor in a reply email is an invoice.
So, basically, no surprises that Deloitte was asleep at the wheel - their cousins at KPMG, PWC, and EY, are also all asleep at the wheel.
As long at the ASX listed companies keep on paying their auditing fees, and the executives at the Big 4 keep on getting their bonuses, and ASIC is ignorant of the above, then everyone is happy (apart from the shareholders).
I still can't believe EY still exists after what happened with Wirecard on the German stock exchange.
MME Price at posting:
8.0¢ Sentiment: Buy Disclosure: Held
