Made.com’s auditor generated nearly £1 million in non-audit fees from the retailer’s ill-fated float, raising “major concerns” over the accountant’s independence.
EY netted the substantial fees advising on the listing as well as from giving the online retailer a clean bill of health in the run-up to the market debut. This is contrary to the best practice set down by shareholder advisory groups and the industry’s regulator.
Made.com listed on the stock exchange for £775 million in June last year. The retailer is expected to enter administration and has stopped accepting new orders to protect its creditors.
EY was paid £400,000 last year for its annual review of the company’s accounts and £900,000 for advising on the float, having gone through an independent tender process.
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