Leaders of the embattled consulting giant PwC are expected to be called before a Senate inquiry later this month as fresh allegations emerge of more confidentiality breaches.
Meanwhile the firm’s global CEO, Bob Moritz, will visit Australia this week to meet clients and partners, but Labor senator Deborah O’Neill believes the visit should be seen as no more than “another PR exercise”.
“There’s nothing wrong with doing that but let’s not pretend it’s anything more than that,” O’Neill said.
O’Neill also said the “full shape” of PwC’s alleged wrongdoings would not be known until separate investigations by the Australian federal police and the Tax Practitioner’s Board are finalised and two Senate inquiries finish their reports.
The federal Treasury has said it is assessing what action to take after PwC Australia revealed that in 2016 a partner forwarded documents related to confidential consultations with Treasury and tax officials regarding the GST treatment of digital currencies to colleagues, who had not signed confidentiality agreements.
That breach is in addition to the earlier tax scandal in which confidential information about multinational tax policy was shared with colleagues by a senior partner and misused by the firm to make millions of dollars from clients.
Ziggy Switkowski presented his scathing report into the firm’s internal culture last week, finding staff believed “revenue is king” and that partners exceeding profit targets are deemed “heroes” and are not always held accountable for their business practices.
A Senate inquiry probing the behaviour and ethics of PwC and its big four consulting counterparts, described in its interim report PwC’s “calculated” breach of trust by using confidential information to help its clients avoid tax and engaging in a “deliberate cover-up” over many years.
The inquiry has so far heard from executives from KPMG, EY and Deloitte. It is expected PwC employees will appear in hearings in the middle of October.
A separate Senate inquiry into allegations of misconduct at major accounting, audit and consultancy firms in Australia will hold its first hearings later this week.
O’Neill said PwC could not yet turn over a new leaf until those committees reported back and the outcomes of other investigations were determined.
“I don’t think there are enough new leaves to actually cover the gross exposure of PwC,” she said.
“There’s no line to be drawn under this.”
Barbara Pocock, a Greens senator agreed it was too early for the consulting giant to put the tax leak scandal in the rear view mirror.
“Given that we are learning of more breaches, it’s not reassuring – even when the most senior people in PwC fly into town,” Pocock said.
“It is far from over … and I know our committee is looking forward to our first meeting with PwC, which I hope is not too far off.”
Guardian Australia has contacted PwC for comment regarding Moritz’s visit.
