Whistleblower claims accountants turned a blind eye to Dubai firm he says painted 5 tons of gold to look like silver

Whistleblower claims accountants turned a blind eye to Dubai firm he says painted 5 tons of gold to look like silver:

  • An E&Y whistleblower claims his former employer is guilty of suppressing information about money laundering and other wrongdoing in its audit of a Dubai gold company.
  • Amjad Rihan is suing his former employer and has accused E&Y of continuing to work with Kaloti group after he blew the whistle in 2014.
  • Kaloti group is accused of painting gold bars silver to avoid export restrictions and of doing business with organisations listed by US authorities as fronts for terrorism and organised crime, according to documents filed in the high court.
  • E&Y and Kaloti group have denied any wrongdoing.

LONDON — Big Four consulting firm Ernst & Young (E&Y) has been accused of “unlawful, unprofessional, and unethical” behaviour relating to its audit of a Dubai gold company accused of money laundering and buying gold from conflict zones.

The allegations were made in documents, seen by the Guardian, filed in the high court by lawyers acting for Amjad Rihan, a former E&Y partner who blew the whistle on the alleged scandal in 2014.

A spokesperson for E&Y said to the Guardian: “We are aware of the lawsuit and deny any liability on this matter. We plan to vigorously defend any allegations made against EY.”

Kaloti could not immediately be reached for comment.

Rihan led the E&Y team that audited Dubai-based Kaloti group, a major player in the gold refining market. The audit was required to prove Kaloti’s gold was responsibly sourced, in order for the company to meet the requirements of the Dubai Multi Commodities Centre (DMCC) and the London Bullion Market Association.

H/t reader eric:

“Ernst & Young took over from Arthur Anderson as the most corrupt in the pocket Accountants.”

* * *

PayPal: Donate in USD
PayPal: Donate in EUR
PayPal: Donate in GBP

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.