KPMG Australia Faces Inquiry Over Misuse of Client Data

A parliamentary inquiry in Canberra has revealed that KPMG Australia misused confidential client data to bid for audit contracts. Former audit partner Eileen Hoggett admitted during a public hearing that she stored confidential Lendlease board documents in her office locker to assist in winning business with other clients. Hoggett, a former CEO contender, was expelled from the firm last month by CEO John Sams after she had previously denied the documents existed. She apologized to the committee, stating a May 2023 email proved her previous interview answers were inaccurate.

The scandal has led to the resignations of KPMG's CEO, chairman, and audit boss. Senator Deborah O'Neill reported that numerous additional whistleblowers have come forward alleging a pattern of similar misconduct across the firm. Optus described the firm's actions as an egregious and flagrant breach of professional duties.

Corporate fallout has intensified as major clients review their relationships with the firm. Macquarie Group Chairman Glenn Stevens warned that KPMG could lose its 70 million dollar annual audit contract pending an external review. Westpac board member Michael Ullmer testified that the bank's board remained unaware of the allegations until March 2026, while Westpac director Peter Nash resigned due to ties with the firm. Additionally, Dexus Chairman Warwick Negus refuted claims that KPMG was permitted to use internal audit information to pitch for external work.