Investigation launched into Deloitte's handling of Serco's accounts following criminal tagging scandal

The Financial Reporting Council (FRC) has launched an investigation into the way accountancy firm Deloitte handled accounts for Serco, after the Serious Fraud Office (SFO) passed on papers linked to failed criminal tagging contracts.

The FRC said this morning that it has begun an investigation into the “preparation, approval and audit” of Serco’s financial statements over a two-year period, from January 1, 2011 to December 31, 2012.

“This decision follows information received from the Serious Fraud Office which is conducting an investigation into Serco’s electronic monitoring contracts in respect of England and Wales,” the FRC said.

Details of problems with Serco’s handling of a Government contract to fit offenders with electronic monitoring tags emerged in 2013, amid allegations of overcharging.

The outsourcer, along with rival firm G4S, was allegedly found to have been billing the Government for tagging prisoners who were either dead or in jail...

http://www.telegraph.co.uk/business/2016/06/08/investigation-launched-into-deloittes-handling-of-sercos-account/