Global credit risk hits 20%, tops risk mgt concerns

Credit Risk

Global credit risk hits 20%, tops risk mgt concerns     Credit risk has become number one source of risk management concerns for financial institutions globally as it hit 20 per cent in 2020 from a paltry 3 per cent in 2018, a new report has shown. The report, a biennial survey on the state of risk management in the financial services industry globally was conducted by Deloitte &Touche between March and September 2020. Investopedia defined credit risk as the possibility of a loss resulting from a borrower’s failure to…

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Deloitte fined $19.4m for serious serial failures in Autonomy audit

Britain’s accounting regulator said on Thursday it has fined Deloitte a record 15 million pounds ($19.4 million) for its audit of software firm Autonomy that contained “serious and serial failures”. Deloitte, one of the world’s Big Four auditors, and two of its now former partners, Richard Knights and Nigel Mercer, were investigated in relation to their audit of Autonomy’s financial statements for 2009 and 2010. Autonomy, founded by Mike Lynch, was bought for $11 billion by Hewlett Packard (HP) in 2011, but the deal turned sour a year later when…

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