Accounting watchdog floats strengthening auditors’ obligation to spot fraud October 21, 2020 The UK’s accounting regulator has proposed increasing the requirements on auditors to detect fraud in company accounts following a spate of high-profile accounting scandals. The Financial Reporting Council (FRC) has launched a review into the international accounting standard outlining auditors’ responsibilities to identify fraud. The watchdog is proposing revisions to the standard to provide “increased [...]
Boohoo takes £775m hit as auditor stands down October 20, 2020 Boohoo saw almost £775m wiped off its market value yesterday after the beleaguered fast fashion retailer said PwC was stepping down as auditor. Boohoo’s announcement that it was running a tender for a new auditor and that PwC would not take part in the process spooked investors, sending shares down 20 per cent to 254p [...]
Boohoo kicks off search for new auditor as PwC steps down October 19, 2020 Controversial fast fashion retailer Boohoo (BOO) has launched a search for a new auditor, with PwC stepping down in the wake of a report into abuses in the clothes company’s supply chain. Boohoo said in a statement that it had “recently launched a competitive tender process for the group’s audit”. It said that PwC – [...]
The end to modern slavery has its roots in the everyday changes October 18, 2020 Today is UK Anti-Slavery Day: a time to acknowledge the scale of this horrific crime and, perhaps most importantly, to deepen our resolve to fight against modern slavery, human trafficking, and human rights violations. Modern slavery is a hidden crime with an estimated 100,000 victims in this country alone. It touches the clothes we buy, [...]
H&M, Amazon and Boohoo among retailers to be quizzed by MPs over Uyghur slave labour links October 16, 2020 The bosses of retail giants including H&M, Amazon and Boohoo have been summoned to give evidence to a committee of MPs investigating the use of slave labour in the supply chains of UK companies. The Business, Energy and Industrial Strategy (Beis) committee is probing the extent to which businesses in the UK are exploiting the [...]
How to restore trust in a digitalised society October 15, 2020 Before the ascent of the internet, trust was earned through local reputation. A network of family, friends and neighbours determined which organisations could be relied upon by word of mouth. Someone would confide that a car dealer had let them down and was not to be trusted, shifting business elsewhere. Every parent was quickly made [...]
Asos sounds cautious note on future demand after profit quadruples October 14, 2020 Asos reported a quadrupling in full-year profit following a spike in online shopping during the coronavirus pandemic, but warned on the outlook for consumer spending among its young customer base. The fashion ecommerce giant reported profit before tax of £142.1m for the year to 31 August, up from £33.1m the year before. Read more: Asos [...]
Leicester factory scandal: Boohoo supplier involved in ‘multi-million-pound’ fraud scheme October 13, 2020 Leicester clothing factories with links to Boohoo and Select Fashion have been involved in a “multi-million pound” money laundering and VAT fraud scandal, an investigation has found. Firms based in the city’s garment manufacturing district, some of which were suppliers to the fast fashion retailers, were revealed to have been involved in fraudulent activity relating [...]
Retail body accuses government on inaction on garment worker abuse October 11, 2020 The trade body for the UK retail sector has said that the government has carried out no “significant action” to protect textile workers from exploitaiton. In a letter to home secretary Priti Patel, the British Retail Consortium (BRC) said: “Despite numerous reports in the media, and a previous letter to the home secretary signed by [...]
MPs probe fast fashion industry after Boohoo’s Leicester factory scandal October 6, 2020 The fast fashion industry will be scrutinised by a committee of MPs in the wake of Boohoo’s Leicester clothing factory scandal, after the government dismissed most of the recommendations of an initial inquiry in 2018. The Environmental Audit Committee (EAC) has today launched a follow-up inquiry into sustainability and working conditions within the fashion industry [...]