The two complaints filed April 1 against KPMG, one against the U.S. arm of the Big Four accounting firm in federal court in Los Angeles and the other in federal court in New York against its parent, KPMG International, are embedded and linked below. Assuming these allegations are true, ask yourself, if you were a juror on either case, whether you would be convinced that KPMG’s irresponsible accounting could have been a direct and foreseeable cause of the collapse of New Century Financial. It strikes me that plaintiffs will not have an easy time justifying their request for $1 billion in damages.
KPMG Intl New York Complainthttp://d.scribd.com/ScribdViewer.swf?document_id=13927228&access_key=key-763ppwcpfyop1ovaqkd&page=1&version=1&viewMode=
KPMG California Complainthttp://d.scribd.com/ScribdViewer.swf?document_id=13927229&access_key=key-2elvfq1kb1g8tw5z00ec&page=1&version=1&viewMode=
