Monday 24 September 2018

Former RSM Tenon finance director banned over ‘extensive’ misconduct

Accounting firm RSM Tenon collapsed into administration in 2013.

The former finance director of collapsed audit firm RSM Tenon has been banned from accounting for five years (Chris Radburn/PA)
The former finance director of collapsed audit firm RSM Tenon has been banned from accounting for five years (Chris Radburn/PA)

By Holly Williams, Press Association Deputy City Editor

The former finance director of collapsed audit firm RSM Tenon has been banned from accounting for five years by Britain’s accountancy watchdog.

Russell McBurnie has also been fined £57,000 by the Financial Reporting Council (FRC) and ordered to pay £825,000 towards the costs of the investigation after the regulator said he admitted “extensive misconduct” in relation to the preparation and approval of RSM Tenon’s accounts for the year to June 30 2011.

RSM Tenon collapsed into administration in 2013, after which it was acquired by Baker Tilly.

The FRC also fined accountancy giant PwC £5 million over misconduct in relation to the audit of RSM Tenon last August, with PwC partner Nicholas Boden fined £114,750 for his role in the 2011 audit.

It follows a formal complaint by the FRC’s executive counsel in connection with their conduct in December.

The FRC also announced sanctions against former RSM Tenon chief executive Andrew Raynor in December 2016.

On Mr McBurnie’s sanctions, the regulator said: “Mr McBurnie admitted nine allegations that his conduct fell significantly short of the standards reasonably to be expected of a member of the Institute of Chartered Accountants in England and Wales (ICAEW).”

It added he breached fundamental principals of the ICAEW’s code of ethics, including integrity, with the former finance chief admitting he was “reckless as to whether certain information within the financial statements had been fairly and accurately stated”.

Press Association

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