KPMG has announced it will discontinue its US federal audit practice after losing significant contracts, including a crucial agreement with the Pentagon. This decision marks a significant shift for the firm, which has been involved in federal audits for years.
The loss of the army contract and subsequent withdrawal from federal audit work indicates challenges for KPMG in maintaining its presence in the government sector. The firm’s exit raises questions about the future of its operations in this area and the implications for government auditing standards.