The decision on PWC was approved on July 20. The company’s opinions did not reflect actual risks of PrivatBank’s operation.
The National Bank of Ukraine excluded PricewaterhouseCoopers Ukraine from the register of auditor’s firms, which have the right to conduct financial audits of banks. Such decision was approved by NBU Board as per the request of the Committee on the Audit of Ukrainian Banks, according to the regulator’s press office, Correspondent.net reports.
“PricewaterhouseCoopers’ confirmation of provision of unreliable information about the financial and economic activities of PrivatBank PJSCCB, in particular, the amount of credit risk and regulatory capital, became the basis for taking such decision”, as said in the message.
It is stated that the company’s opinions did not reflect actual risks of PrivatBank’s operation, which became the reason for declaring the bank insolvent, its nationalization and significant state’s expenses on its capitalization.
It is noted that NBU’s right to exclude from the auditors of banks is stipulated by Article 7 of the Law On the National Bank of Ukraine and Article 70 of the Law on Banks and Banking and is specified in NBU’s regulatory acts.
The practice of excluding by the regulator from the audit of banks corresponds to the international approach and is based on the 27th principle of the Basel Core Principles on Effective Banking Supervision.
