PricewaterhouseCoopers LLP, owners of the name PricewaterhouseCoopers knew about the fraud in PwC in Malaysia , and did nothing about it, here's the evidence!

This is from documents that we have just received in the past few days. The documents will show how PricewaterhouseCoopers LLP and their Office of the General Counsel in New York, knew about the ongoing fraud by PwC in Malaysia back in 2003, but chose to do nothing about it!

In February of 2003, a letter was sent to Mr Steven G. Silber of PricewaterhouseCoopers LLP regarding the Global Disposal of the PricewaterhouseCoopers Consulting arm by PricewaterhouseCoopers LLP to International Business Machine Corporation.

In that letter, it was stated that Mr Steven G. Silber had confirmed the following:

1. That IBM has completed its worldwide acquisition of the consulting arm of PricewaterhouseCoopers known as PricewaterhouseCoopers Consulting for a total consideration of USD 3.5 Billion some six (6) months ago.

2. That as a result of the global disposal of PricewaterhouseCoopers Consulting by PwC to IBM, PricewaterhouseCoopers Consulting has ceased to exist anywhere in the world.

3. That as a result of the global disposal, as aforesaid, there is no way that PricewaterhouseCoopers Consulting could continue to exist anywhere in the world.

Despite repeated reminders, Mr Steven G Silber chose not to dispute the points except for this terse e mail message he sent:

"Please stop faxing or contacting me about this matter. Your correspondence should be directed to our Office of General Counsel, to which I have delivered your fax."

Subsequent to this, a letter was sent by Mr Andrew Plunkett, Assistant General Counsel, whose reply is as follows:



Reply from Mr Andrew Plunkett, from the Office of the General Counsel PricewaterhouseCoopers LLP, New York



Mr Andrew Plunkett, you knew that PricewaterhouseCoopers Consulting Sdn Bhd (Pte Ltd) (464379-U) was a member firm of the global organisation of PricewaterhouseCoopers, and you knew this from the sworn statement of no less a person than Raja Tan Sri Dato' Seri Arshad Bin Raja Tun Uda, the then Executive Chairman and Senior Partner of PricewaterhouseCoopers (PwC) Malaysia. Raja Tan Sri Dato' Seri Arshad Bin Raja Tun Uda was also Chairman of the Leadership Team of PwC Asia 7 and a member of the PwC Global Leadership Team. He was a member of the PwC Global IFRS Board and a member of the Standards Advisory Council of the International Accounting Standards Board.

Yet in your reply you chose to do nothing.

How does this act that allowed the continued existence of PricewaterhouseCoopers Consulting Sdn Bhd (Pte Ltd) (464379-U), to defraud its creditors, not contravene the conditions in the letter of no-action issued by the Securities and Exchange Commission relating to the acquisition. And what about the EEC's Article of non opposition to the acquisition, " IBM will, through the notified transaction, purchase substantially all of PwC's global management consulting and technology business from the relevant local firm on a country by country basis". 

Mr Andrew Plunkett, would PricewaterhouseCoopers LLP have taken the same decision to take no action if this had happened in Germany?

In Japan?

In Canada or good ol' US of A?

Does this action, or lack of, by the Office of the General Counsel not violate your own PwC Code of Conduct?

Did you not know about the appointment of Foong Weng Chee as a 'Sham Director', in PwC Consulting Malaysia Sdn Bhd (289801-A), but chose to do nothing?

Did you not know about the appointment of Chu Kum Yoon as a 'Sham Director', in PwC Consulting Malaysia Sdn Bhd (289801-A), but chose to do nothing?

Did you, Mr Andrew Plunkett, not know about the renaming of PricewaterhouseCoopers Consulting (East Asia) Sdn Bhd as PwC Consulting Malaysia Sdn Bhd (289801-A) on 20-11-2001, to be disposed off to IBM Corp as part of the acquisition?

Did you, Mr Andrew Plunkett, not know that the liquidator for PwC Consulting Malaysia Sdn Bhd (289801-A), was and is the same tainted auditor of the real and original firm of PricewaterhouseCoopers Consulting Sdn Bhd (Pte Ltd) (464379-U), to this very day?

The question is this, was PricewaterhouseCoopers negligent, or deliberate in allowing fraud to continue? Where did the complicity begin, and where does it end?

to be continued