Latest news with #IntegratedFinanceManagedServices
Yahoo
23-05-2025
- Business
- Yahoo
EY faces $2.7bn lawsuit over alleged audit failures
Auditing giant EY is being sued for approximately £2bn ($2.7bn) by the main shareholders of United Arab Emirates (UAE) hospital operator NMC Health, Reuters reported. The 12-week trial at the High Court in London on 19 May 2025, centres on allegations that EY's audits from 2012 to 2018 were negligent, failing to uncover significant unreported borrowing by NMC's main shareholders. NMC Health, was listed in London in 2012 and promoted to the FTSE 100 in 2017, collapsed in 2020 after revealing more than $4bn in hidden debt. Administrators Alvarez & Marsal, appointed after NMC's collapse, argue that EY, formerly Ernst & Young, provided unqualified audit opinions during the period, despite missing billions in undisclosed debt and guarantees. Simon Salzedo, the lawyer representing NMC's administrators, described EY's audits as 'among the most fundamentally flawed examples of big-firm auditing' seen in a UK courtroom. He acknowledged that a single incorrect audit opinion does not necessarily constitute negligence but argued that issuing seven consecutive flawed opinions was difficult to justify. EY, however, denied the allegations of negligence. The firm's lawyers contend that EY was a victim of a 'pervasive and collusive fraud' orchestrated by NMC's senior personnel, including its principal shareholders, who manipulated the company's accounts to conceal the fraud from auditors. They argued that NMC's case relies on expecting auditors to achieve the 'impossible' in detecting such deception. The lawsuit follows other recent criticisms of EY's auditing practices, including its work for collapsed travel firm Thomas Cook and German payments company Wirecard. The administrators are seeking damages of around £2bn plus interest, down from an earlier claim of up to £2.7bn, primarily linked to undisclosed financial guarantees. Separately, NMC has initiated legal action against its founder, BR Shetty, who denies any wrongdoing, as well as other parties in London, the UAE, and the US. Earlier in May 2025,, EY launched Integrated Finance Managed Services, a solution designed to expedite enterprise transformation by leveraging SAP S/4HANA Cloud. "EY faces $2.7bn lawsuit over alleged audit failures" was originally created and published by International Accounting Bulletin, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Techday NZ
12-05-2025
- Business
- Techday NZ
EY & SAP launch integrated finance service to drive growth
EY has announced the launch of a new Integrated Finance Managed Service solution in collaboration with SAP, aimed at helping organisations accelerate their enterprise transformation. The service model operates using SAP's cloud solutions and covers multiple core business functions, including human resources, payroll, finance operations, controllership, financial planning and analysis, treasury, tax, and application management. EY's offering incorporates SAP S/4HANA Cloud together with EY's domain and industry experience. According to the company, the solution is designed to help high-growth businesses create value and bolster relationships with investors, regulators, and clients. EY has become a managed services provider with a "Run" focus as part of the SAP PartnerEdge programme. Through this ongoing collaboration with SAP, EY intends to help clients more rapidly achieve both strategic and operational goals. The Integrated Finance Managed Services model is built on a robust data infrastructure and utilises an ecosystem of alliances. It is intended to provide rapid scalability and agility, as well as flexibility and resilience to support organisations as they transform and grow. The model also aims to promote improved governance and enhanced efficiency through automation, while relieving businesses of the burden of building, maintaining, and financing advanced technology, with the aim of freeing up capital for future innovation initiatives. One of the early adopters is IntraBio, which used Integrated Finance Managed Services as part of its efforts to realign financial, human resources, and accounting processes around its core goal of developing and commercialising new products. By outsourcing finance processes, IntraBio was able to maintain its focus on bringing drugs to patients in need. This approach supported IntraBio's successful launch of AQNEURSA, a treatment for Niemann-Pick Disease Type C, following its approval by the U.S. Food and Drug Administration in 2024. Marie-Laure Delarue, EY Global Vice Chair - Assurance, commented: "Businesses and their finance functions face intense challenges at the best of times, as they strive for growth in hugely competitive markets. In today's volatile economic and geopolitical climate, these challenges have only intensified." "Through Integrated Finance Managed Services, we're able to lift some of the burden that so often hinders business transformation efforts, meaning they can turn their attention to the real drivers of success. As IntraBio's story clearly shows, companies that can redirect their time and energy toward their priorities can reap incredible rewards in terms of innovation, product development, and ultimately their competitive edge." In addressing the operational considerations faced by businesses, Raj Sharma, EY Global Managing Partner - Growth and Innovation, said: "The world's most innovative companies with bold growth and transformation plans are often weighed down by non-core tasks, diverting valuable executive time and resources. Well-structured enterprise functions are critical to scaling and sustaining success, but without the right support, it can become a distraction from the strategic priorities that drive real value." "The Integrated Finance Managed Services solution can provide companies with a new model, helping businesses operate more efficiently and enabling leaders to focus on what matters most. We believe this solution can fundamentally change how clients think about their enterprise functions." Thomas Saueressig, Member of the Executive Board of SAP SE, Customer Services & Delivery, added: "Through this collaboration with EY, we are excited to combine SAP's leading cloud suite, enriched with Business AI capabilities, and EY teams' deep domain and industry experience to help deliver better insights and drive better outcomes for customers." EY's solution is positioned as an option for organisations seeking to shift focus from operational management to strategic business objectives, responding to increasing pressure in finance and other business-critical domains in the current economic and regulatory environment.
