Breaking: KPMG chair resigns amid whistleblower fallout

Tue 23 Jun 2026 at 11:15am

Tue 23 Jun 2026 at 11:15am

KPMG chair Martin Sheppard and two audit partners are leaving the accounting and consulting giant in the wake of a scandal over misuse of confidential client information and the alleged mistreatment of a whistleblower.

Mr Sheppard has announced that he will leave the firm shortly and retire from his regional board responsibilities.

Two audit partners, Paul Rogers and Eileen Hoggett, are also leaving KPMG.

KPMG said in a statement that it would be appointing its first independent chair after a short transition period to assist a smooth handover.

The departures follow revelations that KPMG partners improperly accessed confidential pitch documents submitted by rival firms to the board of property giant Lendlease.

The firm said it would also add independent directors to its Australian board as part of a major governance overhaul. New board subcommittees will oversee areas such as audit quality, ethics and whistleblower matters.

Interim chief executive Stan Stavros said the firm had fallen short of expected standards.

"The decisions announced today are necessary and immediate. We did not meet the standards expected of us, and we recognise the impact this has had on the whistleblower, our people, our clients and the community," he said.

"Trust will only be rebuilt through sustained action and demonstrable change. We are determined to confront what went wrong, act transparently and ensure these failings are not repeated."