UK Watchdog Probes Some EY Audits Over Post Office Scandal

Ernst & Young faces an audit watchdog probe over its work for the UK Post Office after faulty accounting software left hundreds of branch operators wrongly prosecuted and sometimes jailed between 1999 and 2015.

The Financial Reporting Council has launched an investigation into EY’s audits of Post Office accounts between 2015 and 2018, with a focus on the Horizon accounting software at issue, the regulator said Wednesday.

The software, developed by Japanese technology firm Fujitsu, falsely suggested that sub-postmasters had stolen money from their branches due to accounting shortfalls. Audit reports failed to raise any questions about the reliability of ...