KPMG’s $35 Million Deal Over Miller Energy Audit Wins Initial OK

Consulting behemoth KPMG LLP is one step closer to resolving claims that it “grossly overstated” the value of key Alaskan oil and gas assets acquired by Miller Energy Resources Inc. in 2009, after a federal district court in Tennessee granted preliminary approval of its $35 million proposed class settlement.

The Alaska assets, which were acquired in a fire sale for around $5 million, were said by Miller to be worth about $325 million when it announced the deal. Some subsequent valuations were higher. Miller hired KPMG to independently audit its valuations of the Alaska assets, and it issued “clean” reports. ...