PwC’s report is a replica of Viceroy’s report: Perring

The release of the PwC forensic report on Steinhoff, which accused former CEO Markus Jooste and other directors of inflating profits and asset values through irregular transactions from 2009 to 2017, has sparked a firestorm of controversy and concern. Fraser Perring, the founder of Viceroy Research, joined CNBC Africa via Skype from New York to discuss the striking similarities between the PwC report and Viceroy's own findings on the Steinhoff scandal. Perring noted that the PwC report essentially mirrored Viceroy's report, covering irregularities such as related party transactions but failing to address issues like document forgery. He characterized the scandal as a blatant case of equity fraud, emphasizing the need for accountability and potential criminal implications. Perring expressed skepticism over who would ultimately take action against the implicated individuals, questioning the role of regulators and German prosecutors in addressing the fraud. One key point raised by Perring was the absence of named individuals in the PwC report, contrasting this with Viceroy's own identification of related parties involved in questionable transactions. Perring highlighted the interconnected relationships between various entities and directors, suggesting complicity and negligence among those at the helm of Steinhoff. He called attention to the role of sponsors and listed companies on the JSE, questioning the lack of accountability and oversight in the wake of such financial misconduct. Furthermore, Perring suggested that the reported figure of six and a half billion euros funneled away through related party transactions may only scratch the surface of the true extent of financial malfeasance within Steinhoff. He pointed to undisclosed property leases and unaccounted loans as potential avenues for further investigation, hinting at a staggering total sum that could exceed 100 billion rand. The release of the PwC report has intensified calls for decisive action and accountability in the wake of one of South Africa's largest corporate scandals. With mounting pressure on regulators and authorities to pursue justice, the spotlight remains firmly fixed on the intricate web of deceit and corruption that unraveled within Steinhoff over nearly a decade.