28 Sep 2010

Ernst Young partner censured over Feltex accounts

7:02 am on 28 September 2010

A partner in accounting firm Ernst and Young who signed off the 2005 interim accounts of failed carpet market Feltex has been censured by the accounting professional body.

A disciplinary tribunal of the New Zealand Institute of Chartered Accountants found Gordon Fulton guilty of breaching a code of ethics, as Feltex's half year accounts were unqualified.

Feltex went into receivership in September 2006, leaving 8000 shareholders out of pocket by $254 million.

No penalty has been imposed on Mr Fulton, as Tribunal said the publicity generated by its finding would be sufficient penalty.

The decision of the tribunal, held at the end of June, was published on Monday.