A new report from the U.S. Senate reveals that KPMG deliberately ignored audit results before the collapse of troubled banks

Richard Blumenthal, a senior member of the U.S. Senate Permanent Subcommittee on Investigations and a Democratic senator from Connecticut, today released a final minority staff report that investigates KPMG's unqualified audit results for Silicon Valley Bank, Signature Bank, and First Republic Bank over a span of 28 months. Just weeks or even days before the collapse of the three banks, KPMG had assured the public of the fairness and accuracy of their financial data. The PSI's findings indicate that KPMG had been aware of the issues facing these banks for years, which ultimately led to their failures and put depositors and investors at risk. "KPMG ignored the warning signs of instability at Silicon Valley Bank, Signature Bank, and First Republic Bank, which provided justification for their risky and questionable decision-making pattern of issuing unblemished audit reports just days before their collapse," Blumenthal stated. "Our PSI report reveals KPMG's willful blindness and underscores the need for significant reforms in the auditing industry to enhance transparency and better protect consumers."