Deloitte Anjin facing criticism over Ssangyong redundancies

Deloitte's Korean firm, Deloitte Anjin, has been under the spotlight for its advisory and restructuring work at carmaker Ssangyong as allegations emerged that it inflated potential losses of the company in 2009, according to Korean media.

These losses allowed Ssangyong to lay off 2,600 workers at the time, however in February the Korean appeals court ruled that the layoffs were invalid because it was based on the accounting firm's "wrong" evaluation of Ssangyong's value.

Korean media reported that Ssangyong potential losses were inflated by KRW517.6bn ($486bn), according to the appeal judge.
The case will now go to South Korea's Supreme Court and, if upheld, the redundant workers will get their old jobs back.

An earlier Ssangyong union complaint, against Ssangyong and Deloitte Anjin and a six month investigation by Korea's regulator, the Financial Supervisory Service (FFS), both found in favour of the company and the firm, however the appeal ruling has thrown these rulings into doubt.