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UANI Calls on KPMG to End Its Business in Iran

According to its website, KPMG maintains an office in Iran. KPMG, since October of 2009, has been seeking to recruit new senior-level employees to the office. KPMG enables other companies to conduct business in Iran. In 2008, KPMG published a report on tax issues in Iran entitled Iran: Taxation of International Executives.

As noted by the New York Times on Sunday, March 7, 2010, KPMG not only operates in Iran, but in the past decade has received $1.2 billion in U.S. federal contracts and grants. Companies must choose between doing business with the U.S. and with Iran. This fall, UANI worked with Representatives Klein and Mica to introduce in the U.S. House of Representatives the ABC Iran Act, the purpose of which is to preclude companies doing business in Iran from doing business with the U.S. Government.

In a letter to Timothy Flynn, the Chairman of KPMG, UANI President Ambassador Mark Wallace wrote:

Since at least October 29, 2009, KPMG has listed Iran as a key country in KPMG's Middle East/South Asia Region (MESA) while touting the advantages of its business in the MESA region and its countries, including Iran. Since at least October 3, 2009, KPMG has been seeking employees for its Iran practice. 'To keep up with this growth, we need to recruit experienced professionals from abroad, particularly in Advisory, and ideally at Senior Manager level and above.'

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Moreover, your website states that KPMG is "the leading provider of financial audits to the cabinet-level agencies in the Federal Government." Your firm provides key services to the U.S. Federal Government, but at the same time conducts and enables business in Iran.

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Among others, UANI's Iran Business Registry lists Daimler, Honda, HSBC, Petrobras and Sinopec as companies with current business operations in Iran. KPMG provides auditing, accounting and/or tax services for these businesses that operate in Iran, according to their 10-Ks...Doing business in Iran becomes far more problematic for these companies when they no longer have a Big Four auditing firm legitimizing their Iran-based business. KPMG must stop servicing its clients' businesses in Iran.

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Given the urgent nature of this issue please let me hear from you on or before March 26, 2010 with your response.

Click here to send a message to KPMG.

United Against Nuclear Iran (UANI)
Kimmie Lipscomb, 212-554-3296
press@unitedagainstnucleariran.com