A tax leak scandal causes PwC Australia to fire eight partners

PwC Australia fired eight partners, including former chief executive, as a result of the leak of confidential government tax plans by a former partner.

PwC released a statement in which it stated that an internal investigation discovered numerous instances of the improper use of confidential information that violated professional standards and also revealed a failure of leadership and governance to address the violations.

Acting PwC Australia CEO Kristin Stubbins stated that accountability was crucial to improving the company's culture and that it was evident from the firm's investigation so far that a number of partners' actions fell short of what was expected of them. They were now being punished for their misbehavior.

The dismissals represent PwC's most recent effort to contain the fallout from a scandal after it was discovered that a former partner who had been advising the Australian government on new tax laws intended to combat corporate tax avoidance had disclosed to colleagues confidential drafts that had been used to attract clients from around the globe.

Tom Seymour, a former chief executive, is one of the eight partners who have left the company or are in the process of doing so. After confessing to having obtained emails containing private information about the government's tax strategies, Seymour submitted his resignation in May 2023.

PwC named seven additional partners in addition to Seymour, but none of them responded to requests for comment right away.

In a scandal that has cost the company significant clients and forced it to spin off its lucrative public sector consulting business for A$1, acting CEO Stubbins promised harsh consequences for those involved last week.