Accounting firm EY joins other companies in discovering exam fraud

The accountancy firm Ernst & Young (EY) is the latest accounting company to discover exam fraud. The company reported this in its transparency report for 2023 and 2024. The fraud consisted of accountants sharing answers to mandatory tests, which is not allowed.

EY has been investigating since last year whether exam fraud took place within the organization between 2018 and 2023. The Netherlands Authority for the Financial Markets (AFM) asked all large accountant firms to investigate the practice. EY expects the investigation to be complete in 2025 but admitted that it has taken longer than expected.

The accounting firm would not share how many instances of exam fraud have been discovered as of yet. Answers for online tests were shared by employees. Furthermore, employees did not report possible violations, which they are obligated to do.

"We regret that our students have not always shown the academic integrity that we expect at EY. This does not fit our culture and the values ​​that we stand for as an organization," the accounting firm reports. EY says that it will address employees who violate the rules and take appropriate measures if necessary, such as imposing a sanction.

EY said that they have taken measures to prevent exam fraud. The accounting firm claims that it has ensured that questions are randomly included in tests. Employees are also required to confirm that they have completed a certain training without outside help. Furthermore, the office will remind employees of their "responsibility" to report undesirable behavior.

Exam fraud was already discovered at KPMG and PwC. An investigation showed that employees had shared answers to the tests with each other. PwC said earlier this month that it would hold employees accountable, for example, with "corrective" conversations and written warnings.

Exam fraud was also discovered at Deloitte. Board member Rob Bergsman left the company last year because of the internal investigation into the fraud.