When growth and stability turned to disaster

Article Abstract:

Isle of Wight-based Hook Harris and Co's entrance into an individual voluntary arrangement (IVA) with its creditors underscored the seriousness of the problems experienced by British accountancy firms. Hook Harris, widely known to be a profitable firm, reported huge losses in 1991 and 1992 which forced it to seek an IVA to keep creditors away while it sorted out its financial difficulties. Escalating overheads, excessive compensation given to outgoing partners and the recession all contributed to destabilize the company that emerged from the consolidation of A E Hook & Co and Gaynor Harris. The IVA has resulted in the demerging of the accounting firm. The Southampton practice was bought by former Hook Harris partner Gaynor Harris, while the Isle of Wight practice is now being operated by two other former partners under the name of Hook & Co.

Business failures, Hook Harris and Co.

---

Taking a calculated risk

Article Abstract:

PricewaterhouseCoopers' (PwC) head of global risk management, Ian Brindle, hopes that Price Waterhouse's (PW) experience as auditor of the infamous Bank of Credit and Commerce International (BCCI) will enable the PW-Coopers and Lybrand merger to avoid similar mistakes in the future. BCCI was closed down by the Bank of England for fraud in 1991, just three days after Brindle was appointed senior partner at PW, and the accounting firm was sued for negligence as BCCI's auditor. The suit was finally settled in Sep 1998. Brindle is very pleased with the fact that the problem that he came in with as senior partner has been resolved by the time that he leaves. He hopes that appropriate procedures have been put in place at PwC so that it will not encounter a similar experience.

Management Consulting Services, Accounting & Auditing Services, Accounting, Tax Preparation, Bookkeeping, and Payroll Services, Business & Mgmt Consulting, Case studies, Officials and employees, Risk management, Business consultants, Management consultants, Consulting services, Brindle, Ian, PricewaterhouseCoopers LLP

---

Sizing up for the future

Article Abstract:

Issues concerning the size of accountancy firms in the UK are discussed. The practice of mid tier firms developing niche markets and specialist services is examined and the impact of mergers at this level assessed.

Accounting

Similar abstracts:

• Abstracts: A charitable career. Sticking to the rules. Lots of compassion but less cash
• Abstracts: Making a fair return. Dealing in discipline. Rising to the new Capital challenge
• Abstracts: The softly spoken radical with energy to burn. Low profile player in a high profile game. The wild side of accountancy
• Abstracts: Servant of three masters. Expand or perish. At home on the range
• Abstracts: Generalizability of industrial organization studies: the case of food retailing. Internal decision making in an agribusiness: a case study

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.