KPNQwest plays down Andersen link

Tangled webs woven?

Tangled webs woven?

KPNQwest auditors have denied claims that a former Arthur Andersen executive approved the now-bankrupt company's 2001 annual report. A source close to KPNQwest CEO Jack McMaster claims to have documentation that proves a senior partner at Andersen, now employed by Deloitte and Touche, signed off the report. Deloitte and Touche, which bought the Dutch division of Andersen this month, has denied Andersen signed off the report. KPNQwest is already facing calls from a debtor owed E300m (£194m) for an investigation into "discrepancies" into its financial statements. The banking syndicate calling for the inquiry claim the discrepancies cast doubt on the company's reported revenues and cash owed to parent companies KPN and Qwest, reports the Financial Times.