Australia's corporate watchdog is facing intense scrutiny after it awarded active taxpayer-funded contracts to KPMG, after it had already launched an investigation into three of the firm's partners.
The stunning conflict-of-interest defence was laid bare during a tense senate estimates hearing, where Australian Securities and Investments Commission (ASIC) officials confirmed they held eight active contracts with the embattled consultancy firm valued at $3 million.
The revelation comes as the Department of Finance weighs a dramatic whole-of-government response to the escalating crisis, including a potential total suspension from the Commonwealth's management advisory panel.
