Ping An-backed online lender Lufax has appointed EY to reaudit two years of its accounts after pushing out Big Four rival PwC in the wake of it flagging suspected conflicts in some transactions.
An investigation into transactions previously identified by PwC concluded that profits at Lufax, one of China’s biggest online lending platforms, could have been overstated by as much as 15 per cent, Lufax said in a market statement last week.
Lufax commissioned the independent probe after PwC China raised concerns about possible related-party transactions and questioned the independence of the company’s audit committee, the lender announced in January. PwC China told Lufax not to use its 2024 audit opinions or previous two audits due to the seriousness of the problems, Lufax said.