LEGAL | Staff Reporter, UK

Patisserie Valerie's former auditor faces £200m legal action over chain's collapse

Grant Thornton audited Patisserie Valerie’s accounts for 12 years.

The liquidators of Patisserie Valerie are suing Grant Thornton, the café chain's former auditor, for £200 million over the collapse of the business.

FRP Advisory alleged that the accountancy firm was “negligent” in the preparation and conduct of Patisserie Valerie's financial statements between 2014 to 2017.

The claim came to light in a report to creditors of Patisserie Valerie from FRP, filed in December.

FRP added that “large accounting misstatements” resulted in Patisserie Valerie's board “being unaware that the group has insufficient funds to continue to trade.”

Grant Thornton had audited Patisserie Valerie’s accounts for 12 years until the chain collapsed into administration​​ in January 2019.

A spokesperson for Grant Thornton said they “will rigorously defend the claim.”

"Patisserie Valerie is a case that involves sustained and collusive fraud, including widespread deception of the auditors. The claim ignores the board’s and management’s own failings,” the spokesperson added. “As the matter is subject to an ongoing FRC investigation and civil claim, we are unable to comment further.”

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