allegation: “failed to satisfy the most basic standards of the accounting and auditing profession”mcgladrey & pullen, the top tier accounting firm with 100 offices throughout the u.s., is being sued for $550 million by the chapter 11 trustee for defunct money manager sentinel management group inc., according to bloomberg.
the suit, filed march 20 in u.s. bankruptcy court in chicago, said the firm in some instances “itself participated in the wrongdoing committed by a sentinel insider.” the suit was also filed against g. victor johnson, the mcgladrey partner in charge of the firm’s work for sentinel.
northbrook, ill.-based sentinel voluntarily asked for a trustee four business days after the chapter 11 filing in november. the securities and exchange commission had sued sentinel in a civil suit and the national futures association prohibited sentinel from dealing with any of the assets in its principal accounts.