Accountants KPMG did not seek re-appointment as Lombard Group's auditors because they believed Lombard no longer fit within its client fee structure. An announcement by Lombard to the NZX included a question and answer series, including "why are KPMG not seeking re-appointment as auditors?" "KPMG have indicated that with the receivership of Lombard Finance, and Lombard's significant reduction in size, KPMG no longer believe that Lombard fits within its client fee structure and is unable to provide a cost effective audit," the announcement said. Lombard Group were announcing their AGM on 24 September, 2008, in Wellington. The group had still not been able to secure an auditor by the time of the announcement. The NZX announcement also included the question "why did the trustee not allow investors the opportunity to vote on a moratorium?" "After reviewing the position of LF&I, the Trustee determined that the interests of investors would be better served by the appointment of receivers," the report quoted Perpetual Trustees as saying.
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