KPMG advirtió a la filial de Guggenheim de deficiencias en sus controles internos

KPMG alerted Guggenheim Partners to internal control deficiencies in their private investment division's accounting of revenues last year, identifying tensions in Mark Walter's empire months before a federal investigation in the US over their insurance sector holdings was made public. According to sources close to the matter, the firm detected deficiencies related to how a Guggenheim asset manager subsidiary, with a $367 billion net worth, recognized hundreds of millions of dollars in revenue.

The conclusion, reached after an informant alerted about the accounting practices of the subsidiary, showed that the problems in Walter's businesses extended beyond his insurance sector holdings. The pressure on Walter's businesses has increased since insurance companies under the multimillionaire's holding, TWG Global, revealed in June that they had lent tens of billions of dollars to other parts of his empire, incorrectly classifying those loans in regulatory reports.

US prosecutors are investigating the insurers, property of Walter's holding, TWG Global. The scrutiny comes as Walter, CEO of Guggenheim, who has business interests including stakes in the Los Angeles Dodgers baseball team and Chelsea Football Club, tries to attract liquidity. Last month, Walter closed an agreement to sell his majority stake in the LA Lakers basketball team for $12.5 billion.

KPMG expressed concern to Guggenheim's asset management executives after an informant reported irregularities in how their private investment business recorded revenues of $275 million in April 2025. The audit firm detected a control deficiency during the audit of Guggenheim Private Investments' 2024 financial statements. Subsequently, KPMG identified a more serious irregularity related to the management of these revenues by the unit, as part of the audit of its 2025 reports.

Despite this, auditors approved the company's accounts without reservations in the reports sent to investors. Professional standards require private company auditors to report such deficiencies to management or the board of directors, but not to reveal them to investors. Guggenheim Investments and its executive team acted appropriately and professionally in relation to these matters, Guggenheim told the Financial Times.

We have cooperated systematically with our auditors and other advisors to ensure that our practices are adequate and consistent with applicable accounting standards and regulatory requirements. KPMG declined to comment on Guggenheim. Guggenheim Private Investments regained investor attention after GIH Borrower, a subsidiary, omitted fees earned by the private investment unit in its second quarter 2026 results, causing a sharp fall in income and profits compared to the previous year.

A loan issued by GIH Borrower, considered a faithful reflection of investor sentiment towards Guggenheim, has suffered a dramatic price drop in recent weeks. Guggenheim executives answered questions in an investor presentation last month about the informant's complaint, which was reported earlier by Financial Times. The complaint focused on the lack of clarity on the services that were supposed to be provided under contracts for asset management and advisory services provided to various entities linked to Walter in their 2024 accounts.

According to a person familiar with the complaint, the concerns were about the lack of clarity on the services that were supposed to be provided under these contracts. Guggenheim told the Financial Times this was a misrepresentation and added that there had been an extensive internal debate and with the auditors on the accounting issues.

Following the conversations, auditors gave an unqualified opinion without objections. Dina DiLorenzo, president of Guggenheim's asset management unit, allegedly told KPMG that she herself had provided the advisory services, according to sources close to the complaint. Guggenheim said this statement was misleading and lacked context.

In the private capital sector, firms like Blackstone provide investment management services to insurers in exchange for commissions of about 0.5% of the assets managed. A $275 million commission would normally involve billions of dollars in assets and require review by numerous external advisers. The informant's complaint alleged that the contracts supporting the $275 million in revenues recorded in Guggenheim Private Investments had a date of January 1, 2024, according to sources familiar with the document.

After raising concerns internally, the informant later informed the Securities and Exchange Commission (SEC), the Department of Justice, the FBI, and the US Attorney's Office for the Southern District of New York.