The Big Four Firm apologised in a statement for the misconduct and misleading the FRC after the auditors at KPMG were accused of creating ‘forged’ and ‘fabricated’ documents in an attempt to misinform inspectors reviewing the firm’s audits of Carillion and the software company Regenersis.

The statement said that the misconduct that the Tribunal will hear over the coming weeks ‘is disturbing and upsetting’ for Holt and KPMG as it is a ‘violation of their processes’ and was ‘clearly against their values’.

The audit watchdog began its Tribunal hearing into the Carillion audit for the year to December 2016 and Regenersis for the year to June 2014 on Monday and it is expected to last five weeks.