By Christine Chen
SYDNEY, July 21 (Reuters) - KPMG Australia on Tuesday promoted a partner from within its own ranks to chief executive, two months after losing its leader to a scandal that erupted over the firm's misuse of confidential client information.
The accounting firm named John Sams, a partner from the commercial advisory and transactions practice group, to take on the role effective immediately. Sams has been chief financial officer since October 2025 and chief operating officer since June.
KPMG said his appointment by the board followed a rigorous process that considered internal candidates across the firm's international network as well as external ones.
"The board believes that John has the strong attributes required to be the firm's successful leader – including agility, courage and integrity," said independent chairman Michael Ebeid.
KPMG has been under intense scrutiny from the Australian government and blue-chip clients since whistleblower accusations that its staff used inside information to win lucrative audit contracts came to light in March.
The scandal involves the sharing of Lendlease and Optus data among staff bidding for audit work with major Australian bank Westpac, property firm Dexus and Australia's biggest telecoms company Telstra.
The crisis has triggered a leadership overhaul as the firm works to clear the decks and restore trust, with the former CEO, audit boss and chairman, as well as senior audit partners implicated in the scandal departing.
Sams takes over from interim leader Stan Stavros, who was appointed following the resignation of Andrew Yates in May.
He will face the challenges of navigating the fallout from the scandal, repairing relationships with clients and implementing reforms to address governance and cultural issues.
"I do not underestimate the task ahead but commit to our clients and people that I am prepared to be courageous, take the tough decisions and lead the changes we need to set us on the right path," Sams said.
The firm is unable to bid for new work with the federal government until September, and long-time client Lendlease has said it would drop the firm as its auditor.
KPMG also faces separate probes from the government, the Australian Securities and Investments Commission, the Tax Practitioners Board, and professional body Chartered Accountants ANZ.
"We have serious work to do on our culture, our leadership and our governance and it will take resolve and endurance," Sams said.
Sams has been a partner at the firm for more than a decade. He joined KPMG UK as a graduate in 2003 and relocated to Australia in 2006.
He has more than 20 years' experience across tax, corporate finance and infrastructure advisory, the firm said.
(Reporting by Christine Chen in Sydney; Editing by Tom Hogue and Sonali Paul)
