KPMG loses lawyers after acquiring Polish firm
Joining other Big Six accounting firms (or Big Five after Price Waterhouse merged with Coopers & Lybrand) who have acquired local law firms, KPMG in July took over Polish firm Furtek, Palinka, Zielinski. The accounting firm's managing directors decided to move KPMG's own legal team, which had 16 lawyers, into the new law firm, called Furtek, Palinka, Zielinski Spolka Komandytowa, said Marek Furtek, a partner in the firm who will also be head of KPMG's legal services.
That decision didn't sit too well with some of KPMG's lawyers, sources said, who felt they had not been consulted. As a result, the former head of KPMG's legal practice, Lech Zylylewski, and 4-8 lawyers decided not to join the new firm, sources said.
Andrzej Scislowski, deputy senior partner of KPMG Polska, confirmed that Zylylewski decided to go his own way in addition to "four to five" lawyers. Scislowski said that he and KPMG Managing Partner Greg Doyle pushed for the merger with the Polish firm, and did not at first ask the legal team if they agreed with the decision.
"The truth is that top executives don't discuss with their employees what they should do in business," he said.
Neither Zylylewski nor any of the other departing lawyers could be reached for comment before press time.
Sources, however, said that the departing staffers were already talking to other firms, such as PriceWaterhouseCoopers's Polish law firm, Krzysztof Wierzbowski i Wspolnicy, and insurance firm Commercial Union. Krzysztof Wierzbowski, managing partner of Krzysztof Wierzbowski i Wspolnicy, refused to say whether he had talked to any KPMG lawyers.
Legislation scheduled to be implemented in October will prevent accounting firms from offering legal services. Only law firms will be able to provide legal advice, which has prompted the accountants to find local partners.
While KPMG's decision to acquire a local firm may have cost it some staff, Scislowski said that he is determined it will not cost it any clients.
"I'm firmly not afraid of that," he said.
That decision didn't sit too well with some of KPMG's lawyers, sources said, who felt they had not been consulted. As a result, the former head of KPMG's legal practice, Lech Zylylewski, and 4-8 lawyers decided not to join the new firm, sources said.
Andrzej Scislowski, deputy senior partner of KPMG Polska, confirmed that Zylylewski decided to go his own way in addition to "four to five" lawyers. Scislowski said that he and KPMG Managing Partner Greg Doyle pushed for the merger with the Polish firm, and did not at first ask the legal team if they agreed with the decision.
"The truth is that top executives don't discuss with their employees what they should do in business," he said.
Neither Zylylewski nor any of the other departing lawyers could be reached for comment before press time.
Sources, however, said that the departing staffers were already talking to other firms, such as PriceWaterhouseCoopers's Polish law firm, Krzysztof Wierzbowski i Wspolnicy, and insurance firm Commercial Union. Krzysztof Wierzbowski, managing partner of Krzysztof Wierzbowski i Wspolnicy, refused to say whether he had talked to any KPMG lawyers.
Legislation scheduled to be implemented in October will prevent accounting firms from offering legal services. Only law firms will be able to provide legal advice, which has prompted the accountants to find local partners.
While KPMG's decision to acquire a local firm may have cost it some staff, Scislowski said that he is determined it will not cost it any clients.
"I'm firmly not afraid of that," he said.
