Interpath chief fined for confidentiality breach after KPMG spin‑off

The Institute of Chartered Accountants of England and Wales (ICAEW) has imposed an £8,000 fine on Mark Raddan, the chief executive of restructuring firm Interpath Advisory, after finding he breached confidentiality rules on two occasions while still a KPMG board member.

Disciplinary action details

According to the ICAEW, the first breach occurred in October 2018 when Raddan sent a historic weekly cash report, containing sensitive data about an unrelated client, to a third party. A second breach was identified in January 2019, when he disclosed fee‑charge information for two other clients.

At the time of the misconduct, Raddan sat on KPMG UK’s board, headed the firm’s global turnaround practice and was a leading restructuring partner. Interpath Advisory was later sold by KPMG in 2021 to private‑equity group HIG Capital for £400m, becoming the UK’s largest restructuring firm by headcount.

Why it matters

Confidentiality is a cornerstone of the accounting profession. Breaches erode client trust and can expose firms to legal and reputational damage. As CM Murray partnership lawyer Zulon Begum told City AM, “Conduct dating back to 2018 and 2019 has resulted in sanctions in 2026, demonstrating the long reach of professional regulation and the enduring importance of confidentiality and ethical standards. For senior leaders in professional services firms, accountability often extends far beyond the life of a particular role, transaction or business.”

“Conduct dating back to 2018 and 2019 has resulted in sanctions in 2026, demonstrating the long reach of professional regulation and the enduring importance of confidentiality and ethical standards. For senior leaders in professional services firms, accountability often extends far beyond the life of a particular role, transaction or business.”

The ruling arrives as Interpath reported a pre‑tax loss of £11 million for the year to 28 March 2025, its third loss since the KPMG spin‑off, and entered exclusive talks with Bridgepoint to sell a majority stake.

What’s next

Industry observers expect the fine to prompt tighter internal controls across restructuring boutiques, especially those with legacy ties to the Big Four. The episode also adds pressure on KPMG’s own restructuring arm, which is still dealing with fallout from a separate disciplinary case involving the Silentnight mattress brand.

Regulators are likely to keep a close watch on senior executives in professional services, reinforcing the message that past missteps can surface years later. Firms may need to review historic communications and strengthen data‑handling policies to avoid similar penalties.

Interpath and KPMG declined to comment on the disciplinary outcome.