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Ernst in trouble

Saturday 18 July 1992 18:02 EDT
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Poor old Ernst & Young: the fall-out from Arthur Young's auditing of Sound Diffusion, the failed television rental group, goes on.

After reaching an an out-of- court settlement last week to pay pounds 1.35m to Tunstall Group, a shareholder in Sound Diffusion, the accountancy firm now has to cope with a claim from Mr SJ Western, of Woodford Green, Essex. Mr Western's wife bought 2,000 shares in Sound Diffusion after reading in the Independent that Tunstall had increased its stake. Mr Western has therefore written to Nick Land, London managing partner of Ernst & Young, asking him to consider 'my modest claim for pounds 752, as adjusted by the retail price index and loss of income to say pounds 900'. Don't all rush at once.

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