Two major U.S. footwear companies, Skechers and Deckers Outdoor Corporation, the owner of Ugg, Teva and other brands, are subject to a series of cases of alleged misconduct by a staff member of their auditing company, KPMG. Skechers has already announced that it no longer works with KPMG. The separation followed the alleged misconduct by a former partner of KPMG, Scott London, but KPMG stated that there was no reason to believe that Skechers' financial statements were materially misstated. KMPG had to resign after its partner came under U.S. federal investigation for alleged selling of classified information about clients to third parties for the purpose of stock trading. Deckers has not yet commented on its case, but the U.S. Securities & Exchange Commission (SEC) said that, at the time of writing, five companies are potential victims of the alleged criminal acts. London has admitted that he supplied classified information to a jeweler who made more than $1.2 million out of the insider information. London got some $50,000 in cash and other ways from supplying the critical information.

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