SWITZERLAND - The regional government of Zurich has hired Swiss accountancy BDO to look into the mandates and investments of the scandal-ridden public fund for the city's civil servants (BVK).
An external expert has already been appointed to check organisational structures and corporate governance at the fund, whose former head of asset management remains in custody on accusations of corruption.
Ursula Gut-Winterberger, financial director for the regional government, appointed Zurich-based BDO to conduct an independent investigation of the BVK's mandates and investments.
She said: "The accountancy will examine the BVK's business relationships regarding possible risks in the asset management department."
The BDO will check which mandates might require "immediate action" and which measures might be necessary to reduce "possible risks in the fund's asset management division".
Gut-Winterberger noted that details of the mandates under review would not be revealed, as this would compromise the BVK and third parties' confidentiality.
She expects results from both reviews before the year is out, but she said further inquests could continue into 2011.
The criminal investigation by the public prosecutor's office in Zurich into the matter is running parallel.
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