Fascinating story! Pretty strong allegations to be making, I am curious where the facts are that would back this up? I find it hard to believe that the auditor would disclose such information, and if they did they would be breaching ethical and legal standards for confidentiality between auditor and client.
Agree. That sounds like pctl. Now the auditor is considering whether law, regulation and ethical requirements require the auditor to report to an appropriate authority outside the entity.