The targets of the raids were the firms’ banking clients Kaupthing, Glitnir and Landsbanki reports the Telegraph.

The raids were aimed at uncovering any possible fraudulent activity that may have helped cause the collapse of the banks. According to the Telegraph:

Allegations of fraud, embezzlement and market manipulation have been under investigation in Iceland since February. The SFO has separately been gathering intelligence on the Icelandic banking sector and its UK operations both involving investors and borrowers, which intensified after the leak of Kaupthing’s loan book on to the internet last month.

The reports notes that police (22) outnumbered investigating accountants (6) by 3.7:1. Now we know that accountants can be tough guys but someone might have thought through the resourcing a bit more here. We are talking about the collapse of 3 not insignificant banks not the fallout of 3 armed street gangs.  The Reykjavik 6 might not get much of a weekend.

KPMG and PwC Reykjavik offices are raided by Icelandic police [Telegraph]