French prosecutors to probe McKinsey over alleged tax fraud

PARIS (AP) — French financial prosecutors have opened a preliminary investigation into suspected tax fraud by American management consulting firm McKinsey & Company. The national financial prosecutor’s office said Wednesday the investigation was launched last week for alleged “money-laundering aggravated by tax fraud.” A report by the French Senate issued last month said McKinsey hadn’t paid corporate profit taxes in the country since at least 2011. The so-called “McKinsey Affair” has dogged President Emmanuel Macron at campaign stops ahead of the first round of voting in France’s presidential election vote on Sunday. McKinsey issued a statement saying it “respects French tax rules that apply to it” and defending its work in France.