What the dickens is up with audit firms?

IT was the age of wisdom, it was the age of incredulity.

Blazing yellow sun. Lapping blue waves. Tanned beach bods and a palm tree's silhouette swaying against an orange sky. Once ubiquitous, the California Fitness logo that hints at its fabulous lifestyle offering has vanished from Singapore. In its heyday "Cali", as its legions of fans called it, was not merely a gym, it was a status symbol. And as its popularity grew, many signed up for long-term memberships despite the hefty upfront payments.

In July 2016, the Zumba music abruptly stopped. Lycra-clad gym warriors found the doors to their dojo padlocked and a thunderstruck public heard that JV Fitness, which owned the outlets, had run out of cash. Tens of thousands of members were reportedly more than S$20 million out of pocket. In a scathing report released last month, JV Fitness's liquidators fingered the management and auditors for allowing gym members to fund the business for three years even though it continued to bleed red ink.