Accountancy firm KPMG has denied reports that the Department of Enterprise has stopped issuing work permits to the firm for its non-EU employees working in Ireland.

A report in yesterday's Irish Examiner suggested that the department had suspended issuing permits to KPMG because of discrepancies in the information provided for permits issued to Indian employees of the company.

The permits of two Indian accountants were queried by the Department because the salary of €900 a week stated on the permit application was €700 in excess of the actual salary paid, the report said.

A spokesman for KPMG said yesterday that the Department had queried the permits, which he admitted were inaccurate. The permits had been filled out inaccurately by the company, but he said this was "effectively a clerical error" and there was no question of an attempt to conceal underpayment of any employees.

KPMG was currently in talks with the Department to resolve the error.