A transaction which is not regulated by any jurisdiction, or where the degree of regulation is so minimal that this is effectively the case, with this being known to all parties with any responsibility for the entity. This has the effect that the transaction takes place ‘nowhere’.
The letters KPMG stand for the initials of the founders of KPMG (Klynveld, Peat, Marwick and Goerdeler). KPMG is the third largest member of the Big 4 firms of accountants who dominate the world supply of accounting and auditing services. The firm is very influential: one third of the membership of the International Accounting Standards Board in 2009 worked for or had worked for KPMG.