Statutory Audit

We have audited the accompanying financial statements of _________________ (the Company), which comprise the Balance Sheet as at 31st March , 2013, the Statement of Profit and Loss and the Cash Flow Statement for the year then ended, and a summary of the significant accounting policies and other explanatory information. Full Article

CS Kiran Mukadam, ACS, M.Com, SET Hercules Hoists Limited, Mumbai Since the emergence of various corporate scandals in India over the past few years, there has been much attention and debate on the role of Company’s Directors. There has been a lot of focus on independent Directors. A Director must be acted honestly and with [...] Full Article

Statutory Auditor’s Reporting Responsibilities in Respect of Depositing of Cess Pursuant to Clause 4(ix)(a) of the Companies (Auditor’s Report) Order, 2003and Section 227(3)(g) of the Companies Act, 1956. The Council of the Institute has decided to modify the auditor’s reporting responsibilities in respect of the cess payable by a company under section 441A of the Companies Act, 1956. Pursuant to this decision, paragraph 63(g) of the Statement on Companies (Audito.. Full Article

The bank audit season is around the corner. Given the fact that the banking industry is typical in terms of its geographical and customer spread, the volume and varied nature of products and services offered, coupled with the strict constraints for completing the audits, the members, many a times, face a lot of issues/ queries while conducting Bank Branch Audit. These could include determination of NPA status, implications of complicated data found in a branch audit, un.. Full Article

ICAI Council at its 312th meeting had noted that till date the Central Government had not notified the effective date of Section 441A of the Companies Act, 1956. Consequently, no Rules thereunder had been prescribed by the Central Government. The Council, therefore, has decided that in view of the aforementioned situation, the statuary auditor need not report in respect of cess payable under Section 441A of the Companies Act, 1956 as envisaged under paragraph 63(g) of th.. Full Article

In terms of the existing guidelines, an audit firm can take up statutory central audit of one PSB, four private sector banks and four foreign banks simultaneously each year. Full Article

The Minister of State in the Ministry of Corporate Affairs Shri R.P.N. Singh today informed the Lok Sabha that the statutory auditors of the companies incorporated under the Companies Act are appointed u/s of the Act. Replying to a written question the minister said there is no proposal to have the statutory auditors appointed by a Regulatory Authority in respect of listed companies like in the cases of Banks and Government Companies. Full Article

Section Description of the matter 2(14A) Dividend includes interim dividend. *2(29A) Net worth means total of paid up capital and free reserves after deducting provisions or expenses as may be prescribed. Free reserves includes reserves out of the profits and share premium account but does not include revaluation and amalgamation reserves. *2(46AA) Sick industrial company [...] Full Article

Cir/ IMD/ DF/20/2010         December 06, 2010 All Mutual Funds! Asset Management Companies (AMCs)/ Trustee Companies/Boards of Trustees of Mutual Funds Dear Sir/Madam, Sub: Half yearly report by Trustees 1.       Gold Exchange Traded mutual fund schemes (Gold ETFs) can invest in gold as per circular SEBI/IMD/CIR No. 4/58422/06 dated January 24, 2006. 2.       It has been [...] Full Article

The Institute of Chartered Accountants of India (ICAI) has recommended strict penal action, including imprisonment, for auditors who are found associated with serious accounting frauds. It also wants the Ministry of Corporate Affairs to frame a code of conduct for financial analysts and investment bankers for better scrutiny of firms that may indulge in such illegal affairs. Full Article