SKP Assurance Alert
21 December 2015
  1. The Ministry of Corporate Affairs (MCA) has notified the Companies (Audit and Auditors) Amendment Rules, 2015 key aspects of the said rules are given below:
    If an auditor of a company, in the course of performance of his duties as statutory auditor, has reason to believe that an offence of fraud, which involves or is expected to involve individually an amount of INR 10 million or above, is being or has been committed against the company by its officers or employees, the auditor shall report the matter to the Central government.

    If the amount of fraud as aforesaid is less than INR 10 million, the auditor shall report the matter to the Audit Committee constituted under section 177 or to the Board immediately, but not later than two days of his knowledge of the fraud.

    The provisions of these rules will mutatis mutandis apply to a cost auditor and a secretarial auditor. To read the complete notification, please click here.

  2. The MCA has notified the Companies (Meeting of Board and its Powers) Second Amendment Rules, 2015. Rule 6A has been inserted that provides for omnibus approval for related party transactions. To read the complete notification, please click here.

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