Indian stock markets shut for Eid celebrations
Indian stock exchanges are shut Thursday for Eid, with normal trading activities resuming Friday.
The chartered accountants on Monday rued the deficiencies in audit of banking sector in the country.
“We had submitted a memorandum to Prime Minister of India through Union health minister, JP Nadda last year, pointing out major shortcomings regarding faulty system of statutory auditors (CAs) by public and private sector banks.
We had suggested to improve the same. But after a gap of almost one year, we have received the reply of Reserve Bank of India (RBI) on the sensitive issue, which is baseless and violates the basic principles of audit,” said Himachal chapter of Chairman of north India Regional Council of The Institute of Chartered Accountants of India, Yogesh Verma.
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Talking to media persons, Verma, who was accompanied by former chairman, Anil Sood and CA, Rajesh Saxena, said the Himachal branch had He said till 2009-10, the appointment of auditors was made by RBI. Later, the RBI delegated the power to banks to Appoint auditors, which is against the basic principle of audit.
“This power is being misused by all the public sector banks and lot of malpractices are being adopted by banks while selecting their auditors,” he said.
Verma said the audible branches have been reduced drastically, since earlier the bank branches having advances more than Rs 3 crore were liable to audit every year, but the same limit has been enhanced to Rs 6 crore and than Rs 20 crore.
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