The National Financial Reporting Authority ( NFRA ) has now made it mandatory for certain ‘body corporates’ to file with it the details of their auditor appointments by July 31.
The Circular said that, It is intimated that NFRA-1 Form for intimation of appointment of Auditors to NFRA has been deployed on the website of NFRA and accordingly the last date of filing the same by the Entities concerned will be 31.07.2019.
The foreign subsidiaries of Indian companies and other body corporates such as LIC to submit the NFRA-1 form.
The NFRA is an independent regulator for the auditing profession which is one of the key changes brought in by the Companies Act, 2013. The inclusion of the provision in the Act was on the specific recommendations of the Standing Committee on Finance (in its 21st report).
The jurisdiction of NFRA for investigation of Chartered Accountants and their firms under section 132 of the Act would extend to listed companies and large unlisted public companies, the thresholds for which shall be prescribed in the Rules. The Central Government can also refer such other entities for investigation where the public interest would be involved.
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