Articles by Kotte Murali Krishna

Why have companies been becoming Defaulting Companies?

Posted by Kotte Murali Krishna 18 April 2025 166 Views

Cases of some of the defaulted companies60 Listed companies disclosed debt default of Rs 75,000 Cr49 Listed companies disclosed debt default of Rs 69,140 Cr8 Li...

Impact of Fuel Cess on Consumer Purchasing Power

Posted by Kotte Murali Krishna 15 April 2025 125 Views

The cess on petroleum products paid by a manufacturing company to the transporter of input goods becomes part of the cost of sales, as it cannot be claimed as Input Tax Credit (ITC).

Addressing the Lapses in Section 186(2) of the Companies Act, 2013

Posted by Kotte Murali Krishna 04 March 2025 227 Views

I want to discuss a crucial issue that has been significantly contributing to the rise of defaulted companies, particularly among listed companies. This issue stems from certain lapses in Section 186(2) of the Companies Act, 2013, which governs loans and investments made by companies.

Comments On Publication Of Annual Transparency Reports By Auditor/Audit Firms

Posted by Kotte Murali Krishna 24 January 2023 1893 Views

DHFL has diverted Rs 34,615Cr borrowed from banks. The CBI has alleged that DHFL‘s promoters formed 87 shall companies, created more than 2,60,000 "Fictitious borrowers' and set up "Virtual Branch "to divert money borrowed from banks".

Bank audit of working capital loan limits

Posted by Kotte Murali Krishna 25 March 2022 8412 Views

The SBA should verify the details of stock statement dated 31st March of 2021 submitted to the bank and the values of drawing power claimed therein with the values reported in audited balance sheet of 31-03-2021

Comments on NFRAs Consultation Paper On Statutory Audit And Auditing Standards for MSMCs

Posted by Kotte Murali Krishna 13 October 2021 2053 Views

In case, NFRA takes any drastic decision to exempt the need for statutory audit of MSME companies for any reason, the size of frauds would go up and the Indian economy will be in the doldrums.

Identification and Calculation of Funds Diversion for Bank Audit

Posted by Kotte Murali Krishna 28 September 2021 15486 Views

Whenever an Auditor finds any new investments of either long term or short term of unrelated assets on the face of company Balance Sheet during audit, there is a need to verify and confirm the source for the investment.