Misrepresentation in prospectus

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This query is : Resolved

Ketan Malik (Querist)

09 August 2015 Is the CA/auditor who authorises or gives consent for the issue of prospectus also liable for misrepresentation in prospectus even if such misrepresentation is made by expert?
If yes, what is the reason? Is it not unfair or unjust as the CA does not know anything about the expert's working or analysis?

Amol S Joglekar

Amol S Joglekar (Expert)

09 August 2015 If CA is not sure of what he/she is SIGNING, why the hell he/she should sign?

Conversly, if a CA wants to sign; what restricts him tom understand what he/she is signing?

Ketan Malik

Ketan Malik (Querist)

11 August 2015 Mr. Joglekar, i don't think you are a CA. if u are, maybe u had done dummy articleship.
if you are unable to understand the gravity of the question then please don't give such stupid answers.

Amol S Joglekar

Amol S Joglekar (Expert)

13 August 2015 Unfortunately though, there is difference between what you think and what the fact is. Anyway, the point is NOT if I am CA.

The point to be remembered is that a CA should NOT sign as CA any such document unless he/she makes sure that the prospectus is free from any misrepresentation.

Your views please.

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