Regarding auditor duties??

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Ankit Hinduja (Querist)

17 March 2012 Auditor duties to inspect Register of Directors, MD, Manager and Secretery.

The Auditor should refer to this register:

1.To identify the composition of personnel who are charged with the governance of the entity.

Sir,i did not understand this point.

2. Also i want to know the reason of the provision that why a CA cannot act as both the liquidator as well as the Auditor of the company..

Ankur Garg

Ankur Garg (Expert)

17 March 2012 1. Auditor should have knowledge about the management officials who are incharged of the governance of the company. That is why auditor is advised to have a look at the Register of Directors, MD, Manager and Secretary.

2. A CA cannot act as both the liquidator as well as the Auditor of the company becoz he has to give his independent opinion about the affairs of the company. Acting as liquidator can adversely affect his independence as auditor. People can question his genuineness as auditor if he accepts other posts of the company.

Rgds

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Ankit Hinduja

Ankit Hinduja (Querist)

17 March 2012 Thanks sir, now the doubts r clear...

Ankit Hinduja

Ankit Hinduja (Querist)

17 March 2012 Thanks sir, now the doubts r clear.

Sir, i have asked one more query in Audit section with title Disqualification of Auditor, can u pls have a look.

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