LIVE GST Certification Course by CA Arun Chhajer begins 21st April. Register Now!!

Meaning of such other professional u/s 138

Sandeep Koonaparaju (Partner) (39 Points)

14 May 2018

Hello everyone,

As per section 138, the Board of a company may decide to appoint 'such other professional' as internal auditor. I have couple of questions here:

1. Does this mean that the internal auditor in such cases need not be a chartered accountant or a cost accountant?

2. Will the standards on internal audit issued by ICAI be binding on 'such other professional' conducting the internal audit?

Thanks

Sandeep

Reply
Follow
Share

3 Replies

AMIT KAPOOR (SELF EMPLOYED) (491 Points)
Replied 14 May 2018

yes he may be even the non ca employee of the company as decided by the board and will not be bounded by SIA and will conduct internal audit using these SIA as recomandatory to him and make his own report

dileep bandi (Student ) (159 Points)
Replied 14 May 2018

1 . Internal Auditor need not be a chartered account that means u can appoint any person as a internal auditor.

2. Standard issued by ICAI will not applicable for "other professionals" conducting the internal audit.

Deepak (student) (36 Points)
Replied 13 June 2018

Yes, he may or not may be ca for conducting internal audit u/s 138 of companies Act 2013.. Any person who is authorised by the Board of Director of the company he can be the itnernal auditor of the company . and no any internal audit standards apply on it which is issued by ICAI.