Company Secretary and Compliance Officer
114788 Points
Joined January 2009
Hello Anshu,
Kindly appreciate minutes of audit committee in a public unlisted company are governed by section 292A which is silent about the minimum number of meetings in a Financial year.
However practice followed in most of the listed companies is guided by Clause 49 of Listing Agreement to have minimum 4 AC meetings in a financial year. Reason being in a listed company first audit committee considers the accounts for all 4 quarters as per its terms of reference.
After discussion on Accounts the committee forwards the same to the Board of Directors of the company for their approval and Auditors for their report.
So in public unlisted companies frequency of AC meeting depends on the terms of reference of AC and practice prevalent in your company. I would also advise you to have 4 AC meetings during the financial year.
Regards