Govt to revamp norms for auditors, corp professionals

The government is working to improve the regulations for auditors and corporate professionals as it looks to strengthen the "fabric of corporate governance" in the country, according to Union Minister PP Chaudhary.

His comments come against the backdrop of some auditing entities coming under the scanner of the Corporate Affairs Ministry following various complaints.

Besides, the ministry is also examining recent instances of auditors resigning from companies on various grounds.

In a recent interview, he said the ministry is working closely with professional regulatory bodies under it to "improve the regulations for the auditors and corporate professionals".

According to him, the ministry is looking to improve the fabric of corporate governance in the country.

The notification for setting up the National Financial Reporting Authority (NFRA) has already been issued and it would act as an independent regulator for the auditing profession.

"The NFRA can investigate chartered accountants and their firms, and its powers extend to listed companies and large unlisted public companies... recruitment of chairperson/ members for the NFRA has already begun," the Minister of State for Corporate Affairs said.