Current Affairs · Corporate Governance
The National Financial Reporting Authority (NFRA) in its audit inspection reports highlighted critical violations under Section 144 of the Companies Act, 2013 by several large audit firms. Which aspect of auditing does Section 144 primarily govern?
- 1Maximum ceiling on the number of company audits per auditor
- 2Compulsory rotation of audit partners every three years
- 3Prohibition of providing certain non-audit services to the audited entity✓
- 4Appointment and rotation of statutory auditors
Correct answer
Prohibition of providing certain non-audit services to the audited entity
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