On Tuesday, the Securities & Exchange Board of India ( SEBI) Stock Market Regulatory Agency ordered all listed companies, along with their final audit report and management comments to make disclosures on every forensic audit initiated.
The Board also determined that the listed entities will notify stock exchanges, along with name of the company conducting the forensic reviews, and purposes, in order to correct weaknesses in the collection of data on the forensic audit of listed entities.
On receipt from the listed agency, along with the management’s statements, the final forensic audit report shall also be disclosed. Sebi noted, however, that there is no need to report the forensic audit undertaken by regulatory or enforcement agencies.
The Board has adopted an update to the Mutual Fund Rules, for Chief Investment Officers, to add a Code of conduct to administrators and managers of funds.