caro_2003_checklist for paper keeping

8/10/2019 caro_2003_checklist for paper keeping

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Checklist for Audit Report under CAROClients Name:

Period ended : / /200

Y / N / NA / Remarks

Preliminary

A. For all representations made to the auditors on the basis ofwhich the checklist is filled up written confirmation from the

client should be obtained so far as is practicable.

!. All certificates representations workin" papers on the basis ofwhich checklist has been completed should be attached to this

checklist and suitabl# referenced.

C. $etailed workin" note as to wh# auditors ha%e come to suchconclusion should in%ariabl# be attached to this statement.

$. All important obser%ations must be properl# documented and

cross&linked to the indi%idual workin" papers.

'. (here there are e)ceptions* i.e. ad%erse conclusions such facts

should be ade+uatel# hi"hli"hted.

F. ,i"nature of the Auditor should contain the name of the

proprietor / partner and his membership No. of -CA-.

. Applicabilit#

erif# that CA1 is applicable to the compan# ')clusions

. a bankin" compan#2. an insurance compan#

3. a compan# under section 24 of the Companies act

5. pri%ate limited compan# ha%in" :

i. turno%er of less than s. 4 croresii. paid&up capital and reser%es not 6 s. 40 lakhs

iii. loan outstandin" less than s. 0 lakhs from banks

and F-i%. Not accepted public deposits.

7-n other words CA1 applicable when AN8of the abo%e condition is not fulfilled 9 -fCA1 is not applicable to the compan# state

he fact in the main report.

1. Fixed Assets

.. $oes the compan# maintain fi)ed asset re"ister / Cards

..2 $o these "i%e the followin" particulars


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i. $escription of the Asset*

ii. Accounts Classification*iii. ;ocation*

i%. -dentification No*

%. as ph#sical %erification of the assets been conductedbased on written instructions b# the mana"ement at

reasonable inter%als. -f #es:i. (hat is the fre+uenc# thereof?ii. (hat is the percenta"e in the %alue thereof?

iii. -s there sufficient e%idence thereof?

.2.2. >a%e the results of the %erification been reconciled withthe fi)ed asset record and if so:

i. >as a list of discrepancies been prepared and placed

on audit file?

ii. Are these discrepancies si"nificant?iii. >ow ha%e the discrepancies been dealt with the accounts?

.2.3. $id the auditors obser%e all or an# part of the %erification?

.2.5. >as the asset re"ister been reconciled with the financial

records?

.3a9 (hether there ha%e been sale / disposal of fi)ed assets of the

compan#?

b9 (hat is percenta"e of fi)ed assets sold/disposed off?c9 (hat is the +uantum of reduction in production capacit# b#

such sale?

d9 (hether the concept of @"oin" concern has been affected b#such reduction in production capacit#?

e9 -f not "i%e reasons. Also refer to checklist on AA,

!n"entories

2.. ;ist out the inter%als at which ph#sical %erification is

conducted for

i. aw and packin" materials

ii. Finished "oodsiii. ,tores and spare parts


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i%. Consumables and others

2..2 >as the in%entor# at #ear end been ph#sicall# %erified b#

the mana"ement?

2..3 Are comprehensi%e written stock takin" instructions

-ssued B ,tatement on auditin" practices Appendi) A. 1btain acop# thereof? -f not obtain a note on procedures of %erification.

2..5 (hether auditors were present for ph#sical %erification?

2..4 >as due co"niance been taken of cut off procedures in

Ph#sical %erification and %aluation of in%entories?

2.2. Are the procedures of ph#sical %erification followed b#the mana"ement reasonable and ade+uate?

2.2.2 (hat is the percenta"e in %alue co%ered in the course of

%erification?

2.3. (hether proper stock records are maintained?

2.3.2 (hether the# are properl# maintained in ade+uate details?

2.3.3 erif# the report of %ariations between book record and

ph#sical stock. Are the discrepancies material?

#. $oans %i"en &y the company

3... >as the compan# "ranted an# loans secured or unsecured

to companies firm or other parties listed in the re"istermaintained u/s 30.

3..2 >as a list of such loans "ranted b# the compan# been

scrutinied and a list of loans to parties mentioned in theaforesaid re"isters separatel# obtained? he list should

contain the followin":

i. Name of the part#

ii. elationship with the compan#iii. Amount

i%. 8ear end balance

Cross check the list of such loans obtained in 7b9 abo%ewith the re"ister maintained b# the compan# under section

30 of the Companies Act D4.

3..3 >as a list of such loans "i%in" details of terms and

conditions been placed on file? i%e No. of parties andamounts of transactions.

7 Ea)imum balance outstandin" at an# time durin" the#ear for each part# should be considered9

3.2. 1btain details of the rate of interest and the terms and

conditions of such loan. Factors to be considered to e%aluateterms:


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i. repa#ment

ii. rate of interestiii. restricti%e co%enants

i%. financial standin" and abilit# to borrow / lend

%. nature of securit#

%i. a%ailabilit# of alternati%e sources of finance%ii. ur"enc# of borrowin"

%iii. purpose of the loani). pre%ailin" market rate of interest

3.2.2. 1btain in writin" from the mana"ement their e)planationsas to wh# the terms obtained are not pre=udicial to the interests

of the compan# in those instances where better terms could ha%e

been obtained.

3.2.3. Check that loans and ad%ances made on the basis of securit#

ha%e been properl# secured.3.2.5. -f the terms of the loan "i%en are prima facie pre=udicial has

written e)planation been obtained from the compan# as to wh# it

should not be so considered?

3.3. (hether the principal and / or interest are bein" re"ularl#paid? -dentif# b# scrutin# of the schedules of sundr#

debtors and loan and ad%ances formin" part of balance

sheet and the led"er balances whether an# ad%ances ha%ebeen "i%en for a fi"ure which is far in e)cess of the %alue

of the orders or for a period which is far in e)cess of the

normal trade practice or an# other debit balances could

tantamount to loans or ad%ances in the nature of loans.

3.3.2 est check the repa#ments of the principal amounts with the

stipulation to ensure that the part# is repa#in" the principal

amounts as stipulated. ')tent of check :

3.3.3 est check the receipt of interest with the stipulation so as to

ensure that such interest repa#ments are re"ular. ')tent of

check :

3.3.5 -dentif# the ;oans Ad%ances in the nature of loans where no

stipulation has been made for repa#ments of the principal

amount or for pa#ment of interest.3.3.4 'nsure that where no repa#ments of the principal amounts or

pa#ments of interest ha%e been stipulated the auditor has

indicated in the report that he has not made an# specificcomments because the terms of repa#ment and/or interest ha%e

not been stipulated.

3.3. 1btain and report information as below for loans "i%en


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a9 Name of the part#

b9 elationship with the compan#c9 1%erdue principal

d9 1%erdue interest

e9 8ear end balance

3.5. 1btain a list of o%erdue amount of more than s. lakhper part# B obtain the note re"ardin" steps bein" taken for

reco%er# of the amounts and whether the# are ade+uate andreasonable. -f not obtain e)planation from mana"ement.

3.5.2 erif# the steps taken b# the compan# as listed abo%e and make

#our comments where the steps taken do not look reasonable andask for compan#s response thereto. easonable steps for

eco%er# include: Amounts in%ol%ed issue reminder/s sendin"

le"al notice facts and circumstances of each case should beconsidered and in absence of le"al steps auditor must satisf#

himself that reasonable steps ha%e been taken.3.5.3 Can #ou conclude after considerin" the abo%e and takin"

appropriate e%idence on records that reasonable steps ha%e been

taken b# the compan#?

#.' $oans taken &y the company

3.4. >as the compan# taken an# loans secured or unsecured

from companies firms or other parties listed in the re"ister

maintained u/s 30 of the Companies Act. i%e No. ofparties and amount in%ol%ed in transactions. 7Ea)imum

balance outstandin" at an# time durin" the #ear for each

part# should be considered 9

3.4.2 1btain a list of such loans containin" details of terms and

conditions for our records. 1btain a list of :

9 Name of the part#29 elationship with the compan#

39 Amount

59 8ear end balance

3.. Are the rate of interest and other terms on which these

loans ha%e been taken prima facie pre=udicial to the

interest of the compan# with re"ard to comparati%e terms

for :a9 securit# offered

b9 rate of interest

c9 terms of repa#mentd9 loan "i%en b# the compan#

e9 other conditions attached

1btain in writin" from the mana"ement their e)plana& &tions as to wh# the terms obtained are not pre&=udicial


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to the interests of the compan# in those instances where

better terms could ha%e been obtained.

3.G. 1btain a list in detail or cate"or# wise of loans and

ad%ances in the nature of loans which ha%e been taken.

3.G.2 ,crutinie the schedule of loans and ad%ances formin" part of

the balance sheet in order to ensure the completeness of the listof loans and ad%ances in the nature of loans "i%en.

3.G.3 -dentif# b# the scrutin# of the schedules of sundr# debtors and

loans and ad%ances formin" part of balance sheet and the led"erbalances whether an# ad%ances ha%e been "i%en for a fi"ure

which is far in e)cess of the %alue of the orders or for a period

which is far in e)cess of the normal trade practice or an# otherdebit balances which could tantamount to loans or ad%ances in

the nature of loans.

3.G.5 est check the repa#ments of the principal amounts with thestipulation to ensure that the part# is repa#in" the principal

amounts as stipulated. ')tent of check :3.G.4 est check the receipt of interest with the stipulation so as to

ensure that such interest pa#ments are re"ular. ')tent of check :

3.G. -dentif# the loans and ad%ances in the nature of loans where no

stipulation has been made for repa#ments of the principal

amount or for pa#ment of interest.

3.G.G 'nsure that where no repa#ments of the principal amounts or

pa#ments of interest ha%e been stipulated the auditor has

indicated in the report that he has not made an# specificcomments because the terms of repa#ment and/or interest ha%e

not been stipulated.

3.G.H 1btain and report information as below for loans "i%ena9 Name of the part#

b9 elationship with the Compan#c9 1%erdue principal

d9 1%erdue interest

e9 8ear end balance

(. !nternal Controls systems

5. 1btain a note on the internal control s#stem relatin" to

Purchase of fi)ed assets and in%entories and for the sale of"oods and ser%ices. Also refer checklist on AA,

5.2 >as the s#stem as e)plained been followed durin" the #ear?5.3 1btain the internal audit reports of the current and pre%ious

#ears and list out the ma=or weakness of continuin" nature that

has not been rectified if an#. >ere the weaknesses known to themana"ement continues to persist in spite of steps taken b# the

mana"ement. (here mana"ement has not taken steps the report

should state the same.


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5.5 As per auditors e%aluation of the s#stems e)istin" durin" the

#ear is the internal control o%er the purchase of these assets andsale of "oods ade+uate in relation to the sie of the compan#

and nature of its business. (here an# weakness that is capable

of resultin" in breach of internal controls is considered to be a

ma=or weakness and therefore comes within the ambit ofreportin".

(hether an# ma=or weakness in -nternal Control reported inearlier #ear? -f 8es whether those weaknesses rectified or are

still continuin". 1btain a note from the mana"ement. (hether

additional area of ma=or weakness noticed durin" the #ear and

reported to the mana"ement ?

' )ransactions *ith related parties as per Re%ister of

Contract u/s #+1

4... >as a list of all parties entered in the re"ister under

section 30 been obtained?

4..2. (hether transactions that need to be entered into a re"ister inpursuance of section 30 of the Act ha%e been so entered.1btain a written representation from mana"ement concernin"

the completion of the entries in the re"ister u/s 30.

4..3. ')amine procedure followed for identif#in" the parties and thetransactions.

4..5. 1btain a list of the firms or companies or other parties wheredirectors are interested.

4..4. 1btain a part#&wise statement showin" the followin" details ofall transactions with the parties identified in step abo%e:

a9 Purchase / ,ale contracts reference date and %alue

b9 Purchase / sellin" ratesc9 alue of purchases / sales made in the #ear under the

contract

race transactions in the books of account.

4... Cross check the list obtained in step 7d9 abo%e with the

disclosure under section 2DD739 and the re"ister maintained b#

the compan# under section 3079 of the Companies Act D4for firms or companies or other parties in which directors are

interested. e%iew Form 25AA to ensure compliance with

sections 2DG and 2DD.

4..G. e%iew last #ears workin" papers to confirm whether data

"i%en in step 4..2 is correct.4..H. 'n+uire as to the affiliation of directors and ke# mana"ement

personnel and officers with other entities.

4..D. 1btain list of principal shareholders from the share re"ister.

4..0. e%iew the entit#s income ta) returns and other information

supplied to re"ulator# a"encies such as details shown in 3C$ inrespect of pa#ments to specified person.


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4... Cross check all these information with disclosures made on

related part# transactions in the notes to accounts.

4..2. e%iew the =oint %enture and other rele%ant a"reements entered

into b# the entit#.

4..3. (hether the contracts and arran"ements referred to in section

30 ha%e been entered in the re"ister?4.2. ')amine the statement obtained in step 4..5 abo%e b#

reference to the re"ister of contracts maintained undersection 3079 of the Companies Act D4. Consider for

e)amination the transaction of all such concerns e)ceedin"

an a""re"ate %alue of s. 400000 each.

1btain list of all purchases of an# "oods or materialsa""re"atin" durin" the #ear to s. 400000 or more in

respect of each part#?

1btain list of all sales of an# "oods or materials orser%ices a""re"atin" durin" the #ear to s. 400000 or

more in respect of each part#? 'nsured that the prices paid/recei%ed in abo%e two lists

are reasonable as compared to the prices of similar items

supplied b#/to other parties b# :

Comparin" the rates at which purchase/sales ha%e been

from/to other parties. Comparin" the other terms of purchases/sales such as

terms of credit deli%er# period +ualit# of the product

reliabilit# of the source of suppl#* etc? as the compan# accepted deposits includin" loans from the public within the meanin" of the pro%isions of section 4H&A

'nsure that the compan# is not a pri%ate limited compan#

which has restrictions on acceptance of deposits.


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.2 -f such deposits ha%e been considered as e)empt u/s 4H&Aha%e #ou

placed on file reasons for the same?

.3 >as the compan# complied with the pro%isions of sections 4HA and

4HAA and ules framed there under and also "uidelines issued b#!-?

.5 -f not has the nature of contra%entions been placed on the file andaccordin"l# disclosed in the report.

.4 (hether an# order passed b# the Compan# ;aw !oard NationalCompan# ;aw ribunal or eser%e !ank of -ndia or an# court or

an# other ribunal for non&compliance? -f #es whether the

directions are complied with? ;ist out an# contra%ention and report

the same.

. !nternal Audit ystem

G. -s the paid&up share capital and reser%es of the compan# atthe commencement of the financial #ear in e)cess of s. 40

;akhs* or $oes the a%era"e annual turno%er 7for the 3

financial #ears immediatel# precedin"9 of the compan#e)ceed s. 4 crores.

G.2 -f #es does the compan# ha%e an internal audit s#stemi. -n the form of outside firm7s9 of chartered accountants

ii. -n the form of its own audit department

G.3 >as internal audit pro"ramme been re%iewed? (as it drawn in

consultation with statutor# auditors?

G.5 -s the co%era"e of internal audit ade+uate?

G.4 Are the persons carr#in" out the internal audit ade+uatel# +ualified

for the =ob?

G. o whom do the internal auditors report?G.G >a%e the internal audit reports been perused and mana"ement

replies "i%en on points of defaults and whether the# ha%e been dul#acted upon?

G.H -n %iew of what is stated abo%e is the internal audit s#stem of thecompan# commensurate with its sie and the nature of its business.

0. Cost records

H. >as maintenance of cost records been prescribed for an# of

the acti%ities of the compan#

H.2 -f so whether the records ha%e been %erified to form a prima facie

opinion thereon.H.3 >a%in" re"ard to the abo%e can it be concluded that prima facie

the prescribed records ha%e been maintained.

H.5 >as cost audit been prescribed in respect of these records and if soha%e reports been perused.

.1 tatutory dues

D.. 1btain a statement 7 for Pro%ident Fund -n%estor 'ducation

and Protection fund 'mplo#ees ,tate -nsurance -ncome ta)


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,ales ta) (ealth ta) ,er%ice ta) Customs dut# ')cise dut#

Cess and an# other statutor# dues9 showin" the followin"details :

a9 Name of the statute

b9 Nature of the dues

c9 Amountd9 $ate of deduction

e9 $ue datef9 $ate of deposit

"9 Amount of deposit

h9 Eonth wise deductions and contributions to Pro%ident Fund

and ',-C

D..2 erif# the details obtained in step 7a9 abo%e with the rele%ant

records. ')tent of check:

D..3 -n the case of dela#s are the# si"nificant? 'nsure where the

compan# has not been re"ular in depositin" the dues that the

e)tent of the arrears of such dues if an# ha%e been indicated in the report b# the auditor. Further ensure that the period to

which the arrears relate and where%er possible the fact ofsubse+uent clearance or otherwise ha%e been indicated in the

report b# the auditor.

D..5 >a%e the arrears been cleared? -f not ha%e the amounts ofarrears been disclosed in the report?

D..4 >as the compan# been re"ular in deduction and/or deposit ofstatutor# dues in all cases? 'nsure that mana"ement represen

&tation is obtained specif#in" amounts that are considered

disputed containin" a list of cases and the amounts in respect

of statutor# dues which are undisputed and outstandin" for 6 months from the date the# become pa#able.

. 2ndisputed statutory dues

D.2. 1btain list of ta)es/duties outstandin" as at #ear end in respect

of :a9 -ncome a)

b9 (ealth ta)

c9 ,ales ta)

d9 Custom $ut#e9 ')cise dut#

f9 ,er%ice ta)

"9 -nterest ta)h9 A

i9 1thers 7specif#9

D.2.2 -n respect of undisputed amounts identif# those outstandin"

for o%er si) months as at #ear end.

D.2.3 'nsure proper disclosure of these items.

D.2.5 (here liabilit# is disputed obtain a file note detailin" the status.


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.# -isputed tatutory dues

D.3. 1btain list of all disputed statutor# dues whether pro%ided

1r not in followin" format

Name of statute

Nature of dues

8ear7s9 to which it pertainsAmount 7s.9

Forum where dispute is pendin"

1+. ick !ndustry

0.a9 >as the Compan# been re"istered for a period of se%en or

more #ears?

b9 Are the accumulated losses of the compan# at the #ear end e+ualto or more than 40I of its net worth and

c9 >as the compan# suffered cash losses in the concerned financial

#ear and in the immediatel# precedin" financial #ear?0.2 (here the compan# is a sick industrial compan# is a detailed

note =ustif#in" the preparation of accountin" on a "oin" concern

basis placed on file?

11. -ues to financial institutions

. 1btain a list of dues pa#able durin" the #ear toa9 Financial -nstitutions

b9 !ank

c9 $ebenture holders

.2 (hether theses dues ha%e been paid in time? ;ist all defaults in

an# pa#ments showin" the period of default and amounts.

1. ecured $oans and ad"ances %ranted

2. (hether the compan# has "ranted an# loans or ad%ances onthe basis of securit# b# wa# of pled"e of share and securities?

2.2 (hether ade+uate documents and records are maintained for eachsuch loan?

2.3 (hether the shares and securities held in Compan#s name or are

in possession of compan#&obtain confirmation letters from theparties who ha%e pled"ed the securit#?

2.5 -f proper documents or records are not a%ailable obtaine)planation from the compan# B ;ist of the $eficiencies.

1#. Chit Fund3 Nidhi or 4utual 5enefit Company3. (hether the net&owned funds to deposit liabilit# ratio is more

than :20 as on the date of the balance sheet?

3.2 (hether the compan# has complied with the prudential norms

on income reco"nition and pro%isionin" a"ainst sub&standard

/default/loss assets?

3.3 (hether the compan# has ade+uate procedures for appraisal of

credit proposals/re+uests assessment of credit needs and


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repa#ment capacit# of borrowers?

3.5 (hether the repa#ment schedule of %arious loans "ranted b# the

nidhi is based on the repa#ment capacit# of the borrower and

would be conduci%e to reco%er# of the loan amount?

1(. !n"estment Company

5. -s the compan# dealin" or tradin" in shares securities$ebentures and other in%estments?

5.2 >a%e proper records been maintained of transactions andcontracts? -dentif# the records maintained b# the compan# for

recordin" the dealin"s/tradin" transactions in shares securities

debentures and other in%estments such as contracts etc and ensureits ade+uac#?

5.3 >a%e timel# entries been made in such records?

5.5 >a%e shares securities debentures and other in%estments been

held in the name of the compan#?

5.4 -f not has compan# been e)empted u/s 5D of the Companies Act?5. Also refer to the !- directions as Auditors report on N!FCs

issued on 2ndJanuar# DDH.

1'. 6uarantees %i"en &y company

4. 1btain a list of all "uarantees "i%en b# compan# on behalf ofothers to an# bank or financial institutions showin"

a9 ;oan Amount

b9 Period

c9 Ea)imum liabilit# as "uarantord9 (hether an# securit#

e9 1ther terms and conditions4.2 (hether an# of the terms and conditions are pre=udicial to the

-nterest of the compan#? -f #es ask for e)planation from the

compan#*

4.3 erif# that parties on whose behalf the "uarantees ha%e been

"i%en are financiall# capable of handlin" the liabilities

4.5 -f not obtain written clarification from the mana"ement wh#

he "uarantee is not pre=udice to the interest of the compan#.

1,. )erm $oans

. -f the compan# has obtained an# term loans durin" the #ear or

earlier #ear obtain a list of loans and the purpose for which

1btained as per the sanctions letter..2 erif# that the loans are applied for the purpose for which the# were obtained

.3 -f an# of the loan still remains to be applied* whether the same>as been kept separatel# in bank for future application?

.5 1btain confirmation from compan# that it shall be applied for

the same purpose for which the# ha%e been obtained.


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1. ource of Funds and its application

G. Prepare a Cash Flow statement showin" sources of funds and

application of funds se"re"atin" short&term funds and

-n%estments and lon" term funds and in%estments.

G.2 ;ist out ;on"&term funds

a9 ;on" erm -n%estmentsb9 ,hort term Fundsc9 Cash "eneration durin" the #ear

d9 Chan"e in the workin" capital

G.3 (hether lon" term in%estments match with total of lon"&term

Funds and cash "eneration durin" the #ear?

G.5 Comment on whether the lon" term funds ha%e been applied

For lon" term in%estments or not? -f an# ad%erse comment

$iscuss with the mana"ement.

10. Preferential !ssue

H. (hether the compan# has made an# preferential allotment ofshares to parties and companies co%ered re"ister maintainedKnder sec. 30? 1btain the terms of the issue and the price at

which it is issued*

H.2 (hether proper resolutions ha%e been passed and consent of

Appropriate authorit# such as ,'!- obtained?

H.3 (hether the price at which shares are issued has been arri%ed

at takin" into account the market %alue of the shares of the

Compan#? (hether the issue price is unreasonable as compared to the

Earket %alue? i%e I of issue price to market %alue*

H.5 -f the issue price looks unreasonable ask for an e)planationfrom the compan# wh# it is not pre=udicial to the interest of

the compan#*

ecurities and de&entures

D. (hether the securities ha%e been created in respect of

$ebentures issued? >as the char"e created been re"istered withhe 1C?

20. erif# from the $irectors eport whether the mana"ement has$isclosed on the end use of mone# realied b# public issues.

1. Frauds

2. (hether an# fraud committed an#where has been noted durin"he audit? (hether full in%esti"ation has been carried out?

2.2 (hether the compan# has filed an# complaint with the police

or criminal case re"istered a"ainst an# person for an# fraudCommitted. et a list of cases filed from the compan#*

2.3 (hether an# other part# has filed an# criminal case orComplaint a"ainst the compan# for an# fraud or cheatin"?


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2.5 (hether an# time durin" the #ear or period of audit an# report

of fraud committed b# compan# reported in press has beenNoticed?

2.4 Collect the details of all such frauds b# or a"ainst the compan#o"ether with the amount in%ol%ed.

LLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLL

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LLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLLL

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Prepared b# : e%iewed b#:


15/16

ANN782R7 -

-OC247N)A)!ON OF A2-!) 9OR:

-. C7R)!F!CA)7 )O 57 )A:7N ON F!$7

7tick mark where%er obtained9

. a9 Number of bank accountsLLLLb9 LLLL.certificates and bank reconciliations

2. a9 Number of financial institutions from whom

loans takenb9 LLLL.certificates

3. ,hift (orkin"

5. -nstalled capacit#

4. Actuar#s certificate re"ardin" "ratuit# / pension

. Cash on hand

G. Additions and deletions&fi)ed assets&re:date

H. ,afe custod# certificate re"ardin" in%estment held b# "o%t

authorities bankers etc.D. Confirmation of full account with associated concerns

0. ,tock recei%ed on loan

. ,tock loaned

2. ,tock with processors /a"ents

3. ,tock of customers

5. ,tock with customers

4. ,tock with warehousin" a"enc#

. ,tock sent on consi"nment

G. ,tock recei%ed on consi"nment

H. ,tock of dama"ed materials dealt&in

D. ,tock&in&transit20. Contin"ent liabilit#

2. Affirmation re"ardin" realisabilit# of current assets&loans

ad%ances and ade+uac# of pro%ision for liabilities and

non&char"in" of personal e)penditure

N1', :

. Certificates should specif# nature of securit# which should be compared with the e"isterof Char"es and Eort"a"es.

2. -n case certificates specif#in" nature of securit# is not a%ailable consider placin" a

classificator# note on accounts that the nature of securit# is as per the re"ister maintained

b# the compan#.


16/16

Remarks

Y / N / NA

--. COP!7 OF R7O$2)!ON )O 57 )A:7N ON

F!$7

. emuneration of (orkin" $irectors2. ,ection 357!9&office or place of profit&check the period.

3. ,ole sellin" a"ents&check the period

5. ,ole bu#in" a"ents&check the period

4. ,ittin" fees&if an# chan"es durin" the #ear

. Eo%ement in capital

G. Eo%ement in reser%e

H. $onations&,ection 2H3A

D. -n%estments

0. Addition sale or lease of assets ,ection 2D3

. ;oans b# the compan#

2. !orrowin"s B section 2D3a9 $irectorsb9 Eembers

3. Compan# commencin" a new acti%it# e%en if permitted b#its memorandum ,ection 5D72A9

5. uarantee7s9 "i%en

4. Capitalisation of e)penses

. ,ection 2D2 B estrictions on the powers of the !oard

caro_2003_checklist for paper keeping

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