CA CS CIMA Prakash Somani (Landmark Group) (23502 Points)
07 January 2009Government will examine the role of Satyam's auditors and directors, after its chairman resigned and said the company profits had been
CA CS CIMA Prakash Somani
(Landmark Group)
(23502 Points)
Replied 07 January 2009
So friends any comments on " can auditiors be hold responsible??"
CA Sudhir Halakhandi
(PRACTICING CHARTERED ACCOUNTANT)
(13401 Points)
Replied 07 January 2009
FRO ROLE OF AUDITORS WE SHOULD WAIT AND WATCH BEFORE MAKING ANY COMMENTS
CA Sudhir Halakhandi
(PRACTICING CHARTERED ACCOUNTANT)
(13401 Points)
Replied 07 January 2009
THE MATTER IS VERY SENSITIVE
CA CS CIMA Prakash Somani
(Landmark Group)
(23502 Points)
Replied 07 January 2009
You know Sudhir It is One of the worst ever Fraud in Indian Corporate History.
Paras
(Job)
(90 Points)
Replied 07 January 2009
Such Scam is not possible Without Auditor's Knowledge
priyanka narale
(PCC student)
(407 Points)
Replied 07 January 2009
friends it open that we auditors r guilty of the act......... as auditors scrunitise the books and all stuff, how can we say that auditors r not responsible......... if auditors r not responsible then tell me one thing, WHAT R THE DUTIES OF AUDITORS? WHAT ARE THEY PAID FOR?
If clients r one to decide there position then what are we for? We decide whether information provided is true or false, right. this is what auditing is all about, isnt it?
then what was the role of PWC? oh I think we are puppets in the hands of our clients.....
CA. Raj Bolmal
(PRACTICING CHARTERED ACCOUNTANT)
(197 Points)
Replied 07 January 2009
The admission of fraud by Mr. Raju puts a big question mark on the work been done by the auditors.......as per the statement of Mr. Raju the Profits have been inflated from past many years...so the big question is that how the auditors were blindfoldedly signing on the audit reports for so many years.It also raises a question on the results of other listed companies................!!!!!!!!!!!!!!!!
CA CS CIMA Prakash Somani
(Landmark Group)
(23502 Points)
Replied 08 January 2009
The apex chartered accountants’ body ICAI will seek an immediate explanation from Satyam Computer’s auditors, PriceWaterHouse Cooper (PwC), on the financial fraud unearthed by the software company’s chairman B Ramalinga Raju, before taking any action.
CA CS CIMA Prakash Somani
(Landmark Group)
(23502 Points)
Replied 08 January 2009
The independent directors, internal auditors, Senior Finance personnel of Satyam & associated comapnies and accountants (PwC) should have their passports revoked to prevent them from running away,
better still would be take them under preventive police custody as this was a clear case of dereliction of their fiduciary duties. Also crippling fines sjhould be levied on PwC so that they have no option but to liquidate themselves -
this shall send a strong message down the spine of these white-collared crooks.
CA CS CIMA Prakash Somani
(Landmark Group)
(23502 Points)
Replied 08 January 2009
This event brings up the hollowness of statutory audits. When a stated cash balance cannot be verified with accuracy, what is the point in having such high-priced auditors in place?
With all their "disclaimers" and "to the best of our knowledge" statements, they are just making a fool of investors, just like the rating agencies did some time back. The rating agencies also backed out by saying what they published were opinions and not certificates.
Opinions should not warrant such high fees any more. And that's my opinion at no cost.
CAclubindia
