An Indian company has an inspector's position and no high ranking person. Not too far into the distant past, when greetings are exchanged between the head of a company's promoter and audit institutions of the new auditors, the process is transferred to the company's introduction section.
Rotation rules are stripped from April 2017 to implement a change in the list of listed companies (about 6,000) and for 10 days for specific unlisted organizations. Chartered Accountant Act was amended in 2006 because the fee was less than the previous year due to not being an audit executive. How the last year was followed, as did the rotation, the tanning was aggressive, with the companies competing in competition for each other and the top 30% discounts offer. A company even held a reverse auction in audit institution with open bids.
Talking to ET Magazine, the senior editor said that the significant amount of money lost in this process - for some audit accounts, 100 crores for a big audit. In the year 2016-17, the price of the highest 1,516 companies is about Rs 1,937 crore. The damage to the entire industry could be as much as 1,000 billion, some estimates say.
Cost pressure - Pressure to accept new audits in new companies, which requires more manpower in the first year - audit institutions say.
Indian companies and global networks are connected, including Big Four - PdC, Deloitte, E & Y and KPMG - and other organizations like Grant Thornton and BD.
Due to pressure from the observer or Chartered Accountant (CA) community in India due to regulatory pressure and public inquiry, the tendency for the resignation of the auditorium has decreased due to the pressure of multiple assignments. So far in 2018, 30 audited companies of the company have left before completing their assignment. That's the full number of years 2016 and 2017. Several were alone in May 2018.
In January 2012, Securities and Exchange Board of India (SEBI) passed an order without the interview of the Order of Fire Pricewaterhousehouse, Bengaluru and two witnesses in a decade old Satyam Computer case. The account for three years has imposed restrictions on companies affiliated with PriceWorldWorks (PDCs) for two years. Sebi has ordered the issuance of Tk 13 crore of garbage with interest from Prime Waterhouse and two former associates.