Case Brief
RBI, acting under section 45MAA of the RBI Act, 1934, passed an order dated September 23, 2021 debarring M/s Haribhakti & Co. LLP, Chartered Accountants, from undertaking any type of audit assignment in any entity regulated by RBI for two years, with effect from April 1, 2022. RBI said the debarment was imposed because the firm failed to comply with a specific direction issued by RBI in respect of its statutory audit of a systemically important non-banking financial company. The release also clarifies that the order will not affect the firm's audit assignments in RBI-regulated entities for FY 2021-22.
Action Snapshot
- Primary Impact
- Directive prohibition
- Entity Type
- NBFC
- Action Type
- Directive prohibition