We are all familiar with Scams and Frauds!

Even the Corporate Sector is not left untouched, and the alarming increase in fraud from Stayam to ABG Shipyard leads to not only decreasing investors’ interests but also keeping the deserving ones away from resources and support.

Not only investors of these industries and the corporate sectors but also the public at large must have an awareness of what constitutes fraud, what are the duties we, being Chartered Accounts, have towards the same, along with the procedures that Chartered Accountants need to adhere to in such situations. So, starting with what Fraud means, 

Meaning of Fraud
Fraud, as per sec 447 of the Companies Act, 2013, includes any act, omission,  concealment of any fact or abuse of post committed by a person or any other person with the connivance in any manner, with intent to deceive, to gain undue advantage from or to injure the interests of the company and its stakeholder, whether or not there is any wrongful gain or wrongful loss. 

After understanding what constitutes fraud, we need to understand what we, auditors, are duty-bound to.

At AJSH, we assist our clients in dealing with internal audits; government audits of various corporate matters (company incorporation), statutory audits, ROC compliance, and company winding-up) in India by providing them adequate support and guidance from our end. If you have any questions or wish to know more about Reporting of fraud by auditors, kindly contact us