On Oct. 17, IND BSE notified members on audit report deadline.
IND BSE issued notice reminding trading members of the submission of the internal audit report for the half year ended Sep. 30, 2022 through the BEFS member portal.
Follows, IND BSE Feb. 2022, rules on qualifications to do internal audit, #129858.
Submission Details
Audit must be conducted only by independent qualified chartered accountants or company secretaries or cost and management accountants who are in practice.
Auditors are advised to take notice of changes to the sampling criterion and methodology for sample selection compared to previous half-year submission.
All internal audit certificates must contain unique document identification number.
Effectiveness
All submissions must be complete by Nov. 30, 2022, to avoid penalties and/or fines.
Oct. 28, 2022Online Submission
On Oct. 28, 2022, IND BSE issued a notice regarding the internal audit report.
Members may note that the internal audit report for the half year ended Sep. 30, 2022, is to be submitted on or before Nov. 30, 2022 in electronic form only.
The module for submission is now enabled on the BEFS (BSE electronic filing system).
Submission of the internal audit report only considered complete after the member submits the report to the IND BSE and receives an acknowledgment email.
Saved reports/reports submitted by auditor will not be considered as final submission.
Internal auditors advised to take note of the observations shown in the circular.
Apr. 6, 2023 Half Year Report
On Apr. 6, 2023, IND BSE reminded members to carry out complete internal audit for the half year ending Mar. 31, 2023, and submit the report through the BEFS portal.
Internal auditors are advised to take note certain changes in the sampling criterion and methodology for sample selection compared to previous half year submission.
For each not complied observation, where applicable the auditor shall provide the no. of instances verified, and percentages of instances where non-compliance is observed.
As well as the value involved where non-compliance is observed in report submissions.
Auditors should mandatorily adhere to the sample selection guidelines as specified.
The due date for the audit for the half year ending Mar. 31, 2023, is May 31, 2023.
Apr. 13, 2023 Additional Guidance
On Apr. 13, 2023, IND BSE provided instructions and guidelines for internal auditors.
Internal auditors must provide specific information for each not complied observation, including number and percentage of instances verified, amount/value involved.
Penalties/disciplinary actions for late/non-submission of the internal audit report and non-compliances observed will be applicable as per IND BSE notices or circulars.
Trading members must submit undertaking to IND BSE confirming penalties for short/non-collection of upfront margins from clients" are not passed on to clients.
Submission will be considered complete only after receiving an acknowledgment email from IND NSE, saved reports or reports submitted by auditors will not be considered.
May 26, 2023 Audit Reminder
On May 26, 2023, IND BSE reminded members to submit the internal audit report.
Members must submit the internal audit report by May 31, 2023 through BEFS.
It must be submitted in the prescribed format and comply with the regulatory requirements to avoid any disciplinary action for the non or late report submission.
Oct. 3, 2023 Updated Eligibility
On Oct. 3, 2023, IND BSE revised the eligibility criteria for those auditors qualified to conduct the internal audit of trading members; criteria set out in the Oct. 2022 notice above will continue to be applicable for the half-year ending Sep. 30, 2023.
All members are instructed to inform their internal auditors about these changes.
Revised criteria will be effective from the half-year ending Mar. 31, 2024, and onwards.
Oct. 13, 2023 Audit Reminder
On Oct. 13, 2023, IND BSE informed that all trading members are required to carry out complete internal audit for the half year ended Sep. 30, 2023 and submit a report.
The audit shall be conducted only by independent qualified chartered accountants or company secretaries, or cost and management accountants who are in practice.
They must not have any conflict of interest in or be in relation with the member.
There are certain changes in sampling criterion and methodology for sample selection compared to previous half year submission; auditors should refer to annexure III.
Penalties and disciplinary actions shall be applicable for late/non-submission of the internal audit report and non-compliances observed in the internal audit report.
Due date for the report is within two months from the end of half year; Nov. 30, 2023.
Nov. 2023 Internal Audit Report
On Nov. 21, 2023, IND BSE reminded trading members to conduct a comprehensive internal audit for the half year ending Sep. 30, 2023, and submit by Nov. 30, 2023.
Non-compliance may result in penalty or disciplinary action as per previous notice.
Oct. 2024 Internal Audit Report
On Oct. 1, 2024, IND BSE reminded trading members to submit an internal audit report for half year ended Sep. 30, 2024 via BEFS member portal by Nov. 30, 2024.
The audit shall be conducted only by independent qualified chartered accountants or company secretaries or cost and management accountants who are in practice.
Plus, those who do not have any conflict of interest; members should refer to annexure A of notice 20231003-61 re revised eligibility criteria for internal auditors.
Penalties/disciplinary actions for late/non-submission of the audit report and non-compliance observed in the report shall be applicable as Jun. 2022 notice, #118401.
Regulators
IND BSE
Entity Types
Auditor; B/D; Corp; Exch
Reference
Nt 20241001-14, 10/1/2024; Nt 20231121-28, 11/21/2023; Nt 20231013-57, 10/13/2023; Nt 20231013-57, Nt 20231003-61, 10/3/2023; Nt 20230526-1, 5/26/2023; Ntc 20230413-31, 4/14/2023; Ntc 20230406-59, 4/6/2023; Ntc 20221028-56, 10/28/2022; Ntc 20221017-42, 10/17/2022; Nt 20220601-52, 6/1/2022;
