PracticeAuditBig Four accused of flouting Indian rules

Big Four accused of flouting Indian rules

Regulator aims criticism at global firms

Ramalinga Raju, former head of Satyam

The regulator of accounting firms in India has accused the Big Four firms of
bending the rules and offering services they are not entitled to provide in the
country.

The
Times of India
reports that a committee of the Institute of Chartered
Accountants of India (ICAI) has concluded that the Big Four – PwC, KPMG,
Deloitte and Ernst & Young – are offering services through local affiliates
but are defacto the same bodies. Indian law prevents foreign investment in
auditing, accounting, book keeping and taxations services.

The Times quotes committee chairman and former ICAI chairman Uttam Prakash
Agarwak saying: “It has been noticed that MAFs (multinational accounting firms),
entered through automatic/FIPB route for rendering consultancy services, are
transgressing the permission so granted and are rendering taxation services,
auditing, accounting andbook keeping services and legal services.”

PwC recently became embroiled in the Satyam scandal as the company’s auditor.
Two partners from the firm were arrested more than a year ago. One, Talluri
Srinivas, was recently bailed. Satyam’s chairman Ramalinga Raju confesed to
false accounting.

Read more:

Satyam
auditor bailed

PwC
suffers Satyam setback

Related Articles

Is predictive analytics the end of the annual audit?

Audit Is predictive analytics the end of the annual audit?

2d Martin Herron, MHA MacIntyre Hudson
Auditors ‘in the dock’ over Carillion as report calls for Big Four break-up

Audit Auditors ‘in the dock’ over Carillion as report calls for Big Four break-up

1w Emma Smith, Managing Editor
PCAOB sanctions former Deloitte Turkey CEOs over altered documents

Audit PCAOB sanctions former Deloitte Turkey CEOs over altered documents

2w Alia Shoaib, Reporter
KPMG South Africa to review past audit work amid fresh scandal

Audit KPMG South Africa to review past audit work amid fresh scandal

1m Alia Shoaib, Reporter
FRC introduces £10m sanctions for Big Four firms

Audit FRC introduces £10m sanctions for Big Four firms

1m Alia Shoaib, Reporter
Ukraine’s PrivatBank files $3bn claim against PwC

Audit Ukraine’s PrivatBank files $3bn claim against PwC

2m Alia Shoaib, Reporter
Grant Thornton to exit FTSE 350 audit market, citing Big Four dominance

Audit Grant Thornton to exit FTSE 350 audit market, citing Big Four dominance

2m Alia Shoaib, Reporter
Big Four dominate FTSE 250 audit market in Q1 rankings

Audit Big Four dominate FTSE 250 audit market in Q1 rankings

3m Alia Shoaib, Reporter