INSUBCONTINENT EXCLUSIVE:
These guidelines will be applicable to commercial banks from financial year 2021-22The Reserve Bank has made it mandatory for commercial
banks, urban co-operative banks (UCBs) and non-banking finance companies (NBFCs) to take its prior approval for the appointment and
commercial banks and urban co-operative banks will have to apply to the Department of Supervision, RBI before July 31 of the reference year,
to approach the Central Office of RBI (Department of Supervision), whereas other urban co-operative banks will have to approach the
15,000 crore at end of the previous year should be conducted by a minimum of two audit firms and all other entities should appoint at least
one audit firm to conduct the statutory auditThe RBI has placed a special emphasis on independence of auditors and absence of conflict of
It has mandated that for commercial banks and non-banking finance companies, the Audit Committee of the Board will assess the independence
of auditors and conflict of interest position
For others, the Board of Directors will assess the independence of the auditors.The auditors will be strictly guided by professional
The Board of Entities will review performance of the auditors on an annual basis and report serious lapses in audit responsibilities to RBI
within two months from completion of the annual audit.
