IndiaCatalog.com
India News
Search Web Directory
News Home
Sebi moves apex court against SAT order quashing ban on Price Waterhouse
Posted on 23rd October 2019
Market regulator Sebi on Tuesday moved the Supreme Court challenging the Securities Appellate Tribunal’s order that quashed its two-year ban imposed on audit firm Price Waterhouse (PW) in the wake of the Satyam Computer fraud in 2009.

Sebi had in January last year barred Price Waterhouse (PW) and two auditors — S Gopalakrishnan and Srinivas Talluri — from auditing listed companies and had also directed the latter not to engage any audit firm forming part of the Price Waterhouse network. The ban order was passed on the grounds that the auditors had totally abdicated their “duty to follow the minimum standards of diligence and care expected from a statutory auditor, compelling the Whole Time Member (of Sebi) to draw an inference of malafides” and their involvement in the “large scale financial manipulations of Satyam Computer Services Ltd.”

The fraud dates back to 2009 when Satyam Computer founder B Ramalinga Raju confessed to cooking the company’s books and inflating profits. Satyam’s board was superseded and later the company was auctioned and taken over by Tech Mahindra.

On appeal, SAT on September 9 had ruled that negligence does not amount to misconduct and if the audit of Satyam was conducted in a careless or reckless manner by the audit firm, then action can only be taken by the Institute of Chartered Accountants of India (ICAI) and not by Sebi. But SAT upheld Sebi’s move on disgorgement of Rs 13 crore from the auditor along with interest of 12% since 2007 for the wrongful gain.

Challenging the tribunal’s order, Sebi told the SC that these auditors had ignored vital materials like the internal audit report which flagged material discrepancies in reconciliation of the invoices. Besides, the Sebi found that the auditors had failed to get independent verification of the cash and bank balances done from banks for a period of eight years and had instead relied on purported one-line confirmation given by Satyam itself, it said. Thus, “the current account balance of `1,731.88 crore and the FD balance of `3,318.37 crore projected in the accounts of Satyam as on September 30, 2008, and as audited by PW throughout the previous 8 years and wrongly published to the world at large was without following the procedures mandated under prescribed accounting standards,” the appeal filed through counsel Pratap Venugopal stated.

According to the market regulator, the verification of the invoice management system was done in a perfunctory manner by the statutory auditors in total disregard of the accounting standards and the ICAI guidelines, the auditors ignored the internal audit findings on invoices and did not evaluate other audit evidences regarding the financial statement assertion being audited, they also clearly obfuscated the true position to the investors by deliberately skipping other steps of auditing, and all this was sufficient to establish the auditors’ complicity, acquiescence, negligence and collusion with the company and its promoters and would amount to “fraud” as contemplated under the Sebi Act.”

Related Companies: Securities and Exchange Board of India ( SEBI )   

Other Latest News
WHO announces 2nd outbreak of Ebola in Congo, 4 deaths reported
Posted on 2nd June 2020
The head of the World Health Organization (WHO) Tedros Adhanom Ghebreyesus confirmed the second outbreak of Ebola in the Democratic Republic of Congo, adding another health crisis for a nation which is already fighting the coronavirus and the largest measles outbreak on the plant.

US Foreign Affairs committee 'extremely concerned' by Chinese aggression against India; calls Beijing a 'bully'
Posted on 2nd June 2020
Eliot L Engel, the chairman of the Committee on Foreign Affairs at the US House of Representatives, on Monday, said that he was extremely concerned by China's ongoing aggression along the Line of Actual Control (LAC) on the India-China border in Ladakh, and accused China of being a 'bully' to its neighbours time and again.

Coronavirus Outbreak: COVID-19 tally in India nears 2 lakh-mark; death toll crosses 5,600
Posted on 2nd June 2020
The total number of confirmed cases of COVID-19 infection in India crossed the 1.98 lakh-mark by Tuesday, while the death toll has reached the 5,600-mark as well. It is to be noted that India has now become the world's seventh worst-hit country in terms of coronavirus cases, according to the World Health Organisation's (WHO) COVID-19 tracker.

At 9:30 AM on this day, the COVID-19 tally in the country has reached 1,98,706 cases, which includes 97,581 active cases; 95,527 cured, discharged, or migrated patients, and 5,598 deaths.

COVID-19 puts a damper on Telangana Formation Day celebrations this year
Posted on 2nd June 2020
Today (June 2) is celebrated every year as Telangana Formation Day as this is the day when the Telangana state officially came into existence under the Andhra Pradesh Reorganisation Act of Parliament in 2014.

On February 8, 2014, the Telangana Bill was passed by the Lok Sabha with support from the Congress and BJP. The Telangana Bill was passed by Rajya Sabha with the support of the BJP and other opposition parties.

Cyclone Nisarga: Uddhav Thackeray holds meeting with Home Minister Shah
Posted on 2nd June 2020
Maharashtra Chief Minister Uddhav Thackeray and Union Home Minister Amit Shah discussed on Monday the state's preparedness for Cyclone Nisarga, which is predicted to hit the west coast on June 3.

Thackeray, in the meeting held through video conferencing, said Mumbai city, its suburbs, Thane, Palghar, Raigad, Ratnagiri, and Sindhudurg are on alert for the cyclone.

» Post a FREE Classified Advertisement
Inviting Real Estate Agents, Job Placements Agents, Educational Institutes, Software Service Providers, Real Estate Builders, Marriage Bureaus, Travel Agents, Restaurant Owners, Health & Fitness Centers and other Local Businesses to Post a FREE Classified Advertisement on Cootera.com Classifieds Website.
Jobs in India India Real Estate Automobiles Matrimonials Beauty & Fitness

Add a comment for Sebi moves apex court against SAT order quashing ban on Price Waterhouse
Please only use this form to enter comments on the above company. All comments are reviewed before they are displayed on the web site. Not all comments may be displayed. Check back with us to see if your comments have been displayed.
If you want us to email the comments posted by users, please Subscribe by email
Name*
Comments*
Security Code*
 

Be the first person to write a business review for Sebi moves apex court against SAT order quashing ban on Price Waterhouse

Most Read News

Gold prices hit two-week low on optimism around reopening of economies

GDP growth in 2019-20 slows to 11-year low of 4.2%, Jan-Mar growth dips to 3.1%

Centre revises guidelines for international arrivals, reduces institutional quarantine period to 7 days

NASA postpones launch of historic SpaceX mission minutes before blastoff citing thunderstorms

COVID-19 tally in India crosses 1.73 lakh-mark, nearly 5,000 deaths; highest spike of 7,964 cases in 24 hours

More India News

  India Web Directory
Business Profiles
Automotive Directory
IT/ITES/BPO Directory
Hotel Directory
Health Directory
Business Directory
Gems & Jewellery
Education Directory
Real Estate Directory
Agriculture Directory
Logistics Directory
Yellow Pages
NRI Guide
Photo Galleries
Global Web Directory
*** FREE India Classifieds
Order Premium Listings
Submit a Site
Business Reviews
Home
About us
Link to us
Advertise
Contact us
Google Search Keywords: India Catalog, IndiaCatalog, India Web Directory
    © 1999 - 2020 IndiaCatalog.com
    All Rights Reserved
Privacy Statement