ICAI constituted Online Panel of Experts for queries resolution on bank branch audits

Appointment of Statutory Central/Branch Auditors of Public Sector Banks (PSBs) is made in terms of various provisions of the Banking Companies (Acquisition and Transfer of Undertaking) Act, 1970/80, State Bank of India Act, 1955 and Banking Regulation Act, 1949.

In these tough times of the global spread of pandemic COVID-19, challenges are being faced by one and all. Limited physical movement, restricted access to information and constraints of resources have impacted all the economic processes pervasively.

The bank audit season is around the corner. Given the fact that the banking industry is typical in terms of its geographical and customer spread, the volume and varied nature of products and services offered, coupled with the strict constraints for completing the audits, the members of ICAI, many a times, face lot of issues/ queries while conducting Bank Branch Audits. These could include determination of NPA status, implications of complicated data found in a branch audit, unavailability of any relevant RBI circular, implications of the requirements of RBI circular, nature and adequacy of documentation, possible wordings of the audit report on some important matters in bank branch audit, reporting on Long Form Audit Reports, Ghosh and Jilani Committee recommendations, special purpose reports and certificates, etc.

In respect of the bank branch audit of the Public Sector Banks (PSBs) for the year 2019-20, series of concerted efforts have been made by Professional Development Committee of ICAI. 

After releasing the Guidance Note on Audit of Banks, 2020 Edition for the benefit of the members carrying out bank audits and With a view to support their members for fast resolution of such queries, the Auditing and Assurance Standards Board (AASB) has offered an Online support to members from May 02, 2020 for the bank branch audits for the year ended 31st March 2020.

Members of ICAI can mail their queries at email id: [email protected]. The Online Panel of Experts will address the queries from May 02, 2020. 

For better service, ICAI has advised its members to:

  • Be brief but provide full information and facts
  •  Not to mention the name of the Bank or Branch and name of the Borrower or depositor to avoid problem of violation of client confidentiality requirements under the ICAI Code of Ethics
  •  Avoid rejoinders
  • Not to send the same query twice
  • Draft the audit report on your own
  • Use own judgment

The Online support facility will be managed by a panel of experts. The queries so received will be distributed amongst the members of the panel on random basis and they would reply to the same.

Panel Convenors

CA. G. Sekar, Chairman, AASB & Central Council Member, ICAI, CA. (Dr.) Debashis Mitra, Vice-Chairman, AASB & Central Council Member, ICAI, and CA. Shriniwas Y. Joshi, Central Council Member, ICAI

Disclaimer by ICAI-

“Members are specifically informed that the views expressed by the experts would be their personal views and not necessarily the views of the Auditing and Assurance Standards Board (AASB) or the Institute of Chartered Accountants of India (ICAI). AASB, ICAI or the members of the Panel, do not accept any responsibility for actions taken by the querists based on such advice.”

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