ICAI

CAs as Statutory auditor can not share client information with credit rating agencies

ICAI has issued a clarification on Statutory Auditor of a Company giving feedback to Credit Rating Agencies about Auditee Client

CAs as Statutory auditor can not share client information with credit rating agencies without permission

The Institute stated that it has been receiving queries from the members as to whether Statutory Auditor of a Company can give feedback of the said Company to the Credit Rating Agencies (CRAs).

It has been clarified by the ICAI that under the provisions of Chartered Accountants Act, 1949 it is not permissible to members to share client information with the CRAs, except if permitted by the Auditee client.

The ICAI has advised members to ensure compliance with the guidelines and failure to comply with the same will result in professional misconduct in terms of the of the provisions of Chartered Accountants Act, 1949 and the Code of Ethics.

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