Volume 1 Issue 2
A Study On Appointment Of Internal Auditors
According to Section 138 of Companies Act 2013, the internal auditor shall be either Chartered Accountant or Cost Accountant or such other professional as may be decided by the board to conduct Internal Audit functions and activities of the company. This study aims to explore whether the Companies in Mumbai area are appointing Internal Auditor and the reasons for not appointing Internal Auditor, if any and also to explore the expertise, qualities and capabilities which enables Company Secretary to perform the role of Internal Auditor. A questionnaire was designed and distributed to the companies located in Mumbai area. The result shows that the companies located in Mumbai area are appointing Internal Auditor. The research also provides the possible obstacles for non-appointment of Internal Auditor by the companies and how to remove such obstacles. This study also examines the steps to be taken to enable Company Secretary to perform the role of Internal Auditor.
Company Secretary, Internal Auditor, Risk Management, Internal Control System