National Financial Reporting Authority
Independent regulator to oversee the auditing profession and accounting standards in India under Companies Act 2013; came into existence in October 2018.
Composition
A chairperson who will be appointed by the Central Government and a maximum of 15 members.
Powers
- Can probe listed companies and those unlisted public companies having paid-up capital of no less than Rs 500 crore or annual turnover of no less than Rs 1,000 crore.
- Can investigate professional misconduct committed by members of the Institute of Chartered Accountants of India (ICAI) for prescribed classes of body corporate or persons.
What is the National Financial Reporting Authority (NFRA)?
National Financial Reporting Authority is an independent regulator established under the Companies Act 2013 in India to oversee the auditing profession and accounting standards.
When did National Financial Reporting Authority come into existence?
National Financial Reporting Authority came into existence in October 2018.
How is National Financial Reporting Authority composed?
National Financial Reporting Authority consists of a chairperson appointed by the Central Government and a maximum of 15 members.
What powers does National Financial Reporting Authority have?
National Financial Reporting Authority has the authority to probe listed companies and unlisted public companies with substantial financial stature, defined as having a paid-up capital of no less than Rs 500 crore or an annual turnover of no less than Rs 1,000 crore.
National Financial Reporting Authority is also empowered to investigate instances of professional misconduct committed by members of the Institute of Chartered Accountants of India (ICAI) within prescribed classes of body corporate or persons.
