Introduction and Scope of the Implementation Guide ​

4. The purpose of this Implementation Guide is to enable the auditors to comply with the reporting requirements of Rule 11(g). It should be noted that this Implementation Guide provides the principle based guidance for reporting under the aforesaid Audit Rules and auditors are expected to exercise their professional judgement while reporting on such matters.

5. Globally, no similar reporting obligation exists for the auditors and accordingly there is no international guidance available on the subject to prescribe specific guidance to enable the auditor to obtain reasonable assurance and report accordingly under this clause. The auditor is expected to perform procedures in accordance with Standards on Auditing (which includes inquiry, observation, and examination, as applicable).

6. In the above backdrop, this Implementation Guide has been developed to provide detailed guidance for the auditors to enable compliance with reporting requirement under Rule 11(g).