It was decided to make it mandatory to conduct the statutory audit of UCBs with a deposit base of above ₹ 250 million by Statutory Auditors (SAs) who will be qualified Chartered Accountants. However, it was observed that there were large divergences between the audited financial parameters of UCBs and that assessed by Inspecting Officers.
As statutory audit is one of the important inputs based on which on-site supervision is conducted, it is imperative to improve and strengthen the quality of reports of SAs. It has therefore been decided to hold workshops / seminars for SAs to sensitize them with IRAC norms issued by RBI.