This will ultimately protect the interest of customers, employees, directors, stakeholders and avoid any unwarranted action from the law enforcing /other agencies. The report of the secretarial audit will need to be annexed with the Board report. The Board of Directors in their report to shareholders will need to explain any qualification/remark made by the company secretary in practice in the secretarial audit. 16.
The secretarial audit is intended to be a detailed and meaningful exercise conducted by a professional to verify compliance with provisions of various laws applicable to a company. It is you, practicing company secretaries who will have the responsibility to conduct these audits for which you will have similar powers and rights as statutory auditors.