RBI Prohibits JM Financial from Providing Financing Against Shares & Debentures Due to ‘Serious Deficiencies

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At the valedictory session of the NFRA International Conference in Delhi, National Financial Reporting Authority (NFRA) chairman Ajay Bhushan Pandey underscored the need for the financial reporting community to emulate the success of India’s start-up ecosystem. He highlighted India’s global ranking as the third-largest producer of unicorn start-ups and urged collective efforts to replicate such success in the auditing sector.

Pandey emphasized NFRA’s commitment to collaborating with the Ministry of Corporate Affairs to establish home-grown audit firms akin to the dominant Big Four. He also addressed ESG (Environmental, Social, and Governance) and non-financial reporting issues, highlighting suggestions for a sandbox regime to foster innovation in auditing practices.

Pandey further mentioned the proposal for an “innovation lab,” a sandbox-like structure within NFRA, to be pursued in collaboration with regulatory bodies such as SEBI and other ministries.

In his closing remarks, Minister of State for Corporate Affairs Rao Inderjit Singh emphasized the importance of transparency in fostering growth and attracting capital to the Indian economy. He highlighted transparent financial reporting as a crucial factor in enhancing investor confidence and facilitating capital inflows.

Singh also emphasized the commitment to sustainable and equitable development, along with strategic investments in infrastructure and human capital, as key drivers for achieving growth rates exceeding 7-8% in the coming decades.

The two-day conference, which commenced on March 5, saw participation from international delegates and auditors. It covered various topics, including the utilization of technology, artificial intelligence, and sustainability in auditing practices.