Section 38 in The Maharashtra Non-Trading Corporations Act, 1959
38. Powers and duties of auditors.
(1)Every auditor of a corporation shall have a right of access at all times to the books and accounts and vouchers of the corporation, and shall be entitled to require from the officers of the corporation such information and explanations as the auditor may think necessary for the performance of his duties as auditor.(2)The auditor shall make a report to the members of the corporation on the accounts examined by him, and on every balance sheet and income and expenditure account and on every other document annexed to the balance sheet or income and expenditure account which are required to be laid before the corporation in general meeting under section 34 during his tenure of office, and the report shall state whether, in his opinion and to the best of his information and according to the explanations given to him, the said accounts give the information required by this Act in the manner so required and give a true and fair view,–(i)in the case of the balance sheet, of the state of the affairs of the corporation as at the end of its financial year; and(ii)in the case of the income and expenditure account of the income and expenditure for its financial year.(3)The auditor’s report shall specify all cases of irregular, illegal or improper expenditure, or failure or omission to recover money or other property belonging to the corporation or of loss or waste of money or other property thereof and state whether such expenditure, failure, omission, loss or waste was caused in consequence of a breach of trust or misapplication or any other misconduct on the part of any of the directors, officers, or servants of the corporation.(4)The auditor’s report shall be signed by the auditor and shall be read before the corporation in general meeting and shall be open to inspection by any member of the corporation.(5)The auditor shall forward a copy of his report to the Registrar.
