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Showing contexts for: internal auditor in A.Ramachandran vs The Secretary To Government on 6 November, 2013Matching Fragments
78. Question No.111 in "B" series is equivalent to Question No.131 in "A" series. This question has already been dealt with in W.P.(MD).No.17155 of 2013 and therefore, the same does not require any further adjudication.
79.Question 131 (in "B" series) reads as follows;
"131.Internal auditor must send the report to:
(A)Shareholders (B)Management (C)Partners (D)Financial Director (or) Chief Accountant"
80.The key answer is option "B". According to the petitioner, the option "D" is the correct answer. The experts have stated that the correct answer is option "B". The experts have given their opinion as follows;
"Internal auditor is appointed by the management of the company to report about the effectiveness of existing systems, operations and policies so as to enable the management in taking appropriate action. The internal auditor is expected to make suggestions to the management to run the business efficiently. He has to report the management about the policies and procedures of the company."
81.In my considered opinion too, it does not strike to logic, since there are also companies without the Financial Director or Chief Accountant and if it is stated that internal auditor has to submit his audit report to the Financial Director or the Chief Accountant and such companies, where there is no such Financial Director or Chief Account, the report cannot be submitted to any body. Internal audit is for the benefit of the company. Thus, the experts are, in my considered opinion, right in their submission that option "B" is the correct answer. Accordingly, I hold that the option "B" is the correct answer and the same does not require any interference.