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Overview
Our Partner, Mr. Yash Shah, leads the firm's Audit and Assurance practice, covering internal audit, risk-based audit, system audit, concurrent bank audit of Urban Co-operative Banks (UCBs), and statutory audits under various laws. He has handled audit and assurance engagements across multiple industries including FMCG, Packaging, Textiles, Chemicals, ITeS, Pharmaceuticals, trading, and manufacturing.
Risk-Based Audit
- Defining the audit scope and gaining an in-depth understanding of the client's business processes
- Development of Standard Operating Procedures (SOPs) for key business processes
- Review of existing SOPs and contracts, with recommendations benchmarked to industry best practices
- Review of applicable statutory compliances to ensure adherence to all relevant laws
- Conducting physical site visits, including verification at client factories, offices, and other relevant locations
- Data analysis using advanced tools such as Python, SQL, and Power Query in Excel to ensure data accuracy and completeness
- Discussions with management to identify key risk areas and determine root causes
- Recommending internal controls and improvements to existing systems to prevent revenue leakage and reduce unnecessary costs
- Preparation of a comprehensive management report and discussion of findings and recommendations with management
Concurrent Bank Audit
- Understanding bank operations, governance structure, and applicable regulatory authorities
- Compliance with RBI guidelines, State Co-operative Act, and the Banking Regulation Act
- Adherence to RBI circulars, prudential norms, and reporting requirements
- Review of Board composition, committees, and decision-making processes
- Review of Sampathik reports prior to commencement of audit
- Verification of share capital, reserves, and statutory appropriations
- Review of loans and advances, including sanctioning, documentation, and disbursement controls
- Verification of compliance with investment policy and RBI guidelines
- Compliance with CRR, SLR, and priority sector norms (where applicable)
- Review of valuation, classification (HTM / AFS / HFT), and income recognition
- Verification of KYC, AML, and customer due diligence processes
- Review of interest calculation, maturity, and renewal controls
- Cash verification and reconciliation
- Verification of accuracy of financial statements and disclosures
System Audit
- Understanding the ERP system blueprint and system architecture
- Review of system configuration and master data controls (customers, vendors, items, tax codes)
- Review of accounting systems, user access controls, and data integrity
- Verification of compliance with statutory and regulatory system requirements (GST, Income Tax, Companies Act)
- Assessment of audit trails and logging mechanisms for transactions and master data changes
- Evaluation of reliance on ERP and automated controls
- Review and testing of internal controls over key processes
- Identification of control gaps and weaknesses
- Testing of exception reports and system alerts for unusual or high-risk transactions
- Review of backup, disaster recovery, and data retention policies
Statutory Audit
- Verification of books of account
- Compliance with applicable Accounting Standards / Ind AS
- Verification of income, expenses, assets, and liabilities
- Identification of non-compliances, disallowances, and potential exposures
- Review of related party transactions
- Verification of compliance with Board and shareholders approvals
- Reporting under CARO, where applicable
- Verification of fixed assets, depreciation, and impairment
- Evaluation of going concern assumptions
- Reporting of audit observations and recommendations to management
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