 "Eros announces completion of internal audit")
Film studio Eros International Media Ltd on Monday announced the company's audit committee had completed an internal review, which commenced in November 2015, with the assistance of Skadden Arps Slate Meagher & Flom LLP.
The review included analysis of the company's financial reporting, primarily for United Arab Emirates (UAE) sales and revenue recognition, amortisation policy of intangibles, including film and content costs, related party transactions, Eros Now registered users' count, and Eros' film library.
In November 2015, US attorneys had initiated investigations against Eros International, following allegations that the company might have issued misleading business information to the investing public. A Twitter user called Market Farce, had claimed UAE sales are not legitimate and had questioned the company's Eros Now registered users.
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The Kishore Lulla-led firm once hailed as the king of Bollywood content by global investors, faced a massive sell-off on the New York Stock Exchange (NYSE) after analysts raised red flags on the company's receivables and user count of its streaming service Eros Now.
Grant Thornton India Llp is the auditor of Eros International Plc and performs the audit of the company's consolidated financial statements, which includes its subsidiaries, in accordance with the standards of Public Company Accounting Oversight Board (US).
