Rbi Plans To Overhaul Banks & #8217; Audit System

In a drastic overhauling of the audit system of commercial banks, the Reserve Bank of India (RBI) is planning to change the criteria for determining the number of statutory central auditors (SCAs) to be allotted to each public sector bank (PSB). The idea is to bring down the number of SCAs per bank.

To enhance the quality of bank audit, eligibility criterion for auditors is also being tightened so that only firms with a minimum standing of 15 years will be considered for empanelment as against the present 10 years. The new criteria, based on the banks