Companies act, 2013
COMPANY LAW QUESTIONNAIRE
PART - 1
INTRODUCTION
The companies Act lays down detailed provision regarding various matters and casts an obligation upon directors and officers of the company to carry the requirement of law. It is the duty of the directors and management to ensure that various provisions have been complied with. However where non-compliance has a bearing upon the accounts and transaction of the company, the auditor may have an obligation to bring it to the notice of the shareholders. These sections are given in the italics in the questionnaire.
The questionnaire proper is in three parts. Part 2 must be filled in first in the case of private companies to decide whether the company is private or public. Part 3 is to be filled by the Secretary of the company. The replies should be got on a separate page and be signed by him or, if there is no Secretary, by the Chief Executive of the company. We should verify this to the extent possible from the various statutory registers maintained under the relevant sections of the Companies Act.
Part 4 of the questionnaire is the main section. The replies must be given by the staff member concerned by putting his initials against each question thereof in one of the three columns Yes, No or Not Applicable (N.A.)
Staff must be careful in answering questions as some of them are negatively worded and they must be answered accordingly. Any question answered with a “No” will indicate a prima facie irregularity. It is possible, however, that the company will be exempted under some other provision of the concerned section of the Act. If this is so, the relevant sub-section should be stated alongside with the words “exempted”.
Certain of the questions can only be answered at the final stage of the audit, when the draft accounts, the draft Board Report and the draft notice to the Annual General Meeting are available. These have been marked with an “@”sign. Questions, which need not be answered by
PART - 1
INTRODUCTION
The companies Act lays down detailed provision regarding various matters and casts an obligation upon directors and officers of the company to carry the requirement of law. It is the duty of the directors and management to ensure that various provisions have been complied with. However where non-compliance has a bearing upon the accounts and transaction of the company, the auditor may have an obligation to bring it to the notice of the shareholders. These sections are given in the italics in the questionnaire.
The questionnaire proper is in three parts. Part 2 must be filled in first in the case of private companies to decide whether the company is private or public. Part 3 is to be filled by the Secretary of the company. The replies should be got on a separate page and be signed by him or, if there is no Secretary, by the Chief Executive of the company. We should verify this to the extent possible from the various statutory registers maintained under the relevant sections of the Companies Act.
Part 4 of the questionnaire is the main section. The replies must be given by the staff member concerned by putting his initials against each question thereof in one of the three columns Yes, No or Not Applicable (N.A.)
Staff must be careful in answering questions as some of them are negatively worded and they must be answered accordingly. Any question answered with a “No” will indicate a prima facie irregularity. It is possible, however, that the company will be exempted under some other provision of the concerned section of the Act. If this is so, the relevant sub-section should be stated alongside with the words “exempted”.
Certain of the questions can only be answered at the final stage of the audit, when the draft accounts, the draft Board Report and the draft notice to the Annual General Meeting are available. These have been marked with an “@”sign. Questions, which need not be answered by