RBI debars Haribhakti & Co from undertaking audit assignments in central bank regulated entities

The Reserve Bank of India (RBI) has debarred Haribhakti & Co. LLP, Chartered Accountants, from undertaking any type of audit assignments in any of the entities regulated by RBI for a period of two years with effect from April 1, 2022.

This is the first case of debarment of a CA firm under section 45MAA of the Reserve Bank of India Act, 1934.

“This action has been taken on account of the failure on the part of the audit firm to comply with a specific direction issued by RBI with respect to its statutory audit of a Systemically Important Non-Banking Financial Company,” RBI said in a statement titled “Action against Statutory Auditors of NBFC under section 45MAA of RBI Act, 1934”.

The central bank said its action will not impact audit assignment/s of Haribhakti & Co. LLP in RBI regulated entities for the financial year 2021-22.