NFRA finds deficiencies in BSR's audit of IL&FS Financial Services

The audit review report has found violations with respect to the assessment of the use of the going concern assumption by the management

The audit regulator, the National Financial Reporting Authority (NFRA), has found lapses in BSR and Associates’ audit of IL&FS Financial Services (IFIN) and said it was not eligible to be appointed as the statutory auditor of the firm.
 

In its audit quality review report released on Monday, the NFRA said BSR, a KPMG affiliate, violated the provision of non-audit services and had business relationships with the company at the date of its appointment.
 

A statement by BSR said, “We are concerned to note the conclusions by the NFRA in the audit quality review as they do not give due consideration