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SJVN Thermal Pvt. Limited, Buxar, Bihar
October, 14th 2019
                  BID DOCUMENT
         EXPRESSION OF INTEREST FOR
      APPOINTMENT/ EMPANELMENT OF
 INTERNAL AUDITORS FOR THE FINANCIAL
                       YEAR 2019-20




                  SJVN Thermal Pvt. Limited
(a wholly owned subsidiary of SJVN Ltd., a CPSU under the ministry
  of power, Govt. of India & a Mini Ratna schedule "A" company)
                Finance & Accounts Department
          Project Office: 2nd Floor, Nav Durga Complex,
               Collectorate Road, Ambedkar Chouk,
                      Buxar-802103 (Bihar)
                    Phone No: 06183-223163
             Email: - sjvnthermalfinance@gmail.com
Corporate Identity Number (CIN): U31908BR2007PTC017646




                                1
                          SJVN Thermal Pvt. Limited


EXPRESSION OF INTEREST (EOI) FOR APPOINTMENT/ EMPANELMENT OF
CHARTERED ACCOUNTANT / COST ACCOUNTANT FIRMS FOR CONDUCTING
INTERNAL AUDIT FOR THE FINANCIAL YEAR 2019-20.



SJVN Thermal Pvt. Ltd. (herein after called STPL) invites expression of interest for
appointment/empanelment of Chartered Accountant / Cost Accountant Firms for Internal Audit
of the functions and activities of the company. The scope of work along with detailed terms &
conditions and estimated schedule of fee together with Annexure ­ I, II and III are available on
the website www.sjvn.nic.in which can be downloaded. The selection of the auditor shall be
based on overall suitability of the firm and its experience in the internal audit of Central/state
Power sector PSUs. Preference will be given to firm having its office near project office at
Buxar and experience of audit in Power Sector.

Interested firms (having requisite experience in Internal Audit of Central/State Power Sector
organisations / PSUs may send their application in prescribed format in envelops super
scribing "Appointment / Empanelment of Chartered Accountant / Cost Accountant Firms
for conducting Internal Audit for the F.Y 2019-20" so as to reach in the office of Chief
Financial Officer, SJVN Thermal Pvt. Ltd, 2nd Floor, Nav Durga Complex, Collectorate road
Ambedkar Chauk, Buxar- 802101 latest by 30-10-2019 by 5.00 pm. The offer should be
submitted strictly as per terms and conditions laid down in the document.


Important Note: -


   ·   For the purpose of this EOI `Firm' means a Firm of Chartered Accountants / Cost
       Accountants and includes Limited Liability Partnerships.
   ·   Application received after the due date and time, for any reasons whatsoever, shall
       not be entertained.
   ·   Firms without having requisite experience need not apply.




                                                2
                          SJVN Thermal Pvt. Limited

                      Selection and Appointment of Internal Auditors


A) Introduction:
Buxar Thermal Power Project (BTPP) was being developed earlier by Buxar Bijlee Company
Private Limited (a SPV created by Bihar Power Infrastructure Company) (BPIC). Bihar Govt.
accorded approval for transfer of BTPP to SJVN Ltd. on 27.12.2012. Subsequently,
memorandum of understanding between SJVN, Bihar State Power Holding Company limited
(BSPHCL) and BPIC was signed on 17.01.2013 for setting up of 1320 MW Buxar Thermal
Power Project. SJVN has taken over the Buxar Bijlee Company Private Limited on
04.07.2013.

The name of company changed from Buxar Bijlee Company Private Limited to SJVN Thermal
Pvt. Ltd. (herein after called as STPL) on dated 17.10.2013. SJVN Thermal Pvt. Ltd. is a 100%
subsidiary company of SJVN Limited. The requisite land for the project has been acquired by
STPL. Environmental clearance for the project has been granted by Ministry of Environment,
Govt. of India. Main works of the project have already been awarded during the current
financial year.

STPL intends to empanel Chartered Accountant / Cost Accountant Firms to conduct internal
audit of the functions and activities of the various projects/offices of company for the F.Y 2019-
20 and onwards as required under section 138 (1) of the Companies Act, 2013. The applications
are invited from the firms of Chartered Accountant / Cost Accountant having requisite
experience in Internal Audit of Power Sector organisations / PSUs, along with their latest
resume for empanelment.

In exercise of the powers conferred under sub-sections (1) section 138 read with section 469
of the Companies Act, 2013, the Ministry of Corporate Affairs, Govt. of India, New Delhi has
issued notification for conducting Internal Audit of the function and activities of the company
in respect of each of its financial year commencing on or after the 1st day of April, 2014 and
Rule (13) (1) (a) of Companies (Accounts) Rules, 2014. Hence, STPL desires to empanel the
Internal Auditors for conducting Internal Audit of the functions and activities of STPL.

B) Scope of Work:

STPL is looking for engagement of eligible Chartered Accountant / Cost Accountant firm for
carrying out the following job:-

   i.      Internal audit is to be conducted for the year 2019-20 in respect of its Buxar Thermal
           Power Project (BTPP) at Buxar, Bihar in accordance with Rule (13) (1) (a) of
           Companies (Accounts) Rules, 2014 and as required by the Section 138 of the
           Companies Act, 2013 and in adherence to the relevant orders/clarifications as issued
           from time to time by Ministry of Corporate Affairs, Govt. Of India, and the Auditing
           Standards issued by the Institute of Chartered Accountants of India.
   ii.     The Scope of work of Internal Auditors is attached at Annexure ­ I, which is
           indicative. The scope of work may increase/decrease depending upon the
           requirement of work.
                                                3
C) Audit team:

Auditors should deploy suitable teams for undertaking the audit, after a thorough perusal of
requirements of appointment letter, terms and conditions contained therein and the Detailed
Guidelines for Internal Audit, ensuring that the size of the audit team is commensurate with the
size of auditee unit and the volume of work. The Head of Finance of the Unit or his authorised
representative will coordinate with the Audit team for smooth functioning of the audit.

It should be ensured that the audit team is headed every time by a Chartered Accountant / Cost
Accountant (who may be a partner) and consist of adequate number of qualified/semi qualified
audit assistants of the firm.

D) Proposed Audit Fee:

The schedule of fee will be as under:

   i.      The schedule of fee for this assignment is fixed as Rs. 40,000/-(Fourty Thousand
           only)
   ii.      50% of audit fees will be payable on completion of the 1st phase Audit and
           submission of compliance report and the remaining 50% will be payable on
           completion on submission of Compliance Report for the full F.Y. 2019-20 (i.e after
           submission of the audit report for the 2nd phase), and shall be payable within 30
           days on submission of the bills.
   iii.    The travelling and out of pocket expenses will be paid subject to production of
           documentary evidence. The entitlement for the purpose of payment of TA/DA shall
           be as per STPL rule which shall be indicated in detail in the appointment letter.
   iv.     GST shall be paid extra as applicable on furnishing copy of the registration
           certificate.
   v.      Tax Deduction at Source (TDS) will be made as applicable.

E) Selection Criteria/Evaluation:-

The selection of the Internal Auditor shall be as per qualitative criteria indicated in Annexure
- III which is based on the overall suitability of the firm and its experience in the internal audit
of Central / State Power sector PSUs. The firm securing maximum marks will be selected.
Preference will be given to firm having its office near project office at Buxar and experience
of audit in the power sector.

Other Terms and Conditions:

The appointment of Internal Auditors is subject to the following declarations:

   i.      The Audit firm must not sub contract the -work. In case it is subsequently found at
           any stage of the appointment process / post appointment that outsourcing has been
           resorted to, the appointment will be liable for cancellation with immediate effect.
   ii.     The designated team will work in strict confidence and will ensure that the
           information in respect of the operation of the area/ unit is dealt in strict confidence
           and secrecy. A certificate towards maintaining confidentiality to be provided by the
           Internal Auditor before commencement of audit.
   iii.    No partner of the Auditors is related to C.M.D. / whole time Director or part time
           or Independent Director of the company within the meaning of Sub-Section (76) &
                                                 4
        (77) of Section 2 of the Companies Act,2013 and/or is related to CEO & CFO of
        STPL.
iv.     Neither the firm nor its partner or associates have any interest in the business of the
        company.
v.      The auditor will be required to issue certificate of Independence before
        commencement of audit.
vi.     The auditor / audit Firm must not be holding any assignment as Statutory Auditor
        or Cost Auditor of STPL.
vii.    The partners holding certificate of Practice issued by the Institute of Chartered
        Accountant of India / Institute of Cost Accountants of India are in whole time
        practice.
viii.   The Internal auditor shall ensure that data given to the Auditor by company and any
        information generated from the data provided shall not be used by the Auditor for
        any other purpose.
ix.     The Auditor / Audit Firm will be debarred from getting the Internal Audit in future
        in STPL or its holding company and its sister concerns in the following cases:

        a. If the firm obtains the appointment on the basis of false information/ false
            statement.
        b. If the firm does not take up audit in terms of appointment letter.
        c. If the firm does not submit the audit report, complete in all respect in terms of
            appointment letter.
        d. If the firm does not comply with the conditions as per provisions of Companies
            Act, 2013.
        e. If the Firm violates any of the stipulations from (i) to (ix).
x.      Jurisdiction of courts: The law of land as promulgated / modified /amended or
        replaces from time to time shall govern this EOI.
        Any dispute arising out of or in respect of the contract will be subject to the
        jurisdiction of High Court of Patna (Bihar) only.
xi.     Disclaimer: STPL reserves the right to accept or reject any or all responses and to
        request additional submissions or clarifications from one or more Applicant(s) at
        any stage or to cancel the process entirely without assigning any reason.


      GENERAL INSTRUCTION TO AUDIT FIRMS AND DOCUMENT LIST

                                      TO DO LIST

A. Instruction to Audit Firms

1. Format for Application must be completely filled in. Incomplete applications will be
   rejected out-rightly.
2. Please ensure that date of registration of Registered Office date of joining of
   partners/qualified/semi-qualified assistants into the firm should be invariably indicated
   in the application.
3. All EOI will be evaluated on the basis of the documents furnished along with
   application only. However, if required, additional documents of historical nature may
   be asked for seeking further clarifications.
4. Since, all the applications will be evaluated strictly on the basis of Selection Criteria as
   per "Annexure ­ III", please avoid attaching unsolicited information / documents to
   processing applications expeditiously.
5. All documents submitted should be signed by a partner with his name and under the
   seal of the firm.
                                             5
6. Any application received after the stipulated date, due to any reason whatsoever, will
   be rejected out­rightly.
7. The application should be serially numbered with appropriate references in the format
   of application (Annexure-II).

B. List of documents to be submitted along with the Applications / EOIs

   Interested audit firm are advised to go through contents of EOI documents carefully and
   submit all attested copies of the following documents in proper sequence along with the
   EOIs as described hereinafter:






1) Registration certificate of the firm issued by the Institute of Chartered Accountant of
   India / Institute of Cost Accountant of India. Information related to year of
   establishment of Head Office, addresses, details of partners and their membership nos.
   as indicated in the Certificate will be treated as conclusive and final information for
   evaluation of EOIs.
2) Membership certificate of the Partners / Qualified Assistants issued by the Institute of
   Chartered Accountants of India / Cost Accountant of India.
3) Certificate / Mark sheets issued by the ICAI/ICMAI in evidence of qualification of
   Semi-Qualified Assistants.
4) Copies of appointment orders for statutory audit / internal audit in STPL and PSUs
   (Central/State) in evidence of experience.
5) The firm must submit a copy of audited balance sheet and P&L Account for the last
   three financial years i.e 2016-17, 2017-18 and 2018-19.
6) Copy of PAN Card.
7) Copy of GST Registration.
8) Details of bank account and bank in which Fee payments will be made.
9) A copy of complete EOI documents duly signed and documents are to be signed by the
   partner/owner of the firm along with seal of the firm as a token of acceptance of all
   terms and conditions.




                                           6
                                                                                  Annexure - I

                         Scope of Work for Internal Auditors of STPL.


Internal audit is an important tool of management to keep watch and exercise control over
activities of the Company. With the specialized knowledge of professional firms of Chartered
Accountants/Cost Accountant, STPL endeavours to significantly improve not only finance &
accounting related performance but also exercise management control over non-financial
activities with the help of efficient Internal Audit mechanism.


Companies Act 2013, while giving statutory recognition to the Internal Audit and making it
mandatory for certain class of companies vide Rule 13 of the Companies (Accounts) Rules
2014, recognizes the importance and usefulness of Internal Audit by providing that the report
of the Board of Directors shall contain the details in respect of adequacy of internal financial
control with reference to the Financial Statement (Sub-rules 4 & 5 of Rule 8 of Companies
(Accounts) Rules 2014.


Accordingly, to strengthen the control over STPL's financial and other activities management
will rely extensively on the reports submitted by Internal Auditors and hence responsibilities
of Internal Auditors are vast and it is expected that the Internal Auditors shall apply their
expertise in bringing out the deviations and irregularities and support the concerned unit(s) in
streamlining its/ their activities. STPL management also desires to gather valuable suggestions
from Internal Auditors to review modify and enhance professionalism and financial discipline
in the Company.


The objective of internal audit is to review the accounting and internal control system as a
service to the Company. The functions of Internal Audit inter-alia include examining,
evaluating and reporting to the Management on the adequacy and effectiveness of components
of the Accounting and Internal Control System. The scope of coverage shall include
examination of the economic effectiveness of operations including non-financial control
system in the organization.



                                               7
Internal Audit Manual of the Corporation prescribes various aspects of audit. The areas and
magnitude in respect of scope of audit has been defined in clause No. 3.0 of the Internal Audit
Manual ­ Scope and Coverage. During the course of audit, the Management may add / delete
/ modify the scope of any of these areas of work.


Based upon STPL's requirements and working following are the broad guidelines for Internal
Auditors ­


 (I) AS PRIME RESPONSIBILITIES OF THE INTERNAL AUDITOR

    a) Should ensure that no transaction, agreement, act or commitment of the STPL Offices
       / Project(s) is ultra virus to the laws prevailing and / or applicable for the period under
       audit.
    b) Should ensure that no transaction is booked in the books of accounts against mandatory
       accounting standards issued by the Institute of Chartered Accountants of India and / or
       as notified by Companies (Accounting Standards) Rules, 2015.
    c) Should ensure that no transaction is booked in the books of accounts of the STPL
       Offices / Project(s) in contravention with Ind AS, fundamental accounting assumptions
       and accounting concepts unless the Ind AS is / are superseded by Company's
       Accounting policies.
    d) Should ensure that while recognizing transactions STPL's accounting policies are
       adhered to.
    e) Should ensure that the circulars, guidance and (accounting) instructions issued from
       time to time by SJVN Corporate Office (Holding Company)/ STPL to comply with the
       changes in laws, business requirements, smoothening of procedures and ease of
       accounting are being followed properly and correctly. It is also expected that internal
       auditor should check and ensure that treatment given to transactions is not ultra virus to
       the circulars, guidance and instructions so issued by SJVN Ltd./STPL.


(II) MAJOR FOCUS AREAS

(a) To monitor and report on implementation of the Internal Audit Manual and Finance
    Manuals.
(b) To review the formulation of capital budget approval, source of funding vis-à-vis the
    amount spent there-against and the accounting & reporting thereof. The report should point
    out any major deviations requiring re-appropriation / re-allocation of funds provided in

                                                8
     this budget. The report should also contain the Budget Provisions vis-à-vis the actual
     achieved and the reasons for variance.
(c) The audit report should also make a reference regarding the prevailing information
     reporting systems and suggestions for their improvement.


Although, the areas and magnitude in respect of scope of audit as defined in Internal Audit
Manual and above mentioned broad scope of work cover the entire work requirement from the
auditors, some of other areas are elaborated and detailed as under :-


1.   Statutory compliances and Internal Controls:
     To ensure compliance of Companies Act, 1956 & 2013 with particular reference to the
     accounting functions and the Accounting Standards & Guidance Notes issued by the
     Institute of Chartered Accountants of India from time to time and also other statutory
     provisions applicable to the company. To assist and advice the company in formulation /
     revision of accounting policies and in establishing proper accounting practices and
     procedures as per the changing needs.


2.   Works Accounting :
      (i) To verify and scrutinize payments to contractors with reference to respective
           contracts and adjustment thereof while accounting for the work done by them and
           ensure that deductions in respect of Mobilisation Advance etc. and statutory
           deductions are correctly made from their bills.
      (ii) The internal auditor should check that adjustments for returns, shortages, damages
           and unserviceable stores and materials at sites are properly made.
      (iii) The internal auditors should check that various Statutory Tax Returns should be
           timely filed with the Tax Authorities and also verify the facts and figures given in
           the Tax Returns.
      (iv) Review of terms and conditions of tender documents and agreements, verification of
           Bank guarantees and specific emphasis to be given on final payments.
     (v)   To plug loopholes, which might have crept in the system due to passage of time and
           complacency on the part of persons particularly engaged in financial concurrences,
           release of payments, updating accounting records, authorisations as per DoP etc.




3.   Capital work-in-progress and capitalisation:

                                               9
      (a) Work-in-progress should be verified by the internal auditors with reference to field
           records such as Interim Payment Certificates and certification of progress issued by
           the EIC. Quantum of work-in-progress recorded should be compared with work
           orders / contracts and subsequent approvals for variations, to ensure that payments
           are duly authorized.
      (b) To verify capitalization of assets and accounting of capital expenditure (including
           expenditure incidental to the construction) and its further distribution on the specific
           assets as per Accounting Policy of the company for capitalization.


4.   Fixed Assets :
     To verify that proper records of assets of the company are maintained as per requirements
     of Companies (Auditors' Report) Order, 2015, issued by the Ministry of Corporate Affairs
     in terms of sub-section (11) of Section 143 of the Companies Act, 2013.


     Review the system regarding accounting, custodianship and safeguarding of monetary and
     non-monetary assets of the enterprise and to see that the assets of the company are
     reasonably and adequately protected against loss. Also check that the transfer / sale of each
     asset is immediately and properly accounted for. Also check the applicable depreciation
     rates and calculation of depreciation


5.   Scrutiny of Bank Transactions and Reconciliation:
     (a)   Scrutiny of Bank Transactions
           To verify that cash (wherever applicable) & bank transactions are recorded properly
           and surplus funds, if any, shall be kept in short terms / flexi deposits with the banks
           as per Investment Guidelines. Entries in the deposit statement should tally with the
           term deposit certificates. Also to verify that interest on deposits and TDS thereon
           has been correctly calculated and accounted for in the books of the Company. Also
           review the stale cheques, if any.
     (b)   Bank Reconciliation:
           Verify the Bank Reconciliation Statements of various Bank Accounts and report for
           old / unadjusted items requiring special attention.


6.   Vouching :
     To verify all accounting transactions so as to ensure interalia that bookings have been made
     to the appropriate heads of accounts.

                                                10
7.   Ledger Scrutiny :
     Scrutiny of trial balance, groupings, General Ledger, subsidiary records, review of sundry
     debtors, creditors and loans and advances outstanding for more than one year and ensure
     that CWIP of the project is accounted correctly.


8.   Store transactions and valuation thereof:
     To verify the vouchers pertaining to stores receipts, issues and the valuation thereof. The
     coverage shall include purchases of stores and scrap disposal on test basis. The internal
     auditor while verifying these transactions shall evaluate internal control procedures
     operative within the enterprise for efficient materials management.

9.   Verification of secured / unsecured advances and securities given / received on behalf of
     the company:
      (i) Documents / agreements relating to secured & unsecured advances to parties / Govt.
            Bodies shall be verified on test basis.
      (ii) The scope includes verifications of securities deposited by the company with
            different authorities / parties. The internal auditor shall check and examine the
            purpose and the duration of such deposits and whether the deposit certificates are in
            safe custody for presentation at the time of claiming refund. Security deposit
            received from the parties shall also be verified to ensure that the company beyond
            prescribed period does not retain these.
10. Income Recognition:
     To verify that income recognition is being made in conformity to Accounting Policy /
     procedure and the transactions are recorded accordingly.

11. Strengthening of Internal Control System:
     To identify weaknesses in controls which can lead to frauds and report the same to the
     Management for timely corrective actions.

12. Other matters :
     To examine that :
     (i)    The authorities at every level are being strictly adhered to as per DoP.
     (ii)   The expenditure are sanctioned and booked as per the authorisation.
     (iii) All important documents including term deposit receipts, tax returns, bank
            guarantees, cheque books etc. are kept under safe custody,
                                                 11
    (iv) There is a proper mechanism that the bank guarantees are extended well before the
          expiry dates.


13. Keeping in view the above requirements, internal auditors are also required to contribute
    for following activities:
    ·   Helping in rectification of errors and omissions observed in the course of audit.
    ·   Guiding in location of difference in Bank Reconciliation and proper control over
        banking transactions.
    ·   Review and guidance in the finalization of accounts.
    ·   Online scrutiny of TDS deductions from payments made to contractors / suppliers and
        consultants.
    ·   Advising on statutory requirements of the Companies Act, Accounting Standards and
        other various taxation laws.
    ·   To report any other matters coming to notice during verification in order to strengthen
        internal control system and for improving MIS.
    ·   Review of liabilities and provisions.
    ·   Proper accounting of expenditure and incomes accruing to the enterprise and
        adherence to matching principle.
    ·   Review the system for intangible assets assessment and impairment of assets.
    ·   Review the adequacy of the insurance cover for the various risks involved.
    ·   To verify that all moneys received are accounted for.

14. (a) Insurance and other claims lodged by the company:
        Internal auditor while verifying insurance and other claims of the company should see
        that losses to the company giving rise to claims are properly lodged and proper follow
        up action is taken for realization of overdue claims and the claims are properly
        accounted for after settlement.


    (b) Claims lodged against the company:
        Internal auditor while verifying claims lodged against the company should ascertain
        that the passed claims are with the approval of Competent Authority and are properly
        accounted for after settlement.
15. Employee payments:
    To verify that accounting for salary and benefits admissible to employees and directors are
    being done properly and all subsidiary records for loans / advances and other deductions

                                                12
    related to employees are reconciled properly. Requirements of Ind AS-19 should be
    complied with.


16. Consultancy Services: Review the terms and conditions of all consultancy contracts and
    report the debtors' position in case the same are overdue.


17. Nomination / Single Tender :-
        (I) To examine at least 10% audit of those contracts which are awarded on
            "Nomination / Single Tender" basis and submit a separate report for the
            perusal of Audit Committee / Board as per CVC guidelines. Out of all the
            contracts awarded on Nomination / Single basis, works/contracts awarded on
            the basis of urgency should be audited 100%.
        (II) Works & contracts awarded on nominations / single tender basis to local
            parties around project areas should be invariably audited for the perusal of
            Audit Committee / Board.


(III) AUDIT PROGRAMME

Internal Audit shall be conducted in 2 phase (Phase ­ I covering April to September and Phase
­ II covering October to March). The commencement of Phase ­ I audit will be on/ around 15th
December and Phase ­ II will be on/around 15th March and the report of for Phase ­ I & II are
to be submitted by 15th January and 25th April respectively.


They shall plan and conduct their audit for the whole year in such a manner that company's
target in regard to annual balance sheet is successfully achieved. They will submit their plans
in advance to enable the Management to take appropriate steps for finalization of various tasks
as per pre-decided matching schedule.







On completion of the Audit of respective Audit unit of each phase, the following steps should
be followed before finalization of the report and the partner of the firm should meet and discuss
the audit observations.
   a) The salient audit observations of the respective preliminary audit shall be
       discussed with the Chief Finance Officer(CFO) along with the Chief Executive
       Officer (CEO) so that corrective action may be taken.



                                               13
       b) Based on the outcome of discussion and after giving due consideration to the
          explanations offered the final audit report shall include conclusions and
          recommendations of CEO.
       c) The report should also contain the specific suggestion for improvements, if any.



(IV)     INITIATIVES

1) Suggestion for improvement in accounting, following of rules, dealing with taxation
   matters, awareness about accounting standards, laws prevailing and amendments being
   introduced by governments.
2) Suggestion for better accounting practices and business policies based on auditor's
   experience with practicality of uniform applicability in a pan India environment.
3) Suggestion for betterment of process, capturing of information and improving MIS.
4) Suggestion for improvement in internal control systems for financial and non-financial
   activities.

(V) AUDIT REPORT

The Audit Report should be concise, to the point and should be professionally written covering
all important aspect. Above guidelines are indicative and not exhaustive. Wherever internal
auditor incorporates issues in the report he should clearly report in such a way that shall
meaningfully be used by STPL.

Further, internal auditor is expected to have good working knowledge of "Standard on Internal
Audit" (SIA) issued by ICAI from time to time and should invariably apply such standard
while conducting internal audit and concluding his comments.

The firms shall be required to maintain highest standard of professional competence and ethics.
A thorough professional approach towards work, concisely written Audit Report with concrete
suggestions, clear and unambiguous approach towards issues of concern and practical solutions
to the issues is highly desirable.

The Management / Executive Summary should be integral part of audit report and auditor is
expected to prepare the same.




                                                14
                                                                                     Annexure-II
                                  Format of Application

  1.       Name of the Firm


  2.       Registration No. of firm :-                                               Respective
           (Institute of Chartered Accountant of                                     page no of the
           India/ Institute of Cost Accountant of                                    document.
           India)



  3.       Date of Registration of the firm                                          Page No


4. Details of Head Office & operative Branch Offices:-

Head Office: -
 Address                Date of Establishment        Contact No(s)/Fax   E-mail        Page No



Operative Branch Office(s):-
Address              Date of Establishment           Contact No(s)/Fax   E-mail        Page No



5. Details of Partners in the Firm/Limited Liability Partnership :-
  SI.  Name of        Membership          Membership          Date of joining of       Respective
  No the Partner            No.              Status           the firm as partner      page no of
                                       ACA/FCA/ACMA                                       the
                                            /FCMA                                      document.




6. Details of Qualified Assistants :-
  SI.  Name of        Membership          Membership           Date of joining of      Respective
  No       the            No.                Status               the firm as          page no of
       Qualified                        ACA/FCA/ACMA           Qualified Assistant        the
       Assistants                           /FCMA                                      document.



7. Details of Semi-Qualified Assistants :-
 SI. Name of the Semi-        Whether C.A/CMA            Date of Joining the         Page No
 No Qualified Assistant          Intermediate              firm as Semi-
                                                         Qualified Assistants


                                                15
8. Details of Experience in Power Sector PSUs :-
 SI.      Name of the       Year of Audit       Type of Audit ­                Page No
 No     Company/Unit                                whether
                                               Statutory/Internal
                                                     Audit



9. Details of Experience in PSUs other than Power Sector :-
 SI.      Name of the       Year of Audit       Type of Audit ­                Page No
 No     Company/Unit                                whether
                                               Statutory/Internal
                                                     Audit



 10. PAN No. of the firm :-                                                  Page No


 11. GST Registration No :-                                                  Page No


12. Bank details for NEFT:-
    i. Bank Name
   ii. Branch Name, Address & Pin Code
  iii. Type of account (saving or current account)
  iv. IFSC Code No.


13. Whether Internal Audit of STPL has been conducted earlier. If yes, the financial years for
    which the Internal Audit has been conducted shall be given.

Declaration: -

I/We, __________________ Partner/owner of the Firm______________, hereby declare that
the above information furnished is true & correct to the best of my knowledge and I will abide
by the Terms & Conditions set by the company for the Appointment / Empanelment as Internal
Auditors


                                                                Signature of Partner with
                                                            Name & Seal of the Audit Firm




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                                                                               Annexure - III

       SELECTION CRITERIA (POINT ALLOCATION) FOR SELECTION OF
               INTERNAL AUDITORS WILL BE AS FOLLOWS

 Sr. Particulars                           Points to be allocated                   Max.
 No                                                                                 Points
  1 Year of Establishment of the Audit 5 (five) for ten years and thereafter        10 (Ten)
     Firm / Limited Partnership Firms 1 (one) per two years in the
     (Minimum 10 years)                    existence (fraction of the year to be
                                           ignored)
  2 No. of Partners in the Firms / Limited a) 2 (two) for each Partner who is       15
     Liability Partnership Firm who are        ACA/ACMA                             (Fifteen)
     associated with the firm for not less b) 3 (three) for each Partner who
     than three years as on date of            is FCA/FCMA
     application
  3 No. of Qualified Assistants (CA / 2 (Two) per Qualified Assistant               10 (Ten)
     CMA ) employed with the firm
  4 No. of Semi-qualified Assistants 1 (One) per Semi-qualified                     5 (Five)
     (CA/CMA Intermediate employed Assistant
     with the firm).
  5 Turnover of the firm (Average annual Rs. 20-25 Lakh             = 5             10 (Ten)
     turnover in the Last three years)     Marks
     At least Rs. 20 Lakh                  More than Rs. 25-30 lakh= 8
                                           Marks
                                           More than Rs. 30 lakh = 10
                                           Marks
  6 Experience of Internal / Statutory 5 (Five) Points per assignment per           30
     Audit assignment of Power Sector year (fraction to be ignored) within          (Thirty)
     PSUs (Central/State)                  last 10 preceding years.
  7 Experience of Internal / Statutory 2 (Two) Points per assignment per            10 (Ten)
     Audit assignment of other than Power year (fraction to be ignored)
     Sector PSUs in Central/State          within last 10 preceding years
  8 Place of Registered Office of Within a radius of 50 K.M. from                   10 (Ten)
     Chartered             Accountant/Cost Buxar (Bihar).
     Accountant firm                       Within a radius of 100 K.M. = 6
                                           (six) points.
                                           Within a radius of 200 K.M. = 3
                                           (three) points.
                                           Total Points                             100


Minimum Eligibility Criteria:

  i.   The firms should have at least 10 years of experience as Internal / Statutory Auditor
       with minimum 3 years of experience in Power Sector PSUs.
 ii.   The average annual turnover of the firm during the last three financial years must be at
       least Rs. 20 Lakh.
iii.   The firm must be registered with the GST Authorities.




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