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ICAI - Maytas firms' auditors told to respond to notices in 30 days
February, 26th 2009

Accounting regulator ICAI has asked the auditors of Maytas Properties and Maytas Infra to reply to the notices sent to them by the body within 30 days.

The Institute of Chartered Accountants of India (ICAI) sent them notices after the Government moved the Company Law Board to supersede the boards of these companies on charges of fraudulent practices.

Also, "the matter has been referred to the Disciplinary Committee of ICAI, which will look into the alleged irregularities in the books of these two companies and the role played by their auditors," ICAI President Uttam Prakash Agarwal told PTI today.

ICAI had sent notices to the two auditors of the two companies -- S R Batliboi and Hyderabad-based Krishna and Prasad, joint auditors of Maytas Infra.

S R Batliboi is an associate of global consultancy management firm Ernst and Young. Notice has also been sent to the auditors of Maytas Properties.

These auditors have been given 30 days to submit their reply, he said.

However, ICAI cannot take any action against E&Y, as they are not a member of the institute, he added.

"We are exploring the possibility of action that can be taken against the auditors," Agarwal said.

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