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CS Professional · Internal and Forensic Audit · Forensic Audit: Laws and Regulations

A company secretary is preparing a note on what the Inter-ministerial Co-ordination Committee may coordinate. Which of the following falls within the purposes listed in Section 72A of the PMLA?

Operational co-operation between the Government, law enforcement agencies, the Financial Intelligence Unit, India and regulators or supervisors is a listed purpose. Auditor remuneration, related party approvals and accounting standards belong to other provisions of the Companies Act, not to this Committee.

  1. AOperational co-operation between the Government, law enforcement agencies, the Financial Intelligence Unit, India and regulators or supervisorsCorrect
  2. BFixing the remuneration of statutory auditors of listed companies
  3. CPrescribing accounting standards for companies
  4. DApproving related party transactions of a company

Explanation

Clause (a) of Section 72A lists operational co-operation among the Government, law enforcement agencies, the FIU-India and regulators or supervisors. Auditor remuneration and related party approvals are Audit Committee matters under Section 177 of the Companies Act, and accounting standards fall under Section 133, not this Committee.

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