Principal auditor is responsible for a/cs'

The RBI has emphasized that the principal auditor remains responsible for overseeing group audits and ensuring accuracy in financial reporting, even when subsidiary audits are conducted by other firms. This clarification aims to strengthen accountability in group audits, where multiple entities are involved. The RBI’s move is part of a broader effort to tighten auditing standards and improve financial governance. It underscores the importance of transparency and accuracy in financial reporting, particularly for large organizations with complex structures, ensuring that auditors maintain a holistic view of the financial health of the entire group.