Re 1 Audit Fee for Construction Company: Chartered Accountants’ Bid Raises Questions on Sustainability of Audit Profession

A construction company offered ₹1 as audit fee to a chartered accountant for conducting statutory audits, raising serious concerns about the sustainability of the audit profession. The case highlights the growing trend of undervaluation of professional services, which threatens quality, independence, and compliance standards. Chartered accountants argued that accepting such token fees could compromise their professional responsibility and adherence to auditing standards. Industry observers emphasized that statutory audits are critical for financial transparency, investor confidence, and regulatory compliance. This situation prompted discussions about the need for regulatory intervention to ensure fair compensation and uphold professional ethics. It also reflects broader systemic issues in sectors where audit services are undervalued, emphasizing the importance of financial and corporate governance.