CA Penalized For Not Performing Auditing Duties Properly:

CA Penalised for Not Performing Auditing Duties Properly The Ministry of Corporate Affairs, Kolkata, has confirmed a penalty of Rs 1.5 lakhs on Chartered Accountant CA Vijay Bora of M/s Doogar & Associates. The said penalty has been imposed as the CA violated Section 143 of the Companies Act, 2013.

What is Section 143?

The ROC found that the auditor had failed to comply with some provisions of Section 143 of the Companies Act. Section 143 states the powers and duties of auditors in India, including reporting on financial statements and any fraud noticed during the course of the audit. The Registrar of Companies (ROC), West Bengal, issued an adjudication order on July 31, 2023, against CA Vijay Bora related to his audit work for M/s Maheep Marketing Pvt Ltd for the financial year 2014-15.

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The ROC issued a notice in January 2023, but CA Vijay Bora did not respond to it, due to which the ROC penalised him with Rs 1,50,000. The CA appealed the penalty, and the hearing was held on 5th May 2025 before the Regional Director (Eastern Region), Ministry of Corporate Affairs. However, after hearing the AR of the CA, no ground was made out to interfere with the order dated 31/07/2023. Therefore, the ROC confirmed this penalty. The penalty was imposed as follows: The auditor is directed to pay the penalty amount out of his own money within 90 days. If he does not deposit the penalty amount within this period, then he will have to face consequences as ROC can take action under section 454(8) (ii) of the Companies Act, 2013 against the auditor.