This is to inform that all Trading / Clearing members are required to carry out complete internal audit for the half year ended September 30, 2020 and submit the report electronically through the BEFS (BSE Electronic Filing System) member portal. The audit shall be conducted only by independent qualified Chartered Accountants or Company Secretaries or Cost and Management Accountants who are in practice and do not have any conflict of interest in or relation with the member other than the internal audit assignment.
The current half yearly internal audit is required to be carried out for the period from April 01, 2020 to September 30, 2020 and the same is required to be submitted on or before November 30, 2020 only in electronic form through BEFS. No documents are to be submitted in physical form.
Please find enclosed herewith the following Annexures applicable for the Inter Audit report for half year ended September 30, 2020
Ø Internal Audit Certificate – Annexure I
Ø Format for Internal Audit Report – Annexure II
Ø Guidelines on Sample selection & other points to be noted – Annexure III
Ø List of Indicative Processes & references of SEBI/Exchange circulars – Annexure IV
Ø Penalty structure for violations in the Internal Audit report – Annexure V
Ø User Manual for Auditors – Annexure VI
Ø User Manual for Members – Annexure VII
Ø Guidelines for IAR XBRL Report Sheet & Audit Process – Annexure VIII
As per Exchange notice no. 20191004-46 dated October 04, 2019, all Internal Audit Certificate shall mandatorily contain Unique Document Identification Number (UDIN).
The quality of internal audit reports received from members shall be monitored and appropriate steps shall be taken if the reports do not meet minimum expected quality levels. In case where internal audit report submitted is incomplete and not as per the guidelines like sample size not given, only certificate submitted without report or management comments not given etc., same would be treated as non-submission of internal audit report. Stock brokers are strictly advised to submit the report in the format prescribed by the Exchange.
Auditors are requested to mandatorily adhere to the sample selection guidelines specified therein (Annexure-III) and mention the sample size selected along with details of the instances of non-compliance (if any) against each of the checklist points. All working papers and records with respect to the audit should be retained by the auditors for verification by the Exchange as and when required.
The actions for late/non-submission of the Internal Audit report shall be applicable as per the Exchange notice no. 20180214-31 dated February 14, 2018.
Please be informed that a separate notice shall be issued shortly regarding availability of BEFS for submission of Internal Audit Report for half year ended September 30, 2020. Once BEFS is activated for submission, submission of Internal Audit Report shall be considered complete only after Member submits the report to the Exchange and receives an acknowledgment email. Saved reports/reports submitted by auditor will not be considered as submission.
In case of any queries/clarifications, you may reach us on the following contact details.
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Contact Name
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Purpose
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Contact Nos.
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Email ID
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Deepa/Abhilasha/
Josephine/Jyoti
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Process related
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22728214/8743/
8598
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bse.reports@bseindia.com
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BSE Helpdesk
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Technical queries
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30594000
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bsehelp@bseindia.com
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Helpdesk
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IAR XBRL related issues
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18002330445
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bse.iar.helpdesk@bseindia.com
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For and on behalf of BSE Ltd
Kiran Sawant
Asst. Gen. Manager
Broker Supervision |