Will not take non-attest work from listed audit clients: Grant Thornton
New Delhi: Grant Thornton India and its affiliates will not take up non-attest work such as consulting and transaction advisory services from listed companies that are being audited by them from July 1, a move that comes amid auditors facing heat in high profile corporate scams.
Grant Thornton in India carries out audit assignments through its affiliate Walker Chandiok & Co LLP. The latest decision assumes significance against the backdrop of various auditors and auditing firms coming under regulatory scanner for violations in the IL&FS matter.
"Our decision to not accept non-attest work from audit clients from July 1, 2019 is in relation only to our statutory audit clients whose securities are listed on any stock exchange in India or abroad," Walker Chandiok & Co LLP Partner David Jones told PTI.
Services such as consulting, transaction advisory and valuations are termed as non-attest services. The firm also acknowledged that it expects to forego a lot many opportunities which would have significant monetary impact in the short term.
"We, at Walker Chandiok & Co LLP believe that audit in India is not wholly broken, its reputation is certainly tarnished and it is up to us as responsible members of the profession to help rebuild confidence in audit," he said.
Asserting that the move is voluntary, John said the firm has been contemplating such and similar confidence building measures for sometime but recent events have definitely acted as a catalyst for expediting the decision. "We believe that it is up to us as professionals to go beyond the call of regulation in order to demonstrate our commitment to rebuilding trust in the audit profession, and hence this decision," he noted.