NFRA flags Deloitte audit gaps
Recent NFRA inspections called out Deloitte for weaknesses in audit‑quality controls and independence concerns around non‑audit services, putting fresh pressure on audit committees to strengthen oversight. Boards should expect regulators to scrutinize networked firm practices more closely. (x.com)
NFRA published six fresh inspection reports on March 27, 2026 naming Deloitte Haskins & Sells, Walker Chandiok & Co LLP, B D G & Co LLP, Singhi & Co, CNK & Associates and Umamaheswara Rao & Co. (nfra.gov.in) Deloitte’s report is filed as Inspection Report No.132.2-2024-05 and cites firm registration numbers FRN 117366W/W100018, FRN 008072S and FRN 015125N in the executive summary dated 27.03.2026. (cdnbbsr.s3waas.gov.in) NFRA recorded that Deloitte’s Non‑Audit Service (NAS) policy as applied in India covers only Deloitte India entities and lacks explicit safeguards preventing non‑India network firms from providing prohibited NAS to Indian clients’ group entities. (theweek.in) The inspection’s thematic scope included Internal Financial Controls over revenue, Related Party Transactions and Impairment of non‑financial assets, with NFRA noting deficiencies in audit procedures and documentation on those key risk areas. (cdnbbsr.s3waas.gov.in) NFRA’s 2026 release follows earlier scrutiny of Deloitte — the regulator’s March 28, 2025 inspection report appears on NFRA’s site as Inspection Report No.132.2-2023-07, indicating consecutive years of targeted reviews. (nfra.gov.in) Walker Chandiok was separately flagged for independence concerns tied to its Grant Thornton international network, and NFRA’s reports include firms’ written responses in Appendix A, signalling that formal remediation exchanges are already on record. (taxscan.in) (cdnbbsr.s3waas.gov.in)
