(Reuters) – India’s market regulator penalised two former auditors of CG Power and Industrial Solutions Ltd on Thursday for rule violations, according to an order published on the regulator’s website.
The Securities and Exchange Board of India (SEBI) levied a penalty of 500,000 rupees each on the auditors, Chaturvedi & Shah, and K. K. Mankeshwar & Co.
In its order, the regulator held that instead of working in the interest of the shareholders of CG Power, the auditors “facilitated the scheme of cleaning up the books of accounts of CG Power”.
And that despite being aware of the irregularities and misstatements in the financial statements of CG Power, the auditors “certified the books as true and fair”.
(Reporting by Jayshree P Upadhyay in Mumbai; Editing by Pooja Desai)
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