In exercise of power under Section 132(1) of the Companies Act, 2013, Ministry of Corporate Affairs (MCA) notifies National Financial Reporting Authority (NFRA) to come into force from October 1, 2018.
NFRA mandated to act as an independent regulator for the auditing profession.
The Union Cabinet on March 1 approved the creation of a National Financial Reporting Authority (NFRA), a big step forward in regulating the financial audit of large companies. The NFRA is to be an independent regulator overseeing the auditing profession, and its creation was first recommended by the Standing Committee on Finance in its 21st report.
The Cabinet also approved the creation of the posts within the regulator — that of a chairman, three full-time members, and one secretary.