ADAG group chairman Anil Ambani has asked market regulator Securities and Exchange Board of India to ensure confidentiality of commercial and other information while carrying out counter audit of top corporate houses in the wake of a mega financial fraud in Satyam [Get Quote] leaving a blot on India Inc's image.
Welcoming Sebi's initiative on establishing and certifying quality of audit, Ambani said: "We are confident that as part of its supervision, Sebi will ensure compliance with the highest standards applicable to the process and will also ensure that the selection of reviewers takes into account their merit, as also issues relating to confidentiality of commercial information.
Sebi, last week, had decided to review the earnings statement of all the companies that figure in the elite stock trackers Nifty-50 and Sensex-30 to avoid Satyam-like situation.
Such a review would be in relation to the last quarterly results and last audited annual financial results, the regulator had said in a statement.
Sebi will also prepare a panel of auditors to conduct the exercise, which would be taken following the publication of third quarterly results and is likely to be completed by end-February.
According to sources in Sebi, Ambani said in his letter to regulator C B Bhave that such an exercise would go a long way in giving confidence to the quality of audit and adherence to auditing standards in India.
ADAG spokesperson confirmed the development.
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