Archive · 19 May 2025
SEBI Updates Internal Audit Team Composition for CRAs
Imagine there's a team that checks if Credit Rating Agencies (CRAs) are doing their jobs correctly.
The rules for who can be on this team have been updated!
Now, it can include either a Chartered Accountant or a Cost Accountant, along with someone who knows about computer systems or information security.
This change makes it easier to find qualified people for the audit team.
This is important because the audit team makes sure that CRAs are following the rules and providing accurate information.
SEBI updated the criteria for internal audit teams of Credit Rating Agencies (CRAs).
The update makes the composition of audit teams more inclusive.
The revised criteria now includes a Chartered Accountant or Cost Accountant.
Additionally, a professional holding CISA, DISA, or DISSA qualifications is required.
The new requirements are applicable immediately.
- Who
- The Securities and Exchange Board of India (SEBI).
- What
- SEBI expanded the list of eligible professionals for the internal audit teams of CRAs.
- When
- The new requirements are applicable with immediate effect, as of May 15, 2024.
- Where
- Not explicitly mentioned in the article.
- Why
- To make the internal audit team for Credit Rating Agencies more inclusive.
- Regulatory Body
- SEBI
- Focus
- Internal Audit Teams for Credit Rating Agencies (CRAs)
- Key Change
- Expansion of eligible professionals
- Eligible Professionals
- Chartered Accountant (ACA/FCA) OR Cost Accountant (ACMA/FCMA) AND CISA, DISA, or DISSA
- Effective Date
- Immediate effect