SEBI has issued a Consultation Paper on Online Monitoring of System Audit of Stock Brokers. The objective of this consultation paper is to seek comments from public on proposal of creating online monitoring and supervision mechanism(web based portal)by stock exchanges to monitor system audit process of stock brokers on concurrent basis.
The proposed framework seeks:
- To enhance the quality of the audit and to make the auditor more responsible for the system audit.
- To ensure that auditor is physically visiting stock broker’s premises to check IT systems and not outsourcing the audit activity.
- To enable auditors to submit audit evidences, audit report, ATR etc., through web portal for speedy processing, to cover technical glitch related aspects in system audit etc.
The comments/ suggestions should be submitted latest by December 26, 2024.
