Change first name in the Audit Committee Charter

Aug 6th, 2022
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The charter is a formal document approved by the governing body and/or audit committee (governing body) and agreed to by management. It must define, at minimum: Internal audits purpose within the organization. Internal audits authority.
In India, all public companies having a paid-up capital of Rs 10 crore or more or a turnover of Rs 100 crore or more should have an audit committee. Also, all public companies having outstanding loans or borrowings in excess of Rs 50 crore should constitute an audit committee.
Explanation of Section 176: If someone has acted as a director of a company, anything they did in that role is still considered valid, even if later its found out that there was a problem with how they were appointed or if they were not supposed to be a director anymore because of a rule in the law or the companys
An audit committee must be composed of a minimum of three members and every audit committee member must be a director of the issuer. Every audit committee must have a written charter that sets out its mandate and responsibilities.
(8) In case of any contravention of the provisions of section 177 and this section, the company shall be liable to a penalty of five lakh rupees and every officer of the company who is in default shall be liable to a penalty of one lakh rupees.
Advance materials should be provided to the audit committee well ahead of meetings and include executive summaries that help members understand risks and issues. Materials should clearly identify the actions to be taken by the committee.
Omnibus Approval means a consolidated/standing approval given by the Committee in respect of transaction(s) which are repetitive in nature.
However, Companies Act, 2013 which replaced Companies Act, 1956 vide section 177 stipulated that all listed companies and such other class or classes of companies as may be prescribed shall constitute an Audit Committee with a minimum of three directors as members with Independent Directors forming a majority.

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