Compliance with Accounting Standards

Compliance with Accounting Standards
52. Write a note on 'Audit Committee'. 5lns .
Audit Committee
The Companies (Amendment) Act, 2000, has, on recommendation of Kumarmangalam Birla Committee Report on Corporate Governance, provided for constitution of Audit Committee by public companies having a paid up capital of Rs. 5 crores or more. The provisions with respect to' Audit Committees' are contained in Section 292A and are as follows:
1. Every public company having paid-up capital of not less than five crores of rupees shall constitute a committee of the Board known as "Audit Committee" which shall consist of not less than three Directors and such number of other Directors as the Board may determine of which two-thirds of the total number of members shall be Directors, other than Managing or whole-time Directors.