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<h1>SEBI Can Appoint Auditor to Inspect SROs Under Regulation 20; Audit Costs Recoverable from SRO.</h1> The Securities and Exchange Board of India (SEBI) has the authority to appoint a qualified auditor to inspect the books or affairs of a Self Regulatory Organization (SRO) under Regulation 20 of the SEBI (Self Regulatory Organisations) Regulations, 2004. The appointed auditor possesses the same powers as the inspecting authority under Regulation 16, and the obligations of the SRO as specified in Regulation 18 apply to such inspections. SEBI can recover the expenses incurred for the audit or inspection, including auditor fees, from the concerned SRO.