https://www.taxtmi.com/caselaws?id=446697 SEBI's power to proceed against statutory auditors is confined to cases where the record shows manipulation of accounts, connivance, collusion, or fraudulent intent affecting the securities market. Where fraud, meeting of minds, and tangible material of manipulation are negatived, SEBI cannot sustain adjudicatory directions based on professional negligence or dereliction in audit, because it has no jurisdiction to regulate the audit profession. In that situation, only a non-binding intimation to the professional bodies may be considered, not directions imposing professional consequences. The impugned directions and referrals were therefore held unsustainable and were set aside. en-us Mon, 30 Oct 2023 00:00:00 +0530 Mon, 11 Dec 2023 17:46:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=446697 SEBI's power to proceed against statutory auditors is confined to cases where the record shows manipulation of accounts, connivance, collusion, or fraudulent intent affecting the securities market. Where fraud, meeting of minds, and tangible material of manipulation are negatived, SEBI cannot sustain adjudicatory directions based on professional negligence or dereliction in audit, because it has no jurisdiction to regulate the audit profession. In that situation, only a non-binding intimation to the professional bodies may be considered, not directions imposing professional consequences. The impugned directions and referrals were therefore held unsustainable and were set aside. Case-Laws SEBI Mon, 30 Oct 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=446697