Powers and duties of auditors.

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....vances made by the company on the basis of security have been properly secured and whether the terms on which they have been made are not prejudicial to the interests of the company or its members;           (b) where transactions of the company which are represented merely by book entries are not prejudicial to the interests of the company;           (c) where the company is not an investment company within the meaning of section 372 or a banking company, whether so much of the assets of the company as consist of shares, debentures and other securities have been sold at a price less than that at which they were purchased by the company;  &nbsp....

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....ts financial year. (3) The auditor's report shall also state____      (a) whether he has obtained all the information and explanations which to the best of his knowledge and belief were necessary for the purposes of his audit;      (b) whether, in his opinion, proper books of account as required by law have been kept by the company so far as appears from his examination of those books, and proper returns adequate for the purposes of his audit have been received from branches not visited by him;           [2][(bb) whether the report on the accounts of any branch office audited under section 228 by a person other than the company's auditor has been forwar....

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.... the case of such class or description of companies as may be specified in the order, the auditor's report shall also include a statement on such matters as may be specified therein: Provided that before making any such order the Central Government may consult the Institute of Chartered Accountants of India constituted under the Chartered Accountants Act, 1949 (38 of 1949), in regard to the class or description of companies and other ancillary matters proposed to be specified therein unless the Government decides that such consultation is not necessary or expedient in the circumstances of the case.] [10][(5) The accounts of a company shall not be deemed as not having been, and the auditor's report shall not state that those accounts have ....