TL;DR for CAs
- Focus on advances, KYC, house-keeping, and income leakage.
- Report irregularities with financial impact quantification.
- Follow RBI/ICAI guidance and bank engagement terms.
What it is
Concurrent audit provides continuous checking of bank branch transactions.
Who it applies to
CAs appointed as concurrent auditors of bank branches.
Key provisions
- Scope as per appointment letter and RBI circulars
- Reporting formats and escalation
- Independence requirements
Practical tips for CAs
Sample high-value advances and TOD accounts weekly. Reconcile suspense regularly.
Common mistakes
Late reporting; shallow KYC testing; ignoring income booking leakages.
For general guidance only. Verify with the latest Finance Act, GST notifications, and ICAI guidance notes before advising clients.