AUDITORS ROTATION EVERY 3 YEARS
The periodicity of rotation for an audit partner should be once in every three years, while for an audit firm it should be once every six years, according to the Institute of Company Secretaries of India
recommendations to the ministry of corporate affairs. According to the ICSI report, a maximum tenure of six years in aggregate should be specified for independent directors. At present, there is no such limit for the independent directors under the Companies Act, 1956. It also mentions that Clause
49 of the listing agreement needs to be suitably amended by specifying positive attributes for
independent directors such as integrity, experience and expertise, foresight, managerial qualities and ability to read and understand financial statements
recommendations to the ministry of corporate affairs. According to the ICSI report, a maximum tenure of six years in aggregate should be specified for independent directors. At present, there is no such limit for the independent directors under the Companies Act, 1956. It also mentions that Clause
49 of the listing agreement needs to be suitably amended by specifying positive attributes for
independent directors such as integrity, experience and expertise, foresight, managerial qualities and ability to read and understand financial statements
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