Mudigandur Soumyamudigandur soumya asked 7 months ago
1 Answers
RaviRavi Staff answered 7 months ago

If SOPs are not followed 2 situations can arise
1st — SOPs are appropriate and there is problem in implementation then in such case it should be reported as deficiency in system with serious implications.
2nd — SOPs are not appropriate , in such case again reporting should be done that SOPs are outdated or not suitable and they should be revised, now this reporting is not deficiency which may lead to misstatements or frauds or errors but it is updation related matter.
Answer given by ICAI seems appropriate point “b” is not clear about whether reporting is to be done, but they are not saying “no reporting” interpretation should be it has to reported but not as deficiency or major matter.