Price Waterhouse quits as GVK Infra auditor, cites lack of information

Rate Waterhouse, the auditor of GVK Infrastructure, resigned on Thursday citing a lack of info…

Rate Waterhouse, the auditor of GVK Infrastructure, resigned on Thursday citing a lack of info furnished by the business to prepare fiscal statements for the fiscal ending March this year.

In a interaction to the audit committee of the business, PW auditor, NK Varadarajan stated it was appointed as the auditor of the business for 5 several years starting off September 2017. “You are mindful of numerous communications with you with regard to the audit of the fiscal statements for the year ended March 2020 that is in progress and numerous matters in relation to which we are awaiting info and explanations (like reporting from component auditors) to be in a placement to conclude our audit. Facts of info and explanations sought and still not furnished is reiterated in our letter dated August 12, 2020 to the administration and copied to the audit committee, taken together with our letter to the audit committee and copied to the administration also dated 12 August 2020,” the auditor stated. The interaction was sent to the stock exchanges on Friday.

“In view of the numerous matters explained in our communications, like the the latest events in relation to firm’s subsidiary, Mumbai Intercontinental Airport Restricted (MIAL), we have assessed the appropriateness of our continuance as statutory auditors of the business and accordingly desire to connect our intention to resign as statutory auditors,” the auditor stated.

“We are aware of our obligations less than SEBI circular dated Oct eighteen, 2019, and would accordingly make ideal endeavours matter to vital co-operation from the business and your guidance and intervention so that vital info and explanations as sought in our numerous communications are designed accessible for us to be in a placement to conclude and report on the fiscal statements/success, as quickly as probable. The business is requested to get the vital measures in purchase to comply with the relevant numerous SEBI circulars and other regulatory prerequisites in this regard,” the auditor stated, including that the resignation will be effective instantly on discharge of its obligations less than the Providers Act, 2013.

Although the auditor did not make any reference to the info it had on MIAL, in July this year, the Central Bureau of Investigation booked GVK promoter, Venkata Krishna Reddy Gunupati, the chairman of the team and G V Sanjay Reddy, running director of Mumbai Intercontinental Airport Ltd amongst other people for allegedly siphoning off cash really worth Rs 705 crore from the airport. The Enforcement Directorate is conducting a individual probe into MIAL’s finances.