A review isn’t in every case fundamentally about bookkeeping and monetary records. A review really implies a nearby assessment or audit of anything – an interaction, records, proficiency, and so on A secretarial review is a cycle to survey an organization’s consistency with the law and its standards and guidelines. Allow us to find out additional.

‘Secretarial Audit’ is presented by as of late ordered Companies Act, 2013. It is an interaction to check compliances made by the Company under Corporate Law and different laws, rules, guidelines, techniques, and so on It is a system to screen consistency with the prerequisites of expressed laws and cycles. Intermittently assessment of work is important to bring up blunders and botches and to make a hearty consistent component framework in an association.

Each organization needs to consent to many Laws, rules, guidelines. These laws are intricate and non-compliances would pull in significant danger to the organization. Intermittently reviewing the records of the organization gives accurate data whether, and provided that this is true, how much the Company has conformed to the laws appropriate to the Company.

Secretarial Audit offers solace to the controllers, partners, and the executives that the organization has a restrained way to deal with assessing and improve the adequacy of danger the board, control, and administration measures.


According to area 204 of the Companies Act, 2013 read with Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, following organizations are needed to get ‘Secretarial Audit Report’ structure free rehearsing organization secretary;

  1. Every recorded organization
  2. Every open organization having a settled up offer capital of Fifty Crore rupees or more; or
  3. Every open organization having a turnover of Two Hundred Fifty Crore rupees or more.

“Turnover” signifies the total estimation of the acknowledgment of sum produced using the deal, supply or circulation of products or by virtue of administrations delivered, or both, by the organization during a monetary year. [Section 2(91)]

Secretarial Audit is likewise compulsory to a privately owned business which is an auxiliary of a public organization, and which falls under the endorsed class of organizations.


Just an individual from the Institute of Company Secretaries of India holding testament of training (organization secretary practically speaking) can lead Secretarial Audit and outfit the Secretarial Audit Report to the Company.


A secretarial inspector needs to check compliances by the organization under the accompanying laws and rules made there-under;

  • The Companies Act, 2013 (the Act) and the guidelines made there-under;
  • The Securities Contracts (Regulation) Act, 1956 (‘SCRA’) and the principles made there-under;
  • The Depositories Act, 1996 and the Regulations and Bye-laws outlined there-under;
  • Unfamiliar Exchange Management Act, 1999 and the principles and guidelines made there-under to the degree of Foreign Direct Investment, Overseas Direct Investment, and External Commercial Borrowings.
Common Questions about Secretarial Audit

What is a Secretarial Audit?

A secretarial Audit is a review to check the consistency of different enactments including the Companies Act and other corporate and monetary laws pertinent to the organization. The Secretarial Auditor communicates an assessment regarding whether there exist sufficient frameworks and cycles in the organization similar to the size and tasks of the organization to screen and guarantee consistency with appropriate laws, rules, guidelines, and rules. Secretarial Audit assists with identifying the examples of resistance and encourages taking restorative measures. It reviews the adherence of good corporate practices by the organization.

What is the periodicity of Secretarial Audit?

A proactive Secretarial Audit on a nonstop premise would help the organization in starting remedial measures and reinforcing its consistent instrument and cycles. It is accordingly, prudent that the Secretarial Audit is completed intermittently (quarterly/half-year/yearly) and unfriendly finding assuming any, is accounted for on break premise to the Board right away. The Secretarial Audit Report to be added with Board’s report is needed to be submitted before the arrangement of the Board’s Report.

For what reason is a secretarial review essential?

There are numerous laws, rules, guidelines, rules, and so forth that oversee the working of an organization. It is important to have a secretarial examiner and deal with the consistency with such laws for

  • Protection of the investor’s advantages
  • Avoid any lawful activity against the organization
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