FAQ is here!
FAQ is here!(Pic: EdexLive Desk)

NEET-UG row: Why are petitioners & experts calling for forensic audit? What is it? What can it reveal?

A Supreme Court bench comprising Chief Justice DY Chandrachud, Justices JB Pardiwala and Manoj Misra while hearing 38 petitions on Monday, July 8, regarding the irregularities of the NEET-UG sought cyber forensic audit of the NEET score data from the Centre. To understand the forensic audit process, EdexLive reached out to Gaurav Tyagi from Career Xpert, who is an authority on medical and NEET, who shared insight on the matter in great detail.
Q

What is a forensic audit?

A

An extensive review of a business's financial records to identify and look into possible fraud, financial irregularities, or unlawful activity is known as a forensic audit. A thorough examination and validation of transactions, financial statements, and other pertinent records are required.

To find anomalies, compile proof, and pinpoint the guilty parties, forensic auditors employ specific methods and instruments. The results of a forensic audit can be utilised in court to settle disputes, bring criminal charges against offenders, and retrieve property. When there is a possibility of financial misbehaviour, corruption, embezzlement, or money laundering, this kind of audit is frequently carried out.

Q

Why is it needed for NEET score?

A

Aspiring medical students rely on their NEET scores to establish their eligibility for admission to India's best medical and dental schools. High test results provide improved educational and employment chances by opening doors to prominent universities. They also have a big part in helping students get financial aid and scholarships, which lessens their financial load. 

Competitive NEET scores also demonstrate a student's ability and readiness for hard medical coursework, guaranteeing they satisfy the requirements for the challenging medical field. Therefore, achieving success in NEET is essential for a fulfilling medical career. 

Q

What can a forensic audit reveal?

A

Evidence of fraud, theft, or financial mismanagement within a business is found through forensic auditing. It highlights differences between financial data that is provided and that is real, pointing out account manipulation.

Unauthorised transactions, hidden assets, and conflicts of interest may all be revealed by the audit. It also draws attention to internal control gaps that can make fraudulent activity possible.

A forensic audit gives a thorough knowledge of any illicit activity by carefully reviewing financial records, correspondence, and digital data. This comprehensive understanding supports legal procedures and aids in putting preventative measures in place to stop such incidents in the future.

Q

How is a forensic audit conducted?

A

To try to find any cases of fraud, embezzlement, or other financial misbehaviour, forensic audits entail a thorough review of financial records. Planning and scope definition are the first steps in the process, which is then followed by the collection of evidence via data analysis, interviews, and document review.

Expert methods are employed by forensic auditors to track down transactions and identify anomalies. They create a thorough report that summarises their results and frequently includes graphs and figures. Legal actions involving the auditors' presentation of evidence and expert witness testimony may follow the audit.

Finding financial irregularities and offering information for potential legal action or improved internal control are the goals.

Q

Who conducts the audit?

A

Usually, internal or external auditors carry out audits.

Employees of the company who assess the efficacy of risk management, governance, and internal controls are known as internal auditors.

External auditors offer an objective assessment of financial statements and regulatory compliance; they are frequently affiliated with independent auditing firms. They guarantee accuracy and openness for interested parties, including regulatory agencies and investors.

External auditors typically conduct audits of public corporations to comply with regulatory requirements. The sort of audit, its goal, and the required degree of independence all influence the decision between internal and external auditors.

Q

What happens after the audit?

A

The auditor will put together their findings into a report following the audit. Any inconsistencies, problems with compliance, or areas in need of improvement are detailed in this report. After reading this report, the audited company tackles the issues found, frequently creating an action plan to resolve concerns.

A follow-up audit might be planned in a few circumstances to make sure corrective actions are carried out. The end goal of the audit process is to increase the organisation's operational effectiveness, regulatory compliance, and financial accuracy.

Q

What role does transparency play?

A

In a variety of settings, including business and government, transparency is essential for promoting trust, accountability, and teamwork. It guarantees that data is freely accessible and exchanged, empowering interested parties to make well-informed decisions.

Transparency in business fosters customer loyalty and trust, and in governance, it helps thwart corruption and increases public faith in institutions. Accountability and moral behaviour are also promoted by transparency since decisions and actions are scrutinised. In the end, openness fosters a climate of trust and cooperation, which produces more long-lasting and productive results.

X
logo
EdexLive
www.edexlive.com