Rise in frauds to change India Inc approach: Ernst & Young
Ernst & Young, a global management consultancy, said in a report that The Companies Act 2013 and a rise in cyber crime and technology frauds will change the way Indian companies operate in the domestic environment, Financial Express reported.
The Companies Act 2013 highlights additional responsibilities and role of independent directors, increased powers of the SFIO in tightening corporate governance measures in the country. "These, and many other developments in the fraud space in India are expected to change the dynamics of how companies will operate in India," the Ernst & Young report said.
The report quoted Ernst & Young India's Arpinder Singh, partner and national leader- fraud investigation and dispute services, as saying, "Organisations will be compelled to rethink their business strategies and evaluate stringent measures to de-risk themselves by institutionalising a holistic framework that fosters transparency, promotes an ethical culture and sustains profitability in the long run."
Read the Financial Express report here