Regulatory Changes and Role of Audit Committee : Indian Evidence

Authors

  •   Savitha Heggede PhD Scholar, Manipal Academy of Higher Education, Manipal - 576 104, Karnataka & Faculty Associate, T A Pai Management Institute, Manipal - 576 104, Karnataka
  •   Aditya Mohan Jadhav Professor, T A Pai Management Institute, P.B. No. 9, Manipal - 576 104, Karnataka

DOI:

https://doi.org/10.17010/ijf/2021/v15i3/158126

Keywords:

Audit Committee

, Financial Reporting, Auditing, Risk Management, Corporate Governance, SEBI Clause 49, Disclosure.

JEL Classification

, G34, G38, M480, N24.

Paper Submission Date

, February 10, 2020, Paper Sent Back for Revision, November 5, Paper Acceptance Date, December 24, Paper Published Online, March 15, 2021.

Abstract

Corporate governance reforms have emphasized on the need for an audit committee and expanded its role and responsibilities over the last two decades. The purpose of this study was to examine the evolution of audit committee and document changes in audit committee’s composition and responsibilities in the Indian context. This article investigated the impact of regulatory changes on audit committee composition in terms of size, independence, and meeting frequency from 2003 – 2018. This study found that the size of the audit committee and its meeting frequency has increased over the years. Our findings suggested that in the absence of mandatory compliance regarding independence of audit committee, we saw a considerable decline in fully independent audit committees. We also documented increased presence of executive directors on audit committee.

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Author Biographies

Savitha Heggede, PhD Scholar, Manipal Academy of Higher Education, Manipal - 576 104, Karnataka & Faculty Associate, T A Pai Management Institute, Manipal - 576 104, Karnataka

ORCID iD : https://orcid.org/0000-0003-1140-7124

Aditya Mohan Jadhav, Professor, T A Pai Management Institute, P.B. No. 9, Manipal - 576 104, Karnataka

ORCID iD : https://orcid.org/0000-0003-4319-9358

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Published

2021-03-31

How to Cite

Heggede, S., & Jadhav, A. M. (2021). Regulatory Changes and Role of Audit Committee : Indian Evidence. Indian Journal of Finance, 15(3), 8–22. https://doi.org/10.17010/ijf/2021/v15i3/158126

Issue

Volume 15, Issue 3, March 2021

Section

Articles
Crossref
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Europe PMC

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