Opportunities and Challenges:

• BFSI industry is set to grow significantly in the coming years due to India’s economic expansion and growing awareness among the population of these financial products / services
• New and wider products will provide immense opportunities to develop niche areas
• The industry has adopted IT as an integral part of business strategy, where RSM is well positioned to provide various services on such IT platforms
• High supervision by regulators will require constant vigilance and need to adopt measures to mitigate risks based on various control measures including ‘Risk Based Audits’ (RBA) as provided by:
  • The Reserve Bank of India in its RBA guidelines to banks
  • The Insurance Regulatory authority of India (IRDA) to the insurance industry
  • Securities Exchange Board of India (SEBI) for the mutual fund industry

How we can help:

• Concurrent audit of Central Processing Centre
• Concurrent audit of Regional Processing Centre
• Concurrent audit and Internal audit of Branch Operations
• ‘Know Your Customer’ (KYC) audit
• Trade Finance audit
• Operations Manual compilation job
• Retail Liability audit
• Manpower assessment services
• ERM Framework designing services
• Retail Assets audit
• Depository Participant audit
• Certification Report (A1 & A2 Forms for Forex)
• Certification Report for Central Depository Services Limited
• Certification Report for National Depository Services Limited
• Stock audits on periodical basis
• Audit of hypothecated securities on a periodical basis
• SOX audits / reviews for selected branch operations areas

Concurrent audits:

Concurrent audit is examinations which is contemporaneous with the occurrence of transactions or is carried out as near thereto as possible. It attempts to shorten the interval between a transaction and its examination by an independent person not involved in its documentation. Concurrent audit is essentially a management process integral to the establishment of sound internal accounting functions and effective controls and setting the tone for a vigilance internal audit to preclude the incidence of serious errors and fraudulent manipulations.

Concurrent audits conducted by us include:

• Compliance review for ‘Know Your Customer’ (KYC) guidelines issued by the regulators
• Review of all major ‘TAT’ (Turn Around Time) compliance set for major operational transactions
• Identification of ‘Revenue Leakages’ due to incorrect income realization (incorrect interest recovery, short or non recovery of charges or penalties, etc.)
• Continuous monitoring of systems and procedures including IT systems
• Review for compliance to all major regulatory requirements as applicable to banking and financial industry
• Review for compliance of the relevant Operational Manual applicable to various functions and reporting exceptions, if any and covers the following:
• Corporate Banking and Trade Finance (Bill Discounting, Bank Guarantees, Packing Credit, Import and Export Remittances, etc.)
• Retail Liability (Current Account, Savings Account, term deposits, etc.)
• Retail Assets (Home Finance, Agricultural Finance, Personal Overdraft, etc.)
• Cash Management services
• Depository Participant Services
• Credit Administration
• Small and Medium Enterprises (SME) Finance