As the company has not undergone any audit since fiscal year 2062/63, after the end of FY 2069/70, the company will have to carry out an audit for the past eight years
As per the rule, a company has to carry out audit every year.
The company has not even carried out due diligence audits since past 10 years as a result there is no record of asset and liability of the company. In fact, the company does not even have proper records of how many people have bought insurance from the company and how many people have filed for claims
Though the Sansthan has sent audit reports for FY 2062/63, 2063/64 and 2064/65, Insurance Board has not approved it yet.
According to Sansthan officials, monitoring the company is difficult as it is a government agency.
They say in lack of audit reports the Sansthan has not been able to fulfill several new regulatory provisions such as separating life and general insurance schemes, raising paid up capital. The Sansthan has not been able to even renew its license from Insurance Board.
Source: Annapurna Post
