The National Financial Reporting Authority (NFRA) has released an updated provisional list identifying 988 audit firms associated with listed and unlisted companies that appear to have either not submitted Form NFRA 2 or submitted incomplete returns for the 2024-25 reporting period.
According to NFRA's provisional records, 947 audit firms have apparently not filed Form NFRA 2, while 41 firms have submitted incomplete returns. The list relates to audit reports signed between April 1, 2024 and March 31, 2025.
Under Rule 5 of the NFRA Rules, 2018, auditors covered by Rule 3 are required to submit an annual return to NFRA through the prescribed Form NFRA 2 by November 30 each year. For the 2024-25 reporting period, the applicable filing deadline was November 30, 2025.
NFRA has stated that the filing facility remains available, allowing audit firms additional time to complete the required compliance process.
The provisional list has been categorised into two sections:
- Part A: Audit firms that appear not to have filed Form NFRA 2 for the relevant reporting period.
- Part B: Audit firms that appear to have filed Form NFRA 2 but whose submissions remain incomplete.
NFRA has clarified that the list has been prepared based on information available in its records. Audit firms that have already submitted the required return, or have subsequently completed their filings, have been advised to notify the regulator accordingly.
Firms experiencing technical difficulties while submitting Form NFRA 2 have also been asked to communicate the issues to NFRA's designated helpdesk.
The latest provisional list incorporates filings received after the earlier list was issued and therefore reflects subsequent compliance updates.
NFRA has emphasised that the list is provisional in nature. Inclusion of an audit firm does not, by itself, indicate professional misconduct, audit failure or any adverse finding against the firm. Firms that believe their filing status has been incorrectly reflected have the opportunity to provide clarification and supporting information to NFRA.
The development highlights the importance of timely compliance with NFRA's annual reporting requirements. Audit firms falling within the regulatory framework are required to provide the prescribed information through Form NFRA 2.
Audit firms appearing in the provisional list should therefore verify their filing status, complete any pending or incomplete return, or inform NFRA if the required filing has already been submitted. CA Sansaar