SEBI Consultation Paper on Online Monitoring of System Audit of Stock Brokers (December 03, 2024)

SEBI has placed this consultation paper with the objective to seek comments from public on proposal of creating online monitoring and supervision mechanism (web-based portal) by stock exchanges to monitor system audit process of stock brokers on concurrent basis. The proposed framework seeks:

➢ to enhance the quality of the audit and to make the auditor more responsible for the system audit,
➢ to ensure that auditor is physically visiting stock broker’s premises to check IT systems and not outsourcing the audit activity,
➢ to enable auditors to submit audit evidences, audit report, ATR etc., through web portal for speedy processing, to cover technical glitch related aspects in system audit etc.

The comments or suggestions are invited on the proposals mentioned in the consultation paper latest by December 26, 2024