Potential Consequences
Sure, here are the Potential Consequences of a delayed filing for the statutory audit pertaining to automobile dealers:
1. Penalty:
The penalty for delayed filing of the statutory audit report is ₹10,000 to ₹1,00,000 for each defaulting officer.
2. Loss of credibility:
A delayed filing of the statutory audit report can damage the credibility of the automobile dealer and make it difficult to obtain loans or credit.
3. Legal action:
The Registrar of Companies (ROC) can take legal action against the automobile dealer for delayed filing of the statutory audit report. This could lead to imprisonment or a fine of up to ₹1 lakh.
4. Disclosure of financial information:
If the statutory audit report is not filed on time, the ROC may disclose the financial information of the automobile dealer to the public. This could make it difficult for the automobile dealer to attract customers or investors.
5. Inability to participate in government tenders:
The government may disqualify an automobile dealer from participating in government tenders if the statutory audit report is not filed on time.
In addition to these consequences, a delayed filing of the statutory audit report can also lead to other problems, such as:
- Difficulty obtaining insurance
- Problems with creditors
- Tax penalties
- Investor scrutiny
It is important to note that the consequences of a delayed filing of the statutory audit report can vary depending on the circumstances. However, in general, it is always best to file the statutory audit report on time to avoid any potential problems.
To visit: https://www.mca.gov.in/
For further details access our website: https://vibrantfinserv.com