MCA has amended the Companies (cost records and audit) Rules, 2014. The major changes brought in the rule are as under:
1) Written Consent by Cost auditor: Now it’s mandatory for the companies to take prior written approval/Consent from proposed cost auditor before his appointment.
2) Declaration/Certificate: Cost auditor appointed as per the Companies Act, 2013 has to submit a declaration that:
a) He is eligible for appointment and is not disqualified form appointment under the act, rules and regulations
b) He satisfies the criteria provided in the section 141 of the companies act, 2013
c) The proposed appointment is within the limits laid down by authority