EY’s India Accounting Firm Barred From Bank Audits for a Year

Ernst & Young LLP’s Indian accounting firm won’t be allowed to audit commercial banks there for a year, after the country’s central bank found problems in one of its audits.

The Reserve Bank of India (RBI) said in a statement June 3 that it had banned SR Batliboi & Co. LLP from bank audits for 12 months starting on April 1 “on account of the lapses identified in a statutory audit assignment carried out by the firm.”

• This is the first time an accounting firm has been barred from statutory bank audits in India.
• The RBI didn’t name the audit ...