What is Internal Financial Controls


internal financial controls mean policies and procedures adopted by the company for ensuring:

  • Orderly and efficient conduct of its business, including adherence to the company’s policy and procedure.
  • Safeguarding to company’s assets.
  • Prevention and detection of frauds and error
  • Accuracy and completeness of accounting records and
  • Timely preparation of reliable financial information

It includes policies and procedure adopted by the company for ensuring the orderly and efficient conduct of business, including regulatory compliance and prevention and detection of frauds and errors.


Internal control = internal control over financial reporting + operational control reporting + fraud prevention reporting.


Internal controls over financial reporting (ICFR): regulatory mandate under companies act 2013


Relevant clause



Director’s responsibility statement: section 134

Board confirms that ICFR’s is working adequately and effectively

Listed company

Board report

Board report to state the details in respect of the adequacy of ICFR with reference to the financial statements

All companies

Code for Independent Directors: Section 149(8) and Schedule IV

Independent Directors to satisfy themselves on the integrity of financial information and that financial controls are robust and defensible

All companies having  Independent director

Audit Committee Terms of Reference: Section 177

Evaluation of ICFR>

All companies having an Audit Committee

Auditor’s report: Sec. 143(3)

Auditors to report if the company has adequate ICFR systems and that they are operating effectively (from 2015-16)

All companies having an Audit Committee


As from above, we can see who are responsible

  • Directors responsibility statement (section 134)
  • Auditors Report (section 143)
  • Audit committee (section 177)

Section 143(1) every auditor of a company shall amongst other matters inquire into the following matters, namely:—

a) Whether loans and advances made by the company on the basis of security have been properly secured and whether the terms on which they have been made are prejudicial to the interests of the company or its members;

b) Whether transactions of the company which are represented merely by book entries are prejudicial to the interests of the co;

c) where the company not being an investment company or banking company, whether so much of the assets of the company as consist of shares, debentures and other securities have been sold at a price less than that at which they were purchased by the co;

d) Whether loans and advances made by the company have been shown as deposits;

(e) Whether personal expenses have been charged to revenue account;

(f) Where it is stated in the books and documents of the company that any shares have been allotted for cash, whether cash has actually been received in respect of such allotment, and if no cash has actually been so received, whether the position as stated in the account books and the balance sheet is correct, regular and not misleading


Sec 143(12) - Reporting of frauds

  • If an auditor of a company, in the course of the performance of his duties as auditor,
  • has reason to believe that an offence involving fraud is being or has been committed against the company
  • By officers or employees of the company,
  • He shall immediately report the matter to the CG within the time prescribed.

Benefits that can be derived from IFC


  • Enhance governance framework 
  • Defines clear accountability and transparency 
  • Controls automation 
  • Reduction in number of surprises 
  • Streamline/standardise controls
  • Opportunity to plug leakages/potential frauds


faq FAQ`s

At Corpseed, we are committed to offer our services to the entrepreneurs and businesses as a very cost-effective proposition. We believe that a customer is always right and the focus of any business activity should be to serve the customer with utmost loyalty. All our services come with SLAs (Service Level Agreements) for on-time service delivery and money back guarantee to ensure high level of customer satisfaction.

At Corpseed, our valued customers are always kept in the loop as far as service delivery timeline is concerned and we inform our customers every time a milestone is achieved during each stage of service request processing. But we also believe that we may come across a customer who is not satisfied with our efforts. For that we have a very responsive Customer Care Department which work 24x7 to attend to and solve customer complaints. We also have a money back guarantee for those, who want their service charges to be refunded.

At Corpseed, We believe it is our responsibility to protect our customer information from unauthorized access. We have put systems and processes in place to make sure that the customer information is safe with us during its storage and transfer between in house and third party servers. We continuously test our systems and processes for security breach and vulnerabilities are identified and fixed at a regular basis.

If a customer is not satisfied with the service we provided and if he contacts our customer care helpline and files a formal complaint within 15 days of service delivery date, Corpseed would refund the entire or partial amount of Professional Fee charged for that particular service.

If a customer is having issues with our service delivery process, he has various alternatives available at his disposal to register his grievance with us. He can either email his complaint at or he can call our 24x7 Customer Care Helpline. Also, any customer is always welcome to visit our office to lodge a complaint with the senior management.

A customer can buy our services directly from our online platform, for which he need to make online payment. Once he clicks on "Apply Now", a new window will open, a customer is required to submit the information in the respective fields and click "Make Payment". A unique ticket number will be auto generated, the customer need to quote this number as reference for any enquiry regarding his service request.

All the monetary transactions performed on Corpseed online platform are secured with SSL System Protocol. We encrypt the customer information such as credit card and bank account details, before these are transmitted anywhere. We adhere to PCI DSS for data security standards for payment processing.

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