Internal Audit Report Submission Manual for Trading Members · NSE/INSP/76784

ANNEXURE I

MANUAL FOR SUBMISSION OF INTERNAL AUDIT REPORT BY AUDITOR

Auditor Registration:

Step 1 :

• The Trading Member shall register the Internal Auditor for the half year through Member portal (Steps elaborated in Annexure V_Manual for Member)
• Upon registration of Auditor by member, the Internal Auditor shall receive the following indicative e-mail on his registered E mail ID.

Dear Sir/Madam,

Your Registration for submission of Internal Auditor Report for the period Apr-26 To Sep-26 has been successfully created.
Please find the details as under:

Userld:
Password :
TM Name :
TM Code :

Kindly click on the following link https://inspection.nseindia.com/MemberPortal/

On clicking the above link for the first time, you will be prompted to change the password, Kindly change the password immediately.

You are requested to initiate Internal Audit for the Apr-26 To Sep-26 for [unclear in source] segment/s and submit Annexure I & II.

In case of any clarification, please contact the Member.

Submission of Internal Audit Report:

Step 2:

• Click on the link mentioned in the email and proceed with submission using login credentials mentioned in the Auditor registration email.
  (https://inspection.nseindia.com/MemberPortal/)
• Click on “Inspection-Internal Audit” under Menu at the left-hand side, Internal Audit Report MIS page will open.

[Image omitted. See the official document.]

• Under Internal Audit MIS – by entering Auditor Membership Number and Audit Period, Auditor shall click on ‘Search’ button the following screen will appear.

[Image omitted. See the official document.]

[Image omitted. See the official document.]

Step 3 :

• Auditor needs to select 3 checkboxes (including ‘Trading Type’ declaration).
• Member will select the Trading Type while submitting the Undertaking on penalty and then the same will be confirmed by auditor.
• Auditor shall be able to see the Trading Type Submitted by Member.
• Auditor shall submit conflict of interest, subsequently to be submitted by Member to the Exchange from his login (First auditor then member)

[Image omitted. See the official document.]

Upon successful submission of ‘Conflict of Interest’, following is displayed

[Image omitted. See the official document.]

• After the COI submission by member end, following screen will appear where auditor needs to confirm both the declarations by ticking the checkboxes along with submitting certificate details.

[Image omitted. See the official document.]

• Upon successful submission of declaration and certificate details, following screen will appear.

[Image omitted. See the official document.]

Note: ‘Next’ button will not be visible to the auditor until member submits ‘Undertaking on Penalty’, ‘Conflict of Interest ‘and Certificate details.

Step 4 :

• Part A - Data Sharing :

  Exchange has made available the data submitted by member to Exchange in various submissions to Auditor for verification.

  1. Holding statement reports for 2 dates
  2. Running account settlement report UCC wise for 2 quarters
  3. Member Bank Details Report
  4. Member DP Details Report
  5. Member DP Comm Bank Details Report
  6. List of Registered Authorized Persons (AP)
  7. SEBI Letter (if issued)

[Image omitted. See the official document.]

Step 5 :

• Part B : Sampling Files:
  For various Internal Audit checklist points, sample dates/ clients are provided in Auditor login.
  (Refer below screenshot)
  1. Date-wise Client Margin
  2. Top 100 Client Margin 6 Dates
  3. Top 100 Client Margin Audit Period
  4. Top Turnover Dates
  5. Total Turnover Top 100 Client Audit Period

[Image omitted. See the official document.]

Step 6:

• Auditor shall provide compliance status as well as comments on previous inspection observations and previous 2 half year internal audit report observations (as per screenshots attached)

[Image omitted. See the official document.]

[Image omitted. See the official document.]

Step 7:

• On clicking, “Next” button (As per below screenshot). The screen will move to the next page and auditor is required to fill details.

Step 8: Auditor shall fill all the details mentioned below (* Indicates Mandatory)

[Image omitted. See the official document.]

[Image omitted. See the official document.]

• Further, Auditor shall fill in the below details and confirm the declaration by ticking on the checkbox.

[Image omitted. See the official document.]

For example:

NOTES:

• Step 9: On the same page, auditor can either download the checklist (excel template) provided in the system or use the checklist provided in the circular for carrying out the internal Audit.
  Additionally, internal auditors are required to submit QSB Checklist (if applicable)

Note: Template hyperlink provided in the auditor login as per the below screenshot

[Image omitted. See the official document.]

• Step 10 : By clicking on ‘Download template for excel upload’ & ‘Download template for QSB excel upload’ hyperlink, Auditor will be able to download the template in which he needs to indicate the Compliance/Non- compliance/Not Applicable status for each checklist point.

Note: Kindly use latest version of Excel to submit the Checklist.

• Step 11 : After completing the entire checklist, Auditor shall submit the sample details for both compliance and non-compliance instances. By clicking on ‘Sample details file’ hyperlink, Auditor will be able to download the template in which he needs to fill the required details for all the instances for which verification has been done. If any clause which is not applicable to member, auditor may fill “NA” in the mandatory field(s).

Note: Please ensure to use the same text in the “Particulars column” for each clause as provided in the template “Sample details file” while adding row for providing instances of sample details verified