It is now legal requirement of the amended Companies Act (2013) to provide a system for legal compliance and carry out an assessment of all compliances.
When properly conducted, an audit can help to identify and correct regulatory deficiencies, which, in turn, can improve workplace administration and help to reduce legal liability.
In the long run it helps in improving the culture of organisation and it in a way assures that the company that they are dealing with is law abiding. Last but not the least it helps to improve the corporate image.
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