Disclaimer is a statement intended to specify or delimit the scope of rights and obligations that may be exercised and enforced. “Sooner or later, we are likely to see a longer list of disclaimers by auditors,” Damodaran told reporters here on Tuesday.
PriceWaterHouse Coopers, which audited the accounts of fraud-hit Satyam came under sharp attack from certain quarters for overlooking its inflated accounts, thereby allowing the company to fudge financial statements for seven years.
“Audit is not a 100 per cent check. It cannot be expected to capture the full picture,” he said.
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