HC asks SFIO who will fund CA audits in Rose Valley case
Times of India | 13 March 2026
Kolkata: The Calcutta High Court on Thursday questioned the Serious Fraud Investigation Office (SFIO) over who would bear the cost of engaging external chartered accountant firms to conduct audits in the Rose Valley Ponzi Scam, making it clear that the expense cannot be met from funds earmarked to repay depositors.
"Who will pay external CA firms to conduct audits in the Rose Valley ponzi scam?" the court asked the SFIO.
The bench told Additional Solicitor General S V Raju that it was regrettable that someone of his seniority was appearing in the Rose Valley case while in the "99 per cent" of other cases, ED and CBI prosecutors were absent.
The HC directed the SFIO to file an affidavit by March 24 clarifying who would bear the cost of appointing the CA firms.
Earlier, the SFIO submitted a preliminary report before a division bench comprising Justice Rajarshi Bharadwaj and Justice Uday Kumar, stating that it intended to take the assistance of external chartered accountant firms to conduct the audit.
The bench told SFIO counsel that it could engage any organisation of its choice, but the expenses must be borne by the Ministry of Corporate Affairs and not from the committee constituted to refund money to depositors.
The court also directed the ED and CBI to extend all necessary assistance to the SFIO for the audit process.