The government sought applications for the posts of chairperson and three full-time members of the National Financial Reporting Authority (NFRA). 

In March, the Cabinet approved setting up of the NFRA, which would be an independent regulator for the auditing profession. The same month, the Corporate Affairs Ministry came out with the rules for appointment and other terms of service of chairperson and members. 

The jurisdiction of the NFRA -- which would be an oversight body for auditors -- would extend to all listed companies as well as large unlisted public companies. 

In a public notice, the government invited applications from Indian nationals for the posts of chairperson and three full-time members. 

According to the notice, the current criteria for appointment might be relaxed, if considered necessary, for meritorious applicants. 

"The NFRA is mandated to make recommendations to the central government on the formulation and laying down of accounting and auditing policies and standards for adoption by companies," it said. 

As per the rules, the chairperson and full-time members of NFRA should not be associated with any audit firm during their tenure as well as two years after demitting office. 

They would have a three-year term each and would be eligible for re-appointment for one more term. Another condition is that the appointment would be for three years or till the person attains 65 years age, whichever is earlier, according to the rules. 

In the case of a part-time member, the tenure would be not more than three years but eligible for re-appointment. #casnsaar (Source - PTI Economic Times)