During the course of audit of Jyoti Ltd., the auditor observes that the company has committed an offence resulting in fraud in which certain officers are involved. Analyse the extent of obligations of the statutory audit

Section 143(12) read with Rule 13 of the Companies (Audit and Auditors) Rules, 2014 provides that if an auditor of a company, in the course of the performance of his duties as statutory auditor, has reason to believe that an offence of fraud, which involves or is expected to involve individually an amount of rupees one crore or above, is being or has been committed against the company by its officers or employees, the auditor shall report the matter to the Central Government. The auditor shall report the matter to the Central Government as under:- the auditor shall report the matter to the Board or the Audit Committee, as the case may be, immediately but not later than two days of his knowledge of the fraud, seeking their reply or observations within forty-five days; on receipt of such reply or observations, the auditor shall forward his report and the reply or observations of the Board or the Audit Committee along with his comments to the Central Government within fifteen days from the date of receipt of such reply or observations; in case the auditor fails to get any reply or observations from the Board or the Audit Committee within the stipulated period of forty-five days, he shall forward his report to the Central Government along with a note containing the details of his report that was earlier forwarded to the Board or the Audit Committee for which he has not received any reply or observations; the report shall be sent to the Secretary, Ministry of Corporate Affairs in a sealed cover by Registered Post with Acknowledgement Due or by Speed Post followed by an e-mail in confirmation of the same; the report shall be in the form of a statement as specified in Form ADT-4. In case of a fraud involving lesser than rupees one crore, the auditor shall report the matter to Audit Committee constituted under section 177 or to the Board immediately but not later than two days of his knowledge of the fraud and he shall report the matter specifying the following:- Nature of Fraud with description; Approximate amount involved; and Parties involved The details of each of the fraud reported to the Audit Committee or the Board during the year to be disclosed in the Board's Report. No duty to which an auditor of a company may be subject to shall be regarded as having been contravened by reason of his reporting the matter referred to in sub-section (12) if it is done in good faith. Therefore, as an auditor, he has to comply with the aforesaid procedure. Further, If any auditor, cost accountant or company secretary in practice do not comply with the provisions, he shall be punishable with fine which shall not be less than one lakh rupees but which may extend to twenty-five lakh rupees. [Section 143(15)]