| Particulars | Companies Act, 2013 | Companies Act, 1956 |
| Audit Committee | ||
| Section 177 | Section 292A | |
| Applicability | Every listed companies and
shall have to constitute Audit Committee. |
Every Public Company having paid up capital of not less than Rs. 5 Crores shall have to constitute Audit Committee. |
| Composition |
|
The Audit Committee shall consist of not less than 3 directors and such number of other directors as the Board may determine of which 2/3rd of the total number of members shall be directors, other than Managing or Whole-time Director. |
| Right to attend Meeting of Audit Committee | The auditors of a company and the KMP shall have a right to be heard in the meetings of the Audit Committee when it considers the auditor’s report but shall not have the right to vote. | The auditors and the director-in-charge of finance shall attend and participate at the meeting of the Audit Committee but shall not have right to vote. |
| Penalty | The company shall be punishable with fine of Rs. 1 Lakh to Rs. 5 Lakhs and every officer of the company who is in default shall be punishable with imprisonment up to 1 year or with fine of Rs. 25,000/- to Rs. 1 Lakh, or with both. | The company, and every officer who is in default, shall be punishable with imprisonment up to 1 year, or with fine of Rs. 50,000/-, or with both. |
