SEBI's Regulation 10(6) establishes a fixed tenure of five years for InvIT auditors but does not allow for shorter initial terms following the 2023 amendment.
InvIT Auditor Tenure Set at Five Years by SEBI
On September 10, 2026, it was confirmed that under SEBI Regulation 10(6), the tenure of auditors for Infrastructure Investment Trusts (InvITs) is fixed at five years following the recent amendment in 2023. The amendment eliminates the possibility of a shorter initial term for auditors.
This regulation aims to ensure continuity and stability in auditing practices for InvITs, reinforcing the quality of financial reporting and governance. By standardizing auditor tenure, SEBI intends to foster a high level of trust and accountability among stakeholders.
Practitioners in corporate governance and compliance must adopt these auditor tenure requirements as part of their advisory roles to InvITs, ensuring adherence to this regulatory guideline to uphold the integrity of financial reporting.
