Government asks Jet Airways' lenders to share forensic audit report

The government has asked the lenders of Jet Airways to share findings of a forensic audit report conducted by the accounting firm Ernst-Young (EY) of the grounded airline in March.

The contents of the forensic audit conducted by the EY has not been made public. As per a Livemint article, the audit report questioned the veracity of several transactions. 

Lenders of Jet Airways (India) Ltd, a consortium led by State Bank of India- the lead banke, had ordered a forensic audit of the books of Jet Airways to assess the feasibility of restructuring its debt and identify the accounting problems. On Saturday, Naresh Goyal, former chairman of Jet Airways, and his wife Anita, was barred from leaving the country, after a look-out circular (LOC) notice was issued by the Intelligence Bureau at the request of the Ministry of Corporate Affairs (MCA). 

Some of the airline's potential bidders had sought copies of the forensic audit report to ascertain risks during the due diligence process of Jet Airways which is currently up for sale.  Serious Fraud Investigation Office is currently examining the books of Jet Airways to determine whether there was any diversion of funds. Even, the Enforcement Directorate is also examining preliminary findings in a case of an alleged violation of the Foreign Exchange Management Act at Jet Privilege.