The company auditor is liable to civil charges for ___________.

willfully making a false statement

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negligence

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misstatement in the prospectus

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all the above

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Solution

The correct option is C negligence
In the following circumstances, company's auditor is liable for civil charge:

1) Liability for negligence
2) Liability under Companies Act
3) Liability under Consumer Protection Act
4) Liability for unaudited statement
5) Liability for negligence of assistants.

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