What is an audit order?

An audit order is a formal request issued by a regulatory or governmental authority for an organization or individual to undergo an audit. It typically specifies the scope, purpose, and timeframe of the audit, which aims to assess compliance with laws, regulations, or internal policies. Audit orders can be triggered by various factors, such as irregularities, complaints, or routine oversight. Compliance with the audit order is usually mandatory and may carry legal implications if not followed.