New Delhi, February 14, 2017:  

The Institute of Chartered Accountants of India (ICAI) is toying with the idea of introducing the concept of “temporary suspension” of erring members as part of broader improvement of its disciplinary mechanism of the audit profession, said Nilesh Vikamsey, newly elected President.

“This is only an idea with us. We have to discuss it at the Central Council level and then write to the government,” Vikamsey said at a press conference, his first after assuming charge as the 65th President of the single largest accountancy body in the world.

His remarks are significant as the disciplinary framework of the CA institute had in recent years come under scanner after several corporate scams, including the one relating to Satyam Computers.

Asked about the status of the institute assuming powers to penalise erring CA firms, Vikamsey said ICAI had already recommended to the government that the relevant law be amended for this purpose. “We will again take this up with the government during my tenure”, he added.

Vikamsey said the institute will this year work closely with the Central and State governments to ensure successful implementation of goods and service tax (GST).

“The other priority for me is to help expand the income taxpayer base,” he said, adding that “We want to be a true partner to the government in nation building”.

Accrual accounting

Building on its existing relationship with the Railways, the institute will soon sign a memorandum of understanding (MoU) for an all-India roll-out of accrual accounting at 17 Railway zones and its four manufacturing units. “This MoU is expected to be signed in the next few days. It’s ready”, he added.

On allegations of accounting irregularities in some Tata companies, Vikamsey said the institute was looking into the matter.

[The Hindu Business Line]