Lok Sabha approves bill to amend laws governing chartered, cost accountants, company secretaries.
The Bill seeks to amend the existing Chartered Accountants Act (ICAI), 1949, the Cost and Works Accountants Act, 1959 and the Company Secretaries Act 1980.
It will provide a mechanism for dealing with the cases of misconduct in the three professional institutes, namely, the ICAI, the Institute of Cost Accountants of India and the Institute of Company Secretaries of India and “with a view to strengthening the existing mechanism and ensure speedy disposal of the disciplinary cases.”
The Bill is also aimed at enhancing “accountability and transparency” by providing for audit of accounts of the institutes by a firm of chartered accountants to be appointed annually by the Council from the panel of auditors maintained by the Comptroller and Auditor-General of India.
The finance minister Nirmala Sitharaman said that India will have an accounting firm that is equivalent to the world’s top firms, and the proposed amendments in laws governing chartered accountancy, cost accountancy and company secretary will “facilitate”.
She also said that “We are hopeful that India will certainly have a Big Four equivalent company, and these kinds of amendments that we are bringing, are going to facilitate that.”
The bill would bring chartered accountancy, cost accountancy and company secretary on a single platform