ICAI takes Disciplinary Action: Names of 7 Chartered Accountants removed for Professional Misconduct [Read Notification]

Through a notification dated January 3, 2025, the Institute of Chartered Accountants of India ( ICAI ) has taken strict disciplinary action against seven of its members for professional misconduct. The names of these Chartered Accountants ( CAs ) have been removed from the ICAI’s official register for varying durations, accompanied by financial penalties.

The disciplinary actions detailed in an official notification, include penalties and the removal of membership rights under the provisions of the Chartered Accountants Act, 1949, and associated rules. The affected individuals, their violations, and the penalties are as follows:

1. One memberfound guilty of professional misconduct under Item (7) of Part I, Second Schedule, Arunabha’s name has been removed for three months, extended by an additional 30 days due to non-payment of the imposed Rs. 1,00,000 fine within the stipulated period.

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1. A CA member was found guilty of professional misconduct under multiple cases, including violations of Item (7) of Part I of the Second Schedule and Item (2) of Part IV of the First Schedule of the Chartered Accountants Act, 1949. The penalties from two clubbed cases and one standalone case include the removal of his name from the Register of Members for a consolidated period of 120 days (90 days plus an additional 30 days due to non-payment of a Rs. 20,000 fine). The misconduct included gross negligence in professional duties and actions harming the profession’s reputation. Effective from January 3, 2025.
2. A member’sname has been removed for 60 days for misconduct under Item (7) of Part I, Second Schedule, with an additional Rs. 20,000 fine.
3. A CA member waspenalized for a 60-day removal and fined Rs. 20,000.
4. One member was found guilty under Items (5) and (7) of Part I, Second Schedule and faces a three-year removal and a fine of Rs. 5,00,000.
5. Another memberhas been penalized with removal for five years and an additional month due to non-payment of Rs. 5,00,000 fine within 90 days.
6. A CA member was found guilty of ‘Other Misconduct’ under Part IV of the First Schedule, Ranjit Kumar’s membership has been revoked for three months, along with a Rs. 1,00,000 fine.

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Why This Action is Important: Chartered Accountants are trusted advisors in financial matters, and any breach of this trust undermines the integrity of the entire profession. The ICAI has taken these steps to penalize members guilty of professional or ethical violations. The penalties include not only the temporary removal of membership but also financial fines. For those who failed to pay the fines on time, the removal period was extended.

Read the official notification below

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