- Jan
- 20
- 2010
ICAI finds Haribhakti & Co partner guilty of negligence
The accounting regulator is finally swinging into action in the multiple demat account scam that was detected over 3 years ago. The Disciplinary Committee of the Institute of Chartered Accountants of India (ICAI) has found the internal auditors – Haribhakti & Co. guilty of negligence while checking the books of brokerage firm – Karvy. ICAI’s Disciplinary Committee has found one audit partner and audit manager of Haribhakti & Co. guilty.
Sources say that of the 3 charges that were framed, they have been found guilty on only one charge. The Central Council, which is the highest decision making body of ICAI, will now either ratify or overrule the report of the disciplinary committee. The Central Council is likely to decide the fate of the 2 auditors next month. To give a brief background of the case, Sebi had unearthed a multiple demat accounts scam in the year 2006. A person named Roopalben Panchal opened thousands of demat accounts and illegally cornered shares in various IPOs. Sebi, in its April 2006 order, among others, faulted the internal auditors of Karvy – Haribhakti, for failing to detect thousands of demat accounts being opened with the same address.
Sandeep Kanoi+
Will the ICAI Ever Punish PWC for its failure in Global Trust Bank & for its Failure in Satyam.
IF THE ICAI is not going to do its expected role play, at the END OF THE DAY, the OTHER POOR ICAI MEMBERS AND THE OTHERS concerned are the REAL LOOSERS. ICAI will become a DEEMED UNIVERSITY only. A bad action plan on the ICAI authorities will STOP even THE OTHERS VERY BADLY. If the ICAI want to retain the STATUS QUO , then ACT , or see the PERIL and vanish . We saw lot of emperors , mughal , pandya chera, chola, raj puts, etc. the decision maker, did wrong after wrongs, and saw the ULTIMATE END. If they are not going to LEARN FROM THE PAST HISTORY, it is the REAL DUTY OF OTHER icai members , to make them to do the real work for their own future and interest there on. Any irresponsible action will lead to their own COFFIN MAKING PROCESS and the MORTURY IS WAITING . CHOICE IS YOURS.
SORRY
Dear all
It is very bad on ICAI . When the partner is doing a good job, resulting a good name and money there on, then the FIRM isn’t benefitted. Doing such action is very bad. It is double speak. the firm is having enough contol and interests. Hence, the FIRM also should be accountable and the penalities imposed . Already many are NOT AT ALL HAVING ANY REAL FAITH on the audit reports and the resultant audited figures. It is fooling the society and also ICAI members as well. If the required level of penal action is taken , then only the FIRM WILL APPOINT A REAL AUDIT PROFESSIONAL and also MONITOR his or her action or inaction on a routine basis . Otherwise it is challtha hai.
If the ICAI