• Jul
  • 03
  • 2010

ICAI issued notification on Transfer/Termination of Articleship, allowed Transfer during the first year of articles

In a major flexibility for CA aspirants, the CA Institute, regulator of the chartered accountancy profession, has given articled clerks a choice to opt out of the existing arrangement with a principal during the first year of articleship. “Articled clerks can now transfer to another practicing chartered accountant in the first year. Earlier, there was a blanket ban and no transfer was permissible for all three years.

“Now, we are giving students an option to transfer in the first year. But for the second and third year, the restrictive clauses will continue to apply,” Mr Amarjit Chopra, ICAI President, told BusinessLine, here.

An articled clerk is a trainee attached to a practicing chartered accountant.

There is a deed of articles for the duration of three years.

Hitherto, CA students were unable to transfer to other firms even if the existing one did not suit his or her requirement.

“Many occasions, students felt they had entered a wrong firm or there was no compatibility with the principal. But now the flexibility to transfer is being provided.

“This will benefit both the student and the principal,” Mr Chopra said.

———————————————-

Transfer/Termination of Articleship

[Regulation 56(1)]

In partial modification of the announcement dated 30th June 2009 regarding transfer / termination of articles the Council in its recent meeting has decided that the transfer/termination of articleship in terms of Regulation 56(1) of the Chartered Accountants Regulations, 1988 shall be permissible on the grounds as stated below: -

I. Transfer /termination of articles is permitted without any restriction during the first year of articles.

II. During rest of the articleship period on satisfying any one or more of the conditions as stated below: -

1. Medical grounds requiring discontinuance of articles for a minimum period of three months (on production of a Medical Certificate issued by a Government Hospital).

2. Transfer of parent(s) to another city.

3. Misconduct involving moral turpitude.

4. Other justifiable circumstances / reasons: -

(ii) Grounds already permissible in the Chartered Accountants Regulations, 1988 (on submission of requisite proof of the act warranting transfer/termination of articleship): -

a. Industrial Training (Regulation 51)

b. Secondment of articles (Regulation 54)

c. Conversion from PCC to IPCC (for termination of articles only. Re-registration of articles to be allowed only after passing Group-I of IPCC)

d. Death of Principal [Regulation 57(1)(c)]

e. Ceasing of practice by the Principal [Regulation 57(1)(a)]

f. Removal of name of the Principal from the Register of Member due to any reason [Regulation 57(1)(b)]

(iii) Marriage basis (only if there is relocation to another city involving distance of 50  Kms).

(iv) Irregular payment or non payment of stipend with reference to Regulation 67.

(v) Articled assistant desires to serve balance period of training outside India.

(vi) Shifting by the Principal to another city involving distance more than 50 kms.

The articled assistants are required to get the consent of the Institute before getting Form 109 signed by the Principal in their own interest.

The request, on any one or more of the aforesaid grounds, of an articled assistant on a plain paper alongwith the recommendation/ consent of the Principal for transfer / termination of articleship accompanied by evidence/proof (self-attested by the articled assistant) to the satisfaction of the Institute be made. Request for transfer not accompanied by consent of Principal shall not be accepted.

In case of dispute between principal and articled assistant, the matter be settled amicably among the articled assistant and the principal concerned and the Institute shall not interfere in such cases.

2nd July 2010 Secretary


Sandeep Kanoi+

35 Responses to “ICAI issued notification on Transfer/Termination of Articleship, allowed Transfer during the first year of articles”

  1. MANISH MALHOTRa says:

    SIR MAINE ARTICLESHIP KE KEWAL EK MAHINE HUE HAI AUR MUGHE TRANSFER CHAHIYE , PAR MERA CA SIGN KARNE KO TAIYAR NAI HAI, MAI KYA KARU.SIR MAI RUK IS LIYE NAI SKTA KYOKI HAMARA CA ARTICLE SE GALI DE KE BAT KARTA HAI. HAMESA GALI DETA RAHTA HAI.

  2. pooja says:

    what is the time period for joining articleship
    after termination

  3. jayasree puppala says:

    i had taken termination from my principal and i furnished 109 to icai but i omitted the details of my stipend ,as i worked only for 21 days and i joined in a new firm .few days back i received a copy of corresponding letter from icai to my previous principal to send the details of stipend with in fifteen days but i didnt receive any stipend what should i do now ,please suggest me

  4. An article says says:

    can firm terminate his article b coz of mis understanding in misconduct clause..

  5. Jakey Rohira says:

    Respected sir,

    at present m doing my articleship training in new delhi. But now i want to take transfer from my articleship but the problem is that i have completed my articleship of 21 months. so plz suggest me how can i take transfer in 2nd year plzz sir reply me.

  6. shravan says:

    what is the time period for joining articleship after termination

  7. sudarshan says:

    dear sir, i am sudarshan from kakinada andhra pradesh. i have joined articles recently just 20 days before and already signed the deed and sent the form 103 to the institute. now i am unhappy with the current firm i am working. so i wish to tranfer to another CA. Kindly tell me the procedure.
    thnaking you.

  8. YESHU JAIN says:

    what’s the procedure for re-registration of articleship in another region i.e from delhi to kolkata

  9. iqbal says:

    tapan ji aap apni articlesip change kar sakte he
    1.aap moral aptitude ke basis par apna transfer kara sakte he
    2.aap apni baki articlesip abroad jakar kar sakte he
    3.aap apne parents ka transfer karwakar b apna transfer kra sakte he
    4.aap marriage basis par b apna transfer kra sakte he

  10. Md shahbaz shamim says:

    Hi,i would like to know can the principal sign from the back date approx 3 months or more, in case the article is working under him from the aforesaid period,but form was not signed like 102,103etc. would icai raise any objection on this issue.

  11. Ashok says:

    Hi friends,

    Check out the following link and post your grievance there…….you may get a solution….. http://220.227.168.109/file_ur_complaint_2.php

    If it does not work, try some thing and some more until your problem is solved……..Dont just stick on the path, just because your in……..try a solution if you want to be happy…….

    All the best………

    Get to me @ ashokkumarg18@gmail.com

  12. I have passed IPCC Nov’10. I have joined articleship in Feb 2011.Because of firm’s head office in Banglore, There is no such work in Mumbai branch.So I have to take transfe. 2 Months is completing in 12 April. What is the procedure to transfer. Can Principal refuse to transfer.
    Please Reply
    As early as possibe.

  13. tapan chhabra says:

    Even de councillors at de ca institute clearly says this is a useless regulation by de council since consent of de principle is required, you need contacts in de institute to get your work done! corrupt hai saale sab ke sab !!

  14. tapan chhabra says:

    I ve de same issue, i asked my principle for transfer in 9th month of my articleship, for which he refused and now its been another 4 months. life has become worse in here, applied to de ca institute,no replies for last 2 months, now since m in my 2nd year of articleship, i ve nothin left but 2 more years to waste, if you find a remedy to this, lemme know!
    mail me at tapanchhabra@gmail.com

  15. amrita says:

    I am an ipcc student started my articles in aug 2010. I dont wanted to continue in the same firm so asked my principal for transfer. He said he will not give transfer at any cost.

    For IPCC students we can change our employer in the first year of our training.then wat does that mean???? if my present employer says no i hav to continue with him or what?????????

    Transfer in the first year of articleship requires CONSENT OF PRINCIPAL????????

  16. Rahul Sood says:

    Some CA are taking undue advantage from their articles .
    Articles are not able to learn much
    but principle is just taking work from them in a least cost
    and Article Can do nothing
    Please give justice to us

  17. Rahul Sood says:

    Respected Sir,
    Our lives are based on C.A
    So At least we must have freedom to Get transfer so that we can maintain a better coordination with our trainer
    By this Regulation,the persons who were registered previously,they cannot get transfer even if they want to
    Plz do something otherwise capable students even wont be able to do CA
    just only because we are slaves of our principal
    Plz dont make us slaves

  18. Rahul Sood says:

    Respected sir
    Our lives are based on C.A.
    Plea

  19. shrikant says:

    i would like to know whether there is some provision by which an indusatrial trainee in his last 9 months of articleship period , if he feels that he should not continue doing industrial training and should go to soe CA firm to pursue and gain exp in the filed which he wants……then can he take transfer from that ind training company to a CA firm to work under a CA say learning taxation work etc…???
    does the ICAI allow that in that last 9 months of articles??

    ICAI does have a rule that article can get transfer to other compnay for industrail training in last 9 months and no restriction is there reagarding no. of transfers from one company to another as an industrail trainee.

  20. HIMANSHU MISHRA says:

    respected sir…are we required to join another firm within that first year only…plz reply sir

  21. rupesh says:

    respected sir
    I am pcc student,what is the process of transfer of article-ship because of city change where father is not in government job and what papers are required?

  22. sachin says:

    respected sir,
    i’m pcc student,what is the process of transfer of articleship because of financial crises ?

    Please sir reply quick.

  23. anchit says:

    RESPECTED PRESIDENT, SIR
    Thank you for giving articles freedom to join another firm during the 1st year But sir please think about increasing the stipend of a article so that it may enable to him to meet some of his expenses of conveyance OR alternate step may be taken to make it compulsory for firms to provide conveyance allowances to articles for coming to office for a distance more than 5k.m

  24. vijay says:

    Sir this is totally unfair that we cant register in the same city where we need to work like slaves for 3 1/2 yrs and where we r not getting any exposure

  25. harshu says:

    I’ve completed 24 months of aricleship.I couldn’t pass the exam (PCC). Now I want to terminate the articleship training. For I have sent the application forms and our institite also permitted me for termination / registration of articlaeship . now i wan’t join a airticalship after my nov 2011 attempt. can i re-ragistration after 15 months from termination date . what are it’s procedures? what should I do for getting the service certificate from my principal? pls reply

  26. Hitesh garg says:

    Thank you sir,
    But i have a question what to do if a principal is not giving transfer even to his first year article student just bcoz he dont have more articles in his office.uski life to kharab ho gayi na…how he wil endure him for 3yr.
    I request you plz reannounce that consent of the principal for the first year article is not reqd. Or the principal is bound in the first year. Thank you

  27. umesh kr. jaiswal says:

    Employer do not give transfer of articleship and having moral turpitude to article and having threatend to article for career destroyable.

  28. pradeep ojha says:

    thank you sir for relaxtion to articleship but in dispute among the firm and articles icai will not interface this is not good because mostly firm won’t transfer

  29. Mrs. Menon says:

    Dear Sir,

    As the stipend is very less compared to a full time job, why don’t you reduce the number of working hours so that this gives us an opportunity to do graduation or any other course along with training. A ‘no stipend’ plan is also justifiable in this case. This gives an opportunity to attend the subject training course during the day time for final exam.

  30. an article says:

    hey sir this is to unfair sir.Now, an article assistant who thinks for a better exposure in third /second year of training, can’t fulfil this needs because of this ban. ban makes us just slaves. only in a better working condition anyone can learn from it. otherwise it is a dumpwaste of time sir.

  31. anoop says:

    Thank you Mr.president for giving such relaxation for transfer of articleship traning in the frist year but do something more for articles they are also human being increase this relaxation period for two year and also look into the matter of stipend. Stipend given is not sufficent.

  32. MIntoo Jha says:

    Mr. President, thank you for relaxation for transfer of articleship training in the first year but request you to kindly do some thing for stipend because if you will see the price rise of travelling and other thing. Stipend seems very small.

    Thank you,

  33. Prabhakar says:

    Mr. President, Thank you for giving relaxation for first year articles.

    But it is still not fair because the provision of non-transfer make the life of an article like hell, if his/her employer is inhuman.

    It seems that you are in mood to give some relaxation to articles.

    Therefore, you are requested to fix a minimum period of 3-6 month under an employer but don’t restrict the trasfer of articleship.

    Thanking you,

  34. amit aggarwal says:

    verry gud mr. president u banned d transfer when we are in our first year and now we can not take transfer at all so where is the justice for us?????

  35. CA student says:

    what the f? This is bringing slavery system back to india. they dont increase stipend and now they are selling us as bonded labourers. We have the right to choose under whom we shall work. We need the Cgovt to intervene along with human rights commission. This announcement is just trying to show that they are doing sth; which they aren’t. ICAI is rotting now a days.

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