Disciplinary Committee (Bench-I) of the Institute of Chartered Accountants of India (ICAI) passed an order on 27 September 2024, reprimanding CA. Amber Garg for professional misconduct. The complaint, filed by CA. Ashish Kumar Mittal, alleged that Garg accepted and completed the statutory audit of M/s Raj Roadlines for AY 2021–22 without obtaining the mandatory No Objection Certificate (NOC) from the previous auditor. Mittal, who was the statutory auditor for AY 2020–21, stated that his firm neither resigned nor was removed from the audit position. He also claimed pending audit fees and noted that he had to pay the GST on the billed amount from his own pocket.
The Committee observed that CA Garg pleaded guilty during the hearing held on 2 April 2024 via video conferencing. The Committee found that Garg violated item (8) of Part I of the First Schedule and item (1) of Part II of the Second Schedule of the Chartered Accountants Act, 1949. These provisions pertain to accepting a position without communicating with the previous auditor and failing to comply with professional standards.
Taking into account the circumstances, the Committee imposed a fine of ₹5,000 to be paid within 90 days. In case of non-payment, the Committee ordered that his name be removed from the ICAI Register of Members for 30 days.
THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA
(Set up by an Act of Parliament)
[DISCIPLINARY COMMITTEE [BENCH-I (2024-2025)]
[Constituted under Section 21B of the Chartered Accountants Act, 1949]
ORDER UNDER SECTION 2113(3) OF THE CHARTERED ACCOUNTANTS ACT, 1949 READ WITH RULE 19(1) OF THE CHARTERED ACCOUNTANTS (PROCEDURE OF INVESTIGATIONS OF PROFESSIONAL AND OTHER MISCONDUCT AND CONDUCT OF CASES) RULES. 2007.
In the matter of:
CA. Ashish Kumar Mittal
-Vs-
CA. Amber Garg
[PR/189/22/DD/243/2022/DC/1823/2023]
Members present:
i) CA. Charanjot Singh Nanda, Presiding Officer
ii) Shri Jugal Kishore Mohapatra, lAS (Retd.) (Government Nominee)
iii) CA. Chandrashekhar Vasant Chitale, Member
Date of Hearing : 2nd April 2024
Date of Order : 27th September 2024
1. That vide findings dated 26-06-2024 under Rule 18(17) of the Chartered Accountants (Procedure of Investigations of Professional and Other Misconduct and Conduct of Cases) Rules, 2007, the Committee noted that Amber Garg, (hereinafter referred to as the Respondent”) was held GUILTY of professional misconduct falling within the meaning of item (8) of Part I of the First Schedule and item (1) of Part II of the Second Schedule to the Chartered Accountants Act 1949.
2. That pursuant to the said findings, an action under Section 2113(3) of the Chartered Accountants (Amendment) Act, 2006 was contemplated against the Respondent and a communication dated 13-09-2024 was addressed to him thereby granting opportunities of being heard in person / through video conferencing and to make written & verbal representation before the Committee on 27-09-2024.
3. The Committee noted that the Respondent was present through Video conferencing. The Respondent made his verbal submissions on the findings of the Disciplinary Committee. The Committee considered the reasoning as contained in findings holding the Respondent Guilty of Professional misconduct vis-a-vis written and oral submissions of the Respondent.
4. The Committee thus viewed that the Professional misconduct on the part of the Respondent has been established within the meaning of item (8) of Part I of the First Schedule and item (1) of Part II of the Second Schedule to the Chartered Accountants Act 1949.
5. Keeping in view the facts and circumstances of the case, submission of the Respondent on record and based on the findings of the Committee, the Committee ordered that, the Respondent, CA. Amber Garg be imposed a fine of Rs. 5,0001- (Rupees Five Thousand only) upon him to be paid within 90 days of receipt of this Order. The Committee also ordered that if the Respondent fails to pay the fine within the stipulated period as aforesaid, his name be removed from the Register of Members for a period of 30 days.
Sd/-
CA. CHARANJOT SINGH NANDA
(PRESIDING OFFICER)
Sd/-
(SHRI JUGAL KISHORE MOHAPATRA, I.A.S.
(RETD.)) (GOVERNMENT NOMINEE)
Sd/-
(CA. CHANDRASHEKHAR VASANT CHITALE)
(MEMBER)
DATE: 11.02.2025
PLACE: New Delhi
