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ICAI passes order against three EY affiliates, retired partner for professional misconduct

The disciplinary committee of ICAI has directed the firms and the individual partner concerned to immediately stop existing arrangements with the multinational entities, as it is circumventing the provisions of the Chartered Accountants Act, 1949.

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ICAI passes order against three EY affiliates for professional misconduct

ICAI passes order against three EY affiliates for professional misconduct
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On an average, 300-400 cases concluded every year by disciplinary mechanism, says ICAI President

Declines to comment on recent orders but says body has a very robust disciplinary mechanism

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ICAI lens on big four affiliates over their association with global entities

The EY affiliate firm, SRBC & Co LLP spokesperson told ET that they will explore all issues raised in the order and explore options under the law including the appeal process. However, the problem is that the appellate tribunal, which is supposed to hear appeals, has not yet been set up by the institute. "The order focused only on procedural matters, not audit quality, and will not affect the future of the audit firms in any way" said a leading lawyer who works closely with Big Four firms on regulatory matters. Deloitte, KPMG, and PwC did not respond to the ET questionnaire on the matter.

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