The Hindu Business Line : Networking not working with CAs

Networking has not clicked with the members, contradictory to the expectations of the ICAI. Members are yet to change their mindset. MR SUNIL TALATI, PRESIDENT, ICAI

MR SUNIL TALATI, President, ICAI.

Meet the new president of the Institute of Chartered Accountants of India (ICAI), Mr Sunil Talati, who assumed charge last week. One of his first tasks was to announce `Mission Statement 2007'. Top on his list of priorities is `support to the Government in policy formulation'.

How is the relationship between the Institute and the Government departments? "At its very best and at the peak," says the prez, when Business Line posed him this question recently. "Government departments, particularly, the Ministry of Company Affairs, the Ministry of Finance, the Ministry of Education and the Ministry of Commerce have been extremely proactive and have involved us in number of areas not only in policymaking and decision formulation, but also to see how best they can utilise the services of CAs (chartered accountants) in government departments," he elaborates. Here is more, from Mr Talati.

What are your other priorities for the year?

Ensuring tax compliance, transparency in government accounting, formulation of standards for local bodies, formulation of newer accounting and auditing standards, infrastructure development of the ICAI and its branches, strengthening HRD (human resource development) in the ICAI, consolidation of CA firms and networking, involvement of members in industry in ICAI's activities, brand building, popularising the CA curriculum, and talent spotting.

There are 40 members in the Institute's Central Council, instead of the previous 30. Does an enlarged council pose its own challenges?

Certainly not. On the contrary, with a larger Council, there will be involved participation with diverse views from various corners of the country, and representing additional States. With disciplinary mechanism to be gradually handled by a different authority, the larger Council will be in a position to focus on various issues pertaining to the profession, professional development and on the ICAI as a whole, and enlargement of services by CAs at large.

On the progress in dealing with disciplinary cases against CAs.

As vice-president in charge of disciplinary proceedings, I disposed of a record number of 100 cases. No doubt, there are many complaint and information cases pending. But with new disciplinary mechanism coming into force, most of the pending cases will be dealt with expeditiously.

The ICAI has been focussing on infrastructure.

Infrastructure development is on in 114 branches and five regions. It will include not only building, but also good working atmosphere, in the form of exquisite furniture, state-of-the-art information technology systems and other communication facilities such as teleconferencing, laptops and video screens.

On the funds position of the ICAI and investments.

As on date, the funds position of the ICAI is quite satisfactory and sufficient for the big projects coming up in the form of Centres of Excellence in Hyderabad, Mumbai and Delhi, within the next 12 months. The Institute's investments are in secured deposits, and we are also looking at how the revenue of the ICAI can be further enhanced to meet the demand for additional facilities to be provided to members and students.

How can practising members increase their revenues?

Chartered accountants should consolidate their practice and also spread their wings to various other areas of service. If this is done and value-added services are provided by practising CAs, then by next year, we will see a remarkable rise in the revenue of practising chartered accountants.

What is the status of VIP (Virtual Institute Project)?

The initial implementation of VIP is over. But information technology is changing fast, and so are we. As mentioned in my Mission Statement, I want the ICAI to be techno-savvy. Student application , declaration of results, applying for membership, payment of annual fees, CPE (continuing professional education) attendance, will all be made online. This is a continuous exercise and we are very focussed on this.

We have been hearing about networking among CA firms. How successful has the concept been? Is LLP (limited liability partnership) the replacement?

Networking, let me honestly admit, has not clicked with the members, contradictory to the expectations of the ICAI.

Members are yet to change their mindset. This is a transitional period and doubts of the members are not unjustified. But now with the Council members at all forums requesting members to change their mindset, and the possibility of the LLP Bill becoming an Act soon, CAs may in all probability join hands faster and in larger numbers.

Do government nominees on the Central Council actively participate in the proceedings?

Certainly. The participation, the involvement and the dedication of government nominees in the last Council was of extraordinary and significant. The nomination of member from industrywill certainly add value to the Council's approach, particularly with regard to letting the members know the expectations of industrialists and businessmen.

D. M.

More Stories on : Interview | Accountancy

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
RBI attacks inflation

Budget: Making it less taxing

Of business confidence and nuclear strikes

Transfer pricing presents substantial tax planning opportunities

`Self-regulation is a dominant theme of the new company law'

From `all-talk' to `a business model'

ICWAI doing a SWOT of cost audit

History on old wheels

Networking not working with CAs

Water disputes