DK
(SERVICE)
(121 Points)
Replied 16 December 2011
THE CHARTERED ACCOUNTANTS (AMENDMENT) BILL, 2010.
AND
THE COST AND WORKS ACCOUNTANTS (AMENDMENT)
BILL, 2010
AND
THE COMPANY SECRETARIES (AMENDMENT) BILL, 2010.
THE MINISTER OF CORPORATE AFFAIRS (SHRI M. VEERAPPA
MOILY): Sir, I beg to move:
That the Bill further to amend the Chartered Accountants Act,
1949, be taken into consideration.
*Not recorded.Sir, I also move:
That the Bill further to amend the Cost and Works
Accountants
Act, 1959, be taken into consideration.
Sir, I also move:
That the Bill further to amend the Company Secretaries Act,
1980, be taken into consideration.
Sir, all the three Bills, I hope, will be taken up together for
consideration. Ultimately, it is only to amend Sub-Section (2) of
Section (2) of all the three Acts.
These are all professional institutes. In fact, in the year 2008,
the Limited Liability Partnership Act, was enacted. So, this is an
enabling clause for the entities to get the legal status which will
combine the flexibility of a partnership with the benefits of limited
liability enjoyed by company.
With the services sector in the country growing in a vibrant
way and we are creating niche out of it for ourselves, particularly in
the services sector, there is a need to provide space with an
increasingly significant role in the Indian economy and the high
quality of professionals to respond to the global aspirations. (CONTD. BY USY "1U")
-NBR-USY/SC/1U/12.35
SHRI M. VEERAPPA MOILY (CONTD.): This is how all these ideas
had been mooted as far back as 2002 when Naresh Chandra
Committee gave its report. The Bill is very simple. It is only for the
incorporation of this amendment. But, at the same time, this is
going to create a magnificent role to be played by all the services
under these three professional institutes. I would like the House to
appreciate the significant move by providing a greater and rapid
space for these three professional institutes.
(Ends)
The questions were proposed.
THE VICE-CHAIRMAN (DR. E.M. SUDARSANA NATCHIAPPAN):
Motions for consideration of the Chartered Accountants
(Amendment) Bill, 2010; The Cost and Works Accountants
(Amendment) Bill, 2010; and the Company Secretaries
(Amendment) Bill, 2010, are now open for discussion.
Now, I request Shri S.S. Ahluwalia to make his observations.
Ǜी एस.एस. ु अहलवािलया (झारखं ड) : उपसभा्यष महोदय, मȅ The
Chartered Accountants (Amendment) Bill, 2010; The Cost and
Works Accountants (Amendment) Bill, 2010; and The Company Secretaries (Amendment) Bill, 2010 का समथ्न करने े क िलए खड़ा
हुआ हूं। महोदय, समथ्न करने े क साथ-साथ बहुत सारेक्सन् ȅह, िजनके
संबंध मȂ मȅसरकार को अवगत कराना चाहता हूं। जब 2001 मȂ एनरॉन
घोटाला हुआ और उसके साथ-साथ अमेिरका मȂ वÊड्कॉम ्वेÎट और
्लोबल ्ॉंसग, इन बड़ी-बड़ी कÇपिनयȗ मȂ घोटाले हुए, िजसमȂ चाटȃड
अकाउटं Ȃट की कÇपिनयां या उनके फाइनȂिशयल क्सÊटȂ्स इ्वॉÊव थे,
उनमȂयेघटनाएं घटं, उस वƪ सारी दुिनया मȂिरफॉम् का दौर शुू हुआ
और उसको मLjेनज़र रखतेहुए भारत सरकार नेभी 21 अगÎत 2002 को,
िडपाट्मȂट ऑफ कÇपनी अफेयस् नेǛी नरेश च््ा े क नेतृ्व मȂएक हाई
लैवल कमेटी ै बठाई। नरेश च््ा कमेटी नेबहुत सारेिरकमȂडेशंस िदए। उन
िरकमȂडेशंस े क आधार पर आगेजे.जे.ईरानी कमेटी, Ǜॉफ कमेटी - येसब
कमेिटयां ै बठं और हमारा जो 1956 का कÇपनीज़ ए्ट ै ह, उसको पिरव्तत
करने े क िलए सोचा गया। वह िवधेयक यहां पर इं्ोǹूज़ िकया गया,
Îटȅंडग कमेटी मȂगया, Îटȅंडग कमेटी नेअपनी िरपोट्सिÅमट की। इसी बीच
हमने महसूस िकया िक कÇपनीज़ ए्ट मȂकई Ģावधान ȅह, एक िलिमटेड
कÇपनी ै ह, एक िलÎटेड कÇपनी ै ह, एक पिÅलक िलिमटेड कÇपनी ै ह, एक
Ģाइवेट िलिमटेड कÇपनी ै ह और उसके बाद पाट्नरिशप कÇपनी और
Ģोपराइटरिशप कÇपनी ै ह। लेिकन पाट्नरिशप कÇपनी का ऐ्ट बहुत पुराना
ै ह और अगर िवदेशी पाट्नर रखना होता ै ह तो उसके बारे मȂबहुत सारी
बाधाएं आती ȅह। Ģोपराइटरिशप कÇपनी आिहÎता-आिहÎता हमारेमुÊक मȂ
कम होती गयी ्यȗिक जैसेजैसे ै ट्स े क, िडस्लोज़स् े क और िरट्स् े किरफॉÇस् आए, ै वसे- ै वसे Ģोपराइटरिशप वाली कÇपनी की िजÇमेदारी एक
आदमी े क ऊपर पड़नेलगी, हमारेयहां जो ्वाइंट ै फिमली कॉ्सेÃट था, वह
ख्म होनेलगा। तब यह जो नया कॉ्सेÃट ै ह, Limited Liability Partnership
Company, इसको 2008 मȂहमनेएक नया आयाम िदया और वह िवधेयक
2008 मȂपास हुआ जो 2009 मȂनोिटफाई हुआ। िक्तुहमनेपाया िक जो रोल
कÇपनी से े ्टरी का ै ह, Section 383(A) of Companies Act, 1956...
(1डÅÊयू-एमसीएम पर ्मश:)
MCM-PK/1W/12-40
Ǜी एस0एस0 ु अहलवािलया (्मागत) : िजस कÇपनी का पेडअप शेयर
े किपटल दो करोड़ या उससे ्यादा ै ह, वहां पर कÇपलसरी ै ह िक एक
कÇपनी सै े ्टरी होना चािहए। ै वसेभी सै्शन -233(बी) और 209(1डी) े क
तहत कॉÎट एकाउटं Ȃट होनेचािहए, ्यȗिक जब हम िडिवडȂड देते ȅह, जब
हम Ģॉिफट लॉस की बात करते ȅह तो उसका सा्टिफकेशन, िकसको िकतना
Ģोिफट हुआ, कॉÎट ऑफ Ģोड्शन ्या था और अÊटीमेटली उसको
िकतनी Ģाइस पर सेल िकया, इन सारी चीजȗ पर िवचार करने े क िलए भी
कॉÎट एंड व्स्एकाउटं Ȃट की जूरत पड़ती ै ह। इसका भी Ģावधान कÇपनी
ऐ्ट मȂ ै ह। उसी कÇपनी ऐ्ट मȂसै्शन -224(1) े क तहत एक चाट्ड्
एकाउटं Ȃट का सा्टिफकेट चािहए, िकसी भी िरटन्को फाइल करने े क िलए।
अभी िपछलेिदनȗ एम0सी0ए0 नेइ्हं िरफॉÇस् को मLjेनजर रखतेहुए एक
स्यु्लर जारी िकया, जहां पर उ्हȗनेकहा िक ICSI, ICWAI or ICAI अथ्तचाट्ड्एकाउटं Ȃट, कÇपनी सै े ्टरी और कॉÎट एंड व्स्एकाउटं Ȃट, येअगर
िकसी चीज को स्टफाई करते ȅह ऑनलाइन े क िलए िडिजटल िरटन्फाइल
करने े क िलए, तो मा्य होगा। महोदय, जब हमनेमहसूस िकया िक आज
िलिमटेड लॉइिÅलटी पाट्नरिशप कÇपनी, इसमȂभी एलाउ की जाए िक इसमȂ
एक चाट्ड्एकाउटं Ȃट अपनेसाथ कÇपनी सै े ्टरी को भी इंवोÊव कर लेऔर
एक कॉÎट एंड व्स्को भी इंवोÊव कर ले, लेिकन आज तक वह सÇभव नहं
ै ह। िक्तु आज यह िलिमटेड लॉइिÅलटी पाट्नरिशप फम् बनने से,
एल0एल0पी0 कÇपनी बननेसे यह सÇभव हो सकेगा। िसफ् भारत े क िलए
नहं, िवदेश का कोई चाट्ड् एकाउटं Ȃट या फाइनȂिशयल कं सलटȂट अगर
हमारे ICSI, ICWAI or ICAI े क तहत रिजÎटड्हो सकता ै ह तो ै वसेलोग भी
हमारेसाथ कं सलटȂट बन सकȂगे। यह एक अ्छी पहल ै ह और हमारेलोग भी
बाहर जा सकȂगे, ्यȗिक हमनेदेखा िक खास करके कॉÎट एंड व्स् वालȗ
को बहुत असुिवधा हुई, जब वे चाट्ड् इंÎटीǷूट ऑफ मेनेजमȂट
एकाउटं Ȃ्स, CIMA लंदन े क साथ अपना ए्ीमȂट करने जा रहे थे, तो
उ्हȗनेकहा िक हम व्स्एकाउटं Ȃट का मतलब नहं समझ रहे ȅह। What is
the meaning of Works Accountant?
महोदय, कॉÎट एकाउटं Ȃट एंड व्स्एकाउटं Ȃट का कं सेÃट हमारेदेश
मȂतब आया, जब हमारे यहां पिÅलक सै्टर इंडÎ्ी का दौर हुआ, जहां
टाइम एंड मोशन िडपाट्मȂट एक वक् की लेबर, िकतनेऑवस्, िकस चीज
को Ģोǹूज करने े क िलए िकतना समय लगता ै ह, तािक हम अÊटीमेट
िफिनश Ģोड्ट को या कॉÎट को एनालाइज कर सकȂ और तब हम उसकीĢाइस िफ्स कर सकȂ, इन सारी चीजȗ को मLjेनजर रखकर िकया गया था।
िक्तुआिहÎता-आिहÎता िडस-इंवेÎटमȂट होने े क बाद इनका ICWAI वालȗ
का काम भी बंद हो गया। इनको अब नए राÎतेढूंढनेकी जूरत थी। जो
CIMA लंदन ै ह, उसके साथ और दूसरेदेशȗ, अथ्त बगल े क हमारेपड़ौसी
मुÊक बंगला देश, पािकÎतान और Ǜीलंका ने अपने िवधेयकȗ मȂसंशोधन
करके, अपनेकानूनȗ मȂसंशोधन करके उनकी मȂबरिशप ली ै ह। िक्तुहमारे
यहां से पास िकए हुए ब्चे वहां जाकर काम नहं कर सकते या उनकी
कÇपनी े क िलए काम नहं कर सकते। तो इसिलए यह जूरी था िक हम एक
ऐसा संशोधन लाएं और लाकर उनको भी पाट्नर बना सकȂ या उनकी
मा्यता ले Ȃ सक, उनकी मेÇबरिशप लेसकȂ, उनसेएिफिलएट हो सकȂ और
हम अपना काय्आगेकर सकȂ। महोदय, इ्ही चीजȗ को मLjेनजर रखा गया,
िक्तुजो सबसेबड़ा कं सन् ै ह, वह खतरा ै ह और महोदय आप अ्छी तरह से
जानतेहȗगे िक िपछलेिदनȗ स्यम घोटाला हुआ, और स्यम घोटाला मȂ
Ģाइस वाटर हाउस और यही Ģाइस वाटर हाउस ्लोबल ्Îट बȅक मȂभी जब
े कतन पािरख का Îकेम हुआ, उसमȂभी जो उनके फाइनȂिशयल एडवाइजर
थे, िजनके सा्टिफकेट पर उनके आई0टी0ओ0 मȂदÎतखत होते ȅह, Ģाइस
वाटर हाउस े क बारेमȂ, वेइंवॉÊवड थे।
(1X/gs पर ्मश:)
PK-GS/12.45/1X/ Ǜी एस.एस. ु अहलवािलया (्मागत): िफर स्यम कÇÃयूटर और Price
Ernst & Young Maytas का े कस हुआ। Satyam और Maytas े क बारेमȂ,
मुझेबड़ा आÌचय्होता ै ह िक Satyam को आप उलटा करके िलख दȂ, तो वह
Maytas बन जाता ै ह, पर्तुहमारेिकसी आर.ओ.सी. वालेको नहं समझ
आया िक यह इसी की एक शेल कÇपनी ै ह, जो यह दूसरेनाम सेचला रही ै ह,
एक Satyam ै ह और एक Maytas ै ह, दोनȗ कÇपनी एक ही ȅह और एक ही
पिरवार की ȅह। दोनȗ मȂदो चाट्ड्अकाउटं Ȃट फÇस्, एक Price Waterhouse
और दूसरी Ernst and Young इ्वाÊव थी। यहां तक िक Price
Waterhouse को स्यम कÇÃयूटर मȂ ICAI Disciplinary Committee ने
काफी Ģोिसंडग करनेकी कोिशश की, पर्तुजो इनके इंिडयन पाट्नर थे,
इंिडयन चाट्ड् एकाउटं Ȃट थे, उ्हं े क िखलाफ काय्वाही हो सकी, कÇपनी
े क िखलाफ काय्वाही नहं हो सकी। पर्तुयह जो LLP आ रहा ै ह, इस LLP
े क मा्यम सेĢाइस वाटर, Ernst and Young, McKenzie, KPMG येसारे
पाट्नर बन जायȂगे। LLP े क मा्यम सेयेमािलक बन जायȂगे, िहÎसेदार बन
जायȂगे, इसके िलए precautionary measures सरकार ्या लेगी ? आज
हमारेकानून मȂऐसा कोई Ģावधान नहं ै ह िक िजसके कारण, अभी जैसे,
“The Institute has asked the Ministry of Corporate Affairs,
Government of India to grant additional power so that they may
proceed against firms whose partners or employees are frequent
offenders.”कÇपिनयां ये ही ȅह, िक्तुउनका जो एÇपलाई यहां पर चाट्ड् अकाउटं Ȃट
रिजÎटड् ै ह या जो कÇपनी से े ्टरी यहां पर रिजÎटड् ै ह, उसके िखलाफ तो
काय्वाही हो जाती ै ह, लेिकन जो िवदेश मȂरिजÎटड् ै ह, उसके िखलाफ
काय्वाही नहं होती या कÇपनी े क िखलाफ काय्वाही नहं होती ै ह। ये
कÇपिनयां इस ूट सेपाट्नर बन जायȂगी, मािलकाना हक ĢाÃत कर लȂगी।
हमȂ सोचना पड़ेगा िक एक तरफ तो हम ये बेिनिफट यहां े क चाट्ड
अकाउटं Ȃट को, यहां े क लोगȗ को देरहे ȅह िक बाहर जाकर, दूसरेमुÊकȗ मȂ
जाकर एल.एल.पी. मȂ िहÎसेदारी कर सकȂ और िलिमटेड लायिबलटी
पाट्नरिशप कर सकȂ और वहां े क लोग यहां आ सकȂ। जब भी कोई फॉरेन
डायरे्ट इ्वेÎटमȂट आता ै ह या एफआईआई आती ै ह, तो वह अपनेसाथ
अपनेफाइनȂिशयल कं सÊटȂट को लाना चाहती ै ह, पर्तुहमारेयहां इसके
िलए Ģावधान नहं ै ह। यह बड़ेआÌचय्की बात ै ह िक कभी हम नोिटिफकेशन
पढ़ते ȅह िक हमने Chartered Accountant Firms of Mauritius को अलाऊ
िकया हुआ ै ह। अब मॉरीशस े क बारे मȂ, Mauritius overseas corporate
bodies े क बारेमȂ, इस सदन मȂकई बार चच् हुई, Îकैम मȂचच् हुई िक वहां
शेल कÇपिनयां ȅह और मुझे नहं लगता ै ह िक मॉरीशस मȂ कोई चाट्ड्
अकाउटं Ȃट इंÎटीǷुशन ै ह, जहां सेलोग पास करके अ्छेऔर भलेचाट्ड्
अकाउटं Ȃट बन रहे ȅह। इस ूट सेभी लोग आयȂगे। े इसक बारे मȂसरकार
िकतनी संवेदनशील ै ह, िकतनी जागूक ै ह और उस पर ्या अं ुकश लगाने
जा रही ै ह, उसके बारेमȂअगर सरकार सदन को बतायेगी, तो ृ कपा होगी। महोदय, यह बहुत िलिमटेड िबल ै ह। इसमȂमांग जूर की गई थी िक
Cost and Works Accountant का नाम Cost and Management
Accountant कर िदया जाए। इस पर बहुत चच् हुई और हम लोगȗ नेइसके
बारेमȂबार-बार जाननेकी कोिशश की । हमȂपूरी दुिनया मȂअकाउटं Ȃट या
चाट्ड् अकाउटं Ȃट की डेिफनेशन तो िमल जाती ै ह, हमȂ फाइनȂिशयल
अकाउटं Ȃट की डेिफनेशन और नाम तो िमल जाता ै ह, लेिकन मैनेजमȂट
अकाउटं Ȃट की डेिफनेशन कहं नहं िमलती ै ह। पूरी दुिनया मȂकहं मैनेजमȂट
अकाउटं Ȃट की डेिफनेशन नहं ै ह इसिलए िवधेयक का नाम यह नहं हो सका।
दूसरा, कÇपनी से े ्टरी वालेचाहतेथेिक उनका नाम चाट्ड् से े ्टरी पड़
जाए। वह भी संभव नहं हो सका, उसका कारण ै ह िक चाट्ड् से े ्टरी जब
पहलेिĤिटश इंिडया यहां पर थी, जब यहां पर िĤिटश का राज़ था, तो चाट्र
कहा जाता था, पर्तुउसके बाद जब हमारा कÇपनीज़ ए्ट पास हुआ था तो
उसमȂपिरव्तन िकया गया था, इसिलए इसके औिच्य को नहं समझा गया।
मȅयही कहतेहुए, इस िबल का समथ्न करता हूं। साथ ही साथ यह भी कहता
हूं िक हमारी कं ्ी मȂकरीब 8 लाख रिजÎटड्कÇपिनयां ै ह, िक्तुहमारेयहां
कÇपनी से े ्टरी िसफ् 21836 ȅह।
(1Y/ASC पर जारी)
1y/12.50/asc-skc
Ǜी एस.एस. ु अहलवािलया (्मागत): जब Registered Company
Secretary 21,836 ȅह तो आप समझ सकते ȅह िक हम िकतने लोगȗ से
िकतनी कÇपिनयȗ का काम करवा रहे ȅह। हमारी country मȂ Chartered Accountants िसफ् 1,61,516 ȅह, जबिक 8 लाख कÇपिनयां ȅह। As per law
हमȂ Section 224(1) of The Companies Act े क तहत Chartered
Accountants Certificate की जूरत पड़ती ै ह; उन कÇपिनयȗ मȂहम एक
Chartered Accountant से िकतना काम करवाते ȅह। यही कारण ै ह जब
date of return का समय होता ै ह, उस समय उनके ऊपर बहुत ्यादा दबाव
होता ै ह और वेकाम करनेमȂअसमथ् रहते ै ह तथा काफी असुिवधाओं का
सामना करते ȅह। यही कारण ै ह SEBI मȂभी जो Karbi company मȂघोटाला
हुआ ै ह, उनके internal auditor, Haribhakti & Company, को उ्हȗने
punish िकया। इन सभी चीजȗ का यही कारण ै ह िक उनके ऊपर ै Ģशर बहुत
्यादा ै ह। हमȂ Indian Chartered Accountants Institute मȂदािखला लेने
वालȗ की सं्या बढ़ानी चािहए, Company Secretaries की सं्या बढ़ानी
चािहए। से्टस् िडस-इ्वेÎट होने जा रहे ै ह, Ģाइवेट से्टस् आ रहे ȅह,
इसिलए उनमȂ Cost and Works Accountants का उपयोग नहं हो रहा ै ह।
इस सरकार नेअभी एक National Manufacturing Policy िड्लेयर की ै ह।
National Manufacturing Policy िड्लेयर होने े क साथ-साथ cost benefit
या cost calculation े क िलए Cost and Works Accountants की जूरत
पड़ेगी। इसिलए उनकी सं्या भी बढ़नी चािहए, तािक हम सही तरीके से
अपनी इंडÎ्ी को चला सकȂ, disclosure सही हो े सक, transparency सही
हो सके और येलोग भी अपनेकाम को ्याय देसकȂ। इ्हं शÅदȗ े क साथ मȅ
इस िबल का समथ्न करतेहुए, अपनी बात समाÃत करता हूं।
(समाÃत) DR. BHALCHANDRA MUNGEKAR (NOMINATED): Sir, I support
all the three Bills, which are integrated, inter-related and consistent
with each other, as far as their content is concerned. This is a
most timely measure that the Government is undertaking. Since
1991 the Indian economy has been globalizing and getting more and
more integrated into the world economy. The structure of the
economy, the dimensions of the economy and the relationships
among different financial and industrial entities are also undergoing
a change. That is why, legislations in a country prevailing upon at a
particular point of time also need to undergo change in order to
accommodate the requirements of changing circumstances. That is
why I fully support all the three Bills – The Chartered Accountant
(Amendment) Bill, 2010, The Cost and Works Accountants
(Amendment) Bill, 2010, and The Company Secretaries
(Amendment) Bill, 2010.
Now, there is nothing substantial here which needs me to
deal with extensively. In the beginning, I must congratulate Shri
Ahluwalia for most of the points that he has mentioned. I fully
support them and I am inclined to agree with what he has said.
Since its beginning, the Chartered Accountants service has been a
highly professional service and that is why the results of the Chartered Accountants examinations never exceeded six per cent.
He has just now mentioned the statistics. Taking into account the
number of legal, industrial concerns and companies, the number of
Chartered accountants and the number of Secretaries is not only
inadequate but grossly inadequate. Now, under these
circumstances, there is always a tendency on the part of the
players in the market to enjoy the scarcity rate. Now, this whole
body fully understands what is meant by ‘scarcity rate’. In a
particular locality, if 15 years ago there were ten MBBS Doctors and
one Dental Surgeon, now there are ten Dental Surgeons and one
MBBS Doctor. After liberalization and privatization of education,
practically every medical college, whether required or not, has been
giving admissions to Dental Surgeons, and that is why 50 per cent
of the Dental Surgeons are on the footpath, just like Notaries go to
the High Court and get affidavits.
(contd. at 1z/hk)
HK/1z/12.55
DR. BHALCHANDRA MUNGEKAR (CONTD.): That is why from this
point of view, when the economy is growing at the rate of 8 to 8.5
per cent, the structure of the economy is undergoing a change.
The share of the services sector is increasing alarmingly even much higher than the contribution of the manufacturing sector or industry
to the GDP. We must sufficiently increase the number of both
Company Secretaries and the Chartered Accountants. But this is
the quantity dimension of Chartered Accountants. The most
important thing is the professional ethics of these professionals.
We have been discussing, time and again, black money in the
economy. We are talking about bringing back black money to the
country. Estimates are very much different. But we scarcely
discuss -- and sometimes it is painful to me -- how the black
money is generated and that generation of black money is
substantially related to the professional management of the
companies and the company entities. For example, the owners of
the company do not know how to manipulate the transactions. It is
depending upon the acumen and the intelligence of the professional
bodies to guide the firms and the concerns as to how to transfer
money from one account to another account undertaking all the
anomalies. And it is in this context, when I see the Economic
Survey of India, I find that the maximum Foreign Institutional
Investment in India is coming from Mauritius. What is the size of
Mauritius? That is why it is quite possible that money is illegally
taken by some entities to foreign countries with the advice and superb consultancy with the Chartered Accountants and Company
Secretaries and that money is legally brought in the form of
Financial Institutional Investment on which today more than 50 per
cent of the Stock Exchange functioning in this country is
depending. That is why along with the quantity of Chartered
Accountants and Company Secretaries, the professional ethics in
this country, unfortunately, are declining very fast and sometimes I
feel that it is going to the point beyond no repairs. The second
point is regarding precautionary measures, changing the name of
the Act and applying the Limited Liability Partnership Act provisions
to this Act. In a country where professional ethics decline or is
lacking, in that country it is possible to get higher rate of growth but
it is impossible to make growth inclusive. It is from this point of
view when we are discussing the issues of inclusive growth, all
these things are related to inclusive growth. And I just mentioned
about scarcity rate. There is a tendency on the part of people --
we call it 'oligopoly' in Economics; we call it sometimes 'monopoly'
-- to form cartel. Just now Shri Ahluwaliaji mentioned that number
of Chartered Accountants and Chartered Accountant firms are
overburdened with the jobs which they are undertaking from
different firms. But in the process what is happening is that these are not independent jobs that they are doing. When ten firms are
taking 100 companies jobs, in the process they are forming the
cartel, and, in that cartel, it is possible to exploit the profit beyond
range; that is called the scarcity rate. I appreciate all these
amendments. It is also necessary to change the nomenclature. As
it was earlier mentioned, these three Bills will try to remove the
anomalies and the ambiguities of terms 'firm', 'partner',
'partnership, and 'sole proprietorship'. Most of the time when I
was teaching -- let me share with you very, very briefly and in a
lighter vein -- Labour Economics in the University of Mumbai, I
found that there were several Acts but there was no one standard
definition of 'workman'. We are discussing bonus; we are
discussing minimum wages; we are discussing standard wages,
but we don't have standard definition even today of 'workman'.
(Contd. by 2a/KSK)
DR. BHALCHANDRA MUNGEKAR (CONTD): Now, these kinds of
anomalies are creating confusion and this confusion is utilised by
the vested interests in order to seek the scarcity rate. That is why, I
support this Bill and, at the same time, I suggest that we should try
to bring the legislation which will be consistent with the
modernisation of the economy and also will be dealing with the
professional ethics and transparency. Thank you, Sir.
(Ends)
(MR. DEPUTY CHAIRMAN in the Chair)
MR. DEPUTY CHAIRMAN: Now, Shri Narendra Kumar Kashyap.
Ǜी Ĥजेश पाठक : सर, उनकी जगह मȅबोलना चाहता हँू।
Ǜी उपसभापित : ठीक ै ह।
Ǜी Ĥजेश पाठक (उDŽर Ģदेश) : ध्यवाद सर। आपनेमुझेबहुत ही मह्वपूण्
िबल पर बोलनेका मौका िदया।
MR. DEPUTY CHAIRMAN: Hon. Members, it is now one o’clock.
We will complete this Bill before 1.30 p.m. At 1.30 p.m., we will
adjourn for lunch, and after lunch, we will take up the Appropriation
(No.4) Bill, 2011.
Ǜी Ĥजेश पाठक : सर, The Chartered Accountants (Amendment)
Bill, 2010; The Cost and Works Accountants (Amendment) Bill, 2010 and The Company Secretaries (Amendment) Bill, 2010, ये
तीनȗ िबल सूÑम हो सकते ȅह, लेिकन अपनी भारतीय अथ्ËयवÎथा े क िलए
बहुत ही मह्वपूण्िबल ȅह। अभी हमारेसािथयȗ नेअपनेिवचार Ëय्DŽ िकए।
उ्हȗने अपने िवचार Ëयƪ करने े क दौरान यह बात रखी िक भारतीय
अथ्ËयवÎथा मȂचाट्ड् एकाउटं Ȃ्स, कं पनी से े ्टरीज़ और कॉÎट एंड व्स्
एकाउटं Ȃ्स िकस तरह सेभूिमका िनभा रहे ȅह। अभी वत्मान पिरृÌय मȂहम
लोगȗ े क समष अ्सर कालेधन यानी Åलैक मनी की चच् आती ै ह। कालेधन
को सफ़ेद धन ै कसेबनाया जाए और कं पिनयȗ को धन मु ै हया करानेमȂहम
इन चाट्ड् एकाउटं Ȃ्स की भूिमका देखते ȅह। अभी हाल ही मȂआपनेदेखा,
मारीशस की भी चच् हुई और उन देशȗ की भी चच् हुई, िजनको tax haven
े क नाम सेजाना जाता ै ह, िक भारतीय अथ्ËयवÎथा को चौपट करनेमȂिकस
ढंग सेइन संÎथाओं का योगदान रहा ै ह। इन अमȂडमȂ्स े क साथ हमारा यह
भी सुझाव ै ह िक हम इनको िकस ढंग सेिविनयिमत कर सकते ȅह, िजससे
वाÎतव मȂजो नंबर एक का धन ै ह, नंबर एक की मनी ै ह, उसी का उपयोग हो
पाए और कालेधन का उपयोग िवदेशȗ े क जिरए हवाला े क जिरए न होने
पाए। सर, इन संशोधनȗ े क जिरए हम अपनेदेश की फमș को िवदेश मȂकाम
करनेकी अनुमित देनेवाले ȅह तथा िवदेश की फमș को अपनेदेश मȂकाम
करनेकी अनुमित े दनेवाले ȅह। जब िवदेशी उǏोगपित हमारेदेश मȂिकसी
उǏोग मȂअपना धन लगानेका काम करते ȅह, तो उनकी मंशा होती ै ह िक वे
इस देश े क अ्दर अपनेकाम े क साथ अपनेिवDŽीय सलाहकार जोड़नेका
काम करȂ। इसी को अनुमित देने े क िलए इन िबÊस को लानेकी जूरत पड़ीै ह। माननीय उपसभापित महोदय, हम लोग इन िबÊस का समथ्न करने े क
िलए खड़ेजूर हुए ȅह, लेिकन हमारेजो मह्वपूण् सुझाव ȅह, उन पर भी
्यान देने की आवÌयकता ै ह िक इन कÇपिनयȗ े क मा्यम से ये कÇपनी
से े ्टरीज़, कॉÎट एकाउटं Ȃ्स और चाट्ड् एकाउटं Ȃ्स, जो Åलैक मनी को
regularize करनेका काम कर रहे ȅह, हमȂउसेभी रोकनेकी आवÌयकता ै ह।
ध्यवाद। (समाÃत)
SHRI T.K. RANGARAJAN (TAMIL NADU): Sir, the Government is
bringing in these three Bills, namely, the Chartered Accountants
(Amendment) Bill, 2010, the Cost and Works Accountants
(Amendment) Bill, 2010, and the Company Secretaries
(Amendment) Bill, 2010. The idea behind these amendment Bills is
to enable them to form Limited Liability Partnership firms.
In the case of ICWAI, the name has been changed to the
Institute of Cost and Management Accountants, which may enable
the Institute to go for Mutual Recognition Agreement. My only
apprehension is that bringing them under the Limited Liability
Partnership will help the black sheep in the profession. The
amendments will be fodder for the honest professionals of these
Institutes.
(continued by 2b – gsp)GSP-SCH-1.05-2B
SHRI T.K. RANGARAJAN (CONTD.): A few words have been
spoken by the hon. Member from the Congress Party about ethics
of this job. These institutes, all along these years, have been functioning
under the regime of unlimited partnership only, and, in my opinion,
the unlimited liability partnership is not a stumbling block for the
development of these institutes. They are also functioning very
effectively.
Sir, when it comes to amending the Bill pertaining to the
Institute of Chartered Accountants of India, I would like to bring to
the knowledge of the august House, the serious implications, the
limited liability Bill will bring. The serious implications arise because
of the policy of the present Government to open the doors for
foreign firms performing accounting services. These companies
sneaked into India under the garb of Management Consulting Firms
and took over surrogate C.A. firms for their nefarious games. The
Enron collapsed. The Global Trust Bank failed. The Satyam
Computers fudged the accounts, and, recently, a mining company
belonging to * was found doing illegal mining.
------------------------------------------------------------------------------------
* Expunged as ordered by the Chair. MR. DEPUTY CHAIRMAN: Don’t take the name. (Interruptions)
SHRI T.K. RANGARAJAN: All these are audited by the surrogate
C.A. firms and are witness to the nefarious games of the foreign
management consulting firms. If you lift the veil, you find the
names of Price Waterhouse, Arthur Andersen, DH & Sells, and,
others. The dominant management consulting firms in the United
States are (a) Price Waterhouse, (2) Ernst and Young, (3)
KPMG, and, (4) Deloitte Haskins and Sells. We have Tri-murti.
We are bringing Char-murti.
They are controlling almost the entire management consulting
in the United States, and, nobody knows as to who are the real
owners of these companies even in the United States. Further,
these companies have their controlling offices in tax havens. This
shows the standard of their audit. Because these companies
cannot do the audit in India directly, they lure a local C.A. firm to be
their surrogate and carry on their nefarious activities. And, when
the ICAI pointed out to these firms that they could not do the
auditing by these surrogate firms, these foreign companies never
cared for the objection raised by the ICAI. These are the
professional ethics, which these companies or firms are having. Sir, in India, the ICAI is a body created by an Act of
Parliament. So, it is under the direct supervision of the Union
Government but in the United States, it is a State subject. Each
State has its own laws. They do not allow our C.A. firms to enter
into their country but they are entering into our country wearing a
different garb and we simply wink over it.
Sir, in the context of these foreign consulting firms luring
Indian audit firms to be the surrogate, don’t you think that the
limited liability Bill will be handy for these foreign firms to lure the
Indian audit firms further easily as their liability is limited now. Sir, in
the entire world, India stands second in the number of Chartered
Accountants, next only to the United States. Even UK does not
have this much of Chartered Accountants. When this is our
strength, why should we kneel before the foreign firms? Where is
the necessity for allowing the foreign management consulting
firms? These firms do not respect the laws of our land.
Numerous letters were written by the ICAI to these foreign firms
seeking the information of audit companies in India, but they never
cared to reply. This is the respect that they give to our Institute,
which is constituted under a statute passed by our Parliament. The remedy you are trying to give by the Limited Liability Bill is like giving
‘crocin’ for cancer.
(Contd. by YSR-2C)
-GSP/YSR/1.10/2C
SHRI T.K. RANGARAJAN (CONTD.): Before introducing Limited
Liability Partnership Firms for the ICAI, I demand that the
Government must call the ICAI to immediately take action on all
surrogate firms operating in India.
Two, pending final action, these firms must be instantly
blacklisted and the Government must ask SEBI to direct listed
companies from changing such tainted auditors.
Three, the Ministry of Corporate Affairs needs to take action
on all multinational accounting firms operating in India as consulting
firms.
Four, the ICAI must be asked to explain why despite the
JPC’s directions it failed to act against Pricewaterhouse Coopers in
the Global Trust Bank case which ultimately led to the Satyam
scandal.
Five, the Reserve Bank must explain why Pricewaterhouse
Coopers is allowed to continue as auditors for the Global Trust
Bank despite the reservation expressed by the JPC. Above all, the Government should review the alternative route
of entry of foreign accounting firms in India in the name of
management consulting firms and the circumvention of the law of
the land taking place directly and indirectly by performing
accounting services by them.
With these words, I conclude and request the Minister to
consider all these issues.
(Ends)
MR. DEPUTY CHAIRMAN: Lunch-break will be there after the Bill
is passed.
SHRI PYARIMOHAN MOHAPATRA (ODISHA): Sir, I will take only
two minutes. A number of issues have already been raised. I agree
with my colleagues on the issue of activities of foreign accounting
firms in India. There is a need to consolidate our accounting firms.
I rise to support these three amending legislations. It would
help in their consolidation. Consolidation is already taking place
because of non-application of Limited Liability Partnership Act,
2008 to these professions. Consolidation was taking place but
slowly. Now this will move faster and, in the process, hopefully,
Indian firms will not be the tail-ender of foreign firms or their agents.
They would be competing with those firms on their own. Having said this, I have some reservations like one of my
previous speakers who mentioned the kind of things our chartered
accountants have been doing. He mentioned Mauritius which is a
very familiar example. Plenty of examples are there in stock
exchange manipulations. Plenty of examples are available to see
what these professions, particularly of chartered accountants, have
done to our national exchequer. Every time you go to file your
income tax, your chartered accountant will tell you how to avoid
paying tax by making a very thin line between tax avoidance and tax
evasion. You pay your taxes. But once you afford a chartered
accountant, he saves your tax in a legal manner. How much the
country loses on this account, unfortunately, has not been
calculated by the Finance Ministry. They ought to have done so.
They ought to do so now and see the dangers which these
combinations possess or these professions possess and how these
professions can be reined in so that the national interest is not
affected.
(Contd. by KR/2D)
KR/2D/1.15
SHRI PYARIMOHAN MOHAPATRA (CONTD.) : One small issue
that I have with the Cost and Works Accountants is about the amendment to the 'cost accountancy' calling them Cost and
Management Accountancy. Management accountancy as a subject
as such is not the preserve syllabi of the cost accountancy. When
somebody passes cost accountancy, it is nobody's case that that
person alone learns management accountancy. Management
accountancy is a much more generic issue which is taught in MBA
(Finance) which also other Chartered Accountants learn, which
also to some extent Company Secretaries learn if you look at the
syllabi of that also. So, I wish that the recommendations of the
Standing Committee to cut out that management from Indian Cost
and Management should have been accepted. I wish that should
have been accepted and also in case of a Company Secretaries the
amendment suggested regarding calling them Chartered
Secretaries should have been accepted. I hope the Government will
think about it in future.
(Ends)
SHRI M. VEERAPPA MOILY: Mr Deputy Chairman, I must
commend the excellent suggestions given by all the distinguished
Members from this side and also from the other side of the House.
I think, this is a great step which has been taken, particularly, to respond to the vibrant service sector. Many, many concerns have
also been expressed. But you also appreciate that all those
concerns cannot be addressed only through these Bills. We have a
comprehensive Companies' Bill, 2011 which has already been
moved in the Lok Sabha. I feel that that Bill will address many of
these problems which have been raised here. Hon. Members have
also referred to certain issues which have to be tackled by the
Reserve Bank of India; and some of the issues have to be tackled
by the SEBI also. There are so many agencies which have to
address those problems. I would like to answer a few queries which
are germane to the question before us. In fact, the limited liability
partnership is always viewed as an alternate corporate business
vehicle that provides the benefits of limited liability. But also allows
its members the flexibility of organizing their internal structure as a
partnership of a mutually arrived agreement. It will enable the
entrepreneurs, professionals, enterprises, corporate bodies, what
kind of services they require. In fact, these are the days where there
is no place for mediocrity. Now, we require excellent services,
world class services. That does not mean that world class services
will come only from abroad. We need to nurture indigenously. We
must enable our professional institutes to develop these. We need to provide them that kind of legal environment so that they can build
themselves up. We have an excellent ladder by which we can
climb. The hon. Deputy Chairman himself is a Chartered
Accountant of the highest repute.
(Continued by 2E)
-KR-TMV-DS/2E/1.20
SHRI M. VEERAPPA MOILY (CONTD.): You will appreciate that
we need to have a lot of capacity building within those professional
institutes or professional bodies. This is only one such vehicle by
which we will allow them to grow and build themselves into legal
entities and to organise themselves. Wherever a deficit is there
that will be definitely and adequately provided for by this kind of a
legal environment. That doesn’t mean that it is the end of the
journey. There are a lot of things which need to be done to build
capacity. Why don’t we have the biggest institutions of the world?
On one occasion, where the hon. Deputy Chairman was also
present, I said that we wanted 100 such legal entities to come up
within five years or ten years. Let us prepare the roadmap which I
have already discussed with all the three Institutes. I said,
“Whatever you require that you must get and I want not less than
100 such magnificent institutes or giants in the world to be produced by India”. We are taking many other steps to create such
entities in the country. We need to have them. We can’t be only
pigmies and we can’t subserve only the foreign companies. I think
that kind of a personality needs to be built and it is only a step in
that direction. In fact, the proposed amendments will enable
professionals of all the three Institutes to provide the other
members of the Institute and also to form partnership with all the
members of either of these recognised Institutes. That flexibility is
now provided. The LLPs are given encouragement in the country,
particularly, after the LLP Act was enacted in 2008. As on 30
th
September, 2011, 6,439 LLPs have registered in the country mainly
in the business service, trading, real estate, rentals, construction
and so on. That is the trend of the world and we can’t disable
these Institutes from building that kind of a legal world entity. Now
these amendments will make the services of these three Institutes
to grow like that and join the big market, particularly, in the LLP
sector.
In fact, a number of things have been stated here by the
distinguished Members. You all know that our senior Member,
Shri Ahluwalia, has given a number of suggestions. He has
expressed a number of concerns. Some of them, as I have already told you, will be definitely addressed by the Company Bill. We have
seen to it and the present amendments, in fact, have provided for
that. One overarching approach which I would like to say is with
regard to the change of name in the case of Institute of Cost and
Works Accountants. They want that management should be
added. We have dealt with that and deliberated on that. We can’t
agree with that. As rightly pointed out by a distinguished senior
Member that the term “management” is generic in nature.
Suppose we add management to the Cost and Works
Accountants, then it should not be assumed that the management
component is excluded from the other Institutes. These are the
legal problems. We tried to examine it and even the Standing
Committee tried to examine it thoroughly, and, ultimately, they
came to the conclusion that the term “management” can’t be
added. But, in fact, we have deleted some words and the rest of it
remained there.
(Contd. by 2F/mks)
MKS-HMS/1.25/2F
SHRI M. VEERAPPA MOILY (CONTD.): Coming to some of the
matters which have been referred to by the distinguished Members,
I would like to say that about the Satyam case, the Institute of Chartered Accountants has already instituted action through the
disciplinary mechanism. You all know that disciplinary mechanism
has to be exercised by the respective Institutes, and on both, the
Satyam and the Global Trust Bank, and also, the Chartered
Accountants and others involved in these banks and in the
companies, the actions were delayed. That is because of many of
the court proceedings. We have been pursuing that. Recently, the
process has, again, started after having the necessary clearance
from the court proceedings. In fact, in Satyam case, maximum
punishment has been awarded to the Chartered Accountants who
are involved in that. So, we are pursuing that matter. In fact, it is
right that multinational companies come as management
consultants and have started functioning through surrogate firms.
They have been doing it. ICAI has examined the violations of these
multinational funds. They were examined by the Ministry, and the
matter has been taken up with the regulatory authorities like RBI,
SEBI etcetera. They are under serious consideration, and we will
try to expedite those proceedings.
Hon. Member T.K. Rangarajan, as you know, has mentioned
about the foreign firms entering into India through surrogate firms.
That I have already answered. He said that real owners are not known; they do not care about the objections raised by the ICAI.
Why not allow foreign firms when, you know, they fail to reply
properly, to account for it? In fact, ICAI has advised to take action
against violations of these. And they have seriously taken it up. I
think, we will definitely address them seriously and take a proper
action.
Our distinguished Member Mohapatra has already asked…
SHRI RUDRA NARAYAN PANY: Mr. Mohapatra!
SHRI M. VEERAPPA MOILY: Mohapatra.
SHRI RUDRA NARAYAN PANY: Mr. Mohapatra.
SHRI M. VEERAPPA MOILY: Mr. Mohapatra. Distinguished
Member Mr. Mohapatra! Am I correct?
MS. MABEL REBELLO: Happy?
SHRI RUDRA NARAYAN PANY: Yes.
SHRI M. VEERAPPA MOILY: …in fact, after independence, why a
colonial name like Chartered should be there. You know, this is a
matter which is left to the Chartered Accountants of India to
consider; I do not want to make further comment on that.
Particularly after the Enron and other global financial scams, the
Government of India has made substantial changes in the
Chartered Accountants Act. The amendments, after getting passed, have permitted even award of a monetary penalty up to
Rs.5 lakhs. Besides the maximum punishment to the personnel
involved in the scam, the action has been taken. Fortunately, very
prompt action taken, particularly on Satyam, has saved a number
of stakeholders.
SHRI S.S. AHLUWALIA: What about the Price Waterhouse?
SHRI M. VEERAPPA MOILY: About the Price Waterhouse also,
the action has been taken. And we can take action. It is not that
we cannot take action. As I have already told you, since there are a
number of court cases, we could not do it. But, anyway, we will
seriously look into it and try to see that wherever it is possible to
take action, we will not hesitate. Moreover, you all know that the
amendment to the comprehensive Company Secretaries
(Amendment) Bill, which is coming up, has provided many things
on this, particularly to provide for the appropriate ethics and
standards to be maintained by the various corporate bodies, and
this will definitely provide, you know, enough punishment.
SHRI S.S. AHLUWALIA: Sir, please yield for a minute.
(Contd. by VK/2G)
VK/2G/1.30SHRI S.S. AHLUWALIA (CONTD): Let me tell you why we are
concerned. We have seen the Harshad Mehta scam. There we
found that auditors were involved. We saw another stock market
scam where also auditors were involved. Now in the recent 2G
scam, you will be surprised to know that in all the cases of all these
companies, whatever certificates were given by the auditors that
their authorized capital is this much and paid up capital is this
much, were false. They got the license on the basis of false
certificates issued by the auditors. It is a very serious issue, Sir.
DR. ASHOK S. GANGULY: Sir, it is a very serious issue. I want to
make a point. Hon. Minister, I think the issue is very serious and it
will come up in the Companies Bill. But the point is, the global
chartered and accountancy firms have a monopoly and this has to
be broken. The Indian Institute of Chartered Accountants must be
empowered and it must be insisted upon that auditors of
professional integrity, who come under the law, must be promoted
and those who give such certificates that Ahluwaliaji is talking
about, the hon. Minister is talking about, must be banned from this
profession. It is a much larger issue. We will take it up at the future
date when the Companies Bill comes up. But this is a global
menace. It is not a national menace alone. This is not to condemn the profession of chartered accountancy, but those who slip into
the profession under the garb of becoming Chartered
Accountants, that has to be taken into account. I compliment the
hon. Member and the hon. Minister because I have been interacting
with the Department of Corporate Affairs. But this is an issue of a
much larger dimension. Thank you.
SHRI S.S. AHLUWALIA: Sir, I started my speech by saying about
the wrong doings of America. It has started from America.
SHRI T.K. RANGARAJAN: I would again like to draw the attention
of the Minister and request the Government to review the
alternative route of entry of foreign accounting firm in India in the
name of management consulting firms. Let him reply to that.
MR. DEPUTY CHAIRMAN: He has said that.
SHRI M. VEERAPPA MOILY: Mr. Deputy Chairman, Sir, in fact,
our hon. Member is having a very vast experience in the company
affairs and also corporate governance. The distinguished Member
has already given suggestions. In fact, we have held discussions
with him. Many a time, I have also discussed with him. In fact,
you all know that the Serious Fraud Investigation Office, SFIO has
emerged from an Executive Order. There was no legislative
backup for that. Now in the new Companies Bill, we have given it a legislative status. A number of things have been included so that
if any serious fraud happens, they cannot just escape. We have
also provided many things to prevent such frauds happening from
time to time; for providing the most transparent administration in
the corporate bodies. We have also taken initiatives to come out
with a national corporate governance policy. We never had that
kind of a policy. We are also coming out with a National
Competition Policy. We never had that kind of a policy. We need
to fit in many of the mechanisms which we are lacking. That is
what we are trying to do. In fact, many of the questions and
concerns which have been raised by the distinguished Members
today, we have directly addressed them in the Companies Bill. The
Companies Bill has provided remedies for many of these things.
When it comes to that, we will discuss it in more details. I do not
want to deal with that now. As far as the inclusive part of the
corporate bodies is concerned, as raised by the distinguished
Member, Dr. Mungekar, we have provided that. For the first time in
the world, we have provided a legal status for the corporate social
responsibility in our Companies Bill. We have provided for that.
That is why I do not want to prolong the reply. It would be suffice
to say that a number of inputs which have been given by all of you, will be considered not only in the Companies Bill, but also in many
of the regulations which we are going to pass in future.
I commend the Bill for the consideration of the House.
(Ends)
(Followed by 2h)
RG/1.35/2H
MR. DEPUTY CHAIRMAN: I shall first put the Motion regarding
consideration of the Chartered Accountants (Amendment) Bill to
vote. The question is:
That the Bill further to amend the Chartered
Accountants
Act, 1949, be taken into consideration.
The motion was adopted.
MR. DEPUTY CHAIRMAN: We shall now take up clause-by-clause
consideration of the Bill.
Clauses 2 and 3 were added to the Bill.
MR. DEPUTY CHAIRMAN: Now, clause 1. There is one
amendment (No.2) by the Minister.
Clause 1: Short title and commencement
SHRI M. VEERAPPA MOILY: I move:
(No.2) That at page 1, line 2, for the figure “2010” the figure
“2011” be substituted. The question was put and the motion was
adopted.
Clause 1, as amended, was added to the Bill.
ENACTING FORMULA
SHRI M. VEERAPPA MOILY: Sir, I move:
That at page 1, line 1, for the word “Sixty-first”
word “Sixty-second” be substituted.
The question was put and the motion was adopted.
The Enacting Formula, as amended, was added to the Bill.
The Title was added to the Bill.
SHRI M. VEERAPPA MOILY: Sir, I move:
That the Bill, as amended, be passed.
The question was put and the motion was adopted.
(Ends)
MR. DEPUTY CHAIRMAN: I shall now put the Motion regarding
consideration of the Cost and Works Accountants (Amendment)
Bill, 2010, to vote. The question is:
That the Cost and Works Accountants (Amendment) Bill,
2010, be taken into consideration. The motion was adopted.
MR. DEPUTY CHAIRMAN: We shall now take up clause-byclause consideration of the Bill. In clause 2, there is one
amendment (No.3) by the Minister.
Clause 2: Substitution of references to certain expressions by
certain other expressions.
SHRI M. VEERAPPA MOILY: Sir, I move:
(No.3) That at page 1, lines 7 to 12, be deleted.
The question was put and the motion was adopted.
Clause 2, as amended, was added to the Bill.
Clause 3 -- Amendment of section 2.
SHRI M. VEERAPPA MOILY: Sir, I move:
(No.4) That at page 2, line 1, for the words “principal Act”, the
words, figure and brackets “Cost and Works Accountants Act,
1959 hereinafter referred to as the principal Act)” be substituted.
(No. 5). That at page 2, line 12, for the words “Institute of Cost
and Management Accountants of India”, the words “Institute of
Cost Accountants of India” be substituted.(No.6). That at page 2, line 25, for the words “cost and
management accountancy”, the words “cost accountancy” be
substituted.
(No.7). That at page 2, line 33, for the words “cost and
management accountancy”, the words “cost accountancy” be
substituted.
(No.8). That at page 2, line 36, for the words “cost and
management accounting”, the words “cost accounting” be
substituted.
(No.9). That at page 2, lines 37 and 38, for the words “cost
and management accountant”, the words “cost accountant” be
substituted.
(No.10). That at page 2, lines 39 and 40, be deleted.
The questions were put and the motions were adopted.
Clause 3, as amended, was added to the Bill.
Clause 4 -- Amendment of section 3. SHRI M. VEERAPPA MOILY: Sir, I move:
(No.11). That at page 2, lines 42 and 43, for the words
“Institute of Cost and Management Accountants of India”, the
words “Institute of Cost Accountants of India” be substituted.
The question was put and the motion was adopted.
Clause 4, as amended, was added to the Bill.
Clause 5 -- Amendment of section 5.
SHRI M. VEERAPPA MOILY: Sir, I move:
(No.12). That at page 3, line 5, for the words “Institute of
Cost and Management Accountants of India”, the words “Institute
of
Cost Accountants of India” be substituted.
(No.13). That at page 3, line 9, for the words “Institute of
Cost and Management Accountants of India”, the words “Institute
of
Cost Accountants of India” be substituted.
The questions were put and the motions were adopted.
Clause 5, as amended, was added to the Bill.
Clause 6 -- Amendment of section 22A
SHRI M. VEERAPPA MOILY: Sir, I move:
(No.14) That at page 3, line 11, for the words “Institute of
Cost and Management Accountants of India”, the words “Institute
of Cost Accountants of India” be substituted.
The question was put and the motion was adopted.
Clause 6, as amended, was added to the Bill. Clause 7 -- Amendment of Section 25.
SHRI M. VEERAPPA MOILY: Sir, I move:
(No.15). That at page 3, line 14, for the words “cost
and management accountants”, the words “cost accountant” be
substituted.
The question was put and the motion was adopted.
Clause 7, as amended, was added to the Bill.
Clause 8 was added to the Bill.
(Followed by 2J)
2j/1.40/ks
MR. DEPUTY CHAIRMAN: Now, we shall take up clause 9. There
is one amendment (No. 16) by the Minister.
CLAUSE 9 – AMENDMENT OF FIRST SCHEDULE
SHRI M. VEERAPPA MOILY: Sir, I move:
(No. 16) That at page 3, lines 22 and 23, for the words "Institute
of Cost and Management Accountants of India", the
words "Institute of Cost Accountants of India" be
substituted.
The question was put and the motion was adopted.
Clause 9, as amended, was added to the Bill.CLAUSE 10 – AMENDMENT OF SECOND SCHEDULE
SHRI M. VEERAPPA MOILY: Sir, I move:
(No. 17) That at page 3, lines 24 and 25, be deleted.
The question was put and the motion was adopted.
Clause 10, as amended, was added to the Bill.
MR. DEPUTY CHAIRMAN: Now, we shall take up clause 1. There
is one amendment (No. 2) by the Minister.
CLAUSE 1 - SHORT TITLE AND COMMENCEMENT
SHRI M. VEERAPPA MOILY: Sir, I move:
(No. 2) That at page 1, line 4, for the figure "2010", the figure
"2011" be substituted.
The question was put and the motion was adopted.
Clause 1, as amended, was added to the Bill.
MR. DEPUTY CHAIRMAN: Now, we shall take up the Enacting
Formula. There is one amendment (No. 1) by the Minister. ENACTING FORMULA
SHRI M. VEERAPPA MOILY: Sir, I move:
(No. 1) That at page 1, line 1, for the word "Sixty-first", the
word "Sixty-second" be substituted.
The question was put and the motion was adopted.
The Enacting Formula, as amended, was added to the Bill.
The Title was added to the Bill.
SHRI M. VEERAPPA MOILY: Sir, I move:
That the Bill, as amended, be passed.
The question was put and the motion was adopted.
(Ends)
THE COMPANY SECRETARIES (AMENDMENT) BILL, 2010
MR. DEPUTY CHAIRMAN: Now, I shall put the Company
Secretaries (Amendment) Bill, 2010 moved by Shri Veerappa Moily
to vote. The question is:-
That the Bill further to amend the Company Secretaries
Act, 1980, be taken into consideration.
The motion was adopted.
MR. DEPUTY CHAIRMAN: We shall now take up Clause-byClause consideration of the Bill. Clauses 2 and 3 were added to the Bill.
MR. DEPUTY CHAIRMAN: Now, we shall take up Clause 1.
There is one amendment (No. 2) by the Minister.
Clause 1– Short title, extent and commencement
SHRI M. VEERAPPA MOILY: Sir, I move:
(No. 2) That at page 1, line 4, for the figure "2010", the
figure
"2011" be substituted.
The question was put and the motion was adopted.
Clause 1, as amended, was added to the Bill.
MR. DEPUTY CHAIRMAN: Now, we shall take up the Enacting
Formula. There is one amendment (No. 1) by the Minister.
ENACTING FORMULA
SHRI M. VEERAPPA MOILY: Sir, I move:
(No. 1) That at page 1, line 1, for the word "Sixty-first", the word "Sixty-second" be substituted.
The question was put and the motion was adopted.
The Enacting Formula, as amended, was added to the Bill.
The Title was added to the Bill.
SHRI M. VEERAPPA MOILY: Sir, I move:
That the Bill, as amended, be passed.
The question was put and the motion was adopted.
(Ends)
MR. DEPUTY CHAIRMAN: Now, the House is adjourned for lunch
for one hour.
-------
The House then adjourned for lunch
at forty-five minutes past one of the Clock
CAclubindia
