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Transfer in 2nd year

22 June 2017

If article student entered into 2nd year of article ship and principle is exploiting. If he is getting angry even on silly mistakes and give warning to not come to office. In this situation what can article do. Please guide me.

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4 Replies

Karan Batra (Creator: TheProTalks) (2325 Points)
Replied 23 June 2017

Hi , Just let me tell you that what you are facing is just the tip of the iceberg to what you may face if you apply for transfer after your 1st year of Articleship is completed. So first let me quote you what the Institute says,

"Transfer/Termination of Articleship [Regulation 56(1)] In accordance with the decision of the Council, the transfer/termination of articleship in terms of Regulation 56(1) of the Chartered Accountants Regulations, 1988 shall be permissible to an articled assistant on satisfying any one or more of the conditions as stated below: - Medical grounds requiring discontinuance of articles for a minimum period of three months (on production of a Medical Certificate issued by a Government Hospital). Transfer of a working parent to another city involving a distance of minimum 50 kms (on production of a certified copy of the transfer order and the proof of relocation to another City). Misconduct involving moral turpitude. Other justifiable circumstances / reasons: - Grounds already permissible in the Chartered Accountants Regulations, 1988 (on submission of requisite proof of the act warranting transfer/termination of articleship): - Industrial Training (Regulation 51) Secondment of articles (Regulation 54) Conversion from PCC to IPCC (for termination of articles only. Re-registration of articles to be allowed only after passing Group-I of IPCC) Death of Principal [Regulation 57(1)(c)] Ceasing of practice by the Principal [Regulation 57(1)(a)] Removal of name of the Principal from the Register of Member due to any reason [Regulation 57(1)(b)] Marriage basis (only if there is relocation to another city involving distance of 50 kms). Irregular payment or non payment of stipend with reference to Regulation 67. Articled assistant desires to serve balance period of training outside India. Shifting by the Principal to another city involving distance more than 50 kms. The articled assistants are required, in the first instance, 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 with recommendations 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. Secretary 30th June 2009"

For transfer of articles after 1st year you will be needing to apply to ICAI in a letter under any of the above-mentioned grounds and that is the difficult part as your case won’t be covered anywhere above. Then even if you apply in any of the abovementioned cases then you will be needing to file a letter to ICAI and in that letter your firms Stamp and your principal's signature will also go, so why do you think your principal will do that is another problem. And then there will be another problem as not all those who apply get approval from ICAI and even if your case gets rejected it could anywhere take from 2 to 4 months to get a confirmation and then you would have to again go to your principal only so that your articleship gets completed and you would have wasted that time. And again if there's a dispute ICAI won’t interfere and the members will always be given a preference. So what I suggest is complete your Articleship under the same principal amicably, be genuine and try to get the good in everything and just ignore the worst part of it. If you have the will everything will eventually fall into place.