Flourishing business of selling tax audit signs
This query is : Resolved
Haresh Rakholia
(Querist)
28 April 2011
Fact of the case.
There are many new/existing Practicing CAs do not have enough tax audits to complete their figure of 45. So balance signatures they sell to other firm/s by migreof 1000-2000.
There is hardly any audit performed by signing CA.
Is this practise is allowed as per professional ethics. If yes which ethics, if no how to curb this practise.
If CA is considered as one of the best profession, how come these corrupt practices have been carried on.
Regards,
Haresh.
There are many new/existing Practicing CAs do not have enough tax audits to complete their figure of 45. So balance signatures they sell to other firm/s by migreof 1000-2000.
There is hardly any audit performed by signing CA.
Is this practise is allowed as per professional ethics. If yes which ethics, if no how to curb this practise.
If CA is considered as one of the best profession, how come these corrupt practices have been carried on.
Regards,
Haresh.
28 April 2011
It is the greed of the established CAs and it is the need of the new CAs to establish themselves in the profession.
Haresh Rakholia
(Querist)
28 April 2011
This is emotional answer, but does ethics permit the practice?
28 April 2011
Ethics can never permit signing a report without examining the papers.
Haresh Rakholia
(Querist)
29 April 2011
Appreciate on your bold reply.
It means new entrants are at great risk(risk of professional misconduct) for the benefit of established firms, and funny thing is that this so called established firms drag new one in this unethical practice. Is it a clean profession? As ICAI is always recommend members to maintain highest level of integrity/honesty, as a member of great institute (ICAI) are we obey ethics, I believe this is a fundamental question about the ethical practise.
Bcoz I try to avoid fake signing but other fellow members are ready to do this and i can not develop practice in this manner, so how an entrant can blow a whistle against this practise to ICAI?
It means new entrants are at great risk(risk of professional misconduct) for the benefit of established firms, and funny thing is that this so called established firms drag new one in this unethical practice. Is it a clean profession? As ICAI is always recommend members to maintain highest level of integrity/honesty, as a member of great institute (ICAI) are we obey ethics, I believe this is a fundamental question about the ethical practise.
Bcoz I try to avoid fake signing but other fellow members are ready to do this and i can not develop practice in this manner, so how an entrant can blow a whistle against this practise to ICAI?
29 April 2011
You have a point, but it may fall short of evidence which may be another useless usual combat in the already overburdened Indian legal system.
If you can stack up the evidence (even a stinger opn should be an option), carry your whistle and straight walk to the disciplinary committee at ICAI.
It may or may not work, but somewhere it has to start.
If you can stack up the evidence (even a stinger opn should be an option), carry your whistle and straight walk to the disciplinary committee at ICAI.
It may or may not work, but somewhere it has to start.
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