ICAI wants to review all listed companies

New Delhi: The Institute of Chartered Accountants of India (ICAI), the regulatory body for all accounting and auditing firms in the country, is seeking a whole gamut of modifications to its regulatory powers and jurisdiction from the Government to prevent the recurrence of financial scams as that of Satyam in the future.

The institute is keen on attaining more regulatory powers wherein it would have the authority to review financial reporting of listed companies as well, apart from just the auditors, newly-appointed ICAI president Uttam Prakash Agarwal told reporters today. ICAI will “explore the feasibility of simultaneous review and quality checks on the auditors as well as on the financial reporting system of listed companies,” Agarwal said.

Speaking at his inauguration function here, Agarwal added that the institute is planning to set up a serious fraud detection cell to assist regulators like RBI and Sebi in preventing financial scams in the future. Besides, he added, the independence to auditors would be ensured by introducing a joint audit system and practices like rotation of auditors.