New Rules for transfer of articleship

Articleship 8402 views 22 replies

Taranjit Singh

Chartered Accountant

6108 Points Joined February 2009

Transfer/Termination of Articleship

[Regulation 56(1)]

In partial modification of the announcement dated 30th June 2009 regarding transfer / termination of

articles the Council in its recent meeting has decided that the transfer/termination of articleship in

terms of Regulation 56(1) of the Chartered Accountants Regulations, 1988 shall be permissible on

the grounds as stated below: -

I. Transfer /termination of articles is permitted without any restriction during the first

year of articles.

II. During rest of the articleship period on satisfying any one or more of the conditions as stated

below: -

1. Medical grounds requiring discontinuance of articles for a minimum period of three months

(on production of a Medical Certificate issued by a Government Hospital).

2. Transfer of parent(s) to another city.

3. Misconduct involving moral turpitude.

4. Other justifiable circumstances / reasons: -

(ii) Grounds already permissible in the Chartered Accountants Regulations, 1988 (on

submission of requisite proof of the act warranting transfer/termination of articleship): -

a. Industrial Training (Regulation 51)

b. Secondment of articles (Regulation 54)

c. Conversion from PCC to IPCC (for termination of articles only. Re-registration of

articles to be allowed only after passing Group-I of IPCC)

d. Death of Principal [Regulation 57(1)(c)]

e. Ceasing of practice by the Principal [Regulation 57(1)(a)]

f. Removal of name of the Principal from the Register of Member due to any reason

[Regulation 57(1)(b)]

(iii) Marriage basis (only if there is relocation to another city involving distance of 50 kms).

(iv) Irregular payment or non payment of stipend with reference to Regulation 67.

(v) Articled assistant desires to serve balance period of training outside India.

(vi) Shifting by the Principal to another city involving distance more than 50 kms.

The articled assistants are required 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

alongwith the recommendation/ consent 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. Request for transfer not accompanied by consent of Principal shall not be

accepted.

In case of dispute between principal and articled assistant, the matter be settled amicably

among the articled assistant and the principal concerned and the Institute shall not

interfere in such cases.

2nd July 2010

Replies (22)

Guest

thanks sir for providing the information

shahid

intern

21 Points Joined May 2010

Thanks a lot to you sir and to the Honourable ICAI.

can ne one explain me one point that we require the consent of icai bcoz day before yesterday i had talk with student helpline where they told me that dat when you are taking taranfer on ground of parents transfer you don need to get the consent of icai but per dis anoucment we do need to submit a application to icai...

EXplain

Chandan Singh

Professional

270 Points Joined July 2009

Raghav .. can u give me no. of student helpline. plz..

Raghav Kapoor

intern

51 Points Joined December 2008

01130110481

MAHESH BANSAL

ARTICLE ASSISTANT

28 Points Joined May 2009

I think the rules for transfer is not so good as in case of dispute between article & principal their is no remedy . the pricipal is supreme remedy and he may make the rest articleship period hell for the article

Gaurav Agarwal

Proprietor & partner in CA firms

52 Points Joined July 2008

MATTER OF LIFE, SO PLZ READ IN FULL

Hi guys!! I am Gaurav Agarwal a CA PCC student I am in very much pain and cannot be relieved out of my pain without your support. I am doing my articleship for the past 1.5 years sincerely and in mid February I was asked to attend an audit assignment at Kashmir I completed the assignment but after returning from there I fell seriously ill due to bad weather and some health problems already and could not accompany audit team for my next audit assignment which was in mid March at Patna (Bihar). My exams were also in May 2010 in which also I was not able to appear properly due to my illness.

During the period when I fell ill, my CA started sending me letters that "you have never attended articleship training and have availed leave for more than 300 days" which was never the case as I attended the office/outstation audits regularly (Please I am not a dummy student!!!). This was a shocking news for me as he himself had signed my examination form along with 18 months of training completion certificate. During my tough time of illness and recovery (March to May), he sent me a dozen of letters imposing baseless allegations of taking 300 days' leave which caused me mental stress in this tough time of pressure from all sides (exam, health problems, and now office problems). This all led to severe mental pressure due to which I was able to only appear into one group even in which I was not able to do as best as I would have done otherwise (my plans were to appear for both groups).

Also, my CA was paying stipend very irregularly (6 to 8 months) and even paid only twice for a period of only 12 months and he did not pay for the rest 6 months.

With these bases (moral turpitude and irregular and nonpayment of stipend), I went to Institute from where I was issued a letter in-hand in which I was allowed transfer from the principal, but now he is not even signing the form 109, which is necessary for transfer.

When I approached Institute regarding the same (non-signing of form 109), the Institute just took their hands off and they verbally conveyed that they cannot help me out of this situation which was really shocking for me as I had too much of hope from them as them being the governing body and I was hoping for a neutral decision from their side (neither my side nor on principal and giving a decision on the bases and facts).

Today, I just received a call from a friend who called me up to give me biggest shock of my life that "Institute has made amendment to the transfer rules stating that they will not interfere in article-principal matter and the matters should be solved AMICABLY amongst themselves." This has led me to a state of grief and great depression as it is a matter of one's life and death (as this was my goal from Senior Secondary and even after getting 85% marks I chose to get into commerce stream rather than going into Medical, though my family was forcing me for Medical field).

So, please support me and forward this to as many as you can. It will take only a few minutes of your precious time but overall can really save my life/career.

If anyone wants to contact me and give any advice, please have my email ID gauravagarwal1991 @ gmail.com

Thanks in advance.

Subhendu S Sanyal

B.Com(C.S.) CA FINAL

666 Points Joined February 2009

I have a query ..Someone pls clarify.Given below is an extact of ICAI's announcement:

I.Transfer /termination of articles is permitted without any restriction during the first year of articles.

II. During rest of the articleship period on satisfying any one or more of the conditionsas stated below: -

4. Other justifiable circumstances :

(ii) Grounds already permissible in the CA Regulations, 1988 (on submission of requisite proof of the act warranting transfer/termination of articleship): -

a. Industrial Training (Regulation 51)

b. Secondment of articles (Regulation 54)

c. Conversion from PCC to IPCC etc etc...

I am not able to understand the diff between transfer & secondment..secondment means wat..???

Pawan Bajaj

CA PCC

21 Points Joined July 2010

this is total nonsense friends . . . i also am having a lot of problems in my articleship . . . i cant take transfer on the ground of problems with pricipal . . .i am gone now !!!!! damn to icai council

abcde

Practice

116 Points Joined December 2008

@ Gaurav,
MATTER OF LIFE, SO PLZ READ IN FULL

If there is a merit in your complaint against the Principle about non-payment of stipend regularly inspite of your repeated complaints or about any of the permissible grounds inspite of persistent inquiry, you may still be able to seek transfer applying these permissible grounds even though you are not in first year of training. Or, let us see it this way : if with leave of 300 odd days as claimed by your principle, effectively your articles have run less than 1 year, and in that case, you dont require any grounds under present transfer notification.

For all practical purposes, all old dispute of transfer not resolved till 1st july 2010, now the ICAI will not interfere and it will be left to mutual settlement with the Principal. So dont give him a bad name and hang him as yet.

Cheers.

Guest

We are looking for Article Clerks for a reputed Audit Firm in Chennai. Good exposure to Accounts, Audit and other specialized areas. If you are interested, please revert.

You can also refer your friends.

NOTE: If you are completed or undergoing article, kindly refer your friends.

Thanks and Regards

Hema R

SSS Placement Consultants Pvt Ltd

Contact Number: 044-42127730/9841430083

Guest

We are looking for Article Clerks for a reputed Audit Firm in Chennai. Good exposure to Accounts, Audit and other specialized areas. If you are interested, please revert.

You can also refer your friends.

NOTE: If you are completed or undergoing article, kindly refer your friends.

Thanks and Regards

Hema R

SSS Placement Consultants Pvt Ltd

Contact Number: 044-42127730/9841430083

Guest

We are looking for Article Clerks for a reputed Audit Firm in Chennai. Good exposure to Accounts, Audit and other specialized areas. If you are interested, please revert.
You can also refer your friends.

NOTE: If you are completed or undergoing article, kindly refer your friends.

Thanks and Regards
Hema R
SSS Placement Consultants Pvt Ltd
Contact Number: 044-42127730/9841430083