Two members answerable who were involved in the Audit of Global Trust Bank for the year 2001-02

Two of the members CA P.Rama Krishna & CA. Manish Agarwal answerable who were involved in the Audit of Global Trust Bank for the year 2001-02 have been found guilty by the Council of the Institute and punishment recommended to the concerned High Court(s)

CA. Uttam Prakash Agarwal, President, ICAI while addressing the Press Meet at ICAI Bhawan, New Delhi said “ At the time of taking over as President of ICAI, I said that strict action would be taken against the members who would be found guilty in the disciplinary cases. The decision taken by the Council today as mentioned below shows my commitment and ICAI’s firm stand against the guilty members”. With this judgment, ICAI as a regulator has once again proved its loyalty to public at large.

The Council at its meeting held today i.e. 3rd February, 2010 considered the Report in the matter of Statutory Audit of M/s. Global Trust Bank Limited for the financial year 2000-01.

On consideration of the Report, the Council accepted the report of the Disciplinary Committee with respect to CA P.Rama Krishna and held the respondent guilty of professional misconduct falling within the meaning of Clauses (6), (7), (8) & (9) of Part I of Second Schedule to the Chartered Accountants Act, 1949 and recommended the concerned High Court that his name should be removed for 5 years from the list of members.

Further, the Council accepted the report of Disciplinary Committee with respect to CA. Manish Agarwal and held the respondent guilty of as per notification no. 1-CA(15)/60 dated 4th November, 1960, falling within the meaning of Clause (7) of Part I of Second Schedule to the Chartered Accountants Act, 1949 and recommended the concerned High Court that his name should be removed for 3 years from the list of members.

As regards CA. S.Gopalakrishnan is concerned since he is in judicial custody, the Council has decided to send one final notice to him that his report would be heard by the Council after 60 days. Accordingly, he may be directed to send his written representation(s) or he may send his counsel to appear before the Council.