ICAI Act revamp needed, says Govt

“I can see that some amendments (in ICAI Act) are called for but we would like to see what their (ICAI) perspective is,”  Khurshid told reporters here.

However, Khurshid refused to give further details, saying, “Let us see the report (of the High Powered Committee of ICAI). We also have our own assessment.”

Following the Satyam scam, ICAI President Uttam Prakash Agarwal had said that the institute had requested the Corporate Affairs Ministry to give more powers to chartered accountants.

“If accounts are not up to the standard, I should have the right to tell you that you should restate your accounts. Now, even knowing that everything is wrong, we simply write four lines — that accounts are not up to the mark,” Agarwal had said.

Role of auditors

Accounts and financial statements are prepared by the management and the responsibility lies with them. Auditors never write the book of accounts.

“We give our opinion; we do not give a certificate. We just say whether it is true and fair and we do not even say true and correct,” Agarwal further added. .


“I simply write in my report that there is a fraud of this much amount...and that’s it,” he said.