ICAI can not take Disciplinary action against Chandigarh Branch of ICAI - HC

In a victory of sorts for the committee of the Chandigarh branch of the Northern India Regional Council (NIRC) of Institute of Chartered Accountants of India (ICAI), the Punjab and Haryana High Court has in its interim order said that the committee would continue to function and the respondents in the case have also withdrawn the October 6 orders regarding appoint of an administrator.

Hearing a petition on behalf of the members of the managing committee, a High Court bench comprising Judges Rajesh Bindal and Harinder Singh Sandhu said the newly elected committee “shall continue to function” and “if the managing committee of Chandigarh branch holds any seminar and collects any fee for participation, the amount collected on that account will be deposited in the bank account of the Chandigarh branch. The intimation of the number of participants and the amount collected and deposited in the account shall be furnished to the secretary, Central Council.”

At a managing committee meeting of the Chandigarh branch of NIRC of ICAI in September, the elected chairman had resigned and Chartered Accountant Sahil Singla was appointed as the new chairman after his name was proposed by the outgoing chairman.

On this action of the managing committee, the institute had started disciplinary proceedings against the members of the committee. Following which the committee members had knocked at the door of the Punjab and Haryana court and got a stay order on the disciplinary action.

On October 6, the president ICAI appointed Shivam Kumar, joint secretary (Northern India Regional Office), ICAI, as the administrator to look after and manage day-to-day affairs of the Chandigarh branch. (Source - The Hindu)