Putting in place a stricter compliance mechanism, chartered accountants apex body ICAI has barred members from participating in tenders for assignments that can be performed only by CAs. However, ICAI members can participate in such tenders if the minimum fee for the assignment has been prescribed by the entity concerned. The Institute of Chartered Accountants of India (ICAI) has said a practising member “shall not respond to any tender issued by an organisation or user of professional services in areas of services which are exclusively reserved for chartered accountants, such as audit and attestation services”. According to the institute, the restriction would not be applicable in instances where the minimum fee of the assignment is prescribed in the tender document itself. CAs would be free to participate in the tenders where “areas are open to other professionals along with the chartered accountants”, a recent ICAI notification said. Members can avail the multipurpose empanelment data available with it in cases where the assignments mentioned in the tender can be done only chartered accountants, the institute said in a separate communication posted on its website. Further, ICAI has cautioned that members who violate the guidelines with respect to participating in tendering process would be liable for disciplinary action.

PTI RAM SA

Source: http://indiatoday.intoday.in/story/icai-issues-stricter-guideline-for-cas/1/641877.html