Accounting regulator Institute of Chartered Accountants of India (Icai) is believed to have suggested to the scope of penal provisions be expanded to cover audit firms, in addition to chartered accountants.
Persons familiar with the matter said ICAI ,in its report submitted to the ministry of corporate affairs, recommended that the Chartered Accountants Act be amended to include provisions for punishing erring audit firms whose chartered accountants are found guilty of misconduct.
When contacted, ICAI president amarjit Chopra said, ”There are Views that not (for)
The first time, but second of third time when the auditor of the particular firm is found guilty, some action may also be required against the Firm.
