The Institute of Chartered Accountants of India (ICAI) is a statutory body established under the Chartered Accountants Act, 1949 (Act No. XXXVIII of 1949) for the regulation of Chartered Accountancy Profession in India. It was formed on 1st July 1949 and this day is now celebrated as Chartered Accountant’s Day in India.
ICAI is the only licensing cum regulating body of the Accountancy profession in India and is now the 2nd largest Accounting Body in the World after American Institute of Certified Public Accountants which is the largest.
Members of the Institute are called Chartered Accountants and only a Chartered Accountant can be appointed as a Statutory Auditor in India under the Companies Act, 1956.
Motto of ICAI
The motto of the ICAI is “Ya Aeshu Suptaeshu Jagruti.” The motto literally means “a person who is awake in those that sleep”. It is a quotation from the Upanishads
ICAI uses Garuda as its emblem, with the mythical eagle in the centre.
Chartered Accountant’s Logo
Apart from its Emblem and Motto Song, ICAI also has a separate Logo for its Members. As a part of a brand building exercise, ICAI introduced this separate new CA logo for the use of its members in 2007. The logo is free for use by all members of ICAI subject to certain conditions.
Membership of ICAI
Members of the Institute are known as Chartered Accountants. Becoming a member requires passing 3 Levels of examinations, three years of mandatory Internship Training (known as Articleship) and meeting other requirements under the Act and Regulations. The members of ICAI can use the title CA before their names. A member of ICAI may either be an Associate Chartered Accountant (A.C.A.) or a Fellow Chartered Accountant (F.C.A.) based on his experience.
Members of the Institute with less than 5 years of experience are referred to as Associate Chartered Accountants and Members with more than 5 years of experience are called Fellow Chartered Accountants.
Management of ICAI
The Management of ICAI is vested with its members who themselves appoint their Council by voting.
The Members of the Institute appoint an All India Council which is elected every 3 years by voting, and the 32 Member Council so elected chooses a President from amongst them every year. The New President usually takes charge in the month of February.
It has become a convention in ICAI to elevate the Vice President to the post of the President in his subsequent term. Though there is no legal requirement to do so, vice presidents are elevated as presidents on account of their experience acting as vice presidents.
Request for more Power
ICAI has been constantly pressing the Govt. for more jurisdictional powers to punish those found guilty. There have been a few scams in the past in which the Auditors have been found guilty of gross negligence but ICAI has not been able to severely punish the same due to lack of adequate powers.
ICAI also has sent a proposal to the Government of India to amend the Chartered Accountants Act, 1949 in order to enable to it to impose a fine of Rs. 1,00,00,000/- on audit firms if they are found guilty of colluding with companies to commit a fraud.
Some Key Facts about ICAI
- It has more than 1,70,000 Members spread throughout the Country and in Different Parts of the World
- More than 7,00,000 Students are currently enrolled for this Course
- ICAI has also initiated a Virtual Coaching Classes Program for the benefit of CA Students
- ICAI has signed various MoU’s/MRA’s with Intl. Accounting Bodies which will help its Members to work in countries outside India as well.
- It is playing a very active role in Convergence of IFRS in India
{ 5 comments }
Hi I am looking foe CA
I would like to focus on topic ” request for more power ” in above article :
BEFORE ICAI ” constantly pressing the Govt.
the ICAI needs to clear up the following things before giving pressures :
1) What is the purpose of setting up ICAI i.e. is to protect clients from govt. in taxation or the opposite ?
2)What actually students are trained in 3 and 1/2 years articleship period ~ to oil their chartered accountant boss !. Do the chartered accountant boss of chartered firms AUDIT the financial statement or SETTLE the statement for tax evation.
3)From chartered firms what actually future chartered accountants are learning and do this learning beneficial to the society as a whole.
4)What is the social responsibilty of ICAI to the Indian Society .
5)Do the ICAI has investigate ever that how far the past presidents of ICAI are transparent. Whether the past presidents of ICAI have any nexus with the existing SCAM . how far the Earlier PRESIDENTS of ICAI are corrupted ( search and see from internet browsing ). So, ICAI and its lots of board members are corrupted , then how ICAI can claim more power from the Govt. ?
6)The ICAI should think upon that what it actually producing by Exam after Exam every year and what are their social responsibilty. Take Example :
Medical institute produce Doctors ~ to serve the people
Engineering institute ~ to serve the people
2nd largest Accounting body ICAI producing what ~ ghotala people to make society in ghotala.
7)ICAI should find out in their board members that how many of them are abnormal and of unsound in mind . A psychiatrist test should be organised before recruiting Board members specifically in Examination and Valuation Comittee. Because 1 to 50 ranked people are good in study but may not psychologically fit or of unsound mind should not be recruited since the future of ICAI is involved and as a whole Govt. also get involved.
thanks
i want to become a member of icai and wish to prepare for the upcoming cpc pls help me
i want to know how to become a member of icai for preparing upcoming pcc exam pls help me thank u
i read in b.com final year.can i give ipcc exam without cpt.plz help me…….