ICAI, New Delhi. — THE COST ACCOUNTANTS ACT, 1959

To The Secretary, ICAI, New Delhi. The Secretary, ICSI, New Delhi \^zThe Secretary, ICWAI, KOLKATA Subject: Members No. 12/23/2010-PI GOVERNMENT OF INDIA MINISTRY OF CORPORATE AFFAIRS 5th Floor, A Wlng» Shastri Bhavan New Delhi-110001 Dated, the 13th December, 2010 of the professional institutes enforcement agencies for criminal offences Government Sir, In recent times, there have been several instances where members of the professional Institutes have been arrested by law enforcement agencies in connection with criminal offences. It has been noticed that disciplinary action is generally not initiated against such members suo motu by the professional institutes, unless and until pointed out by the Ministry. 2. Members of the three professional Institutes discharge important economic functions and render services to the public. The confidence of the public in the integrity of the members is vital . Part IV of Schedule I of the Acts governing the three professional Institutes specifically provides, that a member shall be deemed to be guilty of mis-conduct if he “ ....... institute as a result brings disrepute to of his action whether the profession or not or related to the his - issue of. - arrested by law Directions of Central Mi- Wtt By Speed Post . s f professional work . Under this provision, it is not necessary that there should be professional mis-conduct; if by his action, a member brings disrepute to the Institute, it is a sufficient ground for proceeding. 3. Keeping in view the need for public confidence in the integrity of the members of the professional Institutes, the Central Government hereby issues the following directions under Section 35 of the Cost and Works Accountants Act, Act, 1959, Section 35 of the Company Secretaries 1980 and Section 30C of the Char