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ICAI should firmly act to restore confidence of shareholders
February, 05th 2009

Minister of corporate affairs Prem Chand Gupta on Wednesday stressed on the need for greater steps by the Institute of Chartered
Accountants of India (ICAI) in restoring the confidence of investors and shareholders, which has been affected in the wake of the Satyam accounting fraud.

"What is required is further measures to restore public confidence," Mr Gupta, speaking at ICAI's annual function, said. ICAI, which is helping the government in investigating Satyam's accounting fraud, has initiated disciplinary proceedings against the company's former auditors Price Waterhouse by issuing a show-cause notice against them.

"What is needed is that public confidence should be restored, so that chartered accountants continue their march in sustaining public confidence in financial Reporting," the minister said. Mr Gupta said that auditors work in public interest as investors and shareholders repose a lot of faith in the financial statements they authenticate.

He said that the country's accounting and auditing rule-maker should ensure that chartered accountants stand upto their duty of proper upkeeping of corporate India's books of accounts. Mr Gupta also unveiled ICAI's ethical code of standards to its members.

 
 
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