Shri Sunil H. Talati,
Central Council Member

NEW DELHI TIMES


1. It was in the month of July, 2006 that I had last communicated to you after conclusion of 260th Meeting of the Central Council held at Delhi. Thereafter four other Meetings had taken place from 261st Meeting to 264th Meeting including Meeting at Manglore in the month of September. Members are well aware of various proceedings and decisions that have taken place in these Meetings and I am not consuming your precious time in re-communicating the same to you. I could not be in touch with you since then up to January, 2007 as Election Code was applicable till the results were declared and notified.

2. The months of September onwards saw the colours, movements and activities for the election both to the Regional Council and Central Council. According to the Amendments made in the Chartered Accountants Act, 1949, seats in various Regional Councils were increased. Total number of Regional Council Members in WIRC, which were hitherto 16 Members, had been increased to 22. The total strength of Central Council, which was 30, representing 24 elected Members and 6 nominated Members, also had been increased to 40. The election to the Central Council was for 32 elected Members from all over the country, 8 being nominated Members. The seats from Western Region increased from 8 Central Council Members to 11 Central Council Members. The important change that had taken place is that earlier out of 6 nominated Members 3 were from Government Department being C&AG, CBDT and Dept. of Company Affairs. These have been retained. Other 3 nominations were of Chartered Accountants by concerned Ministry. Now there will be 4 Government nominees and all 4 other nominees will be other than Chartered Accountants. Nominations have since been received which include Senior Advocate, Senior M.B.A. and other from Senior Economist and Industrialist.

3. Election to the Central Council at Gujarat as well as in Western India was most memorable experience. I do not have any words for conveying my thanks, indebtedness and gratefulness to all my voters from Ahmedabad and from Gujarat in particular and from Western Region in general for getting me highest vote ever received by any Central Council Member in the history of the Institute. The credit does not go to the candidate but goes to the unity and sovereignty and collective strength of the City, State and Region. I convey my heartfelt thanks and gratitude with folded hands to all my dear members and reads of this Newsletter.

4. 266th Meeting will be held on 5th February, 2007 whereby election of the President and Vice President shall take place and the result will be known to you all when you have this Newsletter in your hand. I seek your continuous support, good wishes and blessings in my efforts to lead the Institute in this new Millennium to newer heights. India is poised for a phenomenal economic growth and unparallel industrial development or to say a revolution. Same is the situation for our profession – profession of Chartered Accountancy. All over the world there is a tremendous demand and simultaneous growth in our membership as well as students registering for Chartered Accountancy course. We have now the Institute with 5 Regions, 114 Branches and 18 Chapters outside India with a membership of 1,40,000 members and 4,00,000 students. This makes us the second largest body of the Accounting profession in the world. Is it now for us to respond and to prove our strength not only by demonstration of good quantity but of excellent quality, highest ethical standards and best intellectual services to the business, industry and also to the Government. The Indian Chartered Accountancy profession should be the valued Trustees of world class financial competencies, good governance and competitiveness. I urge all my professional brothers and sisters to come up to this expectation of Society by helping the Institute in all its endeavour to further strengthen the profession and make our Institute No.1 in the world when they speak about Quality.

5. I am specifically complimenting the strength and unity of the Members because of which it is for the first time in the history that all the 5 candidates from Ahmedabad got elected in the Western Indian Regional Council. This is over and above one elected from Baroda and one more from Surat making a Seven strong representation from the State of Gujarat. Though we do not think, talk and act in WIRC or in the Institute on State or Region basis, it does help to uplift the regional requirements and to meet with needs and expectation of local fraternity. Hats off to all of you again for the splendid voting and for demonstrating the Unity and Strength once again.

6. I am fully aware and conscious about the most alive and talked about issue of CPT results, students passing CPT, availability of Articleship and their competitiveness to join and perform as Articles.

The result of first CPT was more than 65%. Many eyebrows were raised with regard to such a liberal result. Let me make it clear that such a liberal result is not intentionally declared or is not intended to increase the strength and quantity of students joining Chartered Accountancy course. PE-I, which was earlier Foundation, has taken a paradigm shift. From descriptive long answers on four papers; the entire syllabus has been converted into one day exam covering same four subjects and topics, but answers only objectively. This is just to test the objective analysis and practical approach and knowledge of students rather than testing their art of writing at initial stage. We all must accept the ground reality and fact that new generation students are not only much more exposed to read and write better but are fundamentally more intelligent. Be as it may, the increased result in turn resulted in to heavy students seeking Articleship. According to new syllabus, they will now have to undergo 3½ years Articleship immediately and not after PE-II as it used to be since last 5-6 years. But then all the students cannot get admissions in big or reputed or leading firms. The ball is now in our court, i.e. it is for us, the members of the profession, to teach these young intelligent students and mould them into a concrete well studied and complete professional Chartered Accountant. Members have to spend time in their Office to teach the students audit techniques and principle of auditing and give them basic training before sending them to client for audit or for other departmental work. It is no doubt a time consuming and elaborated process; also needs patience and cool-hearted approach to deal with these students. I am sure members will come up to the expectation of this new syllabus, which has been formulated by CRET, a special Committee appointed by the Institute. Detailed exercises were done meeting various Professionals & Colleges, and other Chartered Accountants were consulted and even draft course also was exposed to the members. Now it is for the Hon’ble Members to accept this change in phased manner, appreciate the experience at least for one year and then only react for review or re-visit.

7. At the end, I take this opportunity to convey my heartfelt thanks to the “Team of Managing Committee” of Ahmedabad Branch for giving me this opportunity of communicating to you through this Newsletter. I had received acknowledgements and compliments for this New Delhi Times. It was an attempt of discriminating information to Hon. Members as to how deeply we are now involved in Council and Institute, which was never a case before. I am happy to inform that based on this; some other Council Members also have started to communicate such things in their respective areas. Now that you have allowed me to serve the Institute in a higher spectrum, I will be communicating to you through our newly revamped monthly Chartered Accountants Journal. I will be more happy to receive your positive comments and concrete suggestions for the further development of the profession, upliftment of our image and above all for strengthening our Institute and making it as best Accounting Institute in the world.