PPT Disciplinary DPK as a presentat.pptx

Disciplinary

1. STATISTICS IN BRIEF

2. Here we stand.! CASES UPTO PFO STAGE ( under new DC mechanism ) PARTICULARS No. of Cases Cases at Pre-PFO stage (i.e., at different stages before PFO) 363 Cases at PFO stage (including referred back cases) 626 Cases Ready for being placed before BOD/DC* 308 Cases closed at PFO stage with the concurrence of BOD/DC 2194 GRAND TOTAL 3493 [As on 30.04.2021] including withdrawal requests, Rule 12 requests, clubbing etc.

3. Here we stand.! CASES BEFORE BOD/DC ( under new DC mechanism ) Under Enquiry PFOs to be considered Punishment to be awarded Cases already concluded ( after Enquiry / hearing ) TOTAL (BOD) 113 121 39 480 TOTAL (DC) 442 153 176 1012 GRAND TOTAL 555 274 215 1492 [As on 30.04.2021]

4. Disposal of Cases by BoD /DC During last two Council years 2019-2020 and 2020-2021 Year 2019-2020 2020-2021 No. of Prima Facie Opinion considered Hearing Concluded by BoD /DC Punishment Awarded DC 228 294 56 BoD 161 119 38 Total 389 413 94 DC 149 236 121 BoD 187 52 40 Total 336 288 161

5. CONCLUDED/ CLOSED CASES (3686) CASES AT PFO STAGE (934) ( including 308 cases ready for being placed before BOD/DC) CASES AT HEARING STAGE (555 ) CASES AT PRE-PFO STAGE (363) Total Registered Cases- An Overview From year 2007 upto 30 th April, 2021 under new DC mechanism 3686 363 555 934 Total Registered Cases- 5538 Disposal of Disciplinary Cases (in percentage)- 66.56%

6. AWARENESS AMONG MEMBERS A prospective approach of regularising the conduct of the members can be to create extensive and continuous awareness amongst the members of the profession as to what constitutes ‘misconduct’ so that members of the profession while executing their professional assignments are well aware of their responsibilities and the delivery gaps. This can be achieved by doing CPE programmes on technical as well as ethical requirements .

7. AWARENESS AMONGST STAKEHOLDERS There is a wide perception gap amongst the stakeholders of the profession vis-s-vis the members of the profession as to what constitutes ‘misconduct’ due to which chartered accountants get multidimensional focus when certain corporate scam(s) are unearthed which are caused mostly on account of mis -management of affairs of the Company by the persons controlling the levers of authority. The role of auditors at such times comes under close scrutiny which consequentially reflects a bad image of the profession at large. Thus, extensive and continuous awareness needs to be created amongst the stakeholders also that ‘an auditor is a watchdog and not a bloodhound’ . Further, the concept of “reasonable assurance” and “absolute assurance” and “inherent limitation of an audit” are also required to be disseminated so that cases are not filed against the members whenever any financial irregularity/or otherwise is unearthed.

8. These steps will definitely help in achieving the goal of near negligible number of disciplinary cases where the cases would not be pending for more than one year.