LI Network
Published on: 8 August 2023 at 12:30 IST
The Institute of Cost Accountants of India (ICMAI) has recently put forth a notification on August 1, 2023, bearing reference no. CWR(1)/2023, introducing proposed modifications to the existing Cost and Works Accountants Regulations, 1959.
This initiative is embodied in the draft titled “Cost and Works Accountants (Amendment) Regulations, 2023.”
The draft envisions substantial revisions to the current regulations, aimed at modernizing and rationalizing the practices of Cost Accountants.
The key amendments encapsulated within the draft are as follows:
1. Change in Title: The nomenclature of the regulations will be updated to “Cost and Works Accountants (Amendment) Regulations, 2023.”
2. Modification of Terminology: In Regulation 1, the term “Cost and Works Accountants” will be substituted with “Cost Accountants.”
3. Upkeep of Register of Members: Regulation 3 will see the introduction of a new version necessitating the maintenance of the Register of Members in the appropriate Form as indicated in Schedule ‘A.’
4. Process for Granting Certificate of Practice: Regulation 10 is slated for substitution with a revised version delineating the process for bestowing or declining a Certificate of Practice to a member.
5. Augmented Transparency in Disciplinary Proceedings: A new Regulation 15C will be inserted, mandating the availability of real-time status updates regarding pending actionable information and complaints before the Disciplinary Directorate, the Board, and the Committee, accessible on the Institute’s website and updated on a monthly basis.
6. Guidelines for Board of Discipline and Disciplinary Committee: A new Regulation 15D is to be incorporated, outlining guidelines for the nomination of individuals to the Board of Discipline and Disciplinary Committee established under Sections 21A and 21B of the Act.
7. Compensation for Disciplinary Authorities: A novel Regulation 15E will be added, outlining the allowances payable to the Presiding Officer and members of the Board of Discipline and Disciplinary Committee.
8. Auditor Appointment: Regulation 95 will be substituted to elucidate the annual appointment of auditors by the Council.
9. Reappointment of Auditors: Regulation 96 will be revised, stipulating that auditors appointed by the Council may be considered for reappointment for an additional two consecutive years.
10. Empowered Office Bearers: Regulations 98, 98A, and 99 will undergo amendment to explicitly define the powers and responsibilities of the President, Vice-President, and Secretary, respectively.
11. Public Declaration of Members: Regulation 104 is set to be substituted, mandating the Institute to disclose and make accessible on its website the roster of Institute members.
12. Firms’ Registration: New Regulations 108A, 108B, and 108C will be introduced, offering comprehensive guidelines for the registration and operational procedures of firms under the Institute.
On August 2, 2023, ICMAI issued a call for public commentary and feedback on these proposed amendments. Interested stakeholders and individuals have a 30-day timeframe from the publication date of the notification to submit their perspectives.
