OTHER MISCONDUCT

Arjun: Yes, Bhagwan. At the time of every signing and uploading, I used to chant your name!

Shrikrishna: Why?

Arjun: At the time of signing, I pray that the blunders committed by us should not be exposed; and at the time of uploading, I pray that the technology should not fail. It is a task in itself!

Shrikrishna: Why do you think of blunders? You got so much time.

Arjun: True, but no accounts in today’s world can ever be perfect! Too much work at a time, no competent assistants, clients own imperfection and indifference; too much of regulation; and above all, our own ignorance and inefficiency, some error or other is inevitable and can be held as ‘negligence’.

Shrikrishna: Professional misconduct! But today, I heard something about ‘other misconduct’.

Arjun: You mean section 22 of the CA Act?

Shrikrishna: Yes, now even other misconduct is largely codified in the sense that Part IV of First Schedule and Part III of Second Schedule of CA Act provide for the ‘other misconduct’.

Arjun: Yes, – for example, you are held guilty by some other civil or criminal court, and the prescribed punishment is of ‘imprisonment’.

Shrikrishna: And also, bringing disrepute to the profession.

Arjun: What case you heard of other misconduct?

Shrikrishna: In one of the CA firms, a partner retired at 65 as per their deed of partnership.

Arjun: Then?

Shrikrishna: He signed the settlement of accounts – based on audited financial statements. But after a few months, when his accounts were to be explained in his income tax scrutiny, he noticed that he had introduced about Rs. 20 lakhs into the firm, and the same had not been credited to his account!

Arjun: Oh! Then where had it gone?

Shrikrishna: To some other account.

Arjun: Surprising! Then what happened?

Shrikrishna: He wrote to his ex-partners; and pointed out the discrepancy. He asked for that amount to be paid to him.

Arjun: Naturally! The partners would have immediately accepted.

Shrikrishna: No, my dear! The partners said, since you have signed the settlement sheet, now you won’t get it!

Arjun: Disgusting! Shameful!

Shrikrishna: Poor fellow has been following up with them for the last 5 years! They are not even responding.

Arjun: It is really a disgrace to our profession. In fact, it is against basic human courtesy. Forget about the profession.

Shrikrishna: True. But there are members like this!
Arjun: And what about auditors?

Shrikrishna: Obviously, they had signed the tax audit. So, the person wrote to the auditors as well.

Arjun: And what was their response?

Shrikrishna: Same thing. No response at all!

Arjun: This is really unbecoming of a professional. How can a CA behave like this with another CA? and that also, with own ex-partner?

Shrikrishna: True, that is why I had often told you that you people are utterly lacking in unity. Since there is no unity amongst yourself, people take advantage. Ultimately the profession suffers.

Arjun: Yes, we should come out of this mindset of distrust, and there should be more cordiality and cooperation among all of us or else we are ourselves to suffer.

Shrikrishna: If your own partner does not pay your legitimate dues, how a client will pay you promptly and smoothly. Think it over seriously and act soon. It is high time you all introspect and improve your ways.